Fillable Form 8611 - Recapture Of Low-Income Housing Credit (Page 2 of 4) in pdf

Form 8611 (Rev. 12-2013)

Page

General Instructions

Note. If the decrease in qualified basis is

• The qualified basis is reduced because

because of a change in the amount for

of a casualty loss, provided the property

which you are financially at risk on the

is restored or replaced within a

Section references are to the Internal

building, then you must first recalculate

reasonable period.

Revenue Code.

the amount of credit taken in prior years

Recordkeeping

Future Developments

under section 42(k) before you calculate

In order to verify changes in qualified

the recapture amount on this form.

For the latest information about

basis from year to year, keep a copy of

To complete this form you will need

developments related to Form 8611 and

all Forms 8586, 8609, 8609-A (or

copies of the following forms that you

its instructions, such as legislation

predecessor, Schedule A (Form 8609)),

have filed:

enacted after they were published, go to

8611, and 8693 for 3 years after the

• Form 8586, Low-Income Housing

15-year compliance period ends.

Credit (and Form 3800, General

Purpose of Form

Specific Instructions

Business Credit, if applicable);

Use this form if you must recapture part

• Form 8609, Low-Income Housing

Note. If recapture is passed through

of the low-income housing credit you

Credit Allocation and Certification (or

from a flow-through entity (partnership,

claimed in previous years because the

predecessor, Form 8609, Low-Income

S corporation, estate, or trust), skip lines

qualified basis decreased from one year

Housing Credit Allocation Certification);

1–7 and go to line 8. However, section

to the next or you disposed of a building,

• Form 8609-A, Annual Statement for

42(j)(5) partnerships must complete lines

or your interest therein, and you did not

Low-Income Housing Credit (or

1 through 7.

follow the procedures that would have

predecessor, Schedule A (Form 8609),

prevented recapture of the credit.

Item F. If the building is financed with

Annual Statement); and

tax-exempt bonds, furnish the following

Decrease in qualified basis. The

• Form 8611.

information: (1) name of the entity that

decrease may result from a change in

issued the bond (not the name of the

Note. Flow-through entities must give

the eligible basis or the applicable

entity receiving the benefit of the

partners, shareholders, and beneficiaries

fraction. For example, a decrease in

financing); (2) date of issue, generally the

the information that is reported in items

qualified basis may exist when units are

first date there is a physical exchange of

C, D, E, and F of Form 8611.

not occupied by income-qualified

the bonds for the purchase price;

tenants under section 42(i)(3)(A)(ii), units

Recapture does not apply if:

(3) name of the issue, or if not named,

are not rent restricted under section

• You disposed of the building or an

other identification of the issue; and

42(g)(2), units are not suitable for

ownership interest in it and you satisfy

(4) CUSIP number of the bond with the

occupancy as described in section 42(i)

the requirements for avoiding recapture

latest maturity date. If the issue does not

(3)(B)(ii), or the project no longer meets

as outlined earlier under Building

have a CUSIP number, enter “None.”

the minimum set aside requirements of

dispositions;

section 42(g)(1).

Line 1. Enter the total credits claimed on

• You disposed of not more than

the building for all prior years from all

Building dispositions. Disposing of a

% in the aggregate of your

Forms 8586 (before reduction due to the

building or an interest therein will

ownership interest in a building you held

tax liability limit) you have filed. Prior to

generate a credit recapture, unless it is

through a partnership, or you disposed

the December 2006 revision of Form

reasonably expected that the building

of an ownership interest in a building you

8586, the credits (before reduction due

will continue to be operated as a

held through a partnership to which

to the tax liability limit) were reported in

qualified low-income building for the

section 42(j)(5) applies or through an

Part I. Do not include credits taken by a

remainder of the building’s compliance

electing large partnership;

previous owner.

period.

• The decrease in qualified basis does

See section 42(j) for more information.

not exceed the additions to qualified

basis for which credits were allowable in

years after the year the building was

placed in service; or

Line 2 Worksheet (*Line reference is to Form 8609-A (or predecessor, Schedule A (Form 8609)).)

a Enter the amount from line 10* .

b Multiply a by 2

c Enter the amount from line 11* .

d Subtract c from b

e Enter decimal amount figured in step 1 of the instructions for line 14*. If line 14* does not apply to you,

enter -0-

Multiply d by e

g Subtract f from d

h Divide line 16* by line 15*. Enter the result here

Multiply g by h. Enter this amount on line 2. (If more than one worksheet is completed, add the amounts

on i from all worksheets and enter the total on line 2.)

Form 8611 - Recapture Of Low-Income Housing Credit Page 2

Related Articles

Related forms

Related Categories