On November 20, 2019 Legislation introduced in the South Carolina Legislature that would create a state low-income housing tax credit (LIHTC) for properties in opportunity zones. Analysis of the legislation by Novogradac & Company finds that the measure “would create a 25 percent tax credit for investment in the state’s OZs and add OZs to other state incentive programs. H. 4657 would automatically qualify LIHTC developments in OZs for a new state LIHTC equal to the federal credit and would also create a 25 percent credit for investments in OZs, with an annual cap at $50,000 per taxpayer. The bill would also create additional value for the state jobs tax credit for jobs in OZs in lower-income Tier III or Tier IV counties, create a sales tax rebate or credit for grocery stores located in OZ food deserts, add a grant program for OZ investments in Tier III and Tier IV counties and create an OZ leadership task force.”
At press time, the measure has been referred to the Committee on Ways & Means. All three co-sponsors are members of the Democratic Party, which is in the minority in the State House. Co-Sponsor Rep. William Clyburn is a member of the Committee on Ways & Means.
