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Bipartisan Bill with LIHTC Expansion Introduced in Congress

June 24, 2023

On May 11, 2023, the Affordable Housing Credit Improvement Act (AHCIA) was introduced in both the House and Senate by bipartisan groups of legislators. If passed, the legislation would finance an additional 1.94 million affordable rental units over a ten-year…

A. J. Johnson Partners with Mid-Atlantic AHMA for June Affordable Housing Training

May 9, 2023

During the month of June 2023, A. J. Johnson will be partnering with the MidAtlantic Affordable Housing Management Association for six training sessions intended for real estate professionals, particularly those in the affordable multifamily housing field. Four of the sessions…

CDFI Fund Receives Record Number of Applications for NMTC Program in 2022 Round

March 14, 2023

The CDFI Fund, a branch of the U.S. Department of the Treasury, has announced that it has received a record number of applications for the CY 2022 round of the New Markets Tax Credit (NMTC) Program. The program is designed…

HOTMA Final Rule – Limitation on Eligibility for Assistance Based on Assets

March 7, 2023

The Department of Housing & Urban Development (HUD) has released a Final Rule implementing the Housing Opportunity Through Modernization Act of 2016 (HOTMA). This final rule was published in the Federal Register on February 14, 2023. With the exception of…

HUD Announces Move to NSPIRE Protocol

February 4, 2023

The Department of Housing & Urban Development (HUD) has published a notice that effective April 1, 2023, HUD-assisted sites enrolled in HUD’s NSPIRE demonstration program will change from receiving “advisory” housing safety inspections to receiving “inspections or record.” NSPIRE stands…

HUD Releases Final Rule Implementing HOTMA

February 3, 2023

The Department of Housing & Urban Development (HUD) has released a Final Rule implementing the Housing Opportunity Through Modernization Act of 2016 (HOTMA). This final rule has not yet been published in the Federal Register. Publication in the Federal Register…

New Age Requirement for Required Minimum Distributions

January 13, 2023

Affordable housing managers know that regular distributions from retirement accounts are considered income, and when the distributions begin, the accounts are no longer considered assets. For this reason, knowing when a person is required to begin taking minimum distributions is…

House and Senate Add Homeless Students and Veterans as LIHTC Student Exception

December 4, 2022

On November 16, 2022, S. 5108 was introduced in the U.S. Senate, and H.R. 9313 was introduced in the U.S. House of Representatives. The title of the bill is “Housing for Homeless Students Act of 2022.” If the bill becomes…

2023 Income Limits Will Be Delayed

December 3, 2022

The U.S. Department of Housing & Urban Development (HUD) normally publishes annual income limits in early April of each year. However, complications with calculating the limits due to COVID-19 will cause a delay in the release of the limits in…

Average Income Final Regulation – Unit Designation Requirements

November 11, 2022

This is the third in my series of articles on the new Average Income Regulation. In this article, I will review the requirements relating to the designation of units. Designation of Imputed Income Limitations and Identification of Units The final…

A. J. Johnson Partners with Mid-Atlantic AHMA for December Training on Affordable Housing

November 8, 2022

During the month of December 2022, A. J. Johnson will be partnering with the MidAtlantic Affordable Housing Management Association for two in-person training sessions intended for real estate professionals, particularly those in the affordable multifamily housing field. Following the in-person…

Average Income Final Regulation – The Available Unit Rule

November 4, 2022

A short time ago I posted an article providing an overview of the new IRS final regulation on the Average Income Set-Aside. I promised to post a series of articles detailing some of the more complex elements of the final…

Average Income Final Regulation – Qualified Groups of Units and the Applicable Fraction

October 29, 2022

A short time ago I posted an article providing an overview of the new IRS final regulation on the Average Income Set-Aside. I promised to post a series of articles detailing some of the more complex elements of the final…

IRS Provides Unexpected Extension of COVID Relief

October 15, 2022

The IRS has published Notice 2022-52, providing unexpected extensions to HFAs and LIHTC properties due to the COVID pandemic. The relief has been granted due to unavoidable labor and supply-chain disruptions delaying the construction, rehabilitation, and restoration of properties throughout…

Significant Improvements in Final Average Income Regulation

October 14, 2022

The IRS released final and temporary regulations on the Low-Income Housing Tax Credit Average Income Test Regulations on October 7, 2022. The regulation is now in effect. In general, these substantive final regulations provide significant flexibility with respect to satisfying…

IRS Issues Final Average Income Regulation

October 8, 2022

On October 7, 2022, the IRS published final and temporary regulations on the average income set aside for the LIHTC program. A quick review of the regulation indicates that the “cliff test” has been eliminated and owners will have more…

A. J. Johnson Partners with CHFA on Live Webinar – What Happens After an 8823 is Issued?

October 3, 2022

A.J. Johnson will be presenting 8823s – What Happens After They Are Sent to the IRS on October 20, 2022, at 11:00 AM (EST). This class will be offered through Colorado Housing and Finance Authority’s chfareach educational programming for affordable housing property…

A. J. Johnson Partners with Enterprise to Provide LIHTC Training and HCCP Exam

October 1, 2022

On November 1, 2, and 3, A. J. Johnson will be partnering with Enterprise Community Partners for in-person training intended for real estate professionals, particularly those in the affordable multifamily housing field. Following the in-person training sessions, AJ will be…

IRS Final Regulation on Average Income Set-Aside Nearing Release

September 18, 2022

The IRS has sent final regulations relating to the Average Income (AI) test to the U.S. Office of Management & Budget for review. The final regulations were received by OMB on September 12, 2022. This is the final step before…

State & Local Fiscal Recovery Funds – A Source of Gap Funding for LIHTC Properties

August 13, 2022

The Coronavirus State and Local Fiscal Recovery Funds (SLFRF) program, a part of the American Rescue Plan, delivers $350 billion to state, local, and Tribal governments across the country to support their response to and recovery from the COVID-19 pandemic.…

A. J. Johnson to Host Live Webinar on End of Year LIHTC Compliance Requirements

August 8, 2022

A. J. Johnson will be conducting a webinar on September 8, 2022, on Ensuring Section 42 Compliance on December 31. The Webinar will be held from 1:00 PM to 2:30 PM Eastern time. Experienced LIHTC managers and compliance professionals all…

Freddie Mac Publishes Study of Risk of Affordable Housing Loss Due to Expiring LIHTC Extended Use

July 31, 2022

Freddie Mac (the Federal Home Loan Mortgage Corporation) has released a study titled “Risk and Impact of LIHTC Properties Exiting the Program: Examining the Risks of Expiring LIHTC Restrictions and the Outcomes of Properties that Exit.” As market rents continue…

Updated Registration Information for A. J. Johnson/Colorado Housing VAWA/LIHTC Webinar

July 16, 2022

A.J. Johnson will be presenting the Violence Against Women Act – Guidance for LIHTC Properties on August 4, 2022, at 11:00 am (EST). This class will be offered through Colorado Housing and Finance Authority’s chfareach educational programming for affordable housing property owners…

A. J. Johnson to Partner with the Colorado Housing Finance Authority on VAWA/LIHTC Live Webinar

July 11, 2022

A.J. Johnson will be partnering with the Colorado Housing Finance Authority (CHFA) in presenting the Violence Against Women Act – Guidance for LIHTC Properties on August 4, 2022, at 11:00 am (EST). This class will be offered through Colorado Housing and…

HUD Updates National Nonmetropolitan Income Limits

July 9, 2022

When the Department of Housing & Urban Development (HUD) published the 2022 income limits (effective April 18, 2022), the Department simultaneously published the National Nonmetropolitan Income Limits (NNMIL) as part of the Frequently Asked Questions (FAQ) section of the Income…

A. J. Johnson Partners with Colorado Housing on Average Income Webinar

June 26, 2022

A.J. Johnson will be presenting Average Income Minimum Set-Aside: Requirements and Best Practices on July 19, 2022, at 11:00 am (EST). This class will be offered through Colorado Housing and Finance Authority’s chfareach educational programming for affordable housing property owners and managers. The…

HUD Publishes 2022 Income Limits

April 19, 2022

On April 18, 2022, HUD published the 2022 income limits for HUD programs as well as for the Low-Income Housing Tax Credit and Tax-Exempt Bond programs. The limits are effective on April 18, 2022. The limits for the LIHTC and…

HUD Confirms That Child Tax Credit and Earned Income Tax Credit Are Not Income

March 5, 2022

New resources and information about the Child Tax Credit (CTC) and Earned Income Tax Credit (EITC) on now available on the HUD Exchange (www.hudexchange.info). The 2021 American Rescue Plan (ARP) temporarily increased the CTC from $2,000 per child to $3,000…

A. J. Johnson to Host Webinar of LIHTC Acquisition/Rehab Issues

February 23, 2022

A. J. Johnson will be conducting a 1.5-hour webinar on March 2, 2022, on Critical Issues Relating to the Acquisition & Rehabilitation of LIHTC properties. The Webinar will be held at 1:00 PM Eastern Time. This 1.5-hour session focuses on…

Treasury Inspector General Issues Report Critical of IRS LIHTC Oversight

February 5, 2022

On January 26, 2022, the Treasury Inspector General (IG) for Tax Administration released a report titled, “Oversight of the Low-Income Housing Tax Credit Program Can Be Improved.” The audit was initiated at the request of the previous Chairman of the…

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