2.206 Deduction for Renovation of Abandoned Buildings as Part of Certified Project

Businesses renovating eligible buildings that are part of a project certified by the Economic Assistance Coordinating Council (EACC) may deduct 10% of the costs of renovation from gross incomes. This deduction may be in addition to any other deduction for which the cost of renovation may qualify. To be eligible for this deduction, renovation costs must be related to buildings designated as abandoned by the EACC. Previously, the deduction was available only for improvements to abandoned buildings located in Economic Opportunity Areas (EOA), as designated by the EACC. However, in 2016, the legislature enacted "An Act Relative To Job Creation And Workforce Development", which eliminated the EOA requirement, and inserted the requirement that the EACC needs to only certify a project. These changes are effective for tax years beginning on or after January 1, 2019.

Origin: M.G.L. c. 63, §38O