In July 2015, the state of Colorado will offer a new tax credit for the rehabilitation of qualified historic buildings. This new credit expands and improves upon the original rehabilitation tax credit that has been on the books since 1990. The new program creates two sources of financial incentives–
Federal and state tax laws provide tax incentives for historic preservation projects that follow the Secretary of the Interior's Standards for Rehabilitation. These credits allow taxpayers to reduce, on a dollar-for-dollar basis, the amount of income tax they owe to the government. The amount of credit that can be obtained is calculated as a percentage of the overall rehabilitation costs associated with the project-
A 10% federal tax credit for the rehabilitation of older, non-historic commercial properties
A 20% federal tax credit for the rehabilitation of certified historic buildings used for income-producing purposes
A 20% state tax credit for the rehabilitation of historic, owner-occupied residences
A 20% -30% state tax credit for the rehabilitation of historic buildings used for income-producing purposes
Applicants are urged to contact History Colorado’s Office of Archaeology and Historic Preservation (OAHP) as early as possible to ensure that all requirements are met when applying for these programs. Our staff can provide advice to owners, developers, and architects concerning appropriate preservation and rehabilitation measures. In some cases, our staff will review applications for tax credits and make official recommendations for approval.
That Colorado was one of the first states to offer tax credits for historic preservation? 2015 marks the 25th straight year that Colorado has offered a rehabilitation tax credit.
More than 90% of all applications for the State Historic Preservation Tax Credit are reviewed locally by Certified Local Governments.
To date, more than a thousand buildings have been successfully restored and rehabilitated with the help of the State Historic Preservation Tax Credit.
Statewide, more than $800 million has been invested into tax credit-related projects since 1990, saving applicants more than $150 million.
Nationwide, nearly $6 billion was invested in tax credit-related projects in 2013 alone. This led to the creation of more than 77,000 new jobs.
Since 1978, investment in federal tax credit-related projects has created more than 2 million new jobs, $35 billion in additional tax revenue, 450,000 new housing units, and $245 billion in economic activity.
Office of Archaeology & Historic Preservation
History Colorado Center
Denver, CO 80203
8:00 am to 5:00 pm Mon. - Fri.