Tax Credit Advisor Article Archives

The Consolidated Appropriations Act of 2021, the year-end legislative package passed by the previous Congress, provided big wins for affordable housing, such as the four percent Low Income Housing Tax Credit (LIHTC) floor, but it also created some gray areas that will require further guidance.

Later this month marks the one-year anniversary of when our world was turned upside down by the COVID-19 pandemic. Friday, March 13, 2020 marked the last day the team at NH&RA was all together in person at the office and the beginning of a scramble to adjust to the new reality of the pandemic world.

Tax issues are going to be a mixed bag this year, with some positive changes, like the four percent Low Income Housing Tax Credit floor, and others that are not so positive. But there’s one thing that a lot of industry observers agree on—the need for guidance from the Internal Revenue Service.

The Tax Cuts and Jobs Act of 2017 (TCJA) changed some guidelines for housing. As I noted in the Housing USA column in this issue, it capped the state and local tax (SALT) deduction at $10,000, and limited the deduction on mortgage debt interest, two measures that mostly impacted wealthy homeowners.

In 2017, Congress passed the Tax Cuts and Jobs Act (TCJA), the signature tax reform of former President Donald Trump. The law lowered income tax rates, reduced households subject to the estate tax, and generally decreased the burden that various interest groups must pay, using different tweaks and carveouts. 

The vaccines are arriving in the millions, and they work. When do we get back to normal?

Affordable housing developments are never easy. But acquiring and rehabbing a 23-year-old project in Houston gave Vesta Corporation a few more hoops to jump through than just fixing old roofs and redoing faulty water lines. In addition to the nuts and bolts of this comprehensive $30 million renovation, the developer found the state housing agency wanted to see some non-construction improvements as well, like better educational opportunities for residents and a reduction of crime and blight in the neighborhood.

A.O. Flats, a Greater Boston housing development that takes its name from two local landmarks (A for Arborway from the Arnold Arboretum and O for Orange from the Orange transit line), itself will be a blend of two types of residences. Both affordable and workforce housing residents are putting down roots in the Boston neighborhood of Jamaica Plain just a short commuter ride from center city.

Three years out of law school, Debbie Kleban joined four partners in founding the Chicago law firm of Applegate & Thorne-Thomsen, P.C. in 1998. Over the next 23 years, she played an instrumental role in the firm’s successes. In recognition of her leadership and commitment to the firm, her partners unanimously approved her to succeed Ben Applegate as the managing partner in January 2021.

The legendary American humorist sure hit the nail on the head with that quip. Even though he spoke those words about 100 years ago, they still ring true today.