The Internal Revenue Service has announced an increase in the low-income housing tax credit (LIHTC) and private-activity bond caps for 2020.

The amount used to calculate the state credit ceiling for LIHTCs will be the greater of $2.8125 multiplied by the state population, a 2% increase over this year, or the small state minimum of $3,217,500, a $50,625 increase over this year.

For private-activity bonds, the amount used to calculate the volume cap will remain $105 multiplied by the state population. The state minimum will be $321,775,000, a $5,030,000 increase over this year, according to Revenue Procedure 2019-44.