News

Friday, January 17, 2020

Rep. Denny Heck, D-Wash., and three co-sponsors introduced legislation this week to redirect the guarantee fee levied by Fannie Mae and Freddie Mac to the National Housing Trust Fund. The Fulfilling the Promise of the Housing Trust Fund Act (H.R. 5599) would make the change effective Oct. 1, 2021. The guarantee fees are currently directed to create extra profits to reduce the federal deficit.

Friday, January 17, 2020

A bill introduced this week in the Indiana House of Representatives would create a state low-income housing tax credit (LIHTC). H.B. 1381 would create a 4 percent state LIHTC worth up to the amount of the federal LIHTC for the taxpayer, with a statewide annual cap of $36 million. The credit would be effective for taxable years beginning Jan. 1, 2021, although applications could be submitted starting July 1, 2020.

Friday, January 17, 2020

A bill introduced in the Hawaii Legislature would specify that certain provisions of the Internal Revenue Code concerning deductions, at-risk rules and passive activity loss do not apply to claims for the state low-income housing tax credit (LIHTC). H.B. 956 also covers taxpayers who were granted an award under Section 1602 of the American Recovery and Reinvestment Act. For buildings that receive a LIHTC allocation after Dec.

Friday, January 17, 2020

The Missouri state low-income housing tax credit (LIHTC) annual cap would be the lesser of 72.5 percent of the federal allocation or $123 million, under legislation introduced in the state Senate. S.B. 549 would reduce the annual cap from 100 percent of the federal LIHTC awards and would also reduce the limit of 4 percent LIHTCs awarded to bond-finance properties from $6 million to $4 million.

Friday, January 17, 2020

S.B. 1578 was introduced in the Oklahoma Legislature to increase the annual ceiling for the state low-income housing tax credit (LIHTC) to $5 million, beginning Jan. 1, 2021. The state currently has an annual state LIHTC ceiling of $4 million.

Thursday, January 16, 2020

Legislation in Oregon would remove the state from conformity with the federal Internal Revenue Code concerning the opportunity zones (OZ) incentive.

Thursday, January 16, 2020

The U.S. Economic Development Administration (EDA) announced this week a web-based tool with data on opportunity zones (OZs). The tool, developed by the Indiana University Kelley School of Business, provides economic and demographic information on each OZ. The tool also provides support to EDA-designated Economic Development Districts.

Thursday, January 16, 2020

Two bills were introduced in the Maryland Legislation this week to address opportunity zones issues. H.B. 45 would alter the More Jobs for Marylanders and Opportunity Zone Enhancement programs to expand definitions and clarify provisions for OZs and would sunset OZ incentives under the program at the end of 2021. S.B.

Thursday, January 16, 2020

Legislation was introduced in both houses of the Florida legislature to revive and rename the Florida Enterprise Act–which expired Dec. 31, 2015– and apply its provisions to federal opportunity zones (OZs). H.B. 1429 and S. 1612 would create a series of tax credits for development in OZs and would require each county or municipality to create an OZ development agency to encourage and report on development in OZs.

Tuesday, January 14, 2020

The Internal Revenue Service (IRS) this week updated instructions for Form 8996–Qualified Opportunity Fund and a new Form 8997–Initial and Annual Statement of Qualified Opportunity Fund Investments, as well as instructions for Form 8997.