Origin: A personal income tax and corporate excise credit is available for 50% of qualified investments in "community partners" selected by the Executive Office of Housing and Livable Communities through a competitive process. The community partner then uses the amount invested to fund approved programs designed to improve economic opportunities in Massachusetts communities. Such investments are in the nature of contributions, i.e., the investor does not receive any equity or other financial stake in the programs that are funded. The 2012 Jobs Act provides a Community Investment Tax Credit that is effective January 1, 2014 and is set to expire on December 31, 2019. However, St. 2018, chapter 99, § 25 extended the sunset date for the credit to year 2025. The total amount of the credit was subject to a $3 million cap in taxable year 2014, and $6 million in each year of taxable years 2015 through 2018, $8 million in each year of taxable years 2019 and 2020, $10 million in each year of taxable years 2021 and 2022, and $12 million in each year of taxable years 2023 through 2025. This credit is refundable, but not transferrable and it could be carried over up to five years.
Origin: M.G.L. c. 62, § 6M; c. 63, § 38EE
Personal Income Tax
Credits Against Tax
1.617
Community Investment Tax Credit
A personal income tax and corporate excise credit is available for 50% of qualified investments in "community partners" selected by the Executive Office of Housing and Livable Communities through a competitive process. The community partner then uses the amount invested to fund approved programs designed to improve economic opportunities in Massachusetts communities. Such investments are in the nature of contributions, i.e., the investor does not receive any equity or other financial stake in the programs that are funded. The 2012 Jobs Act provides a Community Investment Tax Credit that is effective January 1, 2014 and is set to expire on December 31, 2019. However, <a href="https://malegislature.gov/Laws/SessionLaws/Acts/2018/Chapter99" target="_blank">St. 2018, chapter 99, § 25</a> extended the sunset date for the credit to year 2025. The total amount of the credit was subject to a $3 million cap in taxable year 2014, and $6 million in each year of taxable years 2015 through 2018, $8 million in each year of taxable years 2019 and 2020, $10 million in each year of taxable years 2021 and 2022, and $12 million in each year of taxable years 2023 through 2025. This credit is refundable, but not transferrable and it could be carried over up to five years.
<a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter62/Section6m" target="_blank">M.G.L. c. 62, § 6M</a>; <a href="https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter63/Section38ee" target="_blank">c. 63, § 38EE</a>
5.6
6.2
6.8
6.8
8.4
