Potent Potables
This tool can be used to increase cash flow by increasing the income limit beyond 60% AMI of some units as long as the average income is still at or below 60% for the building.
What is the Average Income Test (or income averaging)
LIHTC was created through this legislation making it just slightly older than the host of this game show.
What is the Tax Reform Act of 1986?
This statutory requirement mandates that a development incurs 10% of its reasonably expected basis within 12 months of the date of the Carryover Allocation
What is the 10% Test?
ROFR
Right of First Refusal
The 4% credit subsidizes about this much of total development cost?
What is 30%?
Being located in one of these two federally designated types of Census Tracts allows the project to claim credits on 130% of Eligible Basis.
What is a QCT or DDA?
The 9% per capita amount was tied to inflation during this president's administration.
Who is George W. Bush?
In a hypothetical building that would definitely not be financially feasible, there are 100 units and 40 of them are restricted and affordable to tenants making 60% of the AMI
What is the 40-60 test?
LURA
What is the Land Use Restrictive Agreement?
The 9% credit subsidizes about this much of total development cost?
What is 70%?
This program, operated by Public Housing Authorities, can provide a rental subsidy to tenants, and can serve as a shot to struggling proformas, allowing them to leverage more debt.
What is the Project Based Voucher Program?
Major historical events of this year: NAFTA was signed, Toronto Blue Jays won the World Series, and the Low Income Housing Tax Credit was made permanent.
What is 1993?
Starting next month, projects seeking 4% LIHTC must meet this test
What is the 25% test
What is the National Environmental Policy Act?
This is the only third-party report mentioned as a requirement in Section 42 of the IRC.
What is the market study?
Death and Taxes (well at half of it) may not be certain if a municipality is willing to grant you this tool which helps lower operating expenses?
What is a Tax Abatement?
3,700,000
In Florida's Live Local program, there is a stated goal of "mixed income" housing. This test allows the project to set aside fewer, but more deeply targeted low income units and have more 80% units
What is the 20-50 test (with the addition of average income)
TEFRA
The Tax Equity and Fiscal Responsibility Act
It's late September and the census tract your project is located in will not be a DDA or QCT as of January 1, 2026 this is a solution to preserve the 30% basis boost.
What is submitting a complete bond application by December 31st giving the project 730 days to have the bonds issued?
Ooof, the proforma continues to look ROUGH. But good news! We have partnered with a qualified non-profit organization which allows us to claim this benefit in some markets.
What is the sales tax exemption?
These presidents either extended or expanded the LIHTC Program.
In another development that is certainly not feasible, there are 200 units, 50 of them are restricted to and occupied by people making 60% of AMI why is this ok?
Because it's in New York City.
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What is nothing? It's capitalized for no reason at all.
This two-time Academy Award nominee's grandparents founded Enterprise Community Partners where he has served as a Trustee since 1998. Hint: There is no rule prohibiting talking about being in the LIHTC Club
Who is Edward Norton?