When complying with the tax credit law, you must follow different rules depending on which of the five types of tax credit units you’re dealing with. But tax credit managers often get confused about which rules apply to which type of unit, or even about how each unit type differs. If this...
From time to time, your site may get phone calls, letters, or other inquiries for information about residents. The request can seem innocent, or it may seem official. And some requests will be. But granting even innocent requests can cause trouble. Sites are responsible for ensuring the privacy...
Mold at your site can cause you big problems. The problems can range from remediation costs to loss of rent, and, perhaps most critically, long-term health effects. Mold-related health effects cause households to sue owners and managers claiming that they were injured by the presence of mold in...
The IRS recently published a final rule to implement Congress’s 2018 authorization of a third set-aside option for LIHTC sites. Under the LIHTC program, all tax credit owners must formally notify the IRS of their minimum set-aside election for their building or site when they file IRS Form...
In an announcement made in early October, the Biden administration announced key progress on implementing its Housing Supply Action Plan. The plan aims to create and preserve hundreds of thousands of affordable housing units in the next three years and help close the country’s critical...
The Social Security Administration (SSA) recently announced that the Social Security and Supplemental Security Income (SSI) benefits for approximately 70 million Americans will increase 8.7 percent in 2023. The 8.7 percent cost-of-living adjustment (COLA) will begin with benefits payable to more...
It’s not unusual for a household to request a transfer to a new unit at a tax credit site. The household may want to get away from noisy neighbors, want a bigger unit, or have a better view. Or there may be a change in household composition or a reasonable accommodation request for a unit...
When a household gets a one-time payment such as an inheritance or a settlement award you must follow special HUD rules for such payments when certifying and recertifying household income. In general, you must treat these payments, known as “lump-sum payments” or “lump-sum...
If residents at your tax credit site pay for their own utilities, the amount of each unit’s utility allowance affects the maximum monthly rent you can collect from the household. The utility allowance is generally based on an estimate of reasonable household consumption and cost for the...
One of the most important jobs for the manager of a tax credit site is keeping the owner informed of how well you’re managing the site. The owner wants to know on a monthly or quarterly basis how well the site is doing financially and to be assured that there are no compliance problems...
You can keep emergency repair costs to a minimum by reducing the number of these repairs your site needs, and by planning ahead to keep their costs and the damage they cause under control. Here are four tips that will help you avoid having to make emergency repairs and control the costs of those...
Tax credit site managers often find themselves spending much time and expense processing applications for ineligible households. Hearing about a good deal, casual visitors may submit applications not realizing that they’ll be considered over-income or student households. One way to...
