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Dakotas America LLC provides new regional opportunities
Dakotas America LLC, has been awarded a second NMTC allocation of $80 million. In 2006 Dakotas America was awarded and has successfully allocated a $50 million New Markets Tax Credit (NMTC) award.
The New Market Tax Credit program is a 39% Federal tax credit designed to stimulate economic investment in low-income communities. Dakotas America assigns its allocation to investors in specific projects that are being developed in low-income areas within North and South Dakota.
An investor receives the tax credit over seven years at the rate of 5-6% per year. That credit can be used against the investor's other income sources and it can be applied in conjunction with other incentive programs used for the project. This makes the program highly attractive to many investors, creating sources of capital that might not otherwise be available to a project, or creating superior investment terms for the project. Qualified investors can be corporations, partnerships or individuals.
Some of the criteria that a project must meet to qualify for a NMTC allocation are:
Dakotas America is a subsidiary of North Dakota Rural Development Finance Corp. and South Dakota Rural Enterprise, Inc. South Dakota Rural Enterprise serves as the managing entity of Dakotas America. Beth Davis is its Managing Director.
Click here to complete the Proposed Project Summary Form to present New Markets Tax Credits-eligible investment projects for allocation consideration. 
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