Bill > HB2156

This bill, effective January 1, 2027, amends Tennessee Code Annotated (TCA) Title 67, which relates to tax credits, by modifying specific provisions within section 67-4-2109. Specifically, it adjusts the annual percentage of the unpaid principal balance that can be claimed as a tax credit for loans made to certified community development financial institutions, increasing it from three percent to five percent for qualified low-rate loans. A community development financial institution is an entity certified by the U.S. Department of the Treasury's Community Development Financial Institutions Fund, and these credits apply for the life of the loan or fifteen years, whichever is shorter.