Federal Government →
One of the most important federal tax incentive programs is New Markets Tax Credit, which provides a credit against federal income taxes to attract private investment to economically distressed rural and urban communities. Using a competitive process, the CDFI Fund awards certified Community Development Entities (CDEs) an allocation of NMTC authority annually. Since FY 2011, priority has been given to CDEs who commit to use a portion of their award to invest in healthy food projects. A store operator, developer, or other qualified business can apply to a certified CDE for financial support. In FY 2013, 61 of the 87 CDEs (or 70 percent) indicated that they intend to devote some portion of their NMTC allocation to healthy food financing activities.
- To learn about the mechanics of financing supermarkets with NMTC, go to New Markets Tax Credit and Urban Supermarkets.
- To see NMTC awards to date, go to the Community Development Financial Institutions (CDFI) Fund's searchable award database.
- To learn about local opportunities, identify a certified CDE in your area.
- To see whether your community is eligible, go to PolicyMap's New Markets Tax Credit Eligibility Data.