Avoid Eight Mistakes that Disqualify Low-Income Units
To qualify your site for the tax credit program, you must lease up enough units to qualified low-income households. But those units don’t automatically stay low-income for the rest of the compliance period. As a tax credit site’s manager, you must follow rules to make sure units stay low-income. If you make mistakes, you might disqualify some units, which means the owner may no longer be entitled to claim credits for them. This could lead to major problems if your site ends up with too few qualified low-income units to maintain its minimum set-aside.