Sec. 612. Temporary increase in new markets tax credit for investments in community development entities serving covered disaster areas
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Subsection
(f)of section 45D of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: In the case of calendar year 2018, the new markets tax credit limitation shall be increased by an amount equal to $1,000,000,000, to be allocated among qualified community development entities to make qualified low-income community investments within any covered federally declared disaster area. The amount of the increase in limitation under subparagraph
(A)shall be allocated by the Secretary under paragraph
(2)to qualified community development entities and the Secretary shall give priority, when appropriate, to such entities with a record of having successfully provided capital or technical assistance to businesses or communities within any covered federally declared disaster area or areas for which the allocation is requested. Paragraph
(3)shall be applied separately with respect to the amount of any increase under subparagraph (A). For purposes of this paragraph, the term covered federally declared disaster area means any disaster area in Puerto Rico or the Virgin Islands resulting from any federally declared disaster occurring in calendar year 2017. For purposes of the preceding sentence, the terms Federally declared disaster and disaster area have the meanings given such terms in section 165(i)(5). The Secretary shall make annual payments to the Virgin Islands in amounts equal to the aggregate loss to the Virgin Islands, as the case may be, by reason of the application of this section with respect to taxable years beginning after 2017. Such amounts shall be determined by the Secretary based on information provided by the Virgin Islands. For purposes of section 1324(b)(2) of title 31, United States Code, the payments under this subsection shall be treated in the same manner as a refund due from the credit allowed under this section. . The amendments made by this section shall apply to calendar years beginning after 2017.