Are you a potential developer or an entrepreneur? Or are you a property owner looking to rehab your historic property in a Main Street district? Main Street Clinton offers two grants, as well as a variety of resources to support your investment in our downtown.
STATE HISTORIC TAX CREDIT
State tax credits in Mississippi provide a state income tax credit equal to 25% of the qualified expenses of rehabilitating historic structures used for residential or business purposes. Properties do not need to be income-producing to qualify; therefore, owner-occupied residences are eligible. Properties qualifying for the 20% federal tax credit will also qualify for the state tax credit. Both tax credits can reduce the cost of a certified rehabilitation of an income-producing structure by 45%. The Mississippi Department of Archives & History (MDAH) is responsible for administering the state tax credits. The state tax credit can be carried forward 10 succeeding tax years. State Tax Credit Fact Sheet.
FEDERAL HISTORIC TAX CREDIT
For each dollar of tax credit earned, the amount of income tax owed will be reduced by one dollar. The National Park Service (NPS) is responsible for administering the tax credit. The 20% tax credit equals 20% of the amount spent in a certified rehabilitation of a certified historic structure (listed individually on the National Register of Historic Places or located in the National Register-listed district and certified as contributing to the historic significance of the district). For example, if an owner spent $100,000 in restoring a building, he/she would receive at $20,000 tax credit. Unused credits can be "carried back" one year and "carried forward" up to 20 years. Long-term lessees may also apply for the credit if their lease is 27.5 for residential property or 39 years for non-residential property. Federal Tax Credit Fact Sheet.