LIHTC

The 45L credit was initially introduced as a tax deduction under the Energy Policy Act of 2005. Initially, it allowed developers of energy-efficient residential properties, including multifamily buildings, to claim a deduction of up to $2,000 per unit for eligible construction or rehabilitation projects meeting specific energy-efficiency criteria. 

Members of Congress who addressed the Affordable Housing Tax Credit Coalition’s Spring Meeting on Capitol Hill this week indicated that they still see a possibility of passing parts of the Affordable Housing Tax Credit Improvement Act before Congress adjourns for the year.

The Senate has yet to take up the Tax Relief for American Families and Workers Act (H.R. 7024), which passed the House in January and contains two critical LIHTC provisions.

During her testimony before the House Ways and Means Committee Treasury Secretary Janet Yellen said, “President Biden and I are taking additional actions to bring down the cost of key household expenses like energy, prescription drugs and housing.”

HUD published the 2024 Income Limits, which determine eligibility for assisted housing programs, including the Public Housing, Section 8 project-based, Section 8 Housing Choice Voucher, Section 202 housing for the elderly and Section 811 housing for persons with disabilities programs, as well as Multifamily Tax Subsidy Project (MTSP) income limits that determine eligibility for LIHTC and tax-exempt private activity bond (PAB)-financed properties.

In the 23rd Chelsea Associates case, the U.S. Tax Court ruled that an appropriate share of finance costs attributable to the construction period of the affordable housing part of a project can be included in tax credit basis.

NH&RA joined with 120 national and state affordable housing organizations in a letter to Senate leadership, urging the Senate to enact the LIHTC provisions included in the legislation.

Last week, the House of Representatives voted overwhelmingly (357-70) to pass The Tax Relief for American Families and Workers Act of 2024 (H.R. 7024).

The ACTION Campaign updated their national, state and district fact sheets highlighting the newest data on the Housing Credit and its impact in communities across the nation.

The U.S. Department of the Treasury, Internal Revenue Service (IRS) and Department of Energy (DOE) announced that the Low-Income Communities Bonus Credit Program received more than 46,000 applications within the initial 30-day application period.

The Wisconsin Housing and Economic Development Authority (WHEDA) is now accepting applications for the upcoming round of federal and state tax credits, which finance affordable workforce housing.

The Louisiana Housing Corporation released the 2024 LIHTC Application Log, which details projects requested in the state, the type of construction, total units and the amount of the project.