Feature Articles

Feature Articles



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...

Download Five Documents to Help with Tax Credit Management

December 23, 2018    

As a tax credit owner or manager, you should familiarize yourself with key documents to help you manage your tax credit site. To make it easy for you to get these documents, we’ll discuss five useful documents you can download from the Internet. We’ll tell you about each document and...

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...

How to Certify Households Sharing Child Custody

November 29, 2018    

Site managers have to deal with countless situations presented to them by residents, one of which is shared custody of children. A low-income household may report to you that its members include children who are covered by a joint custody arrangement—that is, the children live part of the...

Understanding the Placed-in-Service Dates for LIHTC Sites

November 29, 2018    

Placing a building in service—that is, making it functional within the tax credit program—can be tricky if you’re not sure what’s required and what your options are. And knowing how to place a building in service is important because it affects when your building’s...

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...

Conduct Detailed Interview of Households Claiming Zero Income

October 30, 2018    

Under Treasury Regulations 1.42-5(b)(1)(vii), LIHTC site owners must document each low-income tenant’s income certification with documents such as federal income tax returns and W-2 forms. The regulation makes an exception for tenants receiving housing assistance payments under Section 8....

Prepare for Winter with Fall 'To Do' List

October 30, 2018    

Each season of the year presents a different set of maintenance challenges for apartment building management. Winter represents the harshest season of wear and tear on your building. Some fall maintenance tasks are obvious—such as closing the swimming pool and draining the in-ground...

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 Verify Income of Newly Self-Employed Ride-Hailing Service Drivers

September 27, 2018    

Explosive growth in ride-hailing services such as Uber and Lyft are attracting more and more drivers. These drivers earn extra income with the benefit of working flexible hours. According to recent research by JPMorgan Chase Institute, from late 2013 to this spring, the number of households...

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...