Novogradac Journal of Tax Credits Volume 12 Issue 6
Abridged version of the June 2021 issue of the Novogradac Journal of Tax Credits. For more content, please subscribe to the Journal.
First-year compliance with low-income housing tax credits (LIHTC) rules can have a significant effect on LIHTC equity, both good and bad.
While the financing of renewable energy projects is most associated with the tax credits that apply to the particular technologies, the need for traditional debt continues to be very important.
After months of pandemic-induced volatility, there is cautious optimism in the new markets tax credit (NMTC) community as investors return to the marketplace, following a large-scale slowdown in investment during the second half of 2020. Participants say that investors coming off the sidelines starting in the early part of 2021 has slowly helped tax credit equity pricing recover after dipping as low as 68 cents per dollar of tax credits for some transactions last year.
Although the pandemic and supply-chain issues have presented certain challenges for development in general, the affordable housing world continues to persevere and stay active, said a group of panelists at the April 29 equity marketplace trends session of the Novogradac 2021 Affordable Housing Virtual Conference.
One of the greatest challenges facing developers of affordable rental housing is raising sufficient financing to enable a development to move forward. As such, it is essential that developers maximize the present value of low-income housing tax credit (LIHTC) equity.
The Louisiana Department of Revenue issued guidance April 8 explaining changes to the state’s historic tax credit (HTC) as a result of H.B. 4, signed into law in July 2020.
Legislation to create a state-level new markets tax credit (NMTC) incentive in Connecticut was introduced April 14 in the state General Assembly.
Sen. Ron Wyden, D-Oregon, and 24 Democratic senators introduced legislation April 21 to consolidate current energy tax incentives into emissions-based incentives that would be available to all energy technologies that meet emissions reduction goals.
The U.S. Department of Housing and Urban Development (HUD) announced April 6 the allocation of $689.6 million through the national Housing Trust Fund (HTF). The HTF is capitalized through contributions by Fannie Mae and Freddie Mac