everything you want to know (and don't) about arkansas politics

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Taxes & Budget

SB460

To Amend The Arkansas Historic Rehabilitation Income Tax Credit Act; And To Increase The Maximum Amount Of Arkansas Historic Rehabilitation Income Tax Credits That May Be Issued In A Fiscal Year.

Failed

Last Action (May 1, 2023): Sine Die adjournment

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AI-Generated Summary

Senate Bill 460 amends the Arkansas Historic Rehabilitation Income Tax Credit Act. The primary purpose of the bill is to increase the annual cap on the total amount of historic rehabilitation income tax credits the Division of Arkansas Heritage is authorized to issue. Specifically, the bill raises the annual limit from $8 million, established for fiscal year 2022, to $15 million beginning in fiscal year 2024. The legislation aims to incentivize the preservation and restoration of historic properties within the state by expanding the availability of these tax credits to developers and property owners.

Potential Impact Analysis

Who Might Benefit?

The primary beneficiaries include owners and developers of historic properties who undertake rehabilitation projects, as they gain access to a larger pool of tax credits to offset their expenses. Additionally, local communities and economies benefit from the revitalization of historic districts, which can lead to increased tourism, higher property values, and the preservation of cultural heritage.

Who Might Suffer?

The state government and its taxpayers could be considered negatively impacted because increasing the cap on tax credits reduces the total amount of tax revenue collected by the state. This reduction in revenue could potentially lead to a decrease in funding available for other public services, programs, or infrastructure projects supported by the state budget.

Read Full Bill on arkleg.state.ar.us