Rules on Low Income Housing Tax Credits Close to Release

New rules on which rental units are eligible for the low-income housing tax credit left the White House’s Office of Information and Regulatory Affairs Friday.

The rules (RIN: 1545-BO92), which are nearing release, outline rent restriction requirements to qualify as a low-income housing project under Section 42.

• The amount of credit will be based on the percentage of housing units rented out to people below certain income thresholds.
• Some commenters, after the IRS proposed the rules in 2020, asked to be permitted to alter income limits for units. However, the rules state once units are designated ...