HISTORIC TAX CREDIT MODERNIZATION BILL INTRODUCED IN SENATE
Sen. Ben Cardin, D-Md., yesterday introduced S. 2074, the Creating Prosperity through Preservation (CAPP) Act of 2012. The bill would increase the federal historic tax credit (HTC) from 20 percent to 30 percent for deals with less than $5 million in qualified rehabilitation expenditures; index the date for the 10 percent credit for non-historic buildings so that both 20 percent and 10 percent credits would apply to buildings 50 years and older; and provide a 2 percent HTC boost for achieving energy savings at least 30 percent greater than established industry standards for similar buildings. The CAPP Act would also eliminate the federal taxation of the proceeds of a state HTC transaction for both state credit certificate sales and credits allocated through partnerships. The bill’s supporters say these changes would stimulate jobs and economic growth in low-income, underserved areas. Sen. Olympia Snowe, R-Maine, is cosponsoring the bill, which was referred to the Finance Committee.