Agencies Require Repayment of Tax Credit Exchange Assistance for Violations of State Requirements

摘要

Some state housing tax credit agencies are requiring repayment of low-income housing tax credit exchange funds for violations of state requirements, despite Treasury Department rules requiring repayment only for recapture events, according to some tax practitioners.rn"States are pushing the envelope of being able to require repayment for recapture events to include violation of state requirements," said Glenn Graff, an attorney with Applegate & Thorne-Thomsen, P.C. in Chicago. "Treasury has said that the only way to require repayment is if there is a recapture event as defined by Treasury during the compliance period."