New Markets Tax Credit Program

New Markets Tax Credit Benefits

The NMTC Program incentivizes community development and economic growth through the use of tax credits that attract private investment to distressed communities. As of the end of FY 2015, the NMTC Program has:

  • Generated $8 of private investment for every $1 of federal funding
  • Created 164 million square feet of manufacturing, office, and retail space
  • Financed over 4,800 businesses

Download NMTC Program Fact Sheet (English) ›
Download NMTC Program Fact Sheet (Español) ›
View QEI Issuance Report (August 2016) ›

Opening Date
October 21, 2015


Deadline


Announcement Date
Late 2016

​​​​​Overview

Historically, low-income communities experience a lack of investment, as evidenced by vacant commercial properties, outdated manufacturing facilities, and inadequate access to education and healthcare service providers. The New Market Tax Credit Program (NMTC Program) aims to break this cycle of disinvestment by attracting the private investment necessary to reinvigorate struggling local economies.

The NMTC Program attracts private capital into low-income communities by permitting individual and corporate investors to receive a tax credit against their federal income tax in exchange for making equity investments in specialized financial intermediaries called Community Development Entities (CDEs). The credit totals 39 percent of the original investment amount and is claimed over a period of seven years.

For more information, please see our NMTC Program Fact Sheet (English / Español). A detailed overview of the NMTC Program, including information on eligible activities, can also be found in the Introduction to the NMTC Program presentation.

IRS Materials and Reference Documents

Eligibility

NMTC Program applicants must be certified as CDEs by the CDFI Fund. For more information on CDE Certification, please see our CDE Certification page

CDE Certification is intended for community development financing intermediaries. Businesses seeking NMTC-enhanced financing should not apply for CDE Certification, but should instead contact CDEs directly. To locate a CDE serving your area, please visit our NMTC Awardee States Served map.

Download our CY 2015 Notice of Allocation Authority for more information on eligibility.

Are you an individual or business seeking a loan?

Click here to learn how to find CDFIs and CDEs that are providing services in your community.

 

 

Certification https://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Lists/CDFI NMTC Steps/DispForm.aspx?ID=5Certification Step 11CDE Certification/programs-training/Programs/new-markets-tax-credit/Pages/cde-certification-step.aspx#step1
Applyhttps://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Lists/CDFI NMTC Steps/DispForm.aspx?ID=1ApplyStep 22Timeline| Application Materials| Past Year's Application Materials /programs-training/Programs/new-markets-tax-credit/Pages/apply-step.aspx#step2
Award Announcementhttps://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Lists/CDFI NMTC Steps/DispForm.aspx?ID=2Award AnnouncementStep 33Award Announcement/programs-training/Programs/new-markets-tax-credit/Pages/award-announcement-step.aspx#step3
Allocation Agreement Closinghttps://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Lists/CDFI NMTC Steps/DispForm.aspx?ID=3Allocation Agreement ClosingStep 44Allocation Agreement Closing ​​​/programs-training/Programs/new-markets-tax-credit/Pages/allocation-step.aspx#step4
Compliance and Reportinghttps://www.cdfifund.gov/programs-training/Programs/new-markets-tax-credit/Lists/CDFI NMTC Steps/DispForm.aspx?ID=4Compliance and ReportingStep 55Compliance and Reporting/programs-training/Programs/new-markets-tax-credit/Pages/compliance-step.aspx#step5

 

 

Awardshttps://www.cdfifund.gov/Lists/CDFI Tools Resources/DispForm.aspx?ID=6AwardsLooking for more about Awards for this program? Find it on our Awards page<img alt="" src="/Style%20Library/cdfi/pic-highlight1.jpg" style="BORDER:0px solid;" />/awards/state-awards/Pages/default.aspx

 

 

Our Impacthttps://www.cdfifund.gov/Lists/CDFI Tools Resources/DispForm.aspx?ID=7Our ImpactLearn more about the impact of the CDFI Fund on our Impact Blog<img alt="" src="/Style%20Library/cdfi/pic-highlight1.jpg" style="BORDER:0px solid;" />/impact/Pages/default.aspx

CDFI Fund Tools & Resources

 

 

AMIShttps://www.cdfifund.gov/Lists/CDFI Tools Resources/DispForm.aspx?ID=3AMISicon-communityHome;#0x0100178F0095A2AE7A4FBED67E33256F670E0400E5EE0B704BCEE64CA003554D82DE23E23http://amis.cdfifund.gov
CIMS Mapping Toolhttps://www.cdfifund.gov/Lists/CDFI Tools Resources/DispForm.aspx?ID=2CIMS Mapping Toolicon-mapHome;#0x0100178F0095A2AE7A4FBED67E33256F670E0400E5EE0B704BCEE64CA003554D82DE23E22/Pages/mapping-system.aspx
Community Investment Impact Systemhttps://www.cdfifund.gov/Lists/CDFI Tools Resources/DispForm.aspx?ID=1Community Investment Impact Systemicon-checkmarkHome;#0x0100178F0095A2AE7A4FBED67E33256F670E0400E5EE0B704BCEE64CA003554D82DE23E21/Pages/ciis.aspx