U.S. Sens. Bill Cassidy and a bipartisan group of senators today introduced legislation to expand the Historic Tax Credit.
The Historic Tax Credit Growth & Opportunity Act would create a new 30% credit for projects that cost less than $3.75 million while maintaining the existing 20% credit. Credits are capped at $750,000.
The bill lowers the threshold the cost of a project must meet to be eligible by eliminating the basis-adjustment requirement, which will bring the tax credit in line with other credits such as the low-income housing tax credit.
The bill would also further expand eligible renovation projects by decreasing the rehabilitation investment threshold from 100% to 50% of the project’s expenses. Project expenses would only have to exceed half of the project’s cost to qualify for the credit. It also amends rules for tax-exempt entities, such as health care centers, arts organization, community services and workforce training providers, to allow better access to the credit.
Joining Cassidy on the bill are Ben Cardin, D-Maryland, Susan Collins, R-Maine, and Maria Cantwell, D-Washington.
“Many of the historic buildings in Louisiana have been restored because of the historic tax credit,” Cassidy says in a prepared statement. “This bill will help people across our state and nation return historic buildings to working use and preserve our architectural heritage.”
