|OLG and DCRT
2016-17 through 2021-22
The Atchafalaya Heritage Area has been designated by Congress as a National Heritage Area.
You may be eligible for a 10% tax credit if you are rehabilitating a building outside a National Register Historic District that is not individually listed in the National Register of Historic Places. In certain rare circumstances, a building located within a National Register Historic District that was constructed during the period of significance may be eligible for the 10% credit.
If a building in a district in certified as "non-historic" by the National Park Service because of fire, storm damage, or extensive remodeling, it may be eligible for the 10% credit. In such cases, the owner must obtain a de-certification of the property by submitting the Part 1 application form.
To be eligible for the 10% tax credit, the building must meet the following criteria:
1. The date of construction of the building must be before 1936;
2. The building cannot have been physically moved;
3. The rehabilitation must be for commercial or industrial use, not rental residential (apartments). A hotel would be considered a commercial use.
4. You must spend an amount of money equal to the purchase price of the property minus the land value. If you have owned the building for several years, you must spend an amount equal to the present depreciated value.
5. Projects undertaking the 10% credit must meet a specific physical test for retention of external and internal structural framework. At least 50% of the building's walls existing at the time the rehabilitation began must remain in place as external walls at the work's conclusion. At least 75% of the building's existing external walls must remain in place as either external or internal walls. At least 75% of the buildings internal structural framework must remain in place.
The 20% Federal Historic Rehabilitation Tax Credit and the Federal 10% Tax Credit for Non-Historic Buildings are mutually exclusive and depend upon the location and condition of the building, NOT the owner's preference. There are certain circumstances where a building may qualify for the Federal 10% Tax Credit and the 25% State Commercial Tax Credit programs.
Pages 16-17 provide a wealth of information on the 10% Tax Credit for Non-Historic Buildings.
Phone (225) 342-8160
Fax (225) 219-9772
Mailing Address: Tax Incentives Staff, Division of Historic Preservation, P.O. Box 44247, Baton Rouge, LA 70804
Overnight Mail: Tax Incentives Staff, Division of Historic Preservation, 4th Floor, 1051 N. Third Street, Baton Rouge, LA 70802