No. 58 Dexter Street in Providence's Armory District was completely transformed with help from a Historic Homeowner Tax Credit.
The Historic Homeowner Tax Credit has been suspended.
In 2010, the RI General Assembly revised the state income tax law and stopped several tax credits including the Historic Homeownership Assistance Act (RI General Laws 44-33.1). In the 2011 session of the General Assembly, legislation was introduced but not enacted to reinstate the Historic Homeownership tax credit. The state division of taxation will not accept Historic Homeownership tax credits beginning with tax year 2011 (taxes due in April 2012)--click here to open a letter from the Tax Division (pdf).
Credits previously earned and carried forward by homeowners relying upon the then existing law will be wiped out and forfeited. The Historic Homeownership Assistance tax credit limited the amount of credit that could be claimed by a taxpayer in any one year to $2,000, and the law allowed the taxpayer to carry forward the unused portion of the tax credit to be used in subsequent years. It is my understanding that the Tax Division will no longer accept carry-forward credits.
The Historic Homeownership tax credit has been in effect for two decades, and it has been used by owners of historic homes in more than 30 cities and towns. Since the inception of this program, 1,409 projects have been approved to preserve historic houses, representing private investment totaling $24.8 million. We at the Historical Preservation & Heritage Commission feel the historic preservation work of homeowners has been very valuable, and we regret the ending of the Historic Homeownership Assistance tax credit.
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