North Carolina § 105-129 - 35. (See note for repeal) Credit for rehabilitating income-producing historic structure.

§ 105-129. 35. (See note for repeal) Credit for rehabilitating income-producing historic structure.

Credit. - A taxpayer who is allowed a federal income tax credit under section 47 of the Code for making qualified rehabilitation expenditures for a certified historic structure located in this State is allowed a credit equal to twenty percent (20%) of the expenditures that qualify for the federal credit. If the certified historic structure is a facility that at one time served as a State training school for juvenile offenders, the amount of the credit is equal to forty percent (40%) of the expenditures that qualify for the federal credit. To claim the credit allowed by this subsection, the taxpayer must provide a copy of the certification obtained from the State Historic Preservation Officer verifying that the historic structure has been rehabilitated in accordance with this subsection. Notwithstanding the provisions of G.S. 105-131.8 and G.S. 105-269.15, a pass-through entity that qualifies for the credit provided in this section may allocate the credit among any of its owners in its discretion as long as an owner's adjusted basis in the pass-through entity, as determined under the Code, at the end of the taxable year in which the certified historic structure is placed in service, is at least forty percent (40%) of the amount of credit allocated to that owner. Owners to whom a credit is allocated are allowed the credit as if they had qualified for the credit directly. A pass-through entity and its owners must include with their tax returns for every taxable year in which an allocated credit is claimed a statement of the allocation made by the pass-through entity and the allocation that would have been required under G.S. 105-131.8 or G.S. 105-269.15. Definitions. - The following definitions apply in this section: Certified historic structure. - Defined in section 47 of the Code. Pass-through entity. - Defined in G.S. 105-228.90. Qualified rehabilitation expenditures. - Defined in section 47 of the Code. State Historic Preservation Officer. - Defined in G.S. 105-129.36. History (1993, c. 527, ss. 1, 2; 1997-139, ss. 1, 2; 1998-98, ss. 36, 69; 1999-389, ss. 2, 5, 6; 2001-476, s. 19(a); 2003-284, s. 35A.1; 2003-415, ss. 1, 2; 2003-416, s. 4(c); 2004-170, s. 14; 2006-40, s. 2; 2007-461, s. 1.) Article has a Delayed Repeal Date. - For repeal of this Article, see G.S. 105-129.39 . Editor's note. - Session Laws 1999-389, s. 6, provides that Article 3D of Chapter 105 of the General Statutes, as amended by this act, incorporates both G.S. 105-130.42 and G.S. 105-151.23 . Session Laws 1999-389, s. 9, as amended by Session Laws 2001-476, s. 19(a), and as amended by Session Laws 2003-415, s. 1, provides that G.S. 105-129.35(b) , as amended by Session Laws 1999-389, is repealed effective January 1, 2008, for property placed in service on or after that date. Session Laws 2007-461, s. 1, effective August 28, 2007, removed the sunset provision applicable to subsection (b). Effect of Amendments. - Session Laws 2003-284, s. 35A.1, effective July 15, 2003, added the last sentence in subsection (a); and added subdivision (c)(4). Session Laws 2003-415, s. 2, effective for taxable years beginning on or after January 1, 2003, in the first sentence of subsection (b), deleted "the amount of credit allocated to an owner does not exceed" following "discretion as long as," substituted "an owner's" for "the owner's," and inserted "is at least forty percent (40%) of the amount of credit allocated to that owner" following "is placed in service." Session Laws 2003-416, s. 4.(c), effective August 14, 2003, rewrote subdivision (c)(2). Session Laws 2004-170, s. 14, effective August 2, 2004, substituted "105-129.36" for "105-129.6" in subdivision (c)(4). Session Laws 2006-40, s. 2, effective for taxable years beginning on or after January 1, 2006, and applicable to eligible sites placed into service on or after July 1, 2006, added the second sentence in subsection (a).