Tax-Exempt Bond Issuer Can Amend Form 8038 After Making Clerical Error
Facts: The developer of a low-income housing tax credit site and a bond issuer had agreed that the site would meet the 40-60 test. Under the 40-60 test, the developer reserves 40 percent of its units for those earning 60 percent or less of the area median gross income. The issuer elects either the 20-50 test or the 40-60 test by checking the appropriate box on Form 8038 and filing the form with the IRS. Under Section 301.9100-7T(a)(4)(i) of the Temporary Procedure and Administration Regulations, the election is irrevocable.