We use cookies to give you the best online experience. By using our website you agree to our use of cookies in accordance with our cookie policy. Learn more here.Close Me
On Feb. 23, the U.S. Department of the Treasury, through its
Community Development Financial Institutions (CDFI) Fund, announced
that $3.6 billion in new markets tax credits were awarded in the
ninth round of the New Markets Tax Credit program (NMTC Program).
From an applicant pool of 314 organizations (that requested more
than $26.7 billion in tax credits), the CDFI Fund selected 70
community development entities (CDEs). The principal service areas
of the awardees covers nearly every state in the country, as well
as the District of Columbia.
The NMTC Program was established by Congress in 2000 to spur new
or increased investments into development projects located in
low-income communities. The NMTC Program attracts investment
capital to low-income communities. Investors in CDEs receive a
credit against federal income taxes based upon the amount of their
qualified equity investment. Of the required uses, the CDE may use
the capital to make a qualified investment to an entity located in,
among other places, qualified low-income census tracts. The credit
provided to the investor totals 39 percent of the qualified
investment and is claimed over a period of seven years.
As reported by CDFI Fund, the CDFI Fund has made, since the NMTC
Program's inception, 664 awards allocating a total of $33
billion in tax credit authority to CDEs.
A list of the organizations selected and additional information
about today's announcement can be found on the CDFI
Fund's web site. A searchable database of awardees from all
NMTC allocation rounds to date can also be found online.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
It may seem counter intuitive to discuss channel conflict in a soft economy. When most of our clients think about conflict management, they assume they will need controls on the channel and/or a reduction in channel partners as the solution.
The Regulated Investment Company Modernization Act of 2010, P.L. 111-325 (the "Act"), was signed into law by President Obama on December 22, 2010 (the "Date of Enactment").
Title IV of the Jumpstart Our Business Startups Act (JOBS Act) directs the SEC to write regulations providing for an exemption from Securities Act registration.
