Low-Income Housing Tax Credit:

Facts & Figures

Applicable Federal Rates

December
Period for Compounding Annual Semiannual Quarterly Monthly
Short-term (<3 yrs) .34% .34% .34% .34%
Mid-term (>3 yrs <9 yrs) 1.72% 1.71% 1.71% 1.70%
Long-term (>9 yrs) 2.74% 2.72% 2.71% 2.70%

Tax Credit Percentages

  30% 70%

December
Rev. Rul. 2014-31

3.22%

7.51*%

*Note:

Under Section 42(b)(2), the applicable percentage for LIHTC allocations made before Jan. 1, 2014, shall not be less than 9%. As extended by H.R. 8, the American Taxpayer Relief Act, this fixed rate applies only to allocations, it does not apply to forward commitments. For more information see IRS Notice 2008-106, which provides guidance on applying the 9% floor, the Housing and Economic Recovery Act of 2008, which set the 9% minimum tax credit percentage rate for the 70% credit, or H.R. 8, the American Taxpayer Relief Act of 2012, which amended and extended the provision.

 

LIHTC Pricing Trends
January 2012 – September 2014

May 2002 – September 2014
(click to enlarge)