Step 6: NMTC Program Compliance

Applying for CDE Certification
Program Compliance

Step 6: NMTC Program Compliance

 

 

NMTC Program Compliance

The New Market Tax Credit (NMTC) Allocation Application process is arduous and requires significant documentation. Once an allocation has been awarded, the documentation during the seven-year life of the program needs to be equally thorough. As a federal tax program, the NMTC Program is tightly regulated, with a long list of regulatory and programmatic rules and requirements that a community development entity (CDE) must follow, set by both the Treasury Department's Community Development Financial Institution (CDFI) Fund and the Internal Revenue Service (IRS). In practice, CDEs are responsible for three types of compliance to these two agencies…Download the PDF to learn more

 

Step 1: Applying for CDE Application

Step 2: The NMTC Application

Step 3: The Allocation Agreement

Step 4: The Annual Audit

Step 5: Structuring Around State and Local Tax Issues