New 8823, tax credit guidance

Novogradac's new Property Compliance Report notes a newly IRS-issued Form 8823, "Low-Income Housing Credit Agencies Report of Noncompliance or Building Disposition," and also makes an interesting point about the Notice 2005-69 disaster housing waivers. Of course it has been widely noted that the waiver allows displaced households of any income level to stay in tax credit units provided the projects follow all procedures set out in the Notice (including listing vacant units at www.swern.gov) -- but the Novoco folks point out that "the units still need to be charged rents in accordance with Sec. 42."

Notice 2005-69 and a number of other hurricane-related waivers of tax requirements can be found in the October 3 Internal Revenue Bulletin, which was recently posted, together with the Oct. 11 edition, on the IRS' IRB directory page.