Q & A

Q & A

Paying for Reasonable Modifications

July 28, 2022    

Q We manage a tax credit site that gets funding through the HOME program. A resident with disabilities recently asked us to install a ramp at the entrance to our site's community room so that he can access it using his wheelchair. We want...

Setting Occupancy Standards

July 28, 2022    

Q My company has managed federally assisted sites and will soon start managing tax credit sites. Are there any special laws or guidelines we must follow when setting occupancy standards for our tax credit sites?

How to Treat Employer Contributions to ABLE Accounts

June 20, 2022    

Q An applicant has an ABLE account. He’s able to provide proof that it’s an ABLE account and document its balance. Both the applicant and his employer put money into the account. ABLE accounts aren’t mentioned in the HUD...

Clarification on State or Local Fair Housing Law and IRS Violations

June 20, 2022    

Q The last issue of the Insider seemed to indicate that a violation of state or local fair housing law may result in noncompliance reported with IRS Form 8823 (see “...

Rounding Up When Calculating Rents

March 31, 2022    

Q We calculated the maximum allowable rent for our low-income units. Since we’d like all our rents to be whole numbers, can we round the rents up to the nearest whole number?

Starting to Claim Credits

March 31, 2022    

Q The tax credit building we manage was placed in service last week. Because it may be difficult to meet the minimum set-aside this year, we’re wondering whether the owner can wait until next year to begin claiming its tax credits if...

Renting Units on Month-to-Month Basis

October 29, 2021    

Q A prospective household wants to rent a two-bedroom unit at our tax credit site on a month-to-month basis. We know that the tax credit program doesn’t allow short-term rentals. But the household doesn’t plan to vacate anytime...

Complying for 15 Years

October 29, 2021    

Q We’ve just started to manage our first tax credit site. The site owner told us that we need to keep the site in compliance with the tax credit program for only 10 years because that’s how many years the owner claims its tax...

Compliance on Building or Site Basis

September 30, 2021    

Q My company manages a tax credit site with three buildings. Must we always apply the tax credit program’s requirements separately to each building, rather than to the site as a whole?

A...

Use of HUD Handbook for Calculating Household Income

September 30, 2021    

Q My company has used Section 4350.3 of the HUD Handbook to calculate household income at the Section 8 sites we manage. We’re about to start managing our first tax credit sites. Should we also use the Handbook to calculate household...

Follow Insurance Notice Requirements to Boost Chance of COVID-Related Payout

June 11, 2020    

Businesses seeking to recover coronavirus-related losses under their business interruption and property insurance policies have had difficulty in doing so because of questions as to whether their policies cover such losses. How those coverage questions will be resolved remains an open question,...

Temporarily Displacing Residents

January 9, 2020    

Q We need to repaint some of the low-income units at our tax credit site. To accomplish this, we must temporarily displace residents—that is, have residents move out of their units—for a few days. Will the owner of our site stay...