Nevada legislation would increase the overall amount of qualified equity investments and make other changes to the state new markets tax credit (NMTC) incentive. S.B. 240 would add $170 million in in QEI investments made after July 1, 2024, (for which tax credits could not be taken before July 1, 2026) to the total allocation amount and add a definition of “impact qualified active low-income community business” to mean certain types of manufacturing businesses or businesses in which the majority of owners are from certain historically disadvantaged groups. The Nevada NMTC is for 58% of the QEI, with 0% in the first two years, 12% annually in Years 3-5 and 11% annually in Years 6-7.

The role of state-level incentives in the NMTC will be discussed at the Novogradac 2023 New Markets Tax Credit Conference, June 8-9 in Washington, D.C.