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Abstract: 

The Community Renewal Tax Relief Act of 2000 was signed into law December 21, 2000. This article summarizes the main features of the 2000 Act, focusing on provisions related to tax-exempt bond financing, including 1) acceleration of a scheduled increase in the private activity bond volume cap and indexing for inflation; 2) increase in low income housing tax credit ceiling and indexing for inflation; 3) procedures for the designation of additional federal empowerment zones; 4) enhancement of tax incentives for existing and new empowerment zones; 5) authority to designate 40 Renewal Communities with new tax incentives for revitalizing low-income communities; 6) creation of a “New Markets” tax credit to encourage investment in low-income communities.

Keywords: Private activity bond caps; empowerment zone incentives; community incentives; new markets tax credit

Affiliations:  1: Ballard Spahr Andrews & Ingersoll, LLP.