The Impact of Opportunity Zones on Tax Credit Housing Development

May 16, 2019    

The federal Opportunity Zone program has generated a lot of excitement among investors and the real estate industry since it was created as part of the 2017 Tax Cuts and Jobs Act. The Opportunity Zone program seeks to be a catalyst for development in the neediest communities.

How to Tell Troublemaking Households You're Not Renewing

April 26, 2019    

As an owner or manager, you do your best to hold on to most households, especially because qualified tax credit households can be hard to find. But there may be times when, in order to comply with the tax credit program, you may have to ask certain tax credit households to leave. For instance,...

How to Handle Disability-Related Requests for Parking Accommodations

March 28, 2019    

It’s important for a tax credit site manager to be aware of fair housing laws. In addition to legal troubles, violating fair housing laws can jeopardize an owner’s low-income housing credits. The Department of Housing and Urban Development (HUD) enforces the Fair Housing Act (FHA)...

How to Document Reason for Third-Party Income Verification’s Absence

February 28, 2019    

When certifying and recertifying households, you must first try to verify the items you include in household income with third-party sources. For example, you must ask a resident’s employer to verify her employment income. But third-party sources don’t always cooperate with you by...

Share Safety Tips Regarding CO Poisoning with Site Residents

January 30, 2019    

Along with the colder weather comes the risk of carbon monoxide (CO) poisoning. CO is a colorless, odorless gas that’s the second most common cause of non-medicinal poisoning death. According to the Centers for Disease Prevention and Control (CDC), over 10,000 people are poisoned by CO and...

Avoid Noncompliance Problems When Family Size Changes

December 23, 2018    

As a tax credit manager, you must be aware of households’ composition and how changes in the size of an existing household after the initial tenant income certification may invoke certain LIHTC rules. Generally, changes in family size don’t cause a unit to stop being income-qualified...

Include Required LIHTC Documents in Site's Retention Plan

November 29, 2018    

Every year site owners submit various IRS tax forms to claim the low-income housing tax credit on their tax return. IRS examiners look at the submitted information along with internal IRS information to determine whether to conduct an audit. If an examiner wants to continue with the audit...

Use Green Landscaping Practices to Save Money and Resources

November 13, 2018    

By Carolyn Zezima

Q&A on Tax Credit Site Leases

October 30, 2018    

When managing a tax credit site, you may be confused about what you can and can’t do when it comes to creating a lease for your low-income households. For instance, you may be unsure whether you can give households a one-month lease without putting your site owner’s tax credits at...

Compliance Basics of Acquisition and Rehab Credits

September 27, 2018    

The LIHTC program is an indirect federal subsidy used to finance the construction and rehabilitation of low-income affordable rental housing. LIHTC sites receive funding either as new construction or acquisition rehab. A recently published U.S. Government Accountability Office report on LIHTC...

How to Track Applicable Fraction to Help Avoid Tax Credit Loss

August 30, 2018    

Keeping each building’s applicable fraction on target is an essential part of a tax credit manager’s job. The applicable fraction is the percentage of a building’s units rented to low-income households. It comes into play when you calculate the building’s qualified basis...

Use Checklist to Review Household Files for Completeness

July 30, 2018    

It’s smart management practice to keep your household files up-to-date and complete all the time. Because LIHTC projects will be reviewed for compliance by the state and may be audited by the IRS, complete, well-organized files are very important.