Instructions For Form 8609 - 2007 printable pdf download

Form 8609 (Rev. 12-2007)

Page

Note. The housing credit agency may require

What’s New

a. The allocation is made during the project

you to submit a copy of Form 8609 with a

period,

Buildings located in the Gulf Opportunity (GO)

completed Part II to the agency. You should

b. The allocation applies only to buildings

Zone, Rita GO Zone, and Wilma GO Zone that

contact the agency to obtain agency filing

placed in service during or after the

receive allocations in 2006, 2007, or 2008 and are

requirements.

calendar year in which the allocation is

placed in service during the period beginning on

made, and

Also, file Form 8609-A for each year of the

January 1, 2006, and ending on December 31,

15-year compliance period. The credit is claimed

2010, may have an increased eligible basis. Also,

c. The part of the allocation that applies to

on Form 8586, Low-Income Housing Credit. See

credit allocations made to buildings in these

any building is specified by the end of the

the forms for filing instructions.

specific zones may take place in a year other than

calendar year in which the building is

the year the building is put in service (see

placed in service.

Building Owner’s

Allocation of Credit, later). See Pub. 4492,

See sections 42(h)(1)(E) and 42(h)(1)(F) and

Recordkeeping

Information for Taxpayers Affected by Hurricanes

Regulations section 1.42-6 for more details.

Katrina, Rita, and Wilma, for a list of the counties

Keep the following items in your records for

and parishes in these specific zones.

The agency can only make an allocation to a

three years after the due date (including

building located within its geographical

extensions) of the owner’s tax return for the tax

jurisdiction. Once an allocation is made, the

General Instructions

year that includes the end of the 15-year

credit is allowable for all years during the

compliance period.

10-year credit period. A separate Form 8609

Section references are to the Internal Revenue

must be completed for each building to which an

A copy of the original Form 8609 received

Code unless otherwise noted.

allocation of credit is made.

from the housing agency and all related Forms

8609-A (or predecessor Schedules A (Form

Purpose of Form

Multiple Forms 8609. Allocations of credit in

8609)), Forms 8586, and any Forms 8611,

separate calendar years require separate Forms

Recapture of Low-Income Housing Credit.

8609. Also, when a building receives separate

Owners of residential low-income rental buildings

If the maximum applicable credit percentage

allocations for acquisition of an existing building

are allowed a low-income housing credit for

allocated to the building on line 2 reflects an

and for rehabilitation expenditures, a separate

each qualified building over a 10-year credit

election under section 42(b)(2)(A)(ii), a copy of

Form 8609 must be completed for each credit

period. Form 8609 can be used to obtain a

the election statement.

allocation.

housing credit allocation from the housing credit

If the binding agreement specifying the

agency. A separate Form 8609 must be issued

Tax-exempt bonds. No housing credit allocation

housing credit dollar amount is contained in a

for each building in a multiple building project.

is required for any portion of the eligible basis of

separate document, a copy of the binding

Form 8609 is also used to certify certain

a qualified low-income building that is financed

agreement.

information.

with tax-exempt bonds taken into account for

Housing credit agency. This is any state or

purposes of the volume cap under section 146.

If the housing credit dollar amount allocated

local agency authorized to make low-income

An allocation is not needed when 50% or more

on line 1b reflects an allocation made under

housing credit allocations within its jurisdiction.

of the aggregate basis of the building and the

section 42(h)(1)(E) or section 42(h)(1)(F), a copy

land on which the building is located (defined

of the allocation document.

Building identification number (BIN). This

below) is financed with certain tax-exempt

number is assigned by the housing credit

bonds. However, the owner still must get a Form

agency. The BIN initially assigned to a building

8609 from the appropriate housing credit agency

Specific Instructions

must be used for any allocation of credit to the

(with the applicable items completed, including

building that requires a separate Form 8609 (see

an assigned BIN).

Part I—Allocation of Credit

Multiple Forms 8609 on this page). For example,

rehabilitation expenditures treated as a separate

Land on which the building is located. This

Completed by Housing

new building should not have a separate BIN if

includes only land that is functionally related and

the building already has one. Use the number

subordinate to the qualified low-income building

Credit Agency Only

first assigned to the building.

(see Regulations sections 1.103-8(a)(3) and

1.103-8(b)(4)(iii) for the meaning of “functionally

Addition to qualified basis. Check this box if an

Allocation of credit. For an owner to claim a

related and subordinate”).

allocation relates to an increase in qualified basis

low-income housing credit on a building (except

under section 42(f)(3). Enter only the housing

as explained under Tax-exempt bonds later), the

Filing Requirement

credit dollar amount for the increase. Do not

housing credit agency must make an allocation

include any portion of the original qualified basis

of the credit by the close of the calendar year in

Housing credit agency. Complete and sign Part

when determining this amount.

which the building is placed in service, unless:

I of Form 8609 and make copies of the form.

Amended form. Check this box if this form

Submit a copy with Form 8610, Annual

1. The allocation is the result of an advance

amends a previously issued form. Complete all

Low-Income Housing Credit Agencies Report,

binding commitment by the credit agency made

entries and explain the reason for the amended

and keep a copy for the records. The agency

not later than the close of the calendar year in

form. For example, if there is a change in the

must send the original, signed Form 8609

which the building is placed in service (see

amount of initial allocation before the close of

(including instructions) to the building owner.

section 42(h)(1)(C));

the calendar year, file an amended Form 8609

Building owner. You must make a one-time

instead of the original form.

2. The allocation relates to an increase in

submission of Form 8609 to the Low-Income

qualified basis (see section 42(h)(1)(D));

Item A. Identify the building for which this Form

Housing Credit (LIHC) Unit at the IRS

8609 is issued when there are multiple buildings

3. The allocation is made to a building located

Philadelphia campus. After making a copy of the

with the same address (e.g., BLDG. 6 of 8).

in the Gulf Opportunity (GO) Zone, Rita GO Zone,

completed original Form 8609, file the original of

or Wilma GO Zone, if the allocation is made in

the form with the unit no later than the due date

Line 1a. Generally, where Form 8609 is the

2006, 2007, or 2008 and the building is placed in

(including extensions) of your first tax return with

allocating document, the date of the allocation is

service during the period beginning on January 1,

which you are filing Form 8609-A, Annual

the date the Form 8609 is completed, signed,

2006, and ending on December 31, 2010;

Statement for Low-Income Housing Credit.

and dated by an authorized official of the

housing credit agency during the year the

4. The allocation is made for a building placed

Where to file Form 8609. Send the properly

building is placed in service.

in service no later than the second calendar year

completed and signed form(s) to:

However, if an allocation is made under

following the calendar year in which the allocation

section 42(h)(1)(E) or 42(h)(1)(F), the date of

Internal Revenue Service

is made if the building is part of a project in

allocation is the date the authorized official of

P.O. Box 331

which the taxpayer’s basis is more than 10% of

the housing credit agency completes, signs, and

Attn: LIHC Unit, DP 607 South

the project’s reasonably expected basis as of the

dates the section 42(h)(1)(E) or 42(h)(1)(F)

Philadelphia Campus

end of that second calendar year; or

Bensalem, PA 19020

5. The allocation is made for a project that

includes more than one building if:

Instructions For Form 8609 - 2007

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