Legislation would permanently extend the New Markets Tax Credit, drive investment to build more housing units
WASHINGTON – Today, U.S. Senators John Hickenlooper, Steve Daines, and Mark Warner, along with 13 of their Senate colleagues introduced the bipartisan New Markets Tax Credit Extension Act which permanently extends the New Markets Tax Credit (NMTC) that spurs redevelopment and new construction projects through a federal tax credit for investors in businesses or economic development projects.
“From Trinidad to Fort Collins, we need more affordable housing,” said Hickenlooper. “Attracting greater investment to development projects will jumpstart construction on more housing units and create good-paying jobs in the process.”
The NMTC attracts capital to low-income communities by giving investors a 39 percent federal tax credit for investments made in businesses or economic development projects, including housing projects. In the past 20 years, the NMTC Program created or retained more than 14,000 jobs, $1.9 billion in project financing, and supported the construction of over 2.3 million square feet of real estate in Colorado.
“The New Markets Tax Credit is a vital tool in the fight to build more housing and encourage investment in communities that need it most. By leveraging this program, we can encourage economic development, expand opportunity and make housing more affordable for families across the country,” said Warner.
“The New Markets Tax Credit spurs growth and creates jobs in our communities across Montana. Making this program permanent will encourage the opportunities and economic stability our country needs to continue thriving,” said Daines.
See full text of the bill HERE.
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