The Internal Revenue Service has announced an increase in the low-income housing tax credit (LIHTC) and private-activity bond volume caps for 2018.
The amount used to calculate the LIHTC state ceiling will be $2.40 multiplied by the state population, up from $2.35 the past two years. The small state minimum will be $2,765,000, a $55,000 increase from $2,710,000.
On the bond side, the amount used to calculate the state ceiling will be the greater of $105 times the state population or $311,375,000. That’s an increase from this year’s cap of $100 multiplied by the population or $305,315,000.
The volume caps were announced in IRS Rev. Proc. 2017-58.
