Non City or DDA Assistance

New Markets Tax Credits (NMTC)
 
This program allows eligible businesses in qualified downtown districts (or portions of a district) to have greater access to loans and equity investments, and/or be able to borrow money on better terms (lower interest rates) than they could usually get. The program is administered at the federal level by the Community Development Financial Institutions (CDFI) Fund and the Internal Revenue Service, both part of the U.S. Department of Treasury. The CDFI Fund annually awards an allocation of money to the National Trust for Historic Preservation (NHP) which is a "Community Development Entity" (CDE). The actual 39% tax credit is provided to investors who invest in the CDE. In return, the CDE passes along the NMTC to them, reducing the investor's tax liability. The NMTC, acting as the CDE, loans or invests the investor's money to businesses in qualified communities. A qualified commercial district is one that is in, or services, a low-income census tract with a 20% poverty rate or a median household income that is 80% or less of the statewide median household income. Michigan Economic Development Corporation, 300 N. Washington Square, Lansing, MI 48913 (517) 335-7258 or visit http://www.michigan.org
 
Federal Historic Preservation Tax Credits
 
The Federal Tax Credit is 20% income tax credit (20% of the amount spent for rehabilitation) for the certified rehabilitation* of income – producing certified historic structures. A certified historic structure is a building listed in The National Register of Historic Places individually, or a building that is located within a designated national or local historic district and is determined by the National Park Service to be contributing to that historic district. For more information: National Park Service, Preservation Tax Incentives, Technical Preservation Services, Heritage Preservation Services – 2255, P.O. Box 37127 Washington, D.C. 20013 or visit www.cr.nps.gov
State Historic Preservation Office, Michigan Historical Center, 717 W. Allegan, Lansing, MI 48918-0001 at (517) 373-0511.
 
State Historic Preservation Tax Credits
 
The Michigan Department of the Treasury, along with the Michigan Department of State, offer up to a 25% state income tax credit ** (25% of the amount spent for rehabilitation). The State Tax Credit is available to building owners/lessees of a certified historic resource who undertake a certified rehabilitation project. This applies to homeowners, commercial property owners and business owners. Certified Historic Resources, in this case, include ones that are: 1) located in a community with a population of 5,000 people or more and is a contributing resource in a local historic district established under Michigan's local Historic Districts Act, or 2) located in a community with a population under 5,000 people and is a contributing resource in a local historic district, or, is listed in the State Register of Historic Sites or the National Register of Historic Places. For more information: State Historic Preservation Office, Michigan Historical Center, 717 W. Allegan, Lansing, MI 48918-0001 at (517) 373-0511 or visit www.sos.state.mi.us/history/preserve/preserve.html