IRS/Tax Issues

IRS

IRS Posts Population Figures Used to Calculate LIHTC, PAB Cap

On March 15, 2021, the IRS published Notice 2021-19, which advises state a local housing credit agencies and issuers of private activity bonds of the state population figures that are used to calculate the annual state allocation for the 9% LIHTC as well as the state’s private activity bond cap.

IRS

IRS Average Income Hearing – March 24

The Internal Revenue Service will hold a virtual hearing on its Average Income Test proposed rule on March 24 at noon ET. Register by March 22 by emailing publichearings@irs.gov or contacting Regina Johnson at (202) 317–5177. NH&RA submitted comments and will attend the public hearing.

IRS

IRS Extends COVID-Related LIHTC, Opportunity Zones Relief

Internal Revenue Service Notice 2021-12 extends the temporary relief for qualified LIHTC projects. The 10 percent test for carryover allocations and the 24-month minimum rehabilitation expenditure period are extended until September 30. The deadline for income recertifications and compliance monitoring is extended until October 1 and the placed-in-service deadline is extended to December 31.

IRS

NH&RA Submits Comments on IRS/Treasury’s Average Income Test Proposed Rule  

NH&RA submitted our comments on the Internal Revenue Service (IRS) and the Department of the Treasury’s proposed rule on the average income test.

IRS

Comments on IRS/Treasury’s Average Income Test Proposed Rule Due Dec. 29

NH&RA created a customizable template letter for developers to submit comments to the Internal Revenue Service (IRS) and Department of the Treasury (Treasury) on their Average Income Test proposed rule. Comments are due by December 29 and should be submitted here.

IRS

NH&RA Joins Letter to IRS on COVID Relief for LIHTC Properties

NH&RA joined with 139 other organizations to support the National Council of State Housing Agencies’ (NCSHA) letter to the Internal Revenue Service (IRS) and Department of the Treasury calling for an extension to the temporary COVID-related LIHTC relief.

ahtcc

Sign-On by Nov. 20 to Support IRS COVID-Related LITHC Accommodations

The Affordable Housing Tax Credit Coalition (AHTCC) is circulating a sign-on letter to support the National Council of State Housing Agencies’ (NCSHA) letter to the Internal Revenue Service (IRS) and Department of the Treasury calling for an extension to the temporary COVID-related LIHTC relief. The deadline to sign-on is Friday, November 20. NH&RA joined the […]

IRS

IRS Extends Ability to Conduct Private Activity Bond Public Hearings by Teleconference

In response to the continuing COVID-19 pandemic, the Internal Revenue Service (IRS) published Revenue Procedure 2020-49, which provides temporary guidance on the statutory public approval requirement for tax-exempt qualified private activity bonds. The revenue procedure extends the time period during which telephonic hearings satisfy the public approval requirement from December 31, 2020, until September 30, […]

IRS

IRS, Treasury Release Average Income Proposed Rule

The Department of the Treasury and the Internal Revenue Service posted a proposed rule on the Average Income minimum set-aside election. The proposed rule would require properties electing the average income minimum set-aside to designate the imputed income limit of each low-income unit no later than the close of the first taxable year of the LIHTC period. To avoid noncompliance and recapture, owners would only be allowed to take mitigating steps with 60 days of year-end.

QAP Oregon

New Oregon Average Income Policy

Oregon Housing and Community Services (OHCS) released a new Average Income Policy, which details the restrictions, utilization requirements and fees for projects electing to use the average income set aside.

IRS

IRS Announces $3.1 Million in 2020 LIHTC National Pool

The Internal Revenue Service (IRS) published Revenue Procedure 2020-42 announcing $3,105,001 of unused LIHTCs allocated from the national pool to 33 qualified states for calendar year 2020.

IRS

IRS Issues Final Federal Historic Tax Credit Regulations

The Internal Revenue Service (IRS) issued final regulations on the five-year period over which the Federal Historic Tax Credit (HTC) may be claimed, along with other special rules for investment credit property.

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