Corporations that invest in certified housing development projects in Massachusetts can claim a credit against the corporate excise and personal income tax. G.L. c. 63 § 38BB. The credit may be up to 25% of the cost of "qualified project expenditures" for new construction or rehabilitation of property that results in multi-unit residential housing, which contain a minimum of 80% market rate.
There is a $10 cap on the amount of credit that may be awarded under the program in a calendar year, until December 31, 2023. Beginning after that date, the cap is set to be reduced to $5 million.
The carry forward period for which the credit can be used is 10 years. In addition, the annual cap is no longer a part of the overall annual cap imposed on the Economic Development Incentive Program. For further information, see TIR 16-15.
Origin: St. 2010, c. 240; M.G.L. c. 40V; c. 63, § 38BB
Corporate Excise Tax
Credits Against Tax
2.622
Certified Housing Development Credit
Corporations that invest in certified housing development projects in Massachusetts can claim a credit against the corporate excise and personal income tax. <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter63/Section38BB" target="_blank">G.L. c. 63 § 38BB</a>. The credit may be up to 25% of the cost of "qualified project expenditures" for new construction or rehabilitation of property that results in multi-unit residential housing, which contain a minimum of 80% market rate.<BR>There is a $10 cap on the amount of credit that may be awarded under the program in a calendar year, until December 31, 2023. Beginning after that date, the cap is set to be reduced to $5 million. <BR>The carry forward period for which the credit can be used is 10 years. In addition, the annual cap is no longer a part of the overall annual cap imposed on the Economic Development Incentive Program. For further information, see TIR 16-15.
<a href="https://malegislature.gov/Laws/SessionLaws/Acts/2010/Chapter240" target="_blank">St. 2010, c. 240</a>; M.G.L. <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleVII/Chapter40v" target="_blank">c. 40V</a>; <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter63/Section38bb" target="_blank">c. 63, § 38BB</a>
8.2
9.0
9.0
9.0
9.0
