News:
2008
February
NMTC APPLICATIONS DUE TOMORROW
WASHINGTON, D.C.- March 4, 2008
Entities that wish to apply for new markets tax credit (NMTC) allocations in the 2008 round are reminded that in addition to submitting allocation applications by 5 p.m. (ET) on March 5, 2008, applicants for the 2008 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 March 7, 2008. More information about these submission requirements can be found in Question #13 in the 2008 NMTC Allocation Application Q&A. In addition, previous allocatees must meet the necessary qualified equity investment (QEI) issuance thresholds as detailed in Section III of the 2008 Notice of Allocation Availability.
BUSH SIGNS ECONOMIC STIMULUS MEASURE
WASHINGTON, D.C.- February 13, 2008
President George W. Bush today signed the Economic Stimulus Act of 2008, calling it a "booster shot" for the American economy. The package includes tax rebate checks for individuals, incentives for business investment, and an increase in conforming and Federal Housing Administration (FHA) loan limits.
One of the incentives for business investment would allow businesses to deduct 50 percent of the cost of qualifying property placed in service in 2008. Under this provision, owners of a low-income housing tax credit (LIHTC) property placed in service in 2008 may be able to deduct up to 50 percent of the cost of personal property and land improvements. Click here for Novogradac & Company LLP's analysis of the availability of the bonus depreciation for LIHTC properties.
The economic stimulus package and its provisions, as well as the possibility that additional stimulus legislation could be introduced, will a topic of discussion at Novogradac & Company LLP's upcoming conferences.
CDFI FUND SEEKS TO FILL VACANT POSITIONS
Washington, D.C. — February 11, 2008
The U.S. Department of the Treasury's Community Development Financial Institutions (CDFI) Fund is currently seeking to fill several vacancies with individuals wanting to join a team of dedicated professionals. The CDFI Fund's mission is to expand the capacity of specialized, community-based financial institutions to provide credit, capital and financial services to underserved low-income populations and communities. Click here to view the current list of vacant positions. The CDFI Fund says it expects to post several more vacancies later this week.
CDFI FUND LISTS NMTC-ELIGIBLE, NON-METRO CENSUS TRACTS
Washington, D.C. — February 7, 2008
As part of its efforts to ensure that non-metropolitan counties receive a proportional allocation qualified equity investments (QEIs) under the new markets tax credit (NMTC) program, the Community Development Financial Institutions (CDFI) Fund published a list identifying 6,488 NMTC-eligible census tracts located in non-metropolitan counties. The CDFI Fund says these census tracts qualify for NMTC investments because they have a poverty rate of at least 20 percent and/or a median family income that is at or below 80 percent of the applicable area median family income. Click here to download the list.
CDFI FUND UPDATES NMTC APPLICATION Q&A DOCUMENT
Washington, D.C. — February 6, 2008
The Community Development Financial Institutions (CDFI) Fund has released updated guidance for new markets tax credit (NMTC) applicants. The current version of the 2008 NMTC Allocation Application Q&A Document revises and updates the Q&A document originally published on December 21, 2007. Modifications were made to Q&A numbers 7, 12, 29, 40 and 41. In addition, two new Q&As, numbers 35 and 44, have been added. Click here for more information.
ADMINISTRATION PROPOSES EXTENDING NMTC FOR ONE YEAR
Washington, D.C. — February 4, 2008
In the fiscal year (FY) 2009 proposed budget released today, the Bush Administration proposes extending the new markets tax credit (NMTC) for one year by authorizing a maximum of $3.5 billion of total equity investments for calendar year 2009.
January
SENATE COMMITTEE MARKS UP STIMULUS, CONSIDERS NMTC PROVISION
Washington, D.C. — January 30, 2008
The Senate Finance Committee meets today to mark up the Economic Stimulus Act of 2008 and will consider an amendment offered by Sens. Jay Rockefeller, D-W.V., and Olympia Snowe, R-Maine, to include in the stimulus package an additional $1 billion in new markets tax credit (NMTC) authority in 2008. The additional NMTCs would be allocated to qualified applications that were submitted in 2007 but did not receive awards because of overwhelming demand. In the 2007 allocation application round, more than 250 community development entities (CDEs) applied for approximately $28 billion in NMTCs, more than seven times the amount of credits available. A total of 61 CDEs received allocations totaling $3.9 billion.
IRS TO HEAR COMMENTS ON REPORTABLE TRANSACTIONS RULE
Washington, D.C. — January 18, 2008
The Internal Revenue Service (IRS) will hold a hearing regarding a proposed rule relating to the disclosure of reportable transactions under sections 6011 and 6111 of the Internal Revenue Code. These regulations propose to add the patented transactions category of reportable transaction to the regulations under Sec. 1.6011-4. The regulations also include conforming changes to the rules relating to the disclosure of reportable transactions by material advisors under section 6111. The public hearing is being held at 10 a.m. on February 21 in the auditorium of the Internal Revenue Building at 1111 Constitution Avenue, NW., Washington, D.C.
CDFI FUND SEEKS REVIEWERS FOR NMTC APPLICATIONS
Washington, D.C. — January 16, 2008
The Community Development Financial Institutions (CDFI) Fund is seeking reviewers to assist in its review of applications received under the New Markets Tax Credit (NMTC) program for the sixth round of allocation applications. Working in teams but reading each application independently and without consultation, reviewers will evaluate the applications using the CDFI Fund's established review criteria, including such factors as prior performance of the applicant in funding eligible activities; raising and managing investor funds; capacity, skills and experience of the management team; proposed deployment of allocated tax credit authority; and community impact of the expected investments. The review process for the 2008 application round will begin in early April; individuals interested in participating in the review process must submit a questionnaire and resume to the CDFI Fund by February 15, 2008 to ensure consideration for the 2008 round NMTC review session. Click here for more information.
CDFI FUND TO HOST NMTC APPLICATION WORKSHOPS
Washington, D.C. — January 4, 2008
The U.S. Department of the Treasury's Community Development Financial Institutions (CDFI) Fund will conduct six live application workshops and one webcast workshop for those interested in learning how to apply for the sixth round of competition for tax credits on $3.5 billion of equity investments under the New Markets Tax Credit (NMTC) program. To attend a live workshop, participants must register online.
The CDFI Fund's 2008 NMTC program application workshops are scheduled for 9:00 a.m. – 12:00 p.m. local time for the following dates and locations:
In addition to these in-person sessions, a 2008 NMTC program application workshop will be provided as a webcast that will be broadcast live at 1 p.m. (EST) on January 16. A link to the webcast will be made available on the CDFI Fund's web site the morning of Jan. 16. Advance registration is not required.