|
|
STATE TAX CREDIT TAX CREDITS NOW AVAILABLE TO OWNER-OCCUPANTS If you plan major improvements to your own home in a historic district, the State of Michigan now offers a tax credit to help you do it right. For years, there has been a federal historic renovation tax credit, but it was only available for investment property. Here are the key facts about the State tax credit: –your property must be in a historic district or designated as an individual historic landmark –you can get a credit for 25% of the cost of your home improvement –the improvements must be approved by the State Historic Preservation Office before you can take the credit (preferably before you make the improvements) –the total improvement costs must be at least 10% of the State Equalized value (SEV) of your home (see your assessment notice for this figure) –both interior and exterior improvements qualify for the credit, although the cost of site improvements and new additions or new structures do not –fees for submitting the application vary depending on the estimated cost of the improvements. If your property is your own home but also includes rental units, you can take a combination of the federal and state tax credits. You can file just one application with the State for both programs. Application forms can be picked up at the Neighborhood Improvement Office at 1120 Monroe NW. Or call the State Historic Preservation Office at (517) 335-2727. |
|
Copyright© 1997-2008 Heritage Hill Association. All rights reserved. Revised: March 14, 2008. |
