Low Income Housing Tax Credit
Low income housing tax credit.
Low income housing tax credit. The low income housing tax credit lihtc often pronounced lie tech housing credit is a dollar for dollar tax credit in the united states for affordable housing investments. Since the program s inception nearly 3. The lihtc database created by hud and available to the public since 1997 contains information on 48 672 projects and 3 23 million housing units placed in service between 1987 and 2018. The low income housing tax credit lihtc is the most important resource for creating affordable housing in the united states today.
The low income housing tax credit lihtc subsidizes the acquisition construction and rehabilitation of affordable rental housing for low and moderate income tenants. It s paid for by the federal government and administered by the states according to their own affordable housing needs. The low income housing tax credit is a tax credit for real estate developers and investors who make their properties available as affordable housing for low income americans. Since the mid 1990s the lihtc program has supported the construction or.
It was created under the tax reform act of 1986 tra86 and gives incentives for the utilization of private equity in the development of affordable housing aimed at low income americans.