Missouri State Senator Will Kraus (D-Jackson) recently introduced two senate bills relating to the state’s historic and low-income housing tax credit programs.
S.B. 257 modifies certain provisions of the low-income housing tax credit program. Beginning January 1, 2012, this act reduces the period of time in which low-income housing tax credits are allowed to a five-year period and limits the total amount of low-income tax credits issued annually to no more than sixteen million dollars. After January 1, 2012, priority will be given, in the issuance of low-income housing tax credits, to taxpayers that have not received such credits within five years. The issuance of four percent low-income housing tax credits will be prohibited after January 1, 2012. The act also prohibits stacking low-income housing tax credits with historic preservation tax credits.
S.B. 258 makes changes to the state’s historic tax credit program. Beginning fiscal year 2013, and each fiscal year thereafter, this act would prohibit the Department of Economic Development from issuing more than seventy-five million dollars in historic preservation tax credits increased by the amount of any recisions of approved applications for tax such credits. The act also prohibits the department from issuing more than fifty thousand dollars in historic preservation tax credits per project for non-income producing residential rehabilitation projects. Finally, the act prohibits the stacking of historic preservation tax credits with neighborhood preservation tax credits or low-income housing tax credits.
