McNair Attorneys Help State Set Up Mortgage Tax Credit Program
McNair is pleased to announce that Rion Foley and George Morrison have helped the South Carolina State Housing Finance and Development Authority (SC Housing) set up a program that allows qualified homebuyers to take a federal income tax credit against their mortgage interest.
Rion Foley and George Morrison of McNair's Charleston office worked with SC Housing to create South Carolina's first-ever Mortgage Credit Certificate program. The SC Housing is marketing this program as the SC Mortgage Tax Credit Program (the Program).
The Program allows eligible homebuyers to take a dollar-for-dollar federal tax credit of 30 percent of the mortgage interest they pay each year. The credit is limited to a maximum of $2,000 in savings per year. Borrowers can elect to take the credit on the front end by lowering the amount of federal income tax that gets withheld from each pay check which increases take-home pay. In addition, the homebuyer can also deduct the remaining 70% of annual mortgage loan interest paid on his or her federal income tax return. Eligibility for the Program is generally determined by a combination of household income, purchase price, prior home ownership, and location. Borrowers across South Carolina can be eligible, but those buying homes in 34 targeted counties have less demanding income and price thresholds to meet when compared to those in the remaining 12 counties.
McNair attorneys have enjoyed a long working relationship with SC Housing, having assisted the agency with its mortgage revenue bond program for a number of years. The Program offers first-time homebuyer assistance similar to the bond program. The Program assists qualified homebuyers by making home purchases more affordable. Affordable housing helps drive economic development in South Carolina.
Rion Foley's primary practice area is in public finance and tax. In addition, he advises clients on locating or expanding in South Carolina, and negotiating economic development incentive packages.
George Morrison advises corporate clients on formation, succession, taxation, and transactional issues, and general business matters. He is a member of the firm's Economic Development practice group and has assisted with economic development transactions involving multi-county industrial parks and fee-in-lieu-of-tax arrangements. He is involved in all areas of corporate practice, including entity formation, mergers and acquisitions, liquidations, reorganizations and corporate governance and also has substantial experience representing borrowers and lenders in commercial financing transactions.
For additional information regarding the SC Mortgage Tax Credit Program, click here.
About the South Carolina State Finance and Development Authority
For more than forty years, SC Housing has created quality affordable housing opportunities for the citizens of South Carolina. SC Housing is self-sustaining and receives no state appropriations. In Fiscal Year 2012, SC Housing programs generated more than $407 million in total economic output, contributing to the state's economic health and job growth. SC Housing's vision is that all citizens have the opportunity to live in safe, decent and affordable housing. For more information, visit www.SCHousing.com.
About the McNair Law Firm
McNair Law Firm, P.A. is a full-service law firm serving businesses, government and individuals from ten offices in the Southeast, including eight in South Carolina, one in North Carolina and one in Kentucky. For more information about Rion Foley, George Morrison and McNair, visit www.mcnair.net.
Rion DuBose Foley, Shareholder George Morrison, Associate
100 Calhoun Street 100 Calhoun Street
Charleston, SC 29401 Charleston, SC 29401