New Markets Tax Credit Extension Act of 2023

This bill permanently extends the New Markets Tax Credit (NMTC) program, which incentivizes private investment in low-income communities. It modifies the tax code to keep the credit available indefinitely (replacing the previous 2020-2025 timeframe) and adds automatic annual inflation adjustments to the credit amount. The extension specifically benefits community development financial institutions (CDFIs) and investors who make qualified equity investments in designated low-income areas. It also provides relief from the alternative minimum tax for credits tied to investments made after December 2022.