New Markets Tax Credit Secures Permanent Extension, Boosting Economic Growth in Underserved Communities
The permanent extension of the New Markets Tax Credit (NMTC) in the spending bill promises significant economic development and job creation in low-income urban and rural areas across the U.S.
The New Markets Tax Credit (NMTC) has been granted a permanent extension as part of the spending bill H.R.1, marking a pivotal moment for economic development in underserved communities. This bipartisan initiative, established in 2000, has been instrumental in stimulating investment and generating over $143 billion in capital investment, alongside creating more than 1.2 million jobs nationwide.
Bob Rapoza, spokesperson for the NMTC Coalition, expressed gratitude towards key legislators including Senator Crapo (R-ID), Senator Daines (R-MT), Rep. Jason Smith (R-MO), and Rep. Tenney (R-NY) for their unwavering support. The NMTC's permanence ensures continued investment in low-income areas, with projections indicating $100 billion in capital to underserved regions, support for over 4,000 businesses, and the creation of nearly 70,000 rural manufacturing jobs.
Phil Glynn, NMTC Coalition Board President, highlighted the certainty this permanence provides to businesses and investors, emphasizing the program's role in fostering local partnerships and prosperity. The NMTC, which faced expiration at the end of 2025, has now been solidified as a cornerstone for community economic development, following its largest prior extension in the Consolidated Appropriations Act of 2021.
For more information on the NMTC and its impact, visit https://nmtccoalition.org/.