Dealing With...

Dealing With...



Add Nine Key Protections to Your Employee Lease Addendum

April 26, 2019    

The tax credit law doesn’t bar you from renting to employees. In fact, many sites have on-site employees—from property managers to security officers to maintenance workers—who reside at the LIHTC site and are essential to the success of the property. Having someone employed by...

IRS Issues Final Rule on Physical Inspections and Compliance Monitoring

March 28, 2019    

On Feb. 26, the IRS issued final regulations for LIHTC compliance monitoring. The regulations replace the temporary compliance monitoring regulations under which state housing agencies have been operating since 2016. The new regulations make several changes to compliance monitoring requirements...

Set Up Sexual Harassment Complaint Procedure to Safeguard Site Against Liability

February 28, 2019    

Last year, HUD and the Department of Justice (DOJ) announced an interagency task force to combat sexual harassment in housing. This joint outreach followed a DOJ pilot program started in October 2017. The initiative sought to increase the Department’s efforts to protect women from...

Facilitate Eviction Process by Giving Attorney Relevant Documents, Information

January 30, 2019    

When you hire an attorney to evict a resident from your tax credit site for violating the lease, you want to have the eviction handled as quickly and efficiently as possible. But the process may be unnecessarily hindered if you don’t give the attorney all the documents and information she...

Set Sports Court Rules to Prevent Injuries, Disputes

July 30, 2018    

Sports courts, such as basketball, volleyball, and tennis courts, are a great amenity for your site. But sports courts can also lead to problems. For example, residents may argue with each other over how much time a resident should be...

How Noncompliance Reports Can Turn into IRS Audits

June 28, 2018    

Regardless of how well you run your tax credit site, your state housing agency may cite you for noncompliance with the tax credit law. If that happens, your state housing agency must notify your site’s owner of the violation and report it to the IRS using IRS Form 8823 (Low-Income Housing...

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,...

NCSHA Updates Recommended Practices for LIHTC Administration

January 31, 2018    

The National Council of State Housing Agencies (NCSHA) recently issued the Task Force on Recommended Practices in Housing Credit Administration’s final report, which updates the organization’s guidance on administering the LIHTC. In 2000, NCSHA published its first recommended...

How to Encourage Resident Cooperation with Recertification Requirements

February 27, 2017    

IRS regulations don’t require annual certifications for properties that are 100 percent tax credit. However, for mixed-income sites, recertifications serve an important function. Annual certifications ensure affordable housing units are occupied by income-eligible households, and provide a...

IRS Clarifies Local Approval and Preference Regarding LIHTC Developments

December 21, 2016    

The IRS recently issued guidance on LIHTC developments and their compliance with fair housing rules at the local level. Notice 2016-77 relates to allocations of housing credits to projects located in a qualified census tract. A qualified census tract (QCT) is a geographic area defined by the...

How to Conduct Effective Recertification Meetings for Mixed-Use Sites

October 20, 2016    

The Housing and Economic Recovery Act of 2008 (HERA) eliminated the annual income recertification requirement for 100 percent buildings. Each state agency, however, may opt to tighten the rule and impose its own recertification requirements. For mixed-use tax credit sites, owners are required to...

Provide Appropriate Reports to Get Police to Respond Effectively to Drug Activity

June 30, 2016    

During the summer months, you may notice an increase in drug activity at your site. Unemployed youth are out of school with more time to be idle. And if a significant percentage of your households consist of single parents who are working multiple jobs with kids being raised by themselves, your...