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State Historic Preservation Tax Incentive Program

Online Historic Preservation Tax Incentive Program Now Open

Since July 2014, the State Historical Society of Iowa and the Iowa Department of Revenue have been working to create an online portal for the State Historic Preservation and Cultural & Entertainment District Tax Credit Program (HPCED). On January 26, 2015, the new online submission system went live. All application parts, including Part 2B (registration) for the Historic Preservation and Cultural Entertainment District tax incentive program, will now be submitted online. Information which was previously submitted on paper forms will now be entered by the applicant online. Attachments such as photos, assessor statements, Iowa Site Inventory Forms, etc. will be uploaded as separate documents. Information from projects which are already in progress has been uploaded into the new online database. Instructions for current applicants to log in to the database and link to their projects can be found in the Online Registration Guide.

The Part 2B Registration period has been extended through Friday, February 13.

Registration and Application Periods

  • The July application window has been eliminated under the new law. The new Part 1, Part 2 and Part 2B (registration) applications and instructions are now available online. The Part 3, along with a sample Agreement, are forthcoming.
  • The first Part 2B (registration) period for projects over $750,000 is open from January 26 through February 13. Part 2 applications must be approved by the State Historic Preservation Office for submission of Part 2B.
  • As of July 1, 2014, potential program applicants must schedule and attend a 1.5 Pre-application meeting prior to submitting a Part 2 application. Please use the online scheduler to arrange for your 1.5 pre-application meeting. After you have submitted a Part 1 application.

Note: Administrative Rules effective July 9, 2013: Historic Preservation and CED Tax Credits are applicable only to projects that received a HPCED Tax Credit Reservation prior to July 1, 2014.

Purpose

before and after shots

The State Historic Preservation and Cultural & Entertainment District Tax Credit Program provides a state income tax credit for the sensitive rehabilitation of historic buildings. It ensures character-defining features and spaces of buildings are retained and helps revitalize surrounding neighborhoods. The Program provides an income tax credit of 25% of qualified rehabilitation costs.

Another 20% is available if the property is income-producing and qualifies for the Federal Rehabilitation Investment Tax. A separate application is required.

Eligibility Requirements

Several types of properties are eligible for the state tax credit:

  • Building listed on the National Register of Historic Places, or determined by the staff of the State Historic Preservation Office to be eligible for listing.
  • Building contributing to the significance of a historic district that is listed, or eligible to be listed, on the National Register.
  • Building designated as local landmarks by city or county ordinance.
  • Barns constructed prior to 1937 and barns listed in or eligible for listing in the National Register.

Program eligibility depends on the type of building, the assessed value of the building and the amount of rehabilitation proposed:

  • For commerical buildings, qualified rehabilitation expenditures must equal at least 50% of the assessed value of the building (excluding the land) before rehabilitation, or $50,000, whichever is less.
  • For non-commercial buildings, qualified rehabilitation expenditures must equal at least 25% of the assessed value of the building (excluding the land) before rehabilitation, or $25,000, whichever is less.

As with other State Historical Society of Iowa incentive programs, the work must meet the Secretary of the Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings.

View the National Register of Historic Places listing to find out a building’s National Register status or for information about how to nominate a property to the register.

Preservation Program Manager
Department of Cultural Affairs
State Historic Preservation Office 600 E. Locust Street
Des Moines, IA 50319-0290
(515) 281-8742
SHPOTaxCredit@iowa.gov

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