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Έντυπο 8609-A Οδηγίες

Οδηγίες για το Έντυπο 8609-A, Ετήσια Δήλωση για Πιστώσεις Στέγασης Χαμηλών Εισόδων

Αναθ. Δεκεμβρίου 2021

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Department of the Treasury  
Internal Revenue Service  
Instructions for Form 8609-A  
Annual Statement for Low-Income Housing Credit  
(Rev. December 2021)  
Section references are to the Internal Revenue  
Code unless otherwise noted.  
Form 8609-A to its tax return. If you are a  
partner, shareholder, or beneficiary in the  
Building dispositions after July 30,  
2008. Disposing of a building or an  
pass-through entity that owns the building, interest therein will generate a credit  
file only Form 8586, Low-Income Housing  
Credit, to claim the credit using the  
information that the entity furnishes to you  
on Schedule K-1.  
recapture, unless it is reasonably  
expected that the building will continue to  
be operated as a qualified low-income  
building for the remainder of the building's  
compliance period.  
General Instructions  
Future Developments  
For the latest information about  
developments related to Form 8609-A and  
its instructions, such as legislation  
enacted after they were published, go to  
Recapture of Credit  
See section 42(j) and Notice 2021-12,  
If the qualified basis of the building has  
decreased from the qualified basis at the  
close of the previous tax year, you may  
have to recapture parts of the credits  
allowed in previous years. See Form  
8611, Recapture of Low-Income Housing  
Credit.  
section IV.D, as amended by Notice  
2022-5, section IV.D for more information.  
Sale of Building  
What's New  
Upon a change of ownership, the seller  
should give the new owner a copy of the  
Form 8609 (Parts I and II complete). This  
form allows the new owner to substantiate  
the credit.  
Minimum credit rate. The Taxpayer  
Certainty and Disaster Tax Relief Act of  
2020 set a new minimum applicable credit  
percentage of 4% for certain buildings.  
See Line 5, later.  
If the close of the first year of the  
credit period with respect to a  
building is on or after April 1,  
TIP  
2020, and on or before December 31,  
2022, then, for purposes of section 42(f)  
(3)(A)(ii), the qualified basis for the  
Specific Instructions  
Item and Line Instructions  
Part I—Compliance Information  
Item A. Enter the building identification  
number (BIN) from Part I, item E, of Form  
8609.  
Notice 2021-12. The instructions have  
been updated throughout, as needed, to  
reflect the temporary relief provided in  
Notice 2021-12, 2021-6 I.R.B. 828 (at  
clarified by Notice 2021-17, 2021-14  
n-21-17.pdf), and as amended by Notice  
2022-5, 2022-5 I.R.B. 457 (at  
building for the first year of the credit  
period is calculated by taking into account  
any increase in the number of low-income  
units by the close of the 6-month period  
following the close of that first year. See  
Notice 2021-12, section IV.E, as clarified  
by Notice 2021-17, and as amended by  
Notice 2022-5, section IV.E.  
Item B. You need to file one Form 8609-A  
for a newly constructed or existing  
Revenue Ruling 2021-20. As a result of  
Rev. Rul. 2021-20, 2021-51 I.R.B. 875 (at  
clarified by Rev. Proc. 2021-43, 2021-51  
rp-21-43.pdf), the 4% floor in section 42(b)  
(3) does not apply to certain  
building. You need to file a separate Form  
8609-A for section 42(e) rehabilitation  
expenditures because such expenditures  
are treated as creating a new building.  
Recapture and building dispositions.  
The disposition of a building, or an interest  
therein, will generate the recapture of the  
credit. You can prevent the recapture if  
you follow the procedures below, relative  
to the date of the disposition of the  
Item C. In order to claim the credit, you  
must have an original, signed Form 8609  
(or copy thereof) issued by a housing  
credit agency assigning a BIN for the  
building. This applies even if no allocation  
is required (as in the case of a building  
financed with tax-exempt bonds). Check  
“Yes” to certify that you have the required  
Form 8609 in your records.  
arrangements. See Line 5, later.  
building or the interest therein.  
Form 8586. References to former Part I,  
Buildings Placed in Service Before 2008,  
in Form 8586 have been removed from  
Line 18, later, to reflect changes in Form  
8586.  
Building dispositions before July  
31, 2008. Disposing of a building or an  
interest therein during the tax year will  
generate credit recapture, unless you  
timely post a satisfactory bond or pledge  
eligible U.S. Treasury securities as  
collateral. For details on the rules for  
posting or pledging, see Rev. Rul. 90-60,  
1990-2 C.B. 3, and Rev. Proc. 99-11,  
1991-1 C.B. 275.  
Any building owner claiming a  
Purpose of Form  
credit without receiving a  
!
Form 8609-A is filed by a building owner  
to report compliance with the low-income  
housing provisions and calculate the  
low-income housing credit. Form 8609-A  
must be filed by the building owner for  
each year of the 15-year compliance  
period. File one Form 8609-A for the  
allocation(s) for the acquisition of an  
existing building and a separate Form  
8609-A for the allocation(s) for  
CAUTION  
completed Form 8609 that is  
signed and dated by an authorized official  
of the housing credit agency and  
submitting the completed Form 8609 (Part  
I and Part II) to the IRS is subject to having  
the credit disallowed.  
Note. You may discontinue maintaining a  
bond or pledging eligible U.S. Treasury  
securities by making the election  
described in Rev. Proc. 2008-60, 2008-43  
I.R.B. 1006, and if it is reasonably  
expected that the building will continue to  
be operated as a qualified low-income  
building for the remainder of the building's  
compliance period. See Rev. Proc.  
2008-60 for the details on making the  
election.  
Item D. If “No,” stop here and see Form  
8611 to find out if you have to recapture  
part of the credit allowed in prior years.  
rehabilitation expenditures.  
Item E. If “Yes,” see the instructions for  
line 2 to figure the reduced qualified basis.  
Also, see Form 8611 to find out if you have  
to recapture part of the credit allowed in  
prior years.  
If the building owner is a partnership, S  
corporation, estate, or trust (pass-through  
entity), the entity will complete Form 8609  
and Form 8609-A. The entity will attach  
Feb 14, 2022  
Cat. No. 52335U  
 
If “No,” and the entire credit has been  
claimed in prior tax years (generally, this  
can occur after the 11th year for which the  
credit has been claimed for the building),  
do not complete Part II.  
low-income units to all residential rental  
units (the “unit fraction”) or the fractional  
amount of floor space of the low-income  
units to the floor space of all residential  
rental units (the “floor space fraction”).  
This fraction must be shown on line 2 as a  
decimal carried out to at least four places  
(for example, 50/100 = .5000). Low-income  
units are units occupied by qualifying  
tenants, while residential rental units are  
all units, whether or not occupied.  
Generally, a unit is not treated as a  
low-income unit unless it is suitable for  
occupancy, used other than on a transient  
basis, and occupied by qualifying tenants.  
Section 42(i)(3) provides for certain  
0.1250 on line 2 ([0.5 + 0.5 + 0.5] / 12 =  
0.1250).  
This first year adjustment does not  
affect the amount of qualified basis on  
which the credit is claimed in the next 9  
tax years. In general, the credit is claimed  
in those years by reference to the qualified  
basis at the close of each tax year.  
Part II—Computation of Credit  
Line 1. Generally, the eligible basis of a  
building for its entire 15-year compliance  
period is the amount of eligible basis  
entered on Form 8609, line 7.  
If the close of the first year of the  
credit period with respect to a  
building is on or after April 1,  
TIP  
Basis increases for buildings in  
certain high cost areas. In order to  
increase the credit for buildings in certain  
high cost areas, the housing credit agency  
may increase the eligible basis of  
2020, and on or before December 31,  
2022, then, for purposes of section 42(f)  
(3)(A)(ii), the qualified basis for the  
building for the first year of the credit  
period is calculated by taking into account  
any increase in the number of low-income  
units by the close of the 6-month period  
following the close of that first year. See  
Notice 2021-12, section IV.E, as clarified  
by Notice 2021-17, and as amended by  
Notice 2022-5, section IV.E.  
exceptions (for example, units that provide  
transitional housing for the homeless may  
qualify as low-income units). See section  
42(i)(3) for more details. Also see section  
42(g)(2)(D) regarding the available unit  
rule and Regulations section 1.42-5(c)(1)  
(ix) regarding the vacant unit rule.  
buildings located in these areas (after  
adjustments, if any, for federal subsidies  
and grants). The agency may make this  
increase under the high cost area  
provisions of section 42(d)(5)(B). For  
buildings placed in service before July 31,  
2008, the high cost area provisions under  
former section 42(d)(5)(C) apply.  
Because the first year credit is not  
determined solely by reference to the  
qualified basis at the close of the year, any  
reduction in credit resulting from the  
application of the first year adjustment  
may be claimed in the 11th year. See the  
instructions for line 17.  
If individuals are medical personnel or  
other essential workers (as defined by  
state or local governments) who provided  
services during the COVID-19 pandemic,  
then, for purposes of emergency housing  
provided from April 1, 2020, to December  
31, 2022, owners of low-income housing  
projects may treat these individuals as if  
they were “displaced individuals.” That is,  
owners could have provided emergency  
housing for these individuals during this  
period pursuant to the provisions of Rev.  
Proc. 2014-49, 2014-37 I.R.B 535 (at  
Rev. Proc. 2014-50, 2014-37 I.R.B. 540  
applicable. See Notice 2021-12,  
Note. This increase cannot cause the  
credit on line 15 to exceed the credit  
amount allocated on line 1b, Part I, of  
Form 8609.  
Basis reductions for buildings  
placed in service before July 31, 2008.  
The amount of eligible basis entered on  
Form 8609 does not include the cost of  
land or the amount of any federal grant  
received for the building during the first  
year of the credit period. Do not reduce  
the eligible basis on line 1 by the amounts  
of any federal grants received after the  
first year of the credit period. The  
Line 3. Generally, multiply line 1 by line 2  
to figure the portion of the eligible basis of  
the building attributable to the low-income  
residential rental units.  
Imputed qualified basis of zero.  
However, the qualified basis of the  
building (line 3) is zero if any of the  
following conditions apply.  
The minimum set-aside requirement  
calculation for line 14 will reduce the credit  
by the amount of any federal grants  
received during the compliance period  
that did not reduce the eligible basis  
during the first year of the credit period.  
For more details on determining eligible  
basis, see the instructions for Form 8609,  
line 7.  
section V.E, as amended by Notice  
2022-5, section V.E.  
elected for the project on Form 8609,  
line 10c, is not met, or the entire building is  
out of compliance with the requirements  
under section 42.  
If you dispose of the building, or your  
entire interest in the building, before the  
close of the tax year, the low-income  
portion must be determined on the date  
you disposed of the building. If you  
The deep rent skewed test (15-40 test)  
elected for the project on Form 8609,  
line 10d, is violated. The 15-40 test is not  
an additional test for satisfying the  
dispose of less than your entire interest in  
the building, the low-income portion must  
be determined at the close of the tax year.  
minimum set-aside requirements of  
section 42(g)(1). The 15-40 test is an  
election that relates to the determination of  
a low-income tenant's income. If this test  
is elected, at least 15% of all low-income  
units in the project must be occupied at all  
times during the compliance period by  
tenants whose income is 40% or less of  
the area median gross income (or, when  
applicable, national non-metropolitan  
median gross income or national  
Basis reductions for buildings  
placed in service after July 30, 2008.  
The amount of eligible basis entered on  
Form 8609 does not include the cost of  
land or the amount of any costs financed  
with the proceeds of a federally funded  
grant. Do not reduce the eligible basis on  
line 1 by the amounts of any federal grants  
received after the first year of the credit  
period. The calculation for line 14 will  
reduce the credit for any costs financed  
with the proceeds of a federal grant.  
First-year modified percentage. For  
the first year of the credit period, you must  
use a modified percentage on line 2 to  
reflect the average portion of a 12-month  
period that the units in a building were  
occupied by low-income individuals.  
Figure the low-income portion as of the  
end of each full month that the building  
was in service during the year. Add these  
percentages together and divide by 12.  
Enter the result on line 2. For example, if a  
building was in service for the last 3 full  
months of your tax year, and was half  
occupied by low-income tenants as of the  
end of each of those 3 months, then  
assuming the smaller fractional amount  
was the unit fraction, you would enter  
non-metropolitan median income).  
You disposed of the building or your  
For more details on determining eligible  
basis, see the instructions for Form 8609,  
line 7.  
entire interest therein during the tax year  
and did not follow the procedures  
(described earlier under Recapture and  
building dispositions) to prevent recapture.  
In addition to using an imputed basis of  
zero on line 3, you may have to recapture  
a portion of credits previously taken. File  
Form 8611 to figure and report the  
Line 2. Only the portion of the basis on  
line 1 attributable to the low-income rental  
units in the building at the close of the tax  
year qualifies for the credit. This is the  
smaller of the fractional amount of  
Instructions for Form 8609-A (Rev. 12-2021)  
-2-  
 
recaptured amount. This paragraph  
affects only those taxpayers who dispose  
of the building or their entire interest  
therein. Those acquiring the building (or  
any interest therein) are not affected and,  
if the minimum set-aside requirements are  
otherwise satisfied, they may take a credit  
for the fraction of the year the building is  
owned by them.  
$8,274. The seller will enter $8,274 on  
line 4 of his Form 8609-A. The buyer will  
multiply $20,000 by 214/365 to get  
$11,726. The buyer will enter $11,726 on  
line 4 of her Form 8609-A.  
July 30, 2008, see section 42(i)(2) (as in  
effect after July 30, 2008).  
A minimum applicable credit  
percentage of:  
!
CAUTION  
Pass-through entities. If the building  
is owned by a pass-through entity, the  
entity does not need to make any  
4% is in effect for new federally  
subsidized buildings, and for existing  
buildings, placed into service after  
adjustment on line 4, unless the entity  
either disposes of the building or its entire  
interest therein, or acquires the building or  
December 31, 2020. For the minimum 4%  
rate to apply, a building must also receive  
an allocation of housing credit dollar  
Note. If the qualified basis of the building  
is zero, or if the building has an imputed  
qualified basis of zero, you may not claim  
a credit for the building for the tax year.  
You must enter zero on lines 3 and 16,  
and skip lines 4 through 15, 17, and 18.  
an interest therein during the tax year (and amount after December 31, 2020, or have  
the entity previously had no interest in the  
building). Do not make an adjustment on  
line 4 for changes in the interests of the  
a portion of the building financed with an  
obligation described in section 42(h)(4)(A)  
that is issued after December 31, 2020. If  
members of the pass-through entity during these circumstances apply, don’t enter  
At-risk limitation for individuals and  
closely held corporations. The basis of  
property may be limited if you borrowed  
against the property and are protected  
against loss, or if you borrowed money  
from a person who has other than a  
creditor interest in the property. See  
section 42(k).  
the tax year. Instead, the entity must  
reflect these changes in the amount of  
credit it passes through to its members.  
less than 4% on line 2. See section 42(b)  
(3) and the Taxpayer Certainty and  
Disaster Tax Relief Act of 2020, section  
201. But see the Note next.  
Line 5. If the agency has made an  
allocation on Form 8609, enter on line 5  
the credit percentage shown on Form  
8609, Part I, line 2. This percentage must  
be shown on line 5 as a decimal carried  
out to at least four places (for example,  
8.13% would be shown on line 5 as  
0.0813).  
9% is in effect for new non-federally  
subsidized buildings placed in service  
after July 30, 2008. The 9% minimum  
applies to new non-federally subsidized  
buildings even if the taxpayer made an  
irrevocable election under former section  
42(b)(1)(A)(ii). If this circumstance  
applies, don’t enter less than 9% on line 2.  
See section 42(b)(2).  
Line 4. If you owned the building (or an  
interest therein) for the entire year, enter  
zero on line 4 and go to line 5.  
Disposal of building or interest  
therein. If you disposed of a building or  
your entire interest therein during the tax  
year and you followed the procedures  
(described earlier under Recapture and  
building dispositions) to continue to claim  
the credit, you may claim a credit based  
only on the number of days during the tax  
year for which you owned the building or  
an interest therein.  
Similarly, if you previously had no  
interest in the building, but you acquired  
the building or an interest therein during  
the tax year, you may claim a credit based  
only on the number of days during the tax  
year for which you owned the building or  
an interest therein.  
Buildings placed in service before  
July 31, 2008. If you were allocated a  
70% present value credit percentage for a  
building that was not federally subsidized  
(as defined on the date the building was  
placed in service) and the building later  
receives a federal subsidy, your credit  
percentage is reduced to the 30% present  
value credit that was in effect during the  
month the building was placed in service  
or for the month elected under former  
section 42(b)(2)(A)(ii), whichever applies.  
The 30% present value credit applies to  
the building for the year the federal  
subsidy was received and for the  
Note. As a result of Rev. Rul. 2021-20 (at  
clarified by Rev. Proc. 2021-43 (at  
4% floor in section 42(b)(3) does not  
apply to:  
A building that is financed in part with a  
draw-down exempt facility bond issue that  
was issued in 2020 and on which one or  
more draws are taken after December 31,  
2020;  
A building that is financed in part with  
proceeds of an exempt facility bond issue  
that was issued in 2020 and in part with  
proceeds of a different exempt facility  
bond issue that was issued in a minimal  
amount after December 31, 2020; or  
remainder of the compliance period,  
whether or not the federal subsidy is  
repaid. For the definition of federal  
The owner who has owned the building  
for the longest period during the month in  
which the change in ownership occurs is  
deemed to have owned the building for  
that month. If the seller and new owner  
have owned the building for the same  
amount of time during the month of  
subsidy that was in effect before July 31,  
2008, see section 42(i)(2) (as in effect  
before July 31, 2008).  
A building that receives an allocation of  
housing credit dollar amount in 2020 and a  
minimal additional allocation after  
December 31, 2020.  
Buildings placed in service after  
July 30, 2008. If you were allocated a  
70% present value credit percentage for a  
building that was not federally subsidized  
(as defined on the date the building was  
placed in service) and the building later  
receives a federal subsidy, your credit  
percentage is reduced to the 30% present  
value credit that was in effect during the  
month the building was placed in service  
or for the month elected under section  
42(b)(1)(A)(ii), whichever applies. The  
30% present value credit applies to the  
building for the year the federal subsidy  
was received and for the remainder of the  
compliance period, whether or not the  
federal subsidy is repaid. For the definition  
of federal subsidy that was in effect after  
Line 6. If you owned the building, or had  
an interest therein, for the entire tax year,  
multiply line 3 by line 5. If you had no  
ownership interest in the building for a  
portion of the tax year, multiply line 4 by  
line 5.  
disposition, the seller is deemed to have  
owned the building for that month.  
Example. Both the buyer and the  
seller are calendar-year taxpayers. The  
sale takes place on May 25 of a 365-day  
calendar year. The qualified basis of the  
low-income building is $20,000. The seller  
and buyer will each complete a separate  
Form 8609-A, and enter $20,000 on line 3.  
In this situation, the seller is deemed to  
have owned the building for all 31 days of  
May. Therefore, the seller owned the  
building for 151 days of the 365-day tax  
year, and the buyer owned the building for  
the remaining 214 days. The seller will  
multiply $20,000 by 151/365 to get  
Lines 7 Through 12  
If you are not claiming a credit for  
additions to qualified basis on line 7, skip  
lines 7 through 12 and go to line 13.  
You may claim a credit for an  
addition to qualified basis only if  
!
CAUTION  
the credit amounts have been  
allocated by the housing credit agency to  
cover these additions.  
Instructions for Form 8609-A (Rev. 12-2021)  
-3-  
     
relating to the increase were occupied.  
This adjustment is required if the increase  
in qualified basis of the building exceeds  
the qualified basis (including additions to  
qualified basis) of the building in any prior  
tax year. To determine this adjustment  
amount, complete the Line 11 Worksheet  
at the end of these instructions.  
Line 7. An addition to qualified basis  
results when there is an increase in the  
number of low-income units or an increase  
in the floor space of the low-income units  
over that which existed at the close of the  
first year of the credit period (before  
application of the modified percentage  
calculation). Credits for an addition to  
qualified basis are claimed at the reduced  
credit percentage of two-thirds of the  
credit percentage (expressed as a  
decimal carried out to at least four places)  
on line 5 through the end of the 15-year  
compliance period.  
If you are claiming a credit for additions  
to qualified basis, you must subtract the  
original qualified basis of the building at  
the close of the first year of the credit  
period (see Form 8609, line 8a) from the  
building's qualified basis entered on line 3.  
Enter the result on line 7. If the result is  
zero or less, skip lines 8 through 12 and  
enter the credit from line 6 on line 13.  
Line 16. To determine the amount to  
enter on line 16, see the information that  
follows in (1), (2), (3), and Special rules,  
later.  
1. If the building is owned completely  
by one taxpayer, enter the line 15 credit  
(after adjustment for any applicable  
special rule below) on line 16.  
2. If the building is owned by more  
than one taxpayer, and those taxpayers  
are not members of a pass-through entity,  
then the line 15 credit (after adjustment for  
any applicable special rule below) must be  
distributed according to each taxpayer's  
respective ownership interest in the  
Lines 13 Through 18  
Line 13. If you are not claiming a credit  
for additions to qualified basis on line 7,  
skip lines 7 through 12 and enter the  
amount from line 6 on line 13.  
Line 14. The eligible basis on line 1 must  
be reduced by federal grants received. If a  
reduction does not apply because this is  
the first year of the credit period (line 1  
already reflects the reduction or  
building. For example, if a building is  
owned by individuals A and B (60% by A  
and 40% by B), each would complete a  
separate Part II as follows. Lines 1 through  
15 would be the same for each, assuming  
no part-year adjustments are necessary.  
However, A would enter 60% of line 15 on  
line 16, and B would enter 40% of line 15  
on line 16. Therefore, enter on line 16 your  
share of the line 15 credit for the building  
that relates to your interest in the building.  
If your interest increases or decreases  
during the tax year, the change must be  
taken into account in determining your  
share of the line 15 credit.  
noninclusion of a federal grant), or no  
federal grant was received, enter zero on  
line 14. Otherwise, follow the instructions  
that apply for the date the building was  
placed in service.  
Line 8. The determinations and  
calculations you make on line 8 follow the  
instructions for line 4. Therefore, if you  
owned the building (or an interest therein)  
for the entire year, enter zero on line 8 and  
go to line 9.  
Buildings placed in service before  
July 31, 2008. Reduce the eligible basis  
on line 1 by the amount of any federal  
grant for the building, or the operation  
thereof, received during the 15-year  
compliance period.  
Disposal of building or interest  
therein. If you disposed of a building or  
your entire interest therein during the tax  
therein under Line 4, earlier; and,  
Note. The aggregate credit claimed by  
the owners of the building cannot exceed  
the line 15 credit amount for the building.  
Buildings placed in service after  
July 30, 2008. Reduce the eligible basis  
on line 1 by the amount of any costs  
financed by the proceeds of a federal  
grant.  
Regardless of the date the building was  
placed in service, figure the reduction as  
follows.  
3. If a pass-through entity is  
wherever line 3 and line 4 are referenced,  
substitute line 7 and line 8, respectively.  
completing Form 8609-A as the sole  
owner of the building, enter the line 15  
credit (after adjustment for any applicable  
special rule below) on line 16.  
Pass-through entities. If the building  
is owned by a pass-through entity, see  
Pass-through entities under Line 4, earlier;  
and, wherever line 4 is referenced,  
substitute line 8 instead.  
Special rules. If a taxpayer is subject  
to recapture upon the disposition of a  
building or interest therein because the  
taxpayer did not follow the procedures  
(described earlier under Recapture and  
building dispositions) to prevent recapture,  
no credit is allowed to the taxpayer for that  
percentage of the interest disposed of by  
the taxpayer. (However, see De minimis  
recapture rule, later.) The credit allowed to  
the taxpayer for the tax year is determined  
by reference to the taxpayer's remaining  
interest in the building at the close of the  
tax year. For example, assume that a  
taxpayer owns 100% of a building for 273  
days in a 365-day calendar tax year, and  
40% of the building for the remaining 92  
days in the tax year (the taxpayer  
Step 1. Divide the total amount of all  
federal grants received for the building  
during the compliance period that did not  
already reduce the amount of the eligible  
basis (reported on line 1) by the eligible  
basis on line 1 of this Form 8609-A. Enter  
the result as a decimal carried out to at  
least four places.  
Line 9. The credit for additions to the  
building's qualified basis is determined  
using two-thirds of the credit percentage  
allowable for the building's original  
qualified basis. Therefore, one-third of the  
credit percentage (expressed as a  
decimal carried out to at least four places)  
on line 5 is not allowed. Enter on line 9  
one-third of the amount shown on line 5.  
This amount must be reported on line 9 as  
a decimal carried out to at least four  
places (for example, if the credit  
Note. If the eligible basis on line 1 of this  
Form 8609-A was increased by a  
percentage allowable under section 42(d)  
(5)(B) (former section 42(d)(5)(C) for  
buildings placed in service before July 31,  
2008), and the increased percentage is  
reflected on line 3b of Form 8609, then  
increase the total amount of all federal  
grants in Step 1 by this percentage  
increase and divide this amount by the  
eligible basis on line 1 of this Form  
8609-A. For example, if the percentage  
increase is 130% and all federal grants  
total $11,000, multiply $11,000 by 1.3000  
and divide the result ($14,300) by the  
eligible basis on line 1.  
percentage entered on line 5 is 0.0813,  
one-third of that percentage would be  
expressed as 0.0271). See section 42(f)  
(3).  
disposed of a 60% interest on the last day  
of September). If the taxpayer does not  
follow the procedures to prevent  
Line 10. If you owned the building, or had  
an interest therein, for the entire tax year,  
multiply line 7 by line 9. If you had no  
ownership interest in the building for a  
portion of the tax year, multiply line 8 by  
line 9.  
recapture, the taxpayer's credit on line 16  
would be based on 40% of the line 15  
credit for the building. Similarly, although a  
taxpayer might not be subject to recapture  
upon a disposition of a de minimis portion  
(explained later) of the taxpayer's interest  
in the building, no credit is allowed to the  
taxpayer for the percentage of the interest  
Line 11. Additions to qualified basis must  
be adjusted to reflect the average portion  
of the year that the low-income units  
Step 2. Multiply the decimal amount  
determined in Step 1 by the credit on  
line 13. Enter this result on line 14.  
Instructions for Form 8609-A (Rev. 12-2021)  
-4-  
 
disposed of by the taxpayer. The credit  
allowed to the taxpayer for the tax year is  
determined by reference to the taxpayer's  
remaining interest in the building at the  
close of the tax year.  
partnerships to which section 42(j)(5)(B)  
applies) owning interests in qualified  
low-income buildings. The rule allows a  
partner to elect to avoid or defer recapture  
resulting from a disposition of interest in a  
partnership without posting bond (in a  
situation where it was necessary to post  
bond to avoid or defer recapture) until the  
partner has disposed of more than 331/3%  
of the partner's greatest total interest in the  
qualified low-income building through the  
partnership. See Rev. Rul. 90-60, 1990-2  
C.B. 3, for more information on the de  
minimis rule.  
the information. We need it to ensure that  
you are complying with these laws and to  
allow us to figure and collect the right  
amount of tax.  
You are not required to provide the  
information requested on a form that is  
subject to the Paperwork Reduction Act  
unless the form displays a valid OMB  
control number. Books or records relating  
to a form or its instructions must be  
retained as long as their contents may  
become material in the administration of  
any Internal Revenue law. Generally, tax  
returns and return information are  
If the taxpayer follows the procedures  
to prevent recapture, the taxpayer is  
allowed credit for the year both with  
respect to the ownership interest disposed  
of by the taxpayer and the interest  
retained by the taxpayer. For example,  
again assume that a taxpayer owns 100%  
of a building for the first 273 days in a  
365-day calendar tax year and 40% of the  
building for the last 92 days of the year.  
After following procedures, the taxpayer's  
credit on line 16 would be based upon  
273/365 of 100% (or 74.79%) of the  
line 15 credit for the building plus 92/365  
of 40% (or 10.08%) of the line 15 credit  
amount.  
If a taxpayer follows the procedures to  
prevent recapture upon the disposition of  
the building or upon a disposition of the  
taxpayer's entire interest in the building,  
the taxpayer's line 16 credit amount is  
determined by multiplying the line 15  
credit amount by the percentage interest  
in the building disposed of by the  
Upon application by the building owner,  
the IRS may waive any recapture of the  
low-income housing credit for any de  
minimis error in complying with the  
minimum set-aside requirements.  
confidential, as required by section 6103.  
The time needed to complete and file  
this form will vary depending on individual  
circumstances. The estimated burden for  
individual taxpayers filing this form is  
approved under OMB control number  
1545-0074 and is included in the  
Line 17. The first-year credit may have  
been reduced based on the number of full  
months the building was in service. The  
deferred balance of the credit for the first  
year is allowed in the 11th year. Include it  
on line 17 as a positive amount.  
For example, see the example under  
this is the 11th year, enter 0.8750 times  
the eligible basis of the building (line 1)  
times the credit percentage (line 5). The  
factor 0.8750 is 1.0000 minus 0.1250, the  
modified percentage figured for year 1 in  
the example.  
estimates shown in the instructions for  
their individual income tax return. The  
estimated burden for all other taxpayers  
who file this form is:  
Recordkeeping .  
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7 hr., 38 min.  
1 hr., 47 min.  
Learning about the law or the  
taxpayer. For example, if a building is  
owned by individuals A and B (60% by A  
and 40% by B) and on the last day of the  
fifth month of the tax year, C buys A's 60%  
interest in the building and A follows the  
procedures, then A would enter 60% of  
line 15 on line 16. (Lines 4 and 8 have  
already taken into account the 5 months of  
the tax year that A held an interest in the  
building.)  
form.  
Preparing and sending the  
form to the IRS  
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1 hr., 59 min.  
Line 18. Report this amount on line 3 of  
Form 8586. For buildings placed in service  
after December 31, 2007, the credit is not  
limited by the alternative minimum tax  
rules.  
If you have comments concerning the  
accuracy of these time estimates or  
suggestions for making this form simpler,  
we would be happy to hear from you. You  
can write to the Internal Revenue Service  
at the address listed in the instructions for  
the tax return with which this form is filed.  
De minimis recapture rule. For  
administrative purposes, the IRS has  
adopted a de minimis rule that applies to  
partners in partnerships (other than  
Paperwork Reduction Act Notice. We  
ask for the information on these forms to  
carry out the Internal Revenue laws of the  
United States. You are required to give us  
Line 11 Worksheet (Keep for Your Records)  
1
2
3
Enter the qualified basis of the building from line 3 of this tax year's Form 8609-A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  
1
2
Multiply the amount on line 1 of the previous year's Form 8609-A by the amount on line 2 of that Form 8609-A . . . . . . . . . . . . .  
Increased qualified basis. Subtract line 2 above from line 1 above. But if line 2 above is more than zero but less than the original  
qualified basis of the building entered on Form 8609, line 8a, then enter the amount from line 7 of this Form 8609-A instead.  
Note. If line 3 above is zero or less, do not complete the rest of this worksheet. Enter -0- on line 11 of Form 8609-A . . . . . . . . .  
3
4
Modified percentage. For each month during the tax year, figure the increase, if any, in the low-income portion of the building for  
that month over the low-income portion of the building at the close of the previous tax year (the amount on line 2 of the previous  
tax year's Form 8609-A). For example, if the previous tax year's low-income portion of 0.5000 remained at 0.5000 for the first 9  
months of this tax year and then increased to 0.7500 for October, November, and December, then subtract 0.5000 from 0.7500 to  
get an increase of 0.2500 for each month. Add these amounts together, divide by 12, and enter the result. (This amount must be  
shown as a decimal carried out to at least four places (for example, 0.2500 + 0.2500 + 0.2500 = 0.7500, divided by 12 =  
0.0625.)) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  
4
5
6
5
6
7
Increased qualified basis entitled to reduced credit. Multiply line 4 above by Form 8609-A, line 1 . . . . . . . . . . . . . . . . . . . . . .  
Increased qualified basis not entitled to reduced credit. Subtract line 5 above from line 3 above . . . . . . . . . . . . . . . . . . . . . .  
Line 11 modification. Multiply line 6 above by two-thirds of the amount on line 5 of Form 8609-A. Enter the result here and on  
line 11 of Form 8609-A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  
7
Instructions for Form 8609-A (Rev. 12-2021)  
-5-