Novogradac Journal of Tax Credits Volume 12 Issue 10
Abridged version of the October 2021 issue of the Novogradac Journal of Tax Credits. For more content, please subscribe to the Journal.
One-hundred community development entities (CDEs) got good news Sept. 1 when the Community Development Financial Institutions (CDFI) Fund announced calendar-year 2020 (CY 2020) new markets tax credit (NMTC) allocation awards.
There is unprecedented demand for private activity tax-exempt housing bonds paired with 4% low-income housing tax credits (LIHTCs), driven by several factors, including a recently enacted minimum 4% credit rate. This increased demand for tax-exempt bonds paired with the 4% LIHTC has prompted several states to change the way they approach tax-exempt bond allocations, making it all the more critical for developers to understand the nuances of the 50% test.
Certain low-income housing tax credit (LIHTC) compliance relief that was issued because of the pandemic delayed the scheduled implementation of new inspection requirements.
After years of advocacy, education and lobbying by the Affordable Housing Tax Credit Coalition and others in the affordable housing community, the Consolidated Appropriations Act of 2021 was signed into law Dec. 27, 2020, effectively “fixing” the 4% low-income housing tax credit (LIHTC).
For several years now, across the nation, competition for multifamily private activity bonds (PABs) has been increasing. Every year, a few more states find that they have more applications for affordable housing PAB financing than they can fund. Affordable housing PAB issuance set a new recorded high in 2019, according to the Council of Development Finance Agencies (CDFA), and when 2020 reporting is complete, we anticipate yet another record high.
Hunt Associated Bank coordinated $43.8
The Internal Revenue Service (IRS) publ
AmeriCorps and the U.S. Department of the Treasury announced Aug. 11 three Community Development Financial Institutions (CDFIs) were awarded more than $2.5 million through the inaugural round of the AmeriCorps CDFI Economic Mobility Corps program.