A Missouri State Senate Bill (SB 531) modifies the low-income housing tax credit program and the historic preservation tax credit program by requiring the Department of Revenue to apply any increase in revenue generated from capping these tax credit programs to a decrease in the personal income tax rate to begin on January 1, 2016.

  • Establishes a $110 million cap for authorizations of 9% LIHTCs for 2014, and gradually reduces the annual amount to no more than $70 million by 2017.
  • Establishes a $15 million cap for authorizations of 4% LIHTCs for 2014, and reduces the annual amount by $5 million each year; after June 2016, no more 4% LIHTCs will be authorized.
  • Reduces amount of historic preservation tax credits Department may allocate to projects receiving more than $275,000 in tax credits from $140 million to $80 million; projects which receiving less than $275,000 in tax credits will be subject to a $10 million cap.
  • Prohibits more than $175,000 in historic preservation tax credits per project for non-income producing residential rehabilitation projects.
  • Prohibits the stacking of state historic preservation tax credits with state 9% low-income housing tax credits.

To view SB 531, click here.