IRS Finalizes Rules for Low-Income Housing Credit Test (2)

The IRS released final rules outlining which rental units are eligible for the low income housing tax credit on Friday.

The final regulations (TD 9967, RIN: 1545-BO92) specify rent restriction requirements to qualify as a low-income housing project under Section 42. IRS also proposed rules (REG-113068-22, RIN 1545-BQ47) concerning recordkeeping and reporting requirements for the average income test for purposes of the low-income housing credit.

“To close the supply gap and expand housing affordability, the Administration continues to urge Congress to act on a bipartisan basis to support the construction and preservation of affordable housing this year,” said a ...