About this document
Understanding OID in NMTC Transactions by Reznick Group NMTC Practice is a document available to read on EtoBox.
Over the past year, every New Markets Tax Credit (NMTC) transaction on which I’ve worked has involved efforts to avoid so-called OID issues. Why? Failure to identify and manage loans with original issue discount—OID for short—could have ramifications in a NMTC transaction, up to and including credit recapture. For some, OID is a mysterious technical issue with mysterious consequences. This article aims to demystify OID and explain how to prevent issues.
- Author
- Reznick Group NMTC Practice
- Language
- EN