Federal New Markets Tax Credit Program

The New Markets Tax Credits (NMTCs) was enacted by Congress in 2000 as part of the Community Renewal Tax Relief Act. The goal of the program is to spur revitalization efforts in economically distressed communities across the United States. The New Markets Tax Credits are allocated to certified Community Development Entities (CDEs) like Heartland Renaissance Fund (HRF) which then monetize the tax credits to provide debt or equity capital for a variety of operating business and commercial real estate projects. NMTC investors receive a 39% tax credit against federal income tax liability for qualifying investments into CDEs over a 7 year period. The NMTCs program is administered by the CDFI Fund of the U.S. Department of Treasury.

Heartland Renaissance Fund has received $200 million dollars in NMTC allocation since 2004 and is actively working to deploy the credits to create jobs and provide catalytic economic impacts throughout Arkansas in underserved communities.