Cherokee Nation Businesses was awarded $60 million in New Market Tax Credits that will be used to encourage businesses to locate and expand operations in northeastern Oklahoma. CNB Economic Development Company, L.L.C., a Community Development Entity established by Cherokee Nation, will provide below-market rate subordinated loans and equity to non-real estate businesses and real estate development projects that will bring jobs and economic growth to low-income communities within a fourteen county footprint in northeastern Oklahoma.

Our Focus

CNB will focus on bringing economic growth by utilizing a significant portion of its allocations to invest in non-real estate businesses that:

1. Need capital for facility expansion or relocation.
2. Require working capital for growth.
3. Will provide services to low-income community residents.

Qualifying Census Tracts Map

To download the full resolution map, click here.

The shaded areas are where CNB Economic Development Company can make New Market Tax Credit investments.

Only Tribal Allocation of New Market Tax Credits

Cherokee Nation Businesses was the only tribally affiliated entity in the nation to receive New Market Tax Credits for the Community Development Financial Institutions Fund’s 2008 allocations. CNB’s allocation was the largest of any organization seeking to use the tax credits in a localized region.

About New Market Tax Credits

The New Markets Tax Credit (NMTC) Program permits taxpayers to receive a credit against federal income taxes for making qualified equity investments in designated Community Development Entities (CDEs). Substantially all of the qualified equity investment must in turn be used by the CDE to provide investments in low-income communities. The credit provided to the investor totals 39 percent of the cost of the investment and is claimed over a seven-year credit allowance period. In each of the first three years, the investor receives a credit equal to 5 percent of the total amount paid for the stock or capital interest at the time of purchase. For the final four years, the value of the credit is 6 percent annually. Investors may not redeem their investments in CDEs prior to the conclusion of the seven-year period.

For questions regarding the New Markets Tax Credit Program, please contact Marguerite McKinney at (918) 384-7834 or Andy McMillan at (918) 384-7774.