New York

New York Low Income Housing Tax Credit Summary

• Modeled after the federal low income housing credit program.
• Provides a dollar-for-dollar reduction in state taxes to investors in qualified low-income housing.
• 15-year compliance period to avoid recapture.
• The tax credits may be used by the investor annually for the initial 10 years of the project.
• The property must remain in service for 15 years, after which the corporation formed may seek refinancing and/or transfer the project to the nonprofit partner/developer.

New York Historic Rehabilitation Tax Credit for Commercial Properties Summary

• Applicable against corporate, bank, insurance premium, and individual income tax liability.
• May offset 100% of taxpayer’s liability
• Credits can be carried forward indefinitely for projects placed in service before 2015
• Unused credits are refundable for projects placed in service on or after 2015
• Follows the rules for federal credit recapture.
• Credits capped at $5 million
• Must meet all requirements of Federal Rehabilitation Tax Credit program.