Feature

How to Fix Four Initial Certification Mistakes

May 24, 2018    
When performing the initial certification for a low-income household at your tax credit site, it’s easy to make mistakes. These mistakes can jeopardize the owner’s tax credits if your state housing agency finds them during an audit.
Maintenance

Keep Detailed Maintenance Records to Defend Against Mold Lawsuits

May 24, 2018    
A recent lawsuit filed on behalf of 400,000 residents against the New York City Housing Authority (NYCHA), the nation’s largest public housing authority, asked the judge to appoint an independent monitor to oversee operations because the agency failed to provide tenants with heat and hot...
In the News

Study Examines LIHTC Site Performance

May 24, 2018    
LIHTC sites are operating better than in any other period during the program’s history, according to a recent study issued by CohnReznick, an accounting and advisory service firm. Entitled “Housing Tax Credit Investments: Investment and Operational Performance,” the study...
In the News

Report Finds Residents Generally Satisfied with LIHTC Housing

May 24, 2018    
A recent report from the Terner Center for Housing Innovation at UC Berkeley, “The Links Between Affordable Housing and Economic Mobility: The Experiences of Residents Living in Low-Income Housing Tax Credit Properties,” examined the experiences of tenants living in LIHTC housing. The...
In the News

NFHA Releases 2018 Fair Housing Trends Report

May 24, 2018    
The National Fair Housing Alliance, a national organization dedicated to ending discrimination in housing, recently released its 2018 fair housing trends report, Making Every Neighborhood a Place of Opportunity, which outlines key obstacles to achieving the goals of the Fair Housing Act. The 2018...
In the News

Joint Economic Committee Holds Opportunity Zones Hearing

May 24, 2018    
The congressional Joint Economic Committee (JEC) recently held a hearing to consider the potential positive impacts that Opportunity Zones tax incentives, enacted in the Tax Cuts and Jobs Act of 2017, could have for low-income communities. The Opportunity Zone program is intended to spur investment...
Feature

Make Sure PLR Request Contains Required Information

April 27, 2018    
A private letter ruling (PLR) is a written response issued by the IRS to an owner or taxpayer when the owner asks a question about the tax effects of its acts or transactions. The questions posed by site owners usually entail uncertainty about how to handle a situation and the need for guidance on...
Compliance

How State Housing Agency Violations Differ from IRS Violations

April 27, 2018    
If you violate the federal tax credit law and don’t promptly correct the noncompliance, the owner may lose tax credits. Item 11 on IRS Form 8823 (Low-Income Housing Credit Agencies Report of Noncompliance or Building Disposition), which is the form the state housing agency uses to report...
Dealing with the IRS

How Opportunity Zones May Help Affordable Housing Development

April 27, 2018    
The Tax Cut and Jobs Act of 2017 passed late last year includes a provision to allow states to designate “Opportunity Zones” in low-income areas. Investors who develop real estate or fund businesses in these zones are eligible for tax breaks. Governors have been working with mayors,...
In the News

IRS Revises 2018 Inflation Adjustments for LIHTCs, Bonds

April 27, 2018    
Revenue Procedure 2017-58, released in October 2017, provided the annual inflation adjustments for more than 50 tax provisions, including the tax rate schedules and other tax amounts for 2018, as adjusted for inflation for 2018. But a few months later, Congress passed the new tax law with the Tax...