The New Jersey Economic Development Authority (NJEDA) has announced it will auction up to $20 million in corporate and insurance premiums tax credits through the Food Desert Relief Tax Credit Auction. Applications for the auction will open on August 28, 2024. The proceeds from this auction are intended to fund programs aimed at improving access to healthy and affordable food across New Jersey’s 50 Food Desert Communities (FDCs).
The NJEDA Board approved the 2024 tax credit auction in February, following a successful sale of $15 million in tax credits during the first auction in 2023. Proceeds from both auctions will be utilized to support initiatives aligned with the priorities established by the Food Desert Relief Act.
Future grants, loans, and technical assistance initiatives funded by these auctions will complement the Food Desert Relief Tax Credit Program. This program supports the development and operation of new supermarkets in FDCs and aids small and mid-sized food retailers as well as other entities involved in strengthening food security.
Eligible bidders for this auction must be New Jersey Corporation Business Tax or Insurance Premiums Tax filers. Companies do not need to be located within a food desert or belong to the food industry to participate; they can bid for tax credits at a discount of up to 15 percent.
Applications for participation will open on August 28, 2024, at 10:00 a.m. and close on September 27, 2024, at 5:00 p.m. A sample application and details about the auction process are available online. Questions can be submitted via email until August 15, 2024, with answers posted no later than August 22, 2024.
###
