(a) On or before the 30th day prior to the third and sixth anniversaries of the issuance of each qualified equity investment, the issuer of such qualified equity investment shall submit a report on a form that the department provides that includes all of the following: (1) The name, address, and tax identification number of the issuer. (2) The name, address, and tax identification number of any qualified active low- income community businesses in which the qualified community development has made qualified low-income community investments. (3) A certificate executed by an executive officer of the issuer attesting to the number of qualified jobs and corresponding payroll created at the qualified active low-income community business, the average of the salaries of such jobs, and the date each job was created and, if applicable, terminated. (4) A certificate executed by an executive officer of the issuer attesting to all of the following: a. The value of buildings and commercial real estate, as recorded in the balance sheet of the qualified active low-income community business. b. State, county, and municipal sales, use, income, and property taxes paid, as recorded in the financial statement of the qualified active low-income community business. (5) Further information supporting the creation of such jobs as the department shall request. (b) The department shall review the report and conduct other investigations as it deems necessary or appropriate to determine if standards have been met on or
prior to the third and sixth anniversary of the issuance of the qualified equity investment.
History: (Act 2012-483, p. 1340, §9.)
Section: 41-9-219-6
Catchline: Examinations; Rules; Appraisal.
(a) The department may conduct examinations to verify that the tax credits under this article have been received and applied according to the requirements of this article and to verify that no event has occurred that would result in a recapture of tax credits under Section 41-9-219.4. (b) The department and the Department of Revenue shall prescribe such rules as may be appropriate to carry out their respective duties under this section and may issue advisory letters to individual qualified community development entities and their investors that are limited to the specific facts outlined in an advisory letter request from a qualified community development entity. The rulings cannot be relied upon by any person or entity other than the qualified community development entity that requested the letter and the taxpayers that are entitled to any tax credits generated from investments in the entity. (c) In rendering advisory letters and making other determinations under this article, to the extent applicable, the department and the Department of Revenue shall look for guidance to Section 45D of the Internal Revenue Code of 1986, as amended, and the rules and regulations issued thereunder.
(d) If the qualified equity investment in the qualified active low-income community business is used for the development of real estate in the taxable year in which a tax credit has been allocated to a taxpayer and the real estate is placed in service, the qualified community development entity shall deliver to the department an appraisal prepared by an independent MAI designated and licensed real estate appraiser that includes a valuation and description of the improvements. The department shall provide a copy of the appraisal to the taxing authority responsible for the assessment of ad valorem taxes. Upon notification, the taxing authority responsible for the assessment of ad valorem taxes shall complete a new
assessment for the real estate to be used in the assessment of ad valorem taxes for the tax year in which the real estate was placed in service.
History: (Act 2012-483, p. 1340, §10.)