TCS Initial Occupancy and Move-In Procedures 1 — Questions and Answers
Question 1: Before a new LIHTC tenant moves in, the owner must complete which step first?
- Perform an annual recertification
- Verify and certify the household's income eligibility (Correct answer)
- Submit Form 8609 to the IRS
- Obtain state agency pre-approval for each tenant
Correct answer: Verify and certify the household's income eligibility
The owner must verify income and execute a Tenant Income Certification (TIC) before a household moves into a LIHTC unit.
Question 2: How long before move-in may an income certification remain valid under standard LIHTC rules?
- 30 days
- 60 days
- 120 days (Correct answer)
- 180 days
Correct answer: 120 days
A Tenant Income Certification is generally valid for up to 120 days before the tenant's move-in date.
Question 3: A household consists of two adults and one child. For LIHTC income eligibility, who must be included in the household income calculation?
- Only the head of household
- Both adults only
- All household members including the child (Correct answer)
- Only income-earning members
Correct answer: All household members including the child
Income from all household members, including minors with employment income, must be included in the eligibility calculation.
Question 4: Which item should be included in a new tenant move-in package at a LIHTC property?
- A copy of the owner's Form 8609
- The Tenant Income Certification signed by all adult household members (Correct answer)
- A list of all other tenants in the building
- A copy of the partnership agreement
Correct answer: The Tenant Income Certification signed by all adult household members
The move-in package must include a completed and signed Tenant Income Certification documenting the household's eligibility.
Question 5: What must an owner document when a unit is transferred from a non-LIHTC to a LIHTC unit?
- A new income certification for the current occupant (Correct answer)
- Approval from the original financing lender
- A state agency conversion permit
- A new lease effective on the transfer date only
Correct answer: A new income certification for the current occupant
When designating a unit as a LIHTC unit occupied by an existing resident, the owner must complete a new income certification to confirm current eligibility.
Question 6: A household applies and is found income-eligible. However, they cannot move in for 130 days due to a construction delay. What must the owner do?
- Use the original certification since it is close to the 120-day limit
- Obtain a state agency extension waiver
- Recertify the household's income with updated documentation (Correct answer)
- Place the household on the waiting list as a new applicant
Correct answer: Recertify the household's income with updated documentation
Because more than 120 days have passed, the original income certification has expired and a new certification with updated income documentation is required.
TCS Initial Occupancy and Move-In Procedures 1
Before a new LIHTC tenant moves in, the owner must complete which step first?