HCCP HCCP Annual Certification Procedures

Question 1

What is the primary purpose of the Annual Owner Certification (AOC) submitted to the state housing finance agency?

Accepted Answer

To certify that the property remained in compliance with all LIHTC program requirements during the prior year

Answer

To apply for a new allocation of tax credits

Answer

To request an extension of the compliance period

Answer

To report changes in property ownership

Question 2

How frequently must LIHTC property owners recertify the income of existing tenants in units under the general public use rule?

Accepted Answer

Annually, unless the state agency has adopted the available income-averaging recertification relief

Answer

Every two years for all tenants regardless of state agency rules

Answer

Only at initial move-in and then at year 15

Answer

Only when a tenant's income visibly changes

Question 3

What information must be collected during a LIHTC tenant annual recertification?

Accepted Answer

Current household income, household composition, and student status of all household members

Answer

Only the tenant's current employment status

Answer

Credit score and rental payment history

Answer

Original move-in application and background check

Question 4

Under IRS rules, what is the deadline for completing a tenant's annual recertification relative to their move-in anniversary date?

Accepted Answer

The recertification must be completed by the anniversary of the tenant's move-in date each year

Answer

Within 90 days after the end of the calendar year

Answer

Within 60 days before the lease renewal date

Answer

By March 31 of each calendar year for all tenants

Question 5

Which IRS form is used to document the initial low-income unit certification for a LIHTC property?

Accepted Answer

Form 8609-A

Answer

Form 8823

Answer

Form 8586

Answer

Form 1099-H

Question 6

If a state housing finance agency does not receive an owner's Annual Owner Certification by the required deadline, what is the most likely consequence?

Accepted Answer

The agency may treat the failure as noncompliance and file Form 8823 with the IRS

Answer

The property automatically loses all remaining tax credits

Answer

The owner receives a 90-day automatic extension

Answer

The tenants are notified and must self-certify