Tax Credit Advisory

The legislation extending both the federal Production Tax Credit (PTC) and Investment Tax Credit (ITC) is another example of the importance of renewable sources in meeting today's energy needs. CohnReznick provides transactional advice, accounting and audit services for solar, wind, and other renewable energy installations financed through these credits, and for programs such as the 179D tax deduction for owners of energy-efficient buildings. Your energy investment must be structured to optimize return profiles and monetize energy tax credits to their maximum value. Our specialists in this industry leverage all options available to you.

Bringing new life to old buildings is the hallmark of The Federal Historic Preservation Tax Incentives Program. CohnReznick can maximize your credit and equity proceeds, minimize the risks of recapture or reallocation, and preserve the integrity of your transaction for the IRS. Our full-service capabilities include estimating credits and eligibility, supporting financing applications, developing transaction structures, and verifying terms from prospective tax equity partners that reflect current market conditions.

Housing credits offer a low-risk profile and competitive returns to corporate lenders and tax equity investors, which also help banks satisfy their Community Reinvestment Act (CRA) obligations. CohnReznick’s Tax Credit Investment team provides strategic advisory, due diligence, and portfolio review services to businesses considering tax equity financing, including low-income housing credits and other tax-advantaged investments. Tax credit syndicators and the broader industry look to us as a benchmark for tax credit investment education and contemporary research.

CohnReznick is a long-standing leader in low-income housing tax credits, and an international authority on affordable housing projects. We work with developers, investors, and other stakeholders to navigate through state and local government agency and regulatory reviews, and to meet the stringent requirements of financial institutions. We conduct financial projections, transaction structuring, and assess fee arrangements and partnership allocations in accordance with IRS Code Sections 704 and 752.

New Markets Tax Credits (NMTC) provide incentives for bringing jobs, businesses, and economic growth to distressed communities. The NMTC Program offers growth-oriented investors a cost effective method to enter underserved markets, but the process — from certification through closing — is complicated. As a nationally renowned NMTC advisor and pioneer, we are the go-to firm for investors, developers, and community oriented organizations. Our experts guide you through the entire lifecycle of your program. We prepare and submit Community Development Entity (CDE) certifications, file CDFI Fund data, conduct annual audits and reporting, address state and local tax issues, and provide transaction advisory and compilation services for qualified businesses in low-income communities.

• Learn more about New Markets Tax Credits

A broad range of improvements to products or processes can qualify your company for federal and state Research and Development (R&D) Tax Credits — particularly if you are a small business. Following an initial no-cost analysis, CohnReznick models available credits by year and jurisdiction, giving you the greatest available advantage. In addition, if unused credits are discovered, they can be carried forward or amended in prior year tax returns.

Tax credits are widely available and are provided by state and local authorities in virtually every location where your business operates. Working in conjunction with our State and Local Tax (SALT) practice, CohnReznick will identify the right strategic opportunities for your business, guide you through implementation, and create a comprehensive strategy — whether you’re seeking property or sales tax exemptions, government grants, low interest or no interest loans, or income tax credits – including transferable and refundable credits.