Historic Tax Credits
Wiggin Properties has successfully secured for our clients and affiliated projects both federal and Oklahoma tax incentives awarded to rehabilitate historic and older buildings. These historic tax credits are issued for up to 20% of the amount the owner spends rehabilitating a qualified building. By carefully following the guidelines and rules, owners can receive a 20% federal tax credit and a 20% state tax credit.
Federal and State Historic Tax Credits are administered through a partnership between the State Historic Preservation Office, the National Park Service and the Internal Revenue Service.
Federal and State Historic Tax Credits are available for the rehabiliation of historic, income producing buildings including abandoned or underused schools, warehouses, factories, churches, retail stores, apartments, hotels and office buildings. The building must be a certified historic structure* and the project must be a certified rehabilitation*.
*As of December 22, 2017, Public Law Public Law No: 115-97 modified but kept the 20% Historic Rehabilitation Tax Credit per the National Park Service.
"A certified historic structure is defined as a building that is individually listed in the National Register of Historic Places
OR a building that is located in a registered historic district (a registered historic district is defined as any district listed in the National Register of Historic Places) listed in the National Register of Historic Places and certified by the NPS as contributing to the historic significance of that district. The structure must be a building. A state or local historic district may also qualify as a registered historic district if the district and the enabling statute are certified by the Secretary of the Interior. A certified rehabilitation is a rehabilitation project for which all work has been completed in accordance with the Secretary of the Interior's Standards for Rehabilitation and is certified by the NPS as such. The NPS conveys certification by signing off on the bottom of the “Historic Preservation Certification Application, Part 3,” which the owner completes and transmits to the SHPO for submission to the NPS. A Part 3 application must be submitted in order to document the completion of the project seeking the 20% federal and the 20% state tax credit. If a taxpayer claims the credit without completing the Part 3 application process, the credit may be revoked by the IRS." – https://www.okhistory.org/shpo/factsheet/fs3tax.pdf
"A certified rehabilitation is a rehabilitation of a certified historic structure that is approved by the NPS as being consistent with the historic character of the property and, where applicable, the district in which it is located." – National Park Service
The First Step
The first step in qualifying for Federal and State Historic Tax Incentives is for the State Historic Preservation Office (SHPO) to make the determination that the building is a certified historic structure. SHPO will also need to review the rehabilitation work before an application for historic tax credits may proceed.
Call us at 405.842.0100 or 918.935.2010 to learn how we can help.