MO HB1564

Allows individual taxpayers who own and occupy multifamily rental properties with at least two units to claim a tax credit equal to 20 percent of eligible renovation costs, capped at $2,500 per taxpayer per year.

Eligible costs include materials and labor for cabinets, carpentry, carpeting, drywall, electrical work, plumbing, roofing, windows, HVAC units, flooring, and other specified renovations.

Tax credits are issued on a first-come, first-served basis with an aggregate annual cap of $5 million; unused credits may be carried forward for up to three subsequent tax years but are not refundable.

Applicable to tax years beginning January 1, 2015, and automatically sunsets December 31 of the sixth year after enactment unless reauthorized by the legislature.

Department of Revenue must promulgate rules to implement the program and taxpayers must provide documentation with their tax returns to verify eligible costs incurred.