Low-Income Housing Tax Credit (LIHTC)

The federal income tax credit is administered by the states. The federal government allocates LIHTCs to each state based on a statutory amount per resident and the population of the state. The state awards the tax credit allocations to developers based on competition and criteria set forth in the state's housing allocation plan.

Taxpayers receiving tax credit allocations are required to submit ten-percent carryover certifications to the states when the project is not placed in service in the year of the preliminary allocation. The IRS also requires that the taxpayer submit to the state an audit of the project's total costs and the costs that qualify for inclusion in the eligible basis.  Most low-income housing tax credit properties are required to be audited by the language of the organizational agreement of the project owner.  Our firm provides all of these audit services to our clients.

...Home is the most popular, and will be the most enduring of all earthly establishments."
~ Channing Pollock, American playwright & writer