Get the free New Markets Tax Credit CDE Certification Application

This document serves as the application form for entities seeking certification as Community Development Entities (CDEs) under the New Markets Tax Credit (NMTC) Program. It outlines the requirements

How to fill out new markets tax credit

How to fill out New Markets Tax Credit CDE Certification Application

1. Gather necessary documents, such as your organization’s mission statement, financial statements, and evidence of community impact.
2. Access the New Markets Tax Credit CDE Certification Application form from the official website.
3. Fill out the organization information section, including legal name, address, and contact details.
4. Provide information about your governance structure, including board of directors and organizational chart.
5. Complete the section on your organization’s activities, detailing how they align with community development goals.
6. Describe your financial products and services, illustrating how they will support low-income communities.
7. Include a summary of your organization’s performance metrics and any past outcomes related to community investment.
8. Review the application for completeness and accuracy, making sure all required documentation is attached.
9. Submit the application by the specified deadline, ensuring you have confirmation of receipt.

Who needs New Markets Tax Credit CDE Certification Application?

1. Community Development Entities (CDEs) seeking to attract investment and financing for low-income communities.
2. Organizations that focus on community development and wish to leverage tax incentives for funding.
3. Nonprofits, for-profits, and cooperatives engaged in addressing economic challenges in low-income areas.

People Also Ask about

Can NMTC be used for housing?

NMTCs cannot be used with purely multifamily-aligned properties, as there must be at least a 20% commercial property component. However, a “inium structure” or “master-lease” structure may be used to combine NMTCs with Low Income Housing Tax Credits (LIHTCs).

What are the benefits of the new market tax credit?

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 2023, the NMTC Program has: Generated $8 of private investment for every $1 of federal funding.

What is the Oregon New Market tax credit?

The Oregon Low Income Community Jobs Initiative, known as the Oregon New Markets Tax Credit (NMTC) program, helps finance investments, create jobs, and sparks revitalization in low-income communities, delivers below-market-rate investment options to Oregon businesses, and attracts additional Federal New Markets Tax

What is a CDE in New Market tax credits?

A Community Development Entity (CDE) is a domestic corporation or partnership that is an intermediary vehicle for the provision of loans, investments, or financial counseling in low-income communities.

What are the benefits of NMTC?

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).

What is the interest rate for the NMTC loan?

The median loan interest rate was 5.8 percent, and a majority of the loans provided under the NMTC program had a term of seven years.

What is CDE certification?

The Certified Diabetes Care and Education Specialist® (CDCES®) designation was formerly known as the Certified Diabetes Educator® (CDE®). Let's show people with diabetes and the healthcare community who CDCESs are and how they can contribute to positive health outcomes!

Are NMTC loans forgiven?

The NMTC Program provides gap financing in the form of a low interest-only loan, which is forgiven at the end of the 7-year NMTC compliance period. This forgivable loan is effectively a grant equal to approximately 33% of the total project and/or operational costs of the NMTC financing.

For pdfFiller’s FAQs

What is New Markets Tax Credit CDE Certification Application?

The New Markets Tax Credit (NMTC) CDE Certification Application is a document that community development entities (CDEs) must complete to qualify for the NMTC program, which provides tax credits to incentivize investment in low-income communities.

Who is required to file New Markets Tax Credit CDE Certification Application?

Entities that want to become certified as Community Development Entities (CDEs) and wish to participate in the New Markets Tax Credit program are required to file the NMTC CDE Certification Application.

How to fill out New Markets Tax Credit CDE Certification Application?

To fill out the NMTC CDE Certification Application, applicants must provide detailed information about their organization, including its mission, proposed activities, and the target communities they intend to serve, alongside the necessary financial documentation.

What is the purpose of New Markets Tax Credit CDE Certification Application?

The purpose of the NMTC CDE Certification Application is to assess whether an organization meets the criteria established by the U.S. Department of the Treasury to be designated as a CDE, ensuring that they contribute effectively to the economic development of low-income communities.

What information must be reported on New Markets Tax Credit CDE Certification Application?

The NMTC CDE Certification Application requires reporting of information such as the organization's structure, financial health, investment strategy, intended beneficiaries, outreach plan, and how it aligns with the community development goals.