To obtain the rehabilitation expenditures tax credit, certain criteria must be satisfied. Which of the following are correct statements about the credit?

I.

If the rehabilitated structure is sold before the end of the ten-year period following the year of the tax credit, recapture occurs.

II.

The amount of the tax credit is 10% of qualified expenditures for buildings built before 1936.

a.Only statement I is correct.

b.Only statement II is correct.

c.Both statements are correct.

d.Neither statement is correct.