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 2021, the NMTC Program has:

  • Generated $8 of private investment for every $1 of federal funding
  • Created nearly 239 million square feet of manufacturing, office, and retail space
  • Financed more than 10,800 businesses

Download NMTC Program Fact Sheet (English) ›
Download NMTC Program Fact Sheet (Español) ›
View QEI Issuance Report (July 2024) ›

Opening Date
October 23, 2023

December 19, 2023

Announcement Date
Fall 2024


Historically, low-income communities experience a lack of investment, as evidenced by vacant commercial properties, outdated manufacturing facilities, and inadequate access to education and healthcare service providers.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 Markets 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% 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


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 Notice of Allocation Availability for information on eligibility.