Our last meeting on “Historic Home Owners Tax Credits” was very interesting and well attended. Joe DeRose from the Wisconsin State Historic Preservation Office clarified a lot of questions for us about how the program works and how best to take advantage of it. It would seem to be a largely forgotten or otherwise not taken advantage of here in Beloit. There have been no applications submitted in years from Beloit. We’re fortunate in that not all states have this benefit available to home owners.
This Old House recently announced their “Best Places To Buy An Old House In America“. Unfortunately we didn’t make the cut. Reviewing the winners, it was interesting that several neighborhoods cited availability of their states tax credit program among the benefits of living there.
By way of overview…
- - It is a 25% Wisconsin state income tax “credit”. Not federal tax, not property tax, not a “deduction”.
- - For example, you spend $10K combined on one or more projects, you get credited back $2,500. If you cannot use the full credit in a given year, you can carry the unused credit into the following years until you use it up.
- - There is a $10K minimum investment. This can however be spread over multiple projects and up to five years. Additionally, you’re not limited to one application. if have ambitious plans and want begin using taking the credits prior to all the projects being completed you can break it up into multiple applications, so long as these still equal >$10K each.
- - If you live within one of Beloit’s historic districts or individually listed homes you’re eligible to apply. If you do not you may still be eligible to apply.
- - There are specifics on what sorts of projects are approved and strings attached are mostly with regard to meeting “secretary of the interior standards for rehabilitation”.
- - Your project(s) need to be approved before any work is begun otherwise your application is void.
Important. You’ll need to confirm the above and your understanding. The above is to the best of my understanding.
Additionally, if you’ve questions you may contact Joe DeRose at Joe.DeRose@wisconsinhistory.org You can also contact Joe for some guidance prior to going through the application.
Personally, I wish we had applied when we moved in years ago. I suspect we could have received credit for many of the things we’ve already payed for. We’re in the process of doing so now though. Perhaps I’ll record how it goes for us here.