An Act To Establish a Refundable Historic Rehabilitation Credit
Maine Legislature, Session 122, LD 1775
Committee: Taxation
Sponsors: MITCHELL, LERMAN, GAGNON, PERRY, BROWNE, DAVIS
Amends: 36 MRSA §5219

Legislative Document 
No. 1775 
S.P.692 
In Senate, December 30,2005 
An Act To Establish a Refundable Historic Rehabilitation Credit 
Approved for introduction by a majority of the Legislative Council Pursuant to Joint Rule 
203. 
Received by the Secretary of the Senate on December 28,2005. Referred to the Committee 
on Taxation pursuant to Joint Rule 308.2 and ordered printed pursuant to Joint Rule 401. 
Presented by Senator MITCHELL of Kennebec. 
Cosponsored by Representative LERMAN of Augusta and 
JOY J. O'BRIEN 
Secretary of the Senate 
Senators: GAGNON of Kennebec, PERRY of Penobscot, Representatives: BROWNE of 
Vassalboro, DAVIS of Augusta. 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 36 MRSA §5219·R, as amended by PL 2001, c. 526, §5 
and affected by §6, is repealed and the following enacted in its 
place: 
§52l9-R. 
Credit for rehabilitation of historic properties 
1. 
Cred~l~wed. A taxpayer is allowed a credit against 
the tax imposed under this Part equal to the amount of credit 
claimed by the taxpayer for the taxable year under Section 47 of 
~he Code with respect to expenditures incurred after December 31, 
1999 for a certified historic structure as defined in the Code 
located in the State. 
The credit is nonrefundable and is limited 
to $100,000 annually per taxpayer. 
A credit received under this 
section is subject to the same recapture provisions as apply to a 
credit received under Section 47 of the Code and to any available 
federal carry-back or carry-forward provisions. 
~red~t re{undMle in cex..tain cases. 
A taxpayer that is 
a National Historic Landmark developer is allowed a refundable 
credit in 
an 
amount 
equal 
to 
the credit determined by 
the 
taxpayer under Section 47 of the Code for the taxable year. 
The 
refundable credit allowed by this subsection is in lieu of the 
credit that is allowed to the taxpayer by subsection I or that 
would 
otherwise 
be 
passed 
through 
to 
its 
partners 
or 
shareholders, if any. 
The credit is allowed only for tax years 
that begin on or after January 1. 
2006 but before January 1, 
2010. 
The credit may not exceed $500,000 per year, and unused 
credit amounts may be carried forward only through the 2009 tax 
~ 
In the event that more than one National Historic Landmark 
developer qualifies for the refundable credit allowed by this 
subsection, 
the 
maximum 
annual 
credit 
amount 
and 
credit 
carry-forward limitations established by this subsection apply to 
all such developers collectively, and if necessary the State Tax 
Assessor shall prorate the credits between those developers based 
on their respective shares of qualified expenses incurred. 
For 
the purposes of this subsection, 
"National Historic 
Landmark 
developer" means a person that owns 2 or more structures located 
in the Kennebec Arsenal District National Historic Landmark. 
SUMMARY 
This bill allows a refundable historic rehabilitation credit 
to a developer that owns 
or more structures located in the 
Kennebec 
Arsenal 
District 
National 
Historic 
Landmark. 
The 
refundable credit is limited to $500,000 per year and is allowed 
only for 4 consecutive tax years beginning in 2006.