State Historic Rehabilitation Tax Credit
SHRTC Update
The State Historic Rehabilitation Tax Credit Program (SHRTC) regulations are filed with the California Secretary of State and effective as of November 13, 2024. SHRTC regulations
CTCAC regulations have also been filed with the Secretary of State and effective as of November 12, 2024. CTCAC regulations
Applications will be accepted starting 8 am PT on January 6th, 2025. We will announce more information on this page, our social media page, and our newsletter mailing list.
In preparation for this program, OHP is holding two virtual informational sessions on eligibility qualifications, completing the application and documentation requirements, with time allotted for questions and answers The sessions will be held::
- Tuesday, Nov. 26, noon-1 p.m. Register Now
- Tuesday, Dec. 3, 5-6 p.m. Register Now
NOTICE
Submit all state tax credit applications WITHOUT a tax ID to calshpo.tax@parks.ca.gov beginning at 8 am PT 1/6/25. REFILE the state tax credit application INCLUDING the tax ID AFTER the Queue order has been assigned and the secure SharePoint folder link has been received by the applicant.
Consult tax accountants to determine whether entities such as cities and non-profits can apply for state historic rehabilitation tax credits by referencing Revenue and Tax Code 17053.91 and 23691.
The State of California offers tax credits for the rehabilitation of eligible historic residential and income-producing properties.
Below you will find:
For complete SHRTC information, download and read the 10-page SHRTC Program Regulations.
Do you have a historic home?
Learn about the California State Historic Rehabilitation Tax Credit Program for Residential Properties.
Do you have a historic commercial or income-producing property?
Learn about the federal and State Historic Rehabilitation Tax Credit Program for Commercial and income-producing Properties.
State Historic Rehabilitation Tax Credit Allocation Categories
Residential |
Qualified Expenses Less than $1 Million |
Qualified Expenses Greater than $1 Million |
---|---|---|
Budgeted allocation $2,000,000 | Budgeted allocation $8,000,000 | Budgeted allocation $40,000,000 |
Minimum $25,000 qualified expenses | Minimum $25,000 qualified expenses | Minimum $25,000 qualified expenses |
Property must be listed in the California Register or National Registers | Property must be eligible for or listed in the California and/or National Registers | Property must be eligible for or listed in the California and/or National Registers |
Occupancy and income eligibility requirements | Dual projects must meet federal requirements | Dual projects must meet federal requirements |
Credit capped at $25,000 | Credit available for 20% or 25% of QRE | Credit available for 20% or 25% of QRE |
When the total project estimated Qualified Rehabilitation Expenses exceed the funding allocated for the allocation category, OHP stops accepting applications for that category.
Program Overview
State Historic Rehabilitation Tax Credit Program
Qualified rehabilitation projects may receive a tax credit of 20% of the qualified rehabilitation expenditures (QREs). Some projects may qualify for a 25% tax credit if certain criteria are met (see Appendix D of the Application Instructions).
Residential projects costing less than $25,000 in QREs do not qualify for the tax credit. Residential projects with a QRE greater than $125,000 are limited to the $25,000 tax credit allocation cap.
Funds for the State Historic Rehabilitation Tax Credit have been allocated into three categories:
- A certified historic structure that is a qualified residence
- A certified historic building with qualified rehabilitation expenditures (QRE) of less than $1 million
- A certified historic building with qualified rehabilitation expenditure (QRE) of $1 million or more
Applications will be reviewed until the allocated funds for that application category are depleted for the year.
A completed Initial Project Application and application fees must be submitted to be considered.
Dual Projects
Dual projects still in construction are only required to submit the state Initial Application Form and the fee.
Dual projects completed after January 1, 2022 are only required to submit the Completed Project Application form, including all statisticsal information, and the entire fee computed from the final QRE.
No additional requirements beyond the previously submitted federal submission that was transmitted separately are needed.
Application Forms and Instructions
These application forms are fillable PDFs. Download the form and fill in the fields as directed. Save the completed form and name the file.
Please read the instructions thoroughly and complete the forms.
Incomplete applications will be placed on hold until a completed application is provided.
Application Instructions (v. 5/24)
Application Forms
Initial Project Application Sections 1, 2 and 3 (v5/24)
Section 2: Application Narrative (v5/24)
Section 2: Amendment Form (v5/24)
Completed Project Application Sections 4 and 5 (v5/24)