August 4, 2025

By Talmadge Singer

Across the country, public-private partnerships powered by tax credit programs are raising our standard of living – where we work, where we live, and how we get our energy. These tools create jobs, expand housing access, and strengthen our nation’s energy grid. By reducing capital costs for business owners, transformative public works, and developers, they enable impact in communities that need it most.

Program Highlights

New Markets Tax Credit (NMTC)

Federal and state NMTC programs attract private investment to distressed communities by offering tax credits in exchange for equity investments. This capital supports small businesses, nonprofits, and community-focused developments that drive job creation, community benefits, and economic growth. Together, NMTC programs have unlocked billions in investment for communities long overlooked by traditional finance. Recently, the federal NMTC program was made permanent in the passage of H.R.1, adding long-term stability.

Rural Jobs Act (RJA)

Building on the NMTC model, RJA targets rural areas experiencing persistent poverty or job loss. By incentivizing capital flow into small rural businesses, RJA stabilizes local economies, reshores rural manufacturing, enables job retention, and catalyzes job growth.  RJA funds invest up and down the balance sheet of these rural businesses.

Low-Income Housing Tax Credit (LIHTC)

As the nation’s most effective affordable housing production program, LIHTC has financed millions of homes for low-income families, seniors, veterans, and other vulnerable populations. Federal and state LIHTC programs close financial gaps and ensure long-term rental affordability by giving investors tax credits for equity investments in housing. Permanent improvements, including an increase in the amount of credits, were also made in the recent passage of H.B.1.

Renewable Energy Tax Credits (ITC & PTC)

For the first time in over two decades, electricity demand in the United States is increasing, driven primarily by AI data centers – and it’s increasing exponentially. The Investment Tax Credit (ITC) and Production Tax Credit (PTC) incentives promote not only energy independence but also energy availability and reliability by building out our energy infrastructure, which is the only source of incremental power supply that can come online fast enough to meet our growing power needs and help expand access in rural and remote areas.

Advantage Capital: An Experienced Partner in Impact Investing

With more than 30 years of experience across NMTC, RJA, LIHTC, and renewable energy programs, Advantage Capital helps investors navigate complex structures and deploy capital. We’ve worked at both the federal and state levels to ensure these programs deliver on their promise—helping businesses grow, families thrive, and communities build for the future.

Investor benefits include:

  • Tax mitigation based on anticipated tax liability
  • Tax-efficient strategies tailored to manage capital gains and losses
  • Market returns in alternative asset classes
  • Proven execution that generates economic development and social impact
  • Investors are fully accounted for with respect to all tax credits

Learn More

Ready to learn more about our investor solutions? Contact us to explore investment opportunities.