Colorado Tax Credits for Historic Homeowners

Many historic property owners are unaware of Colorado's Historic Preservation Tax Credit program, but it can provide big incentives for making improvements to both residential and commercial properties. Not every older building qualifies, but if you own a historic property it may be worth investigating further.

For state tax credit eligible residential properties, owners may receive up to $50,000 in credits over a ten year period, while commercial property owners may receive up to $2,000,000 per calendar year depending on the project expenditures. For federal tax credit eligible properties, owners may receive up to 20% of the project cost as a credit. 

Basic qualification criteria for state and/or federal tax credits include: 

• The building must be designated historic at the local, state or national level
• Buildings on the National Register of Historic Places may be eligible for both state and federal tax credits 
• The current use of the building may determine which tax credits a building is eligible for
• Qualified work must meet the Secretary of the Interior's Standards for Rehabilitation (https://www.nps.gov/articles/000/treatment-standards-rehabilitation.htm)

Like any tax credit program, there is an application process and specific requirements for claiming the credit. It may be helpful to hire a professional consultant to assist with preparing the documents, and owners may contact History Colorado for additional details. 

For more information, visit the History Colorado Office of Archaeology and Historic Preservation website:  https://www.historycolorado.org/preservation-tax-credits