Update from the New Markets Tax Credit Coalition, April 2023
U.S. Representatives have introduced the New Markets Tax Credit (NMTC) Extension Act of 2023. This legislation permanently extends the NMTC at $5 billion in annual credit authority, adjusts that amount for inflation in future years, and provides an exception from the Alternative Minimum Tax for New Markets Investments.
Read the full update on the NMTC Coalition website here.
Established in 2000 in the Community Renewal Tax Relief Act (P.L. 106-554), the New Markets Tax Credit is a bipartisan effort to stimulate investment and economic growth in low-income urban and rural communities. Since 2021, $63.4 billion in NMTC allocation has been deployed to 7,615 projects and businesses, totaling $120.5 billion in total project investment, resulting in:
- More than one million total jobs in all 50 states;
- 228 million sq. ft. of real estate;
- 1,073 mixed-use projects;
- More than 3,500 federally qualified health centers, schools, daycare centers, vocational programs, treatment facilities, and other service providers supporting tens of millions of low-income people; and
- 1,803 manufacturing projects.
