News Releases for September 2006
September 1, 2006
For further information, please Contact the Governor's Office
New Markets Tax Credit Training To Be Held In Bismarck
BISMARCK, N.D. - Gov. John Hoeven and South Dakota Gov. Michael Rounds are sponsoring training sessions next week to inform local economic development leaders and community bankers about the New Markets Tax Credit program.
A training session will be held Sept. 7 in Bismarck at the Best Western Doublewood. A similar session will be offered to South Dakota economic development leaders on Sept. 6 in Pierre.
In June, Dakotas America LLC received $50 million in New Markets Tax Credits, a 39 percent federal tax credit designed to stimulate economic investment in low-income communities. Dakotas America must assign its allocation to investors in development projects in distressed and low-income areas in North and South Dakota. Investors in the program receive a federal tax credit during a seven-year period at a rate of 5-6 percent per year. The tax credit can be used against the investor’s other income sources and applied in conjunction with other incentive programs used for the project. Qualified investors can be corporations, partnerships or individuals.
Dakotas America LLC was created as a Community Development Entity in order to apply for the New Markets Tax Credit award. Dakotas America is sponsored by virtually all sectors that have a vested interest in regional economic development across the Dakotas including state and local government, the financial sector, community development groups, tribal organizations, the business community, trade organizations and others.
The $50 million award is funded by a U.S. Treasury Department program designed to help bring venture capital to rural areas, American Indian reservations, and other regions suffering from out-migration or economic distress. For more information on the New Markets Tax Credit, or to register for the training sessions, visit the Dakotas America website at www.dakotasamerica.com.
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