Tax Credits for Historic Income-Producing Buildings | Wisconsin Historical Society

General Information

Tax Credits for Historic Income-Producing Buildings

Tax Credits for Historic Income-Producing Buildings | Wisconsin Historical Society
EnlargeExterior of commercial main street brick buildings.

Frank DeBoth Building, 1887

De Pere, Wisconsin. This building on Main Street is a part of the Main Avenue Historic District. It is an example of a historic income-producing building that qualifies for tax credits. View the property record: AHI 79530

Owners of historic income-producing properties in Wisconsin may be eligible for two income tax credits that can help pay for their building's rehabilitation.

The Federal Historic Preservation Tax Credit Program

This program returns 20 percent of the cost of rehabilitating historic buildings to owners as a federal income tax credit.

The Wisconsin Historic Preservation Tax Credit Program

This program returns 20 percent of the cost of rehabilitating historic buildings, up to $3.5 million per parcel, to owners as a Wisconsin income tax credit.

How to Qualify for the Federal and State Historic Preservation Credits

This is a summary and is not intended to cover all program rules and guidelines. Additional information on the federal credit can be obtained through the National Park Service.

While the goal of the program is to preserve significant buildings, it is also an income tax program. Applicants must meet IRS and Wisconsin Department of Revenue requirements. Before you apply, we suggest you talk to your accountant to see if the program will work for you.

How to Qualify:

  1. Own a Historic Building

    A building is considered "historic" if it is listed in the National Register of Historic Places or if the NPS determines that it contributes to the character of a National Register historic district. A building can also receive a preliminary determination of eligibility for the Register through the tax credit application process. In this case, the owner must formally list the property in the National Register prior to claiming any tax credits.

    If an owner is using only the state tax credit, a building is considered "historic" if it is listed in the State Register or the National Register of Historic Places or if it contributes to the character of a listed historic district. A building can also receive a preliminary determination of eligibility for the Register through the tax credit application process. In this case, the owner must formally list the property in the State Register or the National Register prior to claiming any tax credits.

  2. Use the Building for Income-Producing Purposes

    Income-producing buildings are those used in a trade or business or for the production of rental income.

  3. Formally Apply to the Wisconsin Historical Society

    Prior to submitting application materials, we recommend you contact one of the preservation architects listed below. Depending on the complexity of your project, they may want to tour the building with you to determine if the proposed project meets the Standards. Application materials must be completed and mailed to the Society.

  4. Rehabilitate the Building Following Program Standards

    All work must comply with the Secretary of Interior's Standards for Rehabilitation

  5. Spend the Minimum Amount Required on Rehabilitation

    If an owner plans to spend an amount equal to or greater than the building's adjusted basis value or $5,000, whichever is greater, then the owner can apply for the 20 percent federal tax credit.

    If an owner plans to spend less than the building's adjusted basis value but more than $50,000, the owner can apply for the 20 percent state tax credit.

    If an owner plans to spend an amount equal to or greater than the adjusted basis value and greater than $50,000, the owner qualifies for both the federal and state tax credits.

    Both state and federal programs allow this amount of money to be spent in either a two-year or five-year period.

  6. Claim the Credit for Eligible Expenses Only

    The cost of all work on the historic buildings, inside and out, is eligible for the credit with the exception of moveable equipment. The cost of site work, such as landscaping or paving, and the cost of new construction (such as new additions) are not eligible expenses.

  7. Maintain Ownership of the Building and the Building's Historic Character for Five Years

    If within five years of the building being placed into service, it is sold or altered in a way that diminishes its historic character, the tax credit must be repaid to the IRS and to the Wisconsin Department of Revenue (DOR). Repayment is prorated over the five-year period after the building is placed in service. Once the completed work is approved, the owner may claim 20% of the total credit per year for five years. This new law applies to both the state and federal credits. 

Application Forms and Instructions for Using Federal and State Tax Credits

We strongly recommend you read through the guidelines before beginning your application.

Federal Historic Preservation Certification Application Forms

The Federal application forms are available to download from the National Park Service. The forms are dated "Rev. 6/2023."  Applications received by SHPOs and NPS must be on the new forms. Previous versions will not be accepted. Please read closely and follow the NPS instructions for downloading and completing the forms. 

How to Submit the Digital Application to Wisconsin SHPO

  1. Complete the NPS forms: Applicants must follow the detailed instructions provided on the NPS website. NPS has created digital file naming conventions for organizing your digital application files. If the files submitted to SHPO do not meet NPS digital specifications, SHPO will return the application for correction. Questions about the NPS application forms and file standards may be addressed to NPS_TPS@nps.gov. 
  2. Create a MyWisconsin ID: If you do not already have a MyWisconsinID account, please create one by following the instructions on this website. The Wisconsin Historical Society is using Wisconsin’s AccessGov website and the MyWisconsinID to securely collect the sensitive information contained in your application. You do not have to be a Wisconsin resident to create an account. If you have any problems setting up your MyWisconsin ID account, please contact help@wisconsinhistory.org.  
  3. Log in to the SHPO application form: Use your MyWisconsin ID to log in to the application form and follow the instructions to upload your application files. There is a file size limit of 40 MB per PDF file that you upload. If you have any problems completing the form or need to submit a PDF larger than 40 MB, please contact taxcredits@wisconsinhistory.org. 
  4. Watch for email receipt: SHPO staff will email you to acknowledge receipt of your application documents. We will then check your full application for completeness. If there are missing or incomplete documents, or errors, the application will be returned to the applicant for correction. Project review will not begin until the SHPO reviewer determines the application is complete and meets NPS application standards. 
  5. Submit JPEG images to SHPO: After accepting your application PDFs, SHPO staff will email instructions for how to separately submit JPEG files of the application images for SHPO records in the Wisconsin Historic Preservation Database. 
  6. SHPO forwards application to NPS: Upon completion of the SHPO review, the reviewer will upload the application documents to the NPS site and notify you by email that the application has been transmitted to NPS. 
  7. NPS notification: NPS staff will email a notification to the applicant when the application has been retrieved by NPS.  
  8. Repeat these steps for submitting digital forms for Part 2 and Part 3 reviews and project amendments.

Wisconsin Economic Development Corporation Application Forms

WEDC will send its application directly to Tax Credit applicants. After receipt of a signed Part 2 from the SHPO, WEDC will contact the owner directly to request submittal of a WEDC application and supply them with the current version of the forms.

Application Forms and Instructions for Using ONLY State Tax Credits

We strongly recommend you read through the instructions and guidelines before beginning your application.

State Historic Preservation Certification Application (4 parts)

Wisconsin Economic Development Corporation Application Forms

WEDC will send its application directly to Tax Credit applicants. After receipt of a signed Part 2 from the SHPO, WEDC will contact the owner directly to request submittal of a WEDC application and supply them with the current version of the forms.

If you have questions, please call or email us at the contacts listed below. 

Learn More

Find more information about tax credits.

Have Questions?

EnlargeA map of Wisconsin counties, colored according to whether they are in the Eastern or Western Tax Credit regions.

For specific advice about the tax credit program or for advice on other technical historic architecture issues, please refer to the contact information below.

For projects in the eastern part of the state, please contact Paul Porter by phone at 608-264-6491 or paul.porter@wisconsinhistory.org.

For projects in the western part of the state, please contact Andrea Herries at 608-264-6490 or andrea.herries@wisconsinhistory.org.