How would I model the Ohio New Market tax credit in SAM? It is a 39% tax credit spread over seven years for investors who make an investment in a qualified low-income community business. We expect the actual value of the credit to be 15% after expenses.
In SAM, it is not possible to model a tax credit over a period of years. However, you can approximate the value of the credit by modeling it as a conventional investment tax credit (ITC) in Year 1.
Also, here's a
discussion about modeling the North Carolina distributed tax credit in SAM
. See also the presentation by Miriam Makhyoun from the
2012 SAM Virtual Conference
. Slide 14 in her presentation (
PDF 680 KB
) shows how the North Carolina Sustainable Energy Association modeled the distributed tax credit in SAM.
Best regards,
Paul.
