IRS Provides Guidance on Qualified Residential Rental Projects

In a recent Revenue Procedure, the IRS has provided guidance on the general public use requirements for qualified residential rental projects financed with tax-exempt bonds under IRC Sec. 142(d). Specifically, the guidance coordinates the general public use requirements with provisions applicable to the low-income housing credit under IRC Sec. 42. As such, a qualified residential rental project will not fail to meet the general public use requirements applicable to exempt facilities solely because of occupancy restrictions or preferences that favor certain tenants (like military veterans). The IRS has determined this rule is necessary because low-income housing credits and exempt facility bonds are often used together to finance residential rental projects. However, the guidance doesn't affect the rules applicable to bonds that finance other exempt facilities. The Revenue Procedure applies to bonds sold before, on, or after 4/3/19. Rev. Proc. 2019-17.

Source :Thomson Reuters/PPC.

Comments

Post a Comment

Popular posts from this blog

Achieve Tax Resolution with an Offer in Compromise

Image
Did you know that you can settle your debt with the IRS for just small amount on the dollar with their Offer in Compromise program? The program allows taxpayers to settle with the IRS on tax debt that has been not correctly assessed or for liabilities they cannot afford to pay. . It's a program for taxpayers who owe the ‏IRS more money than they can afford to pay. It’s the IRS’s version of a "fresh start" when it comes to  back tax debt. If approved, the IRS accept a lesser amount sometimes a fraction of what’s owed to settle your debt. Therefore, it is not always easy to gain approval due to its strict criteria. Your odds for acceptance increase significantly when you have experience negotiating with the Internal Revenue Service. The IRS considers your income, assets, expenses, ability to pay, & whether paying the full amount would cause financial hardship. For more Information You Need to Submit an Application for an Offer in Compromise.. It's
Read more

Homeowner Alert! Review Your Tax Forms New tax rules are creating confusion

Image
B ecause of new laws many home related tax rules have changed and now require you to prove how funds are used to qualify for a deduction. This is catching many taxpayers by surprise. So when your mortgage company reports tax-related information to you and the IRS using Form 1098, it no longer means all the interest and points reported on these statements are tax-deductible. Mortgage interest deductions have new loan amount limits. For new mortgages starting on or after Dec. 15, 2017, you can deduct interest on up to $750,000 of the loan (down from $1 million for mortgages initiated before Dec. 15, 2021) . If your original mortgage is above the threshold, a calculation will be done to determine the deductible amount of interest. You can’t simply deduct the full amount of interest being reported on your Form 1098. Proceeds not used to buy a home add complexity. Proceeds from home equity debt that are not used to build, buy or substantially improve a qualified home are no longer t
Read more