There’s a narrower definition of excluded income now. Low-income housing tax credit law requires site owners to use HUD’s Section 8 rules when calculating household income. According to Treasury Regulations §1.42-5(b)(1)(vii), “Tenant income is calculated in a manner consistent with the determination of annual income under Section 8 of the U.S. Housing Act of 1937.” Given this requirement, understanding how Housing Opportunity Through Modernization Act (HOTMA) provisions affect income calculations is crucial.
Understanding the program can help you market your site. The Section 45L tax credit is a federal tax credit intended to foster the development of energy-efficient homes and buildings. The credit was first introduced as a tax deduction under the Energy Policy Act of 2005. At the time, it allowed developers of energy-efficient residential properties to claim a deduction of up to $2,000 per unit for eligible construction or rehabilitation projects meeting specific energy-efficiency criteria.
HUD warns against artificial intelligence-based housing discrimination. The use of artificial intelligence (AI) technologies in the multifamily industry has been raising red flags. As an increasing number of tenant screening companies claim to use AI to detect “higher-risk renters,” housing and privacy advocates are sounding the alarm on opaque algorithms that they say are enabling high-tech discrimination and amplifying existing biases in an already unequal housing market.
Broken air conditioners are a red flag to NSPIRE inspectors. Keeping your residents cool and comfortable in the summer should be one of your top priorities. If summer hits before you’re prepared and your air-conditioning system breaks down, you risk angering residents who will have to endure sweltering heat. Some residents may even try to deduct money from their rent for the time the air-conditioning system was broken.
This year marks the 56th anniversary of the Fair Housing Act (FHA), enacted by Congress on April 11, 1968. The FHA has been amended several times and now prohibits housing discrimination based on race, color national origin, religion, sex (including gender identity and sexual orientation), disability, and familial status.
Four new types of income will no longer impact eligibility calculations. Specific sources of income are excluded by federal statute from consideration as income for purposes of determining eligibility for, or benefits in, a HUD program. By extension, these income exclusions also apply to the LIHTC program. This is because tax credit law requires owners to use HUD rules regarding income calculations.
Income limit increases will be capped at 10%. On Jan. 10, HUD published a notice on changes the agency is intending to make to the methodology used for calculating Section 8 income limits. HUD publishes these income limits each year based on changes to each housing area’s median income. In calculating the income limits for each housing area, HUD relies on census data, subject to various rules and adjustments.
We give you 6 guidelines to follow. A definite plan to deal with potential disasters at your site is an important element of providing a safe environment for your staff and residents. The U.S. is experiencing more frequent and intense weather- and climate-related hazards such as hurricanes, wildfires, and flooding. These extreme weather events can lead to flooding, power loss, property damage, transportation disruptions, interrupted access to critical resources, and even loss of life.
Prepare for how these annual changes will affect income, asset, and eligibility determinations. Low-income housing tax credit law requires site owners to use HUD’s Section 8 rules regarding income calculations. According to Treasury Regulations §1.42-5(b)(1)(vii), “Tenant income is calculated in a manner consistent with the determination of annual income under Section 8 of the U.S. Housing Act of 1937.”
