Navigating Targeted Populations in New Markets Tax Credit (NMTC) Deals

Targeted populations transactions offer a powerful, but often misunderstood, pathway to qualify for New Markets Tax Credits (NMTCs). These deals can unlock financing for projects that serve or employ low-income individuals, even when they fall outside traditional geographic eligibility. However, they also introduce unique compliance challenges and require strategic planning to execute successfully.

In this episode of Cherry Bekaert’s Tax Services Podcast, Jason Callaham and Joe Hennessee, Senior Managers in the Strategic Financing Services group, break down the essentials of targeted populations within the NMTC program. They explore:

• What targeted populations are and why they matter
• Common misconceptions and compliance hurdles
• Practical strategies for structuring competitive transactions
• Real-world lessons from a recent youth services project in Alaska

Whether you’re a nonprofit, business sponsor or investor, this conversation offers actionable insights to help you leverage targeted populations effectively and deliver meaningful community impact.