Rehabilitation Tax Credit Programs
Income tax incentives for the rehabilitation of historic structures are important tools for historic preservation and economic development in North Carolina.
A federal income tax credit for the rehabilitation of historic structures first appeared in 1976 and today consists of a 20% credit for the qualifying rehabilitation of income-producing historic properties. In 1998, North Carolina introduced a state historic tax credit to augment the federal program, and instituted a "non-income-producing" historic tax credit program available to homeowners.
Since 1976, over 3,100 rehabilitation projects have been reviewed and certified by the State Historic Preservation Office, representing almost two billion dollars of investment in historic properties across North Carolina. Development activity through these incentive programs have created jobs, spurred downtown and neighborhood revitalization, improved community appearance, and boosted community pride.
Historic preservation is smart growth, and a smart investment.