Preservation & State Historic Tax Credits
To spur more private investment in older neighborhoods, 35 states have put in place credits against state taxes to provide incentives for the appropriate rehabilitation of historic buildings. (See map below).
Well-crafted state historic tax credits, such as those in Minnesota and Virginia, encourage private investment in the reuse of historic buildings and promote investment in local economies. Also, the presence of a state historic tax credit increases the amount of federal investment in rehabilitation according to research from the Washington Office of Planning.