Heavily modified structures can present challenges in Historic Rehabilitiation. Missing elements, and "historic evolution" make determination of what is the appropriate changes somewhat subjective. The  State Historic Preservation Office has guidelines, and experienced consultants can assist in determining the correct changes needed and how those changes need to be documented.

Tax Credit Eligible Expenses: Qualified Restoration Expenditures (QRE) 

Qualified Restoration Expenses (QRE) are the expenses which are eligible for consideration in the calculation of Tax Credit totals. These qualifed expenses are the largely same for both Ohio and Federal credit applications. These expenses must be identified and described in the approved application. The amounts indicated in the approved application define the total allowed for these expenditure-credits. These expenses must be properly recorded according to NPS standards for documentation.

Overview of QRE Items:

Below is a partial "general list" based on National Park Service and Secretary of Interiors guidelines, as currently interpreted by the State of Ohio (SHPO). These items are subject to change and update at any point. Some applications may include aspects of Landscape-site significance which can change the eligibility of certain component expenses. Certain expenses are conditionally eligible, and other expenses are specifially not eligible.

Additionally, certain expenses are allowable PRIOR to Federal Part-2 Tax credit Application approval, such as emergency stabilization, and certain NPS conforming rehabilitaion actions. (Ohio Historic Preservtation Tax Credits allow ONLY emergency stabilization expenses prior to OHPTC approval) Other expenses are only allowable AFTER Federal Part-2 Tax credit application approval. Exemptions are possible when circumstances require. Consult your Preservation advisor.

This list sould be considered just a starting point for consideration, and further discussion should be undertaken with your Preservation Consultant and SHPO officers to determine exact eligiblity.

Allowable Qualified Restoration Expenses: (Pre-Part-2 Federal application approval, pre-OHPTC application approval)

• Stabilization expenses, roof, gutters, window-door security
• Debris removal
• Basic electrical service
• Basic plumbing service
• Basic HVAC service
• Historic Tax Credit evaluation/planning
• Project management
• Taxes
• Insurance

Allowable Qualified Restoration Expenses: (Post Part-2 Federal application approval, NOT allowable by OHPTC prior to approval)

• Architectural Fees
• Historic Tax credit Application and Preparation Fees
• Engineering Fees
  Taxes (during Certified Rehab)
• Insurance
• Construction interest
• Project management
• Roof, gutters
• Debris removal
• Security
• Exterior painting and tuck pointing
• Electrical upgrades
• Plumbing upgrades
• Hvac Seervices (including Geo-Thermal external components)
• Lead-Hazardous materials abatement
• Window and door repairs/replacement
• Interior surface finishes
• Built-in structural element repairs
• ADA accessibilityinterior elements
• Interior elevators (conditionally)
• Fire supression
• Interior signage
• Exterior attached lighting

NON-ALLOWABLE Restoration Expenses

• Acquisition costs
• Financing Fees
• Surveys, appraisals, Inspections
• Landscaping
• Non-attached signage
• Non-attached lighting
• Marketing-Advertising
• New addition construction
• Furniture
• Non-integral cabites (ie-kitchen)
• Kitchen appliances
• Parking lot
• Sidewalks

For more information regarding Tax Eligable Expenses, please contact us.  (Updated May 2016)