The Federal Low-income Housing Tax Credit (LIHTC) helps generate affordable housing throughout the U.S. The tax credit program is administered by each individual State on behalf of the federal government.
There are two general programs: 1) 9% competitive LIHTC awarded by each State annually to projects, and 2) 4% non-competitive LIHTC used in conjunction with tax-exempt bonds. Each State will then have certain criteria used to evaluate projects that desire to utilize LIHTCs.
If you are interested in learning about LIHTCs and how they might work for your project, please do not hesitate to contact BW&A.