National Disaster Tax Relief Bill Increases HTC Percentage, LIHTC and NMTC Allocations

Friday, September 8, 2017 - 3:30pm

Reps. Tom Reed, R-N.Y., and Bill Pascrell, D.-N.J., reintroduced a bill that would incentivize investments in areas affected by natural disasters. The National Disaster Tax Relief Act of 2017 would increase low-income housing tax credit (LIHTC) allocations for states that experienced federally declared disasters in 2012-2015. It would provide an additional annual $500 million in new markets tax credit (NMTC) allocations to community development entities (CDEs) that serve areas affected by natural disasters in 2012 through 2015. It would also increase the 20 percent historic tax credit (HTC) to 26 percent and the 10 percent credit to 13 percent for certified historic structures in federally declared disaster areas in 2012 through 2015.