News:
2009
December
DEBRIEFING MATERIAL POSTED FOR UNSUCCESSFUL NMTC APPLICANTS
WASHINGTON, D.C. - December 30, 2009
The Community Development Financial Institutions (CDFI) Fund has made debriefing documents available to community development entities (CDEs) that applied for new markets tax credits (NMTC) but did not receive an allocation in the last allocation round. The documents provide applicants with information about the strengths and weaknesses of their applications identified during the review process. Applicants can access the debriefing materials through their myCDFIFund accounts at www.cdfifund.gov.
SENATORS PLEDGE WORK ON TAX EXTENDERS IN EARLY 2010
WASHINGTON, D.C. - December 23, 2009
Sens. Max Baucus, D-Mont., and Chuck Grassley, R-Iowa, sent a letter to Senate Majority Leader Harry Reid, D-Nev., and Minority Leader Mitch McConnell, R-Ky., yesterday regarding adjournment of the first session of the 111th Congress without extending expiring tax assistance provisions. In addition to the letter, the Finance Committee leaders issued a joint statement declaring their intent to address expiring tax provisions early next year.
The House passed H.R. 4213, the Tax Extenders Act of 2009, on December 9. The House bill would provide individuals and businesses with approximately $31 billion in tax relief in 2009 by extending for one year, through 2010, more than 40 provisions that are scheduled to expire at the end of 2009. The bill would extend for one year, through 2010, the new markets tax credit (NMTC), permitting a maximum annual amount of qualified equity investments of $5 billion.
Click here for more information about tax extenders legislation. To discuss this and other current developments in the NMTC industry, join Novogradac & Company LLP on January 28 and 29 for the New Markets Tax Credit Conference in San Diego, Calif.EXTENDERS PACKAGE WOULD EXTEND NMTC FOR ONE YEAR
WASHINGTON, D.C. - December 8, 2009
Ways and Means Committee Chairman Charles B. Rangel, D-N.Y., yesterday introduced H.R. 4213, the Tax Extenders Act of 2009. The Tax Extenders Act of 2009 would provide individuals and businesses with approximately $31 billion in tax relief in 2009 by extending for one year, through 2010, more than 40 provisions that are scheduled to expire at the end of 2009. The bill would extend for one year, through 2011, the new markets tax credit (NMTC), permitting a maximum annual amount of qualified equity investments of $5 billion.
November
ESTIMATED TIMELINE FOR ROUND 8 OF NMTC PROGRAM DISCUSSED
WASHINGTON, D.C. - November 24, 2009
At the Community Development Financial Institutions (CDFI) Fund’s Advisory Board meeting on November 16, the board reviewed of the accomplishments of the CDFI Fund in the past year and discussed its current timeline for program awards announcements. The CDFI Coalition reports that - assuming the new markets tax credit (NMTC) is extended beyond its current sunset date of December 31, 2009 - for the next round of the new markets tax credit program the CDFI Fund expects to open the next application round in February 2010 and set a due date for applications of in April. If these dates hold, the CDFI Fund expects it would make allocation announcements in November 2010.
TREASURY, IRS RELEASE 2009-2010 PRIORITY GUIDANCE PLAN
WASHINGTON, D.C. - November 24, 2009
The Treasury Department and Internal Revenue Service (IRS) today released the 2009-2010 Priority Guidance Plan, which contains 315 projects that are scheduled for completion from July 2009 through June 2010.
According to the plan, the IRS plans to publish:
- final regulations under §45D on how an entity serving targeted populations meets the requirements to be a qualified active low-income community business (proposed regulations on this topic were published September 24, 2008); and
- final regulations under §45D that revise and clarify certain rules relating to the recapture of the new markets tax credit (proposed regulations on this subject were published August 11, 2008).
October
TREASURY ANNOUNCES $5 BILLION IN NMTC ALLOCATION AUTHORITY
CHICAGO - October 30, 2009
Treasury Secretary Tim Geithner and Community Development Financial Institutions (CDFI) Fund Executive Director Donna Gambrell today announced the 99 community development entities (CDEs) selected to receive $5 billion in tax credits to spur private sector investment in communities facing economic challenges under the seventh round of the New Markets Tax Credit (NMTC) program. The allocations awarded today include $1.5 billion in investment authority allocated among 24 CDEs authorized by the American Recovery and Reinvestment Act of 2009.
The allocatees announced today are headquartered in 30 different states, the District of Columbia and Puerto Rico, but anticipate making investments in 49 different states, as well as the District of Columbia and Puerto Rico. To date, the CDFI Fund has made 495 awards totaling $26 billion in NMTC authority. A list of the organizations selected and additional information about today’s announcement can be found on the CDFI Fund's web site.
Links to information from all seven allocation rounds to date can also be found online here.CDFI FUND TO ANNOUNCE $5 BILLION IN NMTC AWARDS FRIDAY
WASHINGTON, D.C. - October 28, 2009
U.S. Department of the Treasury Secretary Timothy Geithner and Community Development Financial Institutions (CDFI) Fund Director Donna Gambrell will announce the CDFI Fund’s 2009 New Markets Tax Credit (NMTC) Program awards in Chicago on Friday, October 30 at 10:30 a.m. Central time. The announcement will be made at the Greater West Town Community Development Project, a job training center providing unemployed and underemployed individuals with the skills they need to compete. This center has benefitted from funding under the NMTC Program.
More information will be available on the Novogradac New Markets Tax Credit Resource center at http://www.novoco.com/new_markets/ after the awards announcement.
ARK. CDE GETS $70 MILLION; $5 BILLION NMTC ANNOUNCEMENT THIS WEEK
LITTLE ROCK, Ark. - October 26, 2009
On Saturday, Director of the U.S. Department of the Treasury's Community Development Financial Institutions (CDFI) Fund Donna J. Gambrell announced an award of $70 million in new markets tax credit (NMTC) allocation authority for Heartland Renaissance Fund LLC, a subsidiary of Arkansas Capital Corporation. The CDFI Fund made the award under the 2009 round of the NMTC program. Heartland Renaissance Fund will utilize its award to provide flexible capital to health and education projects throughout economically distressed areas of Arkansas, with an emphasis on the Delta region.
The CDFI Fund says that it will announce the national awards for the full $5 billion in NMTCs available under the 2009 round late this week. Novogradac & Company LLP will monitor any developments and report as soon as additional information becomes available.
SATURDAY ANNOUNCEMENT TO HIGHLIGHT NMTC IN ARKANSAS
SAN FRANCISCO, Calif.- October 23, 2009
CLARIFICATION:
To clarify our earlier posting: The gathering of dignitaries tomorrow in Little Rock, Ark. at 10:30 a.m., October 24, will highlight the rural impact of New Markets Tax Credit program awards in Arkansas only.
SATURDAY ANNOUNCEMENT TO HIGHLIGHT NMTC PROGRAM
LITTLE ROCK - October 23, 2009
Arkansas Business is reporting that Sens. Blanche Lincoln and Mark Pryor of Arkansas, and Maria Haley, director of the Arkansas Economic Development Commission, will highlight the rural impact of awards made under the New Markets Tax Credit (NMTC) program in Arkansas. They will be joined by Donna Gambrell, director of the Community Development Financial Institutions Funds of the U.S. Department of Treasury, in making the award announcement at 10:30 a.m. at the offices of Heartland Renaissance Fund at the Arkansas Capital Corp. in Little Rock. Sam Walls, CEO of Arkansas Capital Corp., and French Hill, an advisory board member of the CDFI Fund will also attend.
Novogradac & Company LLP will follow-up that announcement with more information as it becomes available.
NMTC COALITION SEEKS SIGN-ONS FOR PROGRAM'S EXTENSION
WASHINGTON, D.C. - October 15, 2009
The New Markets Tax Credit (NMTC) Coalition is asking NMTC practitioners to sign on to a letter it has prepared in support of the New Markets Tax Credit Extension Act of 2009. H.R. 2628 and S. 1583 would extend the NMTC program for five years and generate more than $25 billion in new private investment in poor urban and rural communities across the country. The program will sunset at the end of this year if not extended. To date, more than $14 billion has been invested in low income communities thanks to the NMTC, and community development entities (CDEs) are using this capital to finance a wide variety of economic development initiatives and businesses.
The New Markets Tax Credit Extension Act of 2009, introduced on August 5, 2009, would extend the NMTC for five years, provide $5 billion in annual NMTC allocation authority, and allow an investor to use NMTC to offset the alternative minimum tax (AMT).
Join Novogradac & Company LLP and more than 270 of your colleagues at the New Markets Tax Credit Investors Conference in Chicago, Ill. on October 22-23 to discuss the extension and other current developments in the NMTC program.
COMMUNITY DEVELOPMENT AWARDS WINNERS TO BE ANNOUNCED OCT. 22
SAN FRANCISCO - October 8, 2009
The Novogradac Community Development Foundation (NCDF) will honor special achievement in the field of community development with the Second Annual Community Development Awards. The awards celebrate excellence in individuals, as well as community development entities (CDEs) that have made exceptional qualified low-income community investments (QLICIs). The awards will recognize individuals in three categories: Federal Legislator of the Year, State Legislator of the Year and Public Executive of the Year. The awards will also recognize QLICIs in five categories: small business, operating business, real estate, metro, and non-metro.
Winners will be announced on October 22, 2009 at the New Markets Tax Credit Investors Conference in Chicago, Ill.September
CDFI FUND INVITES COMMENT ON CERTIFICATION OF MATERIAL EVENTS FORM
WASHINGTON, D.C. - September 18, 2009
In a notice that will be published on September 21, the Community Development Financial Institutions (CDFI) Fund will invite comments concerning the Certification of Material Events Form. The CDFI Fund is currently revising and redesigning the form. The notice says the revised document will provide a more comprehensive list of potential material events to inform community development entities (CDEs) and CDFIs of the events that need to be reported to the CDFI Fund. The form is also expected to require the CDE or CDFI to affirmatively indicate, through a series of specific questions, whether or not the event will have an impact on areas of operations that are of particular concern to the CDFI Fund. The CDFI Fund says this information will enable it to better manage the material events review process and monitor the effects of material events on certification or compliance status. Click here for an advance copy of the notice.
August
NMTC EXTENSION BILL INTRODUCED IN SENATE
WASHINGTON, D.C. - August 6, 2009
Sen. Jay Rockefeller, D-W.V., yesterday introduced S. 1583, the New Markets Tax Credit (NMTC) Extension Act of 2009. The NMTC is currently set to expire at the end of 2009. The New Markets Tax Credit Extension Act of 2009 will extend the credit for five years and provide $5 billion in annual NMTC allocation authority. In addition, the bill provides an additional incentive by permitting the NMTC to offset the alternative minimum tax (AMT). As soon as a copy of the NMTC Extension Act is available it will be posted online at www.newmarketscredits.com.
CDFI FUND INVITES COMMENTS ON NMTC ALLOCATION APPLICATION
WASHINGTON, D.C. - August 3, 2009
The Community Development Financial Institutions (CDFI) Fund today solicited comments concerning the New Markets Tax Credit (NMTC) program allocation application. The CDFI Fund requests comments concerning the application, the application review process, and 10 specific questions about topics related to the application such as award caps, threshold requirements and minority-entity participation in the program. Comments will be accepted through October 2.
July
COMMENTS ON CDE CERTIFICATION APPLICATION ACCEPTED THROUGH AUGUST 28
WASHINGTON, D.C. - July 29, 2009
The Treasury Department will accept comments through August 28, 2009 on CDFI Form 0019, the New Markets Tax Credit (NMTC) Program - Community Development Entity (CDE) Certification Application. Applicants must be certified as CDEs to apply for an allocation of NMTC authority. There are currently 3,836 CDEs certified by the Community Development Financial Institutions (CDFI) Fund. Click here for more information about CDEs and a link to the comment request.
June
REPLAY OF HEARING ON NMTC PROGRAM AVAILABLE ONLINE
WASHINGTON, D.C. - June 18, 2009
The House Ways and Means Select Revenue Measures Subcommittee today held a joint hearing with the Financial Services Subcommittee on Domestic Monetary Policy and Technology on issues involving the New Markets Tax Credit program. Specifically, the hearing was held to discuss a recent GAO report showing that minority-owned or controlled entities are less successful than non-minority owned or controlled entities in the NMTC application process. A recording of that hearing is available online here. Links to the witnesses’ written testimony are also available.
NMTC APPLICANTS REMINDED OF QEI REPORTING DEADLINE
WASHINGTON, D.C. - June 11, 2009
Prior round allocatees that applied for new markets tax credits (NMTCs) in the 2009 application round are reminded that the QEI issuance deadline is Wednesday, June 17. Pursuant to Section III.A.2.(a) of the 2009 Notice of Allocation Availability (NOAA), a prior NMTC allocatee (or any affiliates thereof) must demonstrate to the Community Development Financial Institutions (CDFI) Fund that it has issued a certain percentage of its qualified equity investments (QEIs) or issued and received a certain percentage of cash and commitments in order to be eligible for a 2009 NMTC allocation. On March 23, the CDFI Fund published a revised 2009 NOAA that waived the QEI issuance requirements relating to 2008 NMTC allocations. Applicants should also be sure to "finalize" any QEI information that is listed as "pending" to ensure that it is finalized in the allocation tracking system (ATS). Pending transactions will not be counted toward meeting the QEI issuance requirements.
IRS INVITES INPUT ON FORM 8874, NEW MARKETS TAX CREDIT
WASHINGTON, D.C. - June 11, 2009
The Treasury Department, as part of its continuing effort to reduce paperwork and respondent burden, today invited the general public and other federal agencies to comment on Form 8874, New Markets Credit. Investors use Form 8874 to claim a credit for equity investments made in qualified community development entities (CDEs) under the New Markets Tax Credit (NMTC) program. Written comments should be received on or before August 10, 2009 to be assured of consideration. Click here for more information.
GAO REPORTS ON MINORITY CDEs' PARTICIPATION IN NMTC PROGRAM
WASHINGTON, D.C. - June 1, 2009
From 2005 through 2008, non-minority community development entities (CDEs) that applied for allocations of new markets tax credit (NMTC) authority received about 27 percent and 15 percent, respectively, of the NMTC allocations and dollar amounts for which they applied, reports the Government Accountability Office (GAO). By comparison, GAO found that minority CDEs were successful with about 9 percent of their applications and received about 4 percent of allocation dollars that they requested. In a report released today, the GAO identifies the number of minority and non-minority CDEs that have applied and received NMTC awards and explains the process by which NMTC awards are made. The report also describes challenges, if any, minority and non-minority CDEs face in applying for and receiving NMTC awards and identifies efforts the CDFI Fund and others are taking to assist minority CDEs in applying for NMTC awards. To discuss the findings of the report with NMTC experts, join Novogradac & Company for the 8th Annual New Markets Tax Credit Spring Conference in Washington, D.C. on June 11-12.
May
TREASURY ANNOUNCES NMTC AWARDS FUNDED BY THE RECOVERY ACT
BOSTON - May 27, 2009
Treasury Secretary Tim Geithner today announced $1.5 billion in new markets tax credit (NMTC) allocations for 32 organizations awarded under the American Recovery and Reinvestment Act. The Recovery Act authorizes $1.5 billion in new NMTC allocations for community development entities (CDEs) that applied under the 2008 award round. The 32 organizations receiving awards today have identified principal service areas covering 33 states, the District of Columbia and Puerto Rico. A complete list of the organizations selected for this round of awards can be found on the CDFI Fund's web site: www.cdfifund.gov.
Join Novogradac & Company LLP at the 8th Annual New Markets Tax Credit Spring Conference in Washington, D.C. on June 11-12 to discuss these awards and other current developments in the NMTC program.249 NMTC APPLICATIONS RECEIVED REQUESTING $22.5 BILLION
WASHINGTON, D.C. - May 14, 2009
The U.S. Treasury Department's Community Development Financial Institutions (CDFI) Fund announced today that it received a total of 249 applications under the 2009 round of the New Markets Tax Credit (NMTC) program. The CDFI Fund reports that applicants requested an aggregate total of $22,496,767,600 in NTMC allocation authority. A total of $5 billion of allocation authority is available for the seventh NMTC round including the $1.5 billion in additional allocation authority authorized through the American Recovery and Reinvestment Act of 2009. The CDFI Fund says it anticipates announcing the organizations that will receive NMTC allocations in October of 2009.
The seventh round of NMTC allocation applications is just one of the many topics planned for the 8th Annual New Markets Tax Credit Spring Conference in Washington, D.C. on June 11-12.
COMMENTS INVITED ON CDE CERTIFICATION APPLICATION
WASHINGTON, D.C. - May 5, 2009
The Treasury Department today invited comments on CDFI Form 0019, the New Markets Tax Credit (NMTC) Program - Community Development Entity (CDE) Certification Application. Applicants must be certified as CDEs to apply for an allocation of new markets tax credit authority. There are currently 3,740 CDEs certified by the Community Development Financial Institutions (CDFI) Fund. Click here for more information about CDEs and a copy of the comment request.
April
CDFI FUND ANSWERS FREQUENTLY ASKED COMPLIANCE QUESTIONS
WASHINGTON, D.C.- April 30, 2009
The Community Development Financial Institutions (CDFI) Fund today posted a new version of its New Markets Tax Credit Compliance and Monitoring Frequently Asked Questions document. The latest version lists 55 questions and answers covering topics including general compliance, the allocation tracking system, allocation agreements, reporting and financial statements and more. Join Novogradac & Company in Washington, D.C. on June 11-12 for the 8th Annual New Markets Tax Credit Spring Conference. An advanced pre-conference workshop on June 10 will focus on NMTC compliance.
WASHINGTON, D.C.- April 8, 2009
Entities that wish to apply for new markets tax credit (NMTC) allocations in the 2009 round are reminded that in addition to submitting allocation applications by 5 p.m. (ET) today, April 8, applicants for the 2009 round must meet additional remaining deadlines in order to be eligible for an allocation. The signature page and attachments for the electronic application must be must be mailed to the Bureau of Public Debt and postmarked on or before April 10. More information about these submission requirements can be found in Questions #4, 13 and 14 in the 2009 NMTC Allocation Application Q&A. These deadlines and related information are also discussed in the March 31 Tax Credit Tuesday podcast.
March
NMTC AGAIN NAMED ONE OF TOP 50 INNOVATIONS
WASHINGTON, D.C.- March 31, 2009
The U.S. Department of the Treasury’s New Markets Tax Credit (NMTC) program was again named today as one of the Top 50 Government Innovations that will advance to the final stages of competition for the prestigious 2009 Innovations in American Government Award. The NMTC program, which is administered by Treasury’s Community Development Financial Institutions (CDFI) Fund, was chosen from more than 600 applicant programs representing all levels of government across the nation. Click here for more information.
WASHINGTON, D.C.- March 30, 2009
Community Development Financial Institutions (CDFI) Fund Director Donna J. Gambrell today announced the appointment of José Villar to serve as the chief operating officer (COO) of the CDFI Fund beginning today, March 30, 2009. As the COO, Villar will serve as the director’s principal executive on CDFI Fund operations and program processes. He will be primarily responsible for managing the day-to-day activities at the CDFI Fund and ensuring that operational infrastructure can support enhanced business practices.
CDFI FUND REVISES NOAA TO INCORPORATE RECOVERY ACT CHANGES
WASHINGTON, D.C.- March 23, 2009
The Community Development Financial Institutions (CDFI) Fund today released an amended notice of allocation availability (NOAA) for the 2009 round of the New Markets Tax Credit (NMTC) program. The amended NOAA updates the original notice by announcing that due to the additional $1.5 billion in NMTC allocation authority made available for the 2009 NMTC round under the American Recovery and Reinvestment Act of 2009, the CDFI Fund will have the authority to allocate a total of up to $5 billion in NMTC allocation authority, rather than the $3.5 billion as initially announced. The revised NOAA also announces that the CDFI Fund will waive qualified equity investment (QEI) issuance requirements with respect to awards made in the 2008 NMTC allocation round for community development entities (CDEs) applying under the 2009 NOAA. The revised NOAA also says that the CDFI Fund will increase the anticipated maximum award amount from $100 million to $125 million and notes that allocatees that receive allocation authority under the Recovery Act will have additional reporting requirements.
To make these important changes available to the public as soon as possible, the CDFI Fund posted the amended NOAA on its web site in advance of the Federal Register publication on Thursday, March 26, 2009. Potential applicants are strongly encouraged to read this notice thoroughly. The application deadline for the 2009 round of the NMTC Program is April 8, 2009. Click here to view the amended NOAA.
CDFI FUND RELEASES RECOVERY ACT IMPLEMENTATION PLAN
WASHINGTON, D.C.- March 18, 2009
Today, the Treasury Department’s Community Development Financial Institutions (CDFI) Fund released its implementation plan to award nearly $100 million in grants and $3 billion in additional tax credit authority to support community-based financial institutions made available by the American Recovery and Reinvestment Act of 2009. The CDFI Fund’s Recovery Act implementation plan provides details with respect to how it will allocate $3 billion of tax credit authority to qualified community development entities (CDEs) under the New Markets Tax Credit (NMTC) program. The Recovery Act provides $1.5 billion to CDEs that applied for allocation authority under the 2008 NMTC allocation round; and $1.5 billion to CDEs that apply for allocation authority under the 2009 NMTC allocation round.
To hear more about the implementation plan, tune in next week to the Tax Credit Tuesday Podcast on March 24.February
CDFI FUND CREATES WEB PAGE TO TRACK ARRA ACTIVITY
WASHINGTON, D.C.- February 27, 2009
The Community Development Financial Institutions (CDFI) Fund yesterday announced that it created a new section of its public web site that will be the source of all information related to the CDFI Fund’s implementation of the American Recovery and Reinvestment Act (ARRA). The new web page is located at: www.cdfifund.gov/recovery. The CDFI Fund also says it will be releasing its detailed plan for implementing the provisions of ARRA on this new web page in the very near future.
2009 NMTC ONLINE APPLICATION, INSTRUCTIONS NOW AVAILABLE
WASHINGTON, D.C.. - February 25, 2009
The Community Development Financial Institutions (CDFI) Fund today published on its web site instructions on how potential applicants can access and utilize the online allocation application that is now available for the 2009 round of the New Markets Tax Credit (NMTC) program. The instructions and other application materials can be found under the “Application Materials” section of the NMTC program web page. The deadline for submitting an online allocation application is April 8, 2009.
AMERICAN RECOVERY AND REINVESTMENT ACT SIGNED INTO LAW
DENVER, COLO. - February 17, 2009
President Barack Obama today signed into law the American Recovery and Reinvestment Act of 2009 at a signing ceremony held at the Denver Museum of Nature & Science. The new law includes enhancements to the new markets tax credit (NMTC), renewable energy tax credit (RETC) and low-income housing tax credit (LIHTC) programs.
Tune in to today’s Tax Credit Tuesday podcast to hear more about the tax credit provisions included in the $787 billion economic recovery package.
On Wednesday, February 25 Novogradac & Company will present a webinar about the American Recovery and Reinvestment Act. Michael J. Novogradac, managing partner in the San Francisco office of Novogradac & Company LLP, will describe the provisions of the new law including:
- the additional $3 billion in new markets tax credit authority provided for 2008 and 2009;
- the extensions of placed in service dates for renewable energy facilities;
- the temporary permission to elect the investment tax credit in lieu of the production tax credit;
- the low-income housing tax credit exchange provision; and
- the $2.25 billion in gap funding for LIHTC projects.
UPDATED: AGREEMENT ANNOUNCED ON RECOVERY LEGISLATION
WASHINGTON, D.C.- February 12, 2009
Congressional conferees yesterday announced they had reached a tentative agreement on an economic recovery package. The legislation is said to include approximately $789 billion in spending and tax provisions. While some of the details remain to be finalized, reports indicate that the final agreement provides an additional $1.5 billion for the 2008 new markets tax credit (NMTC) allocation round and an additional $1.5 billion for the 2009 allocation round. Contrary to intial reports, it is now believed that the final package does not include the provision that would have allowed NMTCs awarded in the 2009 round to offset the alternative minimum tax. Updates will be provided online at www.newmarketscredits.com as soon as additional information becomes available.
Novogradac & Company LLP is planning a webinar on the provisions of the economic recovery legislation. Details will be posted shortly at www.novoco.com/events.
SENATE OKS RECOVERY BILL WITH LIHTC, NMTC, RETC PROVISIONS
WASHINGTON, D.C.- February 10, 2009
The Senate today voted 61 to 37 to approve H.R. 1, the American Recovery and Reinvestment Act of 2009. The Senate version of the economic recovery package includes a provision to accelerate the low-income housing tax credit (LIHTC) allowing investors to claim 20 percent of the allowable credits in each of the first three years, and the remaining 40 percent over the next seven years. The bill also provides $2 billion dollars of LIHTC gap financing.
The Senate measure would also authorize an additional $1.5 billion for the 2008 new markets tax credit (NMTC) allocation round and an additional $1.5 billion for the 2009 allocation round. The NMTCs allocated for the 2009 round would be allowed against the alternative minimum tax.
In addition, the Senate’s proposal extends the placed-in-service date for wind facilities through December 31, 2012 and through December 31, 2013 for certain other qualifying facilities. The proposal would also temporarily allow renewable energy production facilities to elect the investment tax credit in lieu of the production tax credit.
Click here for a summary of the finance provisions included in the final version of the Senate bill. The legislation will now go through a conferencing process to resolve differences with the House-passed recovery legislation. Lawmakers have indicated they intend to deliver a final bill to the president for his signature by the end of this week.
A discussion about the House and Senate recovery bills will be presented in this week’s Tax Credit Tuesday podcast, which will be posted online by 1 p.m. Pacific time.January
SENATE ECONOMIC RECOVERY PROPOSAL WOULD BOOST NMTC PROGRAM
WASHINGTON, D.C.- January 23, 2009
The Senate Finance Committee today unveiled the details of its proposal for an economic recovery package, which includes a provision to increase the amount of new markets tax credits available. The American Recovery and Reinvestment Act of 2009 would authorize an additional $1.5 billion for the 2008 allocation round and an additional $1.5 billion for the 2009 allocation round. This provision is not currently included in the House version of the economic recovery legislation. The Senate Finance Committee is scheduled to hold a hearing on the American Recovery and Reinvestment Act on January 27.
The significance of this proposal will be one of the many hot topics discussed next week at Novogradac & Company’s New Markets Tax Credit Conference in San Diego. It’s not too late to register! Click here for more information.
Tune in to the Tax Credit Tuesday podcast on January 27 to hear Michael J. Novogradac, CPA, discuss the latest developments in the ongoing consideration of the Senate and House economic recovery proposals.CDFI FUND OPENS 2009 NEW MARKETS TAX CREDIT ROUND
WASHINGTON, D.C.- January 16, 2009
The Community Development Financial Institutions (CDFI) Fund announced today the opening of the seventh round of competition for tax credits under the New Markets Tax Credit (NMTC) program. The allocation application deadline is April 8, 2009. The notice of allocation availability (NOAA) for the 2009 application round and a read-only version of the application are available at www.cdfifund.gov. The NOAA and related information is also available here.
Novogradac & Company LLP will present a webinar that will offer a comprehensive look at the NMTC application process and how to submit a competitive application. Details about this event will be announced shortly.
In the mean time, it's not too late to join Novogradac & Company for the New Markets Tax Credit Conference January 29-30 in San Diego.
CDFI FUND ADVISORY BOARD MEETING TO BE RESCHEDULED
WASHINGTON, D.C.- January 14, 2009
The Community Development Financial Institutions (CDFI) announced today that due to significant response to an invitation for written comments on the impact of the financial crisis on its stakeholders, including policy and program recommendations, the meeting of the full Community Development Advisory Board—originally slated for January 15—is being rescheduled for mid-February. The CDFI Fund says this will allow the advisory board's subcommittee additional time to review the comments and to formulate its recommendations. Once a new date has been set, a meeting notice will be posted to the CDFI Fund's web site.
It’s not too late to join Novogradac & Company for the New Markets Tax Credit Conference January 29-30 in San Diego.
INTERAGENCY CRA GUIDANCE UPDATED
WASHINGTON, D.C.- January 7, 2009
The Office of the Comptroller of the Currency, Treasury (OCC), Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation (FDIC) and Office of Thrift Supervision (OTS) yesterday announced the publication of new and revised Interagency Questions and Answers Regarding Community Reinvestment. The questions and answers interpret the agencies’ Community Reinvestment Act (CRA) regulations and provide guidance to financial institutions and the public. The agencies proposed the questions and answers on July 11, 2007. After considering the comments, the agencies adopted the majority of the questions and answers as they were proposed or with revisions in response to the comments. In addition, they are proposing for comment one new and two revised questions and answers. Comments on the proposed provisions are due by March 9, 2009. For more information on the CRA, including these questions and answers and the agencies’ CRA regulations, visit the CRA Resource Center.