Get the free 2004 Federal Low-Income Housing Tax Credit Carryover Allocation - state ar

This document is used by the Arkansas Development Finance Authority to allocate federal low-income housing tax credits to a development owner, based on certain certifications and financial representations.

How to fill out 2004 federal low-income housing

How to fill out 2004 Federal Low-Income Housing Tax Credit Carryover Allocation

1. Gather all necessary financial documents and tax information related to the project.
2. Identify the amount of Low-Income Housing Tax Credits (LIHTC) allocated to the project for 2004.
3. Complete IRS Form 8609, including the property address and credit allocation details.
4. Specify the amount of credit to carryover on the form and provide any necessary supporting documentation.
5. Submit the completed Form 8609 to the IRS along with your tax return for the year.
6. Keep copies of all forms and documentation for your records and ensure compliance with all applicable deadlines.

Who needs 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

1. Developers or owners of low-income housing projects who have received LIHTC allocations but have not utilized the credits within the designated period.
2. Taxpayers seeking to claim any unclaimed low-income housing tax credits from previous years.
3. Investors involved in low-income housing projects looking to maximize their tax credits.

People Also Ask about

Does low-income housing affect your taxes?

A tax credit is a dollar-for-dollar reduction in the amount of tax you owe. The Low-Income Housing Tax Credit (LIHTC) is a federal program for individuals who invest in low-income housing and is designed to encourage private investment in affordable housing for low-income people and families.

Why are investors attracted to the low-income housing tax credit program?

Provides Tax Benefits for Investors Investors who purchase LIHTCs can offset their federal income tax liability, making it an attractive financial investment. Investments in LIHTC projects are considered relatively low risk, as housing is a stable and consistent asset class.

How does the low income housing tax credit work?

The LIHTC gives investors a dollar-for-dollar reduction in their federal tax liability in exchange for providing financing to develop affordable rental housing. Investors' equity contribution subsidizes low-income housing development, thus allowing some units to rent at below-market rates.

What is a carryover allocation?

Carryover Allocation means an Allocation made to the Project if the Project will not be Placed in Service by close of the calendar year of the Allocation.

What is a qualified allocation plan for low income housing tax credit?

The federal Low Income Housing Tax Credit program requires each state agency that allocates tax credits, generally called a housing finance agency, to have a Qualified Allocation Plan (QAP). The QAP sets out the state's eligibility priorities and criteria for awarding federal tax credits to housing properties.

What are the problems with low income housing tax credits?

The LIHTC has had substantial bipartisan support, but it is a complex and inefficient solution to housing affordability. The tax credits raise the costs of housing projects and partly displace market-based housing. They generate fraud and corruption in some places, and only a portion of the tax benefits go to tenants.

What are the negative effects of low-income housing?

Dilapidated public housing can expose residents to toxins like lead, asbestos and mold. Studies also show that poor housing conditions can harm mental health, which impacts quality of life and ability to provide.

Why doesn't low-income housing work?

Most developers rely on loans to fund their projects, loans that are out of reach when the units cannot generate enough revenue to pay lenders. Affordable housing is not affordable when the cost of building the units exceeds what the people meant to live there can afford to pay.

For pdfFiller’s FAQs

What is 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

The 2004 Federal Low-Income Housing Tax Credit Carryover Allocation is a provision that allows states to allocate tax credits for affordable housing projects that were not fully utilized in the initial year, enabling developers to defer those credits for future use.

Who is required to file 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

Developers of low-income housing projects who wish to claim carryover credits must file the 2004 Federal Low-Income Housing Tax Credit Carryover Allocation with the appropriate state housing agency.

How to fill out 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

To fill out the 2004 Federal Low-Income Housing Tax Credit Carryover Allocation, one should provide details on the project, including the allocation amount, the year the project was initially allocated credits, and any relevant data regarding compliance with low-income housing requirements.

What is the purpose of 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

The purpose of the 2004 Federal Low-Income Housing Tax Credit Carryover Allocation is to facilitate the financing of affordable rental housing projects by allowing tax credits to be carried over when they are not used in the year of allocation.

What information must be reported on 2004 Federal Low-Income Housing Tax Credit Carryover Allocation?

The information reported on the 2004 Federal Low-Income Housing Tax Credit Carryover Allocation includes the date of allocation, the amount of credit being carried over, project details, and compliance status regarding low-income occupancy.