Housing Plus

Housing Plus

Guidance and legal insight for all aspects of housing and community development

By the Housing Group at Ballard Spahr

Category Archives: New Markets Tax Credits

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Tax Reform – Proposed Legislation Protecting Affordable Housing

Posted in Historic Tax Credits, Housing Bonds, Legislative Initiatives, Low Income Housing Tax Credits, New Markets Tax Credits, Policy, Tax Credits, Tax Reform, Tax-Exempt Bonds
After legislation to repeal the Affordable Care Act was pulled from the House floor last Friday, news headlines across the country began reporting that tax reform is next on the Trump Administration’s agenda. As noted in our prior blog post, tax reform that changes the corporate tax rate, the tax-exempt bonds program and the tax-credit… Continue Reading

Obama Administration’s FY 2016 budget would modify LIHTCs, permanently extend NMTC and energy tax credits

Posted in Budget, Energy Tax Incentives, Legislative Initiatives, Low Income Housing Tax Credits, New Markets Tax Credits, Policy, Tax Credits
As in prior years, the Obama administration’s FY 2016 budget includes a number of impactful, and generally positive, tax credit proposals. With respect to the Low-Income Housing Tax Credit (LIHTC), the budget retains many of last year’s proposed modifications, and adds a new proposal to remove the population cap for Qualified Census Tract designations. Specifically, the… Continue Reading

CDFI Fund FAQ clarifies subsidiary CDE dissolution/decertification process

Posted in New Markets Tax Credits, Tax Credits
In a previous Housing Plus blog post on January 7, 2015, I described the various updates to the CDFI Fund’s Frequently Asked Questions document for the New Markets Tax Credit (“NMTC”) program.  The most significant update may be the guidance relating to dissolving or decertifying subsidiary Community Development Entities (“CDEs”) at the end of the… Continue Reading

CDFI Fund Releases Updated Compliance FAQ

Posted in New Markets Tax Credits, Tax Credits
On Friday January 2, the CDFI Fund released an updated Frequently Asked Questions document for New Markets Tax Credit (“NMTC”) questions relating to certification, compliance monitoring, and evaluation. The updated FAQ supersedes a prior document released in September 2011. The updated guidance addresses the following issues: Dissolution of subsidiary – Community Development Entities (“CDEs”); Termination… Continue Reading

Senate passes Tax Extender Package at 11th hour

Posted in Energy Tax Incentives, Historic Tax Credits, Low Income Housing Tax Credits, New Markets Tax Credits, Policy, Tax Credits, Tax Reform, Uncategorized
The Senate passed the “Tax Increase Prevention Act of 2014” (H.R. 5771) on Tuesday night just before Congress adjourned for 2014. As Molly Bryson described in her December 5, 2014 post following the House’s passage of the bill, the tax extenders package provides a one-year retroactive extension of certain tax provisions that expired at the… Continue Reading

Using the New Markets Tax Credit to combat chronic homelessness

Posted in Community Development, New Markets Tax Credits, Tax Credits
The NMTC is a great tool to finance temporary housing shelters and related facilities to combat chronic homelessness around the county. Blanchet House of Hospitality – Portland, Oregon In 2011, USBCDC, one of the largest New Markets Tax Credit investors, used the credit to finance a facility for Blanchet House of Hospitality, a social services… Continue Reading

Comments requested regarding proposed guidance on the Community Reinvestment Act

Posted in Community Development, New Markets Tax Credits, Policy
The Office of the Comptroller of the Currency, Treasury, the Board of Governors of the Federal Reserve System and the Federal Deposit Insurance Corporation are the federal agencies that implement the Community Reinvestment Act (CRA). These agencies also provide guidance to agency personnel, financial institutions and the public in the form of written guidance called… Continue Reading

CDFI Fund provides guidance for CY 2014 NMTC Program participants

Posted in New Markets Tax Credits
Last week, the CDFI Fund provided guidance for CY 2014 NMTC Program applicants by updating its 2014 NMTC Program Allocation Application Frequently Asked Questions.  Responding to various questions it received during its August 12th and August 14th conference calls regarding the application process, the CDFI Fund responded to many questions and concerns raised during those… Continue Reading

CDFI Fund announces New Markets Tax Credit Notice of Allocation Availability

Posted in New Markets Tax Credits, Tax Credits
The U.S. Department of the Treasury’s Community Development Financial Institutions Fund (“CDFI Fund”) on August 5 released a Notice of Allocation Availability (“NOAA”) for its New Markets Tax Credit (“NMTC”) program in calendar year 2014. The CDFI Fund announced up to $5 billion of NMTC investment authority to be used to spur investment in qualified… Continue Reading

Get to know a NMTC Housing Deal (first in an ongoing series)

Posted in Government-Assisted Housing, New Markets Tax Credits, Policy, Senior Housing, Supportive Services, Tax Credits
This is a new feature of the Ballard Spahr Housing Plus blog.  We’d like to feature housing projects around the country that use the NMTC for a piece of the finance strategy.  This installment finds us in Moss Point, Mississippi. Hope Enterprise Corporation and Hope Credit Union (HOPE) – an affiliate of NeighborWorks – and Habitat for… Continue Reading

$3.5 billion New Markets Tax Credit announcement

Posted in Government-Assisted Housing, New Markets Tax Credits, Tax Credits
On June 5, 2014, the U.S. Department of Treasury Community Development Financial Institution Fund (CDFI) announced that 87 Community Development Entities have been selected to receive $3.5 billion in New Markets Tax Credit (NMTC) awards. A list of the Community Development Entities, the amounts and principal service area to be served can be found on… Continue Reading

Senate Finance Committee to mark-up tax extender package today

Posted in Low Income Housing Tax Credits, New Markets Tax Credits, Tax Credits
The Senate Finance Committee is meeting today to mark-up the Expiring Provisions Improvement Reform and Efficiency (EXPIRE) Act, which is designed to extend certain tax provisions that either expired in 2013 or are set to expire at the end of 2014. Of particular interest to readers are the proposals that would extend the temporary minimum 9% LIHTC credit rate… Continue Reading

Camp’s tax reform proposal would retain, but limit federal LIHTC program

Posted in Legislative Initiatives, Low Income Housing Tax Credits, New Markets Tax Credits, Tax Credits
On February 26, 2014, House Ways and Means Committee Chairman Dave Camp (R-MI) released a draft legislative proposal for comprehensive tax reform. The proposal would retain the federal low-income housing tax credit (the “LIHTC”), but make fundamental changes to the LIHTC program. Some of the more significant changes include: repealing the 4% LIHTC for tax-exempt… Continue Reading