From Preservation Action:

This week champions in Congress introduced the Historic Tax Credit Growth and Opportunity Act (H.R. 2941, S. 1459). This bipartisan bill is led by Sen. Bill Cassidy (R-LA) and Sen. Mark Warner (D-VA) in the Senate and Rep. Darin LaHood (R-IL) and Rep. Tom Suozzi (D-NY) in the House. The HTC-GO Act includes several provisions that would restore value to the Historic Tax Credit, improve access to the credit, make more projects eligible to use the credit, and boost the credit for small and rural projects. While similar to previous iterations of the bill, this bill includes some important new provisions.

HTC-GO Act Provisions

- Returns to a 1-year delivery of Historic Tax Credits for all projects
- Eliminates the HTC Basis Adjustment, bringing more value to HTCs and making it easier to pair with the Low-Income Housing Tax Credit
- Reduces the substantial rehabilitation threshold from 100% to 50%, making more buildings eligible to use the HTC
- Modifies Tax Exempt Use Rules, making the credit easier to use by non-profits
- Increases the credit from 20% to 30% for small projects below $3.75 million
- Increases the credit from 20% to 30% for projects below $5 million in rural areas
- All small/rural projects are eligible for direct transfer

The federal HTC is the largest federal investment in historic preservation and a critical economic development tool used to revitalize our communities, create jobs, and preserve our heritage. Unfortunately, the HTC has not kept pace with other federal incentives and needs to be modernized. Additionally, over the past decade, HTCs have lost 25% of their investment value due to unfavorable IRS rulings, administrative burdens, and changes in the credit structure. The provisions in the HTC-GO Act would help restore the credit's lost value and make the credit easier to use.

Take Action

One of the top priorities of Congress and the White House is passing a large tax reform bill. This provides a huge opportunity to ensure HTC provisions are included in emerging tax legislation. The voice of preservation advocates will be absolutely essential to make the case for enhancing the HTC and fending off any potential threats to diminish the credit.

Join us in reaching out to your members of Congress and urge them to cosponsor the Historic Tax Credit Growth and Opportunity Act (H.R. 2941, S. 1459) and include HTC provisions in emerging tax legislation. 

Preservation Action has made it easy for you. Check out our Action Alert to learn more and find out how you can take action!

Take Action: https://preservationaction.org/htc-go-alert/