The CHDC may be available to personal income tax or corporate excise taxpayers that invest in housing development projects in Massachusetts.
The current yearly cap of the CHDC is $10,000,000.
The Department of Housing and Community Development (DHCD) is responsible for determining:
- Which housing projects qualify for the CHDC
- The actual amount of the CHDC.
The CHDC is available for up to 25% of the costs of qualified project expenditures.
The credit is allowed only:
- For the tax year of the completed project
- After the DHCD notifies the Department of Revenue (DOR) that the development project is completed.
Expenditures are applicable to the credit only if the date of expenditures were:
- Put into writing by the DHCD and
- Sent to the DOR.
Carryover and Transfer
Unused CHDCs may be:
- Carried forward for the next 10 tax years
However, the credits aren't refundable.
For more detailed information and important definitions, please see: