New Hampshire Historic Property Tax Credits
New Hampshire offers tax incentives for rehabilitating historic properties through the New Hampshire Historic Property Rehabilitation Tax Credit program. Here are the key details:
Main Program Features:
- Credit equals 25% of qualified rehabilitation expenses
- Maximum credit of $500,000 per project
- Property must be listed on National Register of Historic Places or be a contributing structure in a registered historic district
- Work must meet Secretary of Interior’s Standards for Rehabilitation
- Credits can be carried forward up to 5 years
Requirements:
- Project costs must exceed $5,000
- Applications must be submitted before work begins
- Building must be income-producing after rehabilitation
- All work must be reviewed and approved by NH Division of Historical Resources
Frequently Asked Questions
Q: Who can apply for these credits?
A: Property owners, developers, or long-term lessees of historic properties intended for income-producing use.
Q: Can residential properties qualify?
A: Only if they are converted to income-producing properties like apartments or B&Bs.
Q: Are the credits transferable?
A: Yes, credits can be sold or transferred to other taxpayers.
Q: How long does the application process take?
A: Typically 60-90 days for initial review and approval.
Q: Can I combine these with federal historic tax credits?
A: Yes, projects can utilize both state and federal historic tax credits.
Q: What expenses qualify?
A: Construction costs, architectural fees, engineering costs, and other expenses directly related to rehabilitation.
Q: Is there a deadline to complete the work?
A: Projects must be completed within 24 months of approval, with possible extensions available.
The Bottom Line
New Hampshire’s Historic Property Rehabilitation Tax Credit provides significant financial incentives for investors looking to rehabilitate historic properties. With credits worth up to 25% of qualified expenses and a maximum of $500,000 per project, this program can make historic rehabilitation projects more financially feasible. However, careful planning and adherence to preservation standards are essential for success.