WASHINGTON (10/24/13)--The New Markets Tax Credit program has received 310 applications, requesting a total of $25.8 billion in tax credit allocation authority, from entities in 43 states, the District of Columbia and Puerto Rico.
The application total was announced by the U.S. Treasury's Community Development Financial Institutions Fund, which oversees the tax credit program, on Wednesday.
Credit unions are among those eligible to participate in the NMTC, which seeks to spur the investment of new private sector capital into low-income communities. To do so, it permits individual or corporate taxpayers to receive a credit against federal income taxes for making Qualified Equity Investments. Those investments must be made in designated Community Development Entities. The CDFI Fund allocates the tax credits annually through a competitive application process.
The CDFI Fund said 749 awards totaling $36.5 billion in tax credit allocation authority have been made through the first ten yearly cycles of the NMTC.
For the CDFI Fund release, use the resource link.