HB 1723 -- Distressed Areas Land Assemblage Tax Credit

Sponsor:  Torpey

This bill changes the laws regarding the Distressed Areas Land
Assemblage Tax Credit.  The definition of "eligible project area"
is revised to include a redevelopment area as defined under the
Real Property Tax Increment Allocation Redevelopment Act that
contains at least 300 acres in 80 or more parcels, includes or
previously included in excess of one million square feet of
commercial building space, and is located within a low-income
community as defined in 26 U.S.C. Section 45D as of January 1,
2011.

The provision is removed which restricts an applicant from
receiving a tax credit for acquisition and interest costs of an
eligible parcel for only up to five years.  The bill allows a tax
credit for 100% of the reasonable demolition costs.  Currently,
the credit is for 50% of those costs.  An applicant is allowed to
file for the tax credit quarterly.  Currently, the applicant can
only file annually.

The annual program cap is increased from $20 million to $30
million, but the aggregate program cap remains at $95 million.  A
process is established for allocating the annual $30 million in
tax credits depending upon the number of eligible applicants.  No
single applicant can receive more than 50% of the annual $30
million tax credits.

The bill extends the provisions regarding the credit from August
28, 2013, to August 28, 2016.

Missouri House of Representatives
Last Updated February 24, 2012 at 11:19 am