Mary Ruffin Hanbury: Rehabilitation Tax Credits aid preservation, economy

Regarding the Oct. 13 news article “Ross opposed ending tax credit that had benefited her family”: I have read with interest the articles about Deborah Ross’ use of Rehabilitation Tax Credits.

It might interest readers to know that there has been a federal preservation tax credit since 1976, and 33 of the 41 states with a personal income tax have instituted a state-level rehabilitation tax credit, including North Carolina.

Unlike passive losses or deductions of interest for leveraged real estate purchases, the credits are based on actual out-of-pocket investments in the rehabilitation of property. The credits provide an incentive to preserving our shared architectural and historic legacy. But they do more than that.

By 2014, rehabilitation tax credits had spurred over $1.36 billion in private investment in North Carolina and had been used in 90 of North Carolina’s 100 counties. Perhaps this is why the reauthorization of the program was a priority of the McCrory administration. The credits help preserve those resources that tell our story while serving new uses, places like the American Tobacco Historic District in Durham, Factory 91 in Winston-Salem, Main Street businesses and historic neighborhoods.

I am grateful that after Nov. 8, North Carolina’s Rehabilitation Tax Credit will continue to create jobs and provide an incentive for re-investment in our communities.

This story was originally published October 27, 2016 at 5:56 PM with the headline "Mary Ruffin Hanbury: Rehabilitation Tax Credits aid preservation, economy."