S.B. 309 Summary

• Changes the "applicable percentage" for the New Markets Tax Credit from zero percent for the first two credit allowance dates to five percent for the first three credit allowance dates, and reduces the percentage for subsequent dates from eight percent to six percent.

• Removes the restriction that excluded qualified active low-income community businesses deriving 15% or more of annual revenue from rental or sale of real property, simplifying the definition.

• Eliminates the requirement that qualified community development entities designate equity investments as qualified under both federal section 45D and state law, requiring only the federal allocation agreement and in-state service area.

• Extends credit eligibility to investments made before the bill's effective date that were not initially qualified but become qualified under the amended law, with the initial credit allowance date set as the bill's effective date.

• Maintains the $2,564,000 cap on qualified low-income community investments per business and the $10 million annual fiscal year credit limit across all new markets tax credit programs.