MO HB705

Limits Missouri low-income housing tax credits to projects placed in service before December 31, 2011, while establishing a five-year distribution period for projects beginning January 1, 2012 or later.

Increases annual tax credit authorization from $6 million to $16 million for fiscal years beginning January 1, 2012 and thereafter.

Requires qualified projects to set aside $500 per unit in reserves for capital improvements and property tax payments beyond the initial ten years, funded from project investment or development income rather than project costs.

Mandates the Missouri Housing Development Commission issue an annual report by January 31 detailing tax credits awarded by county, redeemed, issued, and outstanding amounts to be distributed to state leadership and posted online.

Allows tax credits to be carried back one prior year and forward two subsequent years, and permits a one-time transfer of credits to another entity during the five-year eligibility period with Commission approval.