FORM 10-K

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   (Mark One)

    ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                                   ACT OF 1934

                    For the fiscal year ended March 31, 2000

                                       OR

  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
                                   ACT OF 1934


             For the transition period from __________ to __________

                         Commission file number: 0-26048

                 WNC HOUSING TAX CREDIT FUND IV, L.P., Series 1

California                                                            33-0563307
(State or other jurisdiction of                                 (I.R.S. Employer
incorporation or organization)                               Identification No.)


              3158 Redhill Avenue, Suite 120, Costa Mesa, CA 92626

                                 (714) 662-5565

                         Securities registered pursuant
                          to Section 12(b) of the Act:


                                      NONE

                         Securities registered pursuant
                          to section 12(g) of the Act:

                      UNITS OF LIMITED PARTNERSHIP INTEREST

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days. Yes X No ____

Indicate by check mark if disclosure of delinquent  filers  pursuant to Item 405
of Regulation  S-K is not contained  herein,  and will not be contained,  to the
best of registrant's  knowledge,  in definitive proxy or information  statements
incorporated by reference in Part III of this Form 10-K or any amendment to this
Form 10-K.  x State the  aggregate  market  value of the  voting and  non-voting
common equity held by non-affiliates of the registrant.

                                       1

<PAGE>

                                  INAPPLICABLE


                       DOCUMENTS INCORPORATED BY REFERENCE

List hereunder the following documents if incorporated by reference and the Part
of the Form 10-K  (e.g.,  Part I, Part II,  etc.)  into  which the  document  is
incorporated:  (1) Any  annual  report  to  security  holders;  (2) Any proxy or
information  statement;  and (3) Any prospectus filed pursuant to Rule 424(b) or
(c) under the  Securities Act of 1933.  The listed  documents  should be clearly
described for identification  purposes (e.g.,  annual report to security holders
for fiscal year ended December 24, 1980).

                                      NONE







                                       2
<PAGE>
PART I.

Item 1.  Business

Organization

WNC  Housing  Tax  Credit  Fund  IV,  L.P.,  Series 1 (the  "Partnership")  is a
California Limited  Partnership formed under the laws of the State of California
on May 4,  1993.  The  Partnership  was formed to  acquire  limited  partnership
interests in limited partnerships or limited liability companies ("Local Limited
Partnerships")  which own  multifamily  housing  complexes that are eligible for
low-income housing federal and, in certain cases,  California income tax credits
("Low Income Housing Credits").

The general partner of the Partnership is WNC Tax Credit Partners IV, L.P. ("TCP
IV"). The general  partner of TCP IV is WNC & Associates,  Inc.  ("Associates").
Wilfred N. Cooper,  Sr., through the Cooper  Revocable Trust,  owns 66.8% of the
outstanding  stock of Associates.  John B. Lester,  Jr. was the original limited
partner of the Partnership and owns,  through the Lester Family Trust,  28.6% of
the  outstanding  stock of  Associates.  Wilfred N.  Cooper,  Jr.,  President of
Associates,  owns 2.1% of the outstanding  stock of Associates.  The business of
the Partnership is conducted  primarily through Associates as neither TCP IV nor
the Partnership have employees of their own.

Pursuant to a  registration  statement  filed with the  Securities  and Exchange
Commission,  on October 20, 1993, the Partnership commenced a public offering of
10,000 Units of Limited Partnership Interest ("Units"), at a price of $1,000 per
Unit. The Partnership's  offering terminated on July 19, 1994. A total of 10,000
Limited Partnership Interests representing $10,000,000 had been sold. Holders of
Limited Partnership Interests are referred to herein as "Limited Partners."

Description of Business

The  Partnership's  principal  business  objective  is to  provide  its  Limited
Partners with Low Income Housing Credits.  The Partnership's  principal business
therefore  consists of investing as a limited partner or non-managing  member in
Local  Limited  Partnerships  each of which will own and operate a  multi-family
housing  complex (the "Housing  Complex")  which will qualify for the Low Income
Housing Credit.  In general,  under Section 42 of the Internal  Revenue Code, an
owner of low-income housing can receive the Low Income Housing Credit to be used
to reduce  Federal  taxes  otherwise due in each year of a ten-year  period.  In
general,  under Section 17058 of the  California  Revenue and Taxation  Code, an
owner of low-income housing can receive the Low Income Housing Credit to be used
against  California taxes otherwise due in each year of a four-year period.  The
Housing Complex is subject to a fifteen-year  compliance period (the "Compliance
Period"),  and under state law may have to be maintained  as low income  housing
for 30 or more years.

In general,  in order to avoid  recapture  of Low Income  Housing  Credits,  the
Partnership  does not  expect  that it will  dispose of its  interests  in Local
Limited Partnerships ("Local Limited Partnership Interests") or approve the sale
by any Local Limited  Partnership of its Housing Complex prior to the end of the
applicable  Compliance  Period.  Because  of  (i)  the  nature  of  the  Housing
Complexes,  (ii) the  difficulty of predicting  the resale market for low-income
housing  15 or more years in the  future,  and (iii) the  ability of  government
lenders to  disapprove  of transfer,  it is not possible at this time to predict
whether the liquidation of the  Partnership's  assets and the disposition of the
proceeds,  if any, in  accordance  with the  Partnership's  Agreement of Limited
Partnership,  as amended by Supplements  thereto (the "Partnership  Agreement"),
will be able to be accomplished  promptly at the end of the 15-year period. If a
Local  Limited  Partnership  is  unable  to  sell  its  Housing  Complex,  it is
anticipated that the local general partner ("Local General Partner") will either
continue to operate such Housing Complex or take such other actions as the Local
General  Partner  believes  to be in the  best  interest  of the  Local  Limited
Partnership.  Notwithstanding the preceding, circumstances beyond the control of
the  General  Partner  or the  Local  General  Partners  may  occur  during  the
Compliance   Period,   which  would  require  the  Partnership  to  approve  the
disposition of a Housing Complex prior to the end thereof, possibly resulting in
recapture of Low Income Housing Credits.

                                       3
<PAGE>
As of March 31, 2000, the Partnership  had invested in twenty-one  Local Limited
Partnerships.  Each of these Local Limited  Partnerships  owns a Housing Complex
that is eligible  for the  federal  Low Income  Housing  Credit.  Certain  Local
Limited Partnerships may also benefit from government programs promoting low- or
moderate-income housing.

The Partnership's  investments in Local Limited  Partnerships are subject to the
risks incident to the management and ownership of low-income  housing and to the
management and ownership of multi-unit  residential  real estate.  Some of these
risks  are that the Low  Income  Housing  Credit  could be  recaptured  and that
neither the  Partnership's  investments  nor the Housing  Complexes owned by the
Local Limited Partnerships will be readily marketable. To the extent the Housing
Complexes  receive  government  financing  or operating  subsidies,  they may be
subject to one or more of the following risks: difficulties in obtaining tenants
for the Housing Complexes; difficulties in obtaining rent increases; limitations
on cash distributions; limitations on sales or refinancing of Housing Complexes;
limitations on transfers of Local Limited Partnership Interests;  limitations on
removal of Local General Partners; limitations on subsidy programs; and possible
changes in applicable regulations. The Housing Complexes are subject to mortgage
indebtedness.  If a  Local  Limited  Partnership  does  not  make  its  mortgage
payments,  the lender could foreclose resulting in a loss of the Housing Complex
and Low Income Housing Credits.  As a limited partner or non-managing  member of
the Local Limited  Partnerships,  the Partnership  will have very limited rights
with respect to  management  of the Local  Limited  Partnerships,  and will rely
totally  on the  general  partners  or  managing  members  of the Local  Limited
Partnerships for management of the Local Limited Partnerships.  The value of the
Partnership's  investments  will be subject to  changes  in  national  and local
economic conditions,  including unemployment  conditions,  which could adversely
impact vacancy levels, rental payment defaults and operating expenses.  This, in
turn, could substantially  increase the risk of operating losses for the Housing
Complexes and the Partnership.  In addition,  each Local Limited  Partnership is
subject to risks relating to environmental hazards and natural disasters,  which
might be uninsurable.  Because the Partnership's operations will depend on these
and other  factors  beyond the  control  of the  General  Partner  and the Local
General  Partners,  there can be no assurance  that the  anticipated  Low Income
Housing Credits will be available to Limited Partners.

In addition,  Limited  Partners are subject to risks in that the rules governing
the Low Income  Housing  Credit are  complicated,  and the use of credits can be
limited.  The only  material  benefit from an investment in Units may be the Low
Income Housing Credits. There are limits on the transferability of Units, and it
is unlikely that a market for Units will  develop.  All  Partnership  management
decisions are made by the General Partner.

As a limited partner or non-managing  member,  the  Partnership's  liability for
obligations of each Local Limited Partnership is limited to its investment.  The
Local General Partners of each Local Limited  Partnership retain  responsibility
for developing,  constructing,  maintaining,  operating and managing the Housing
Complexes.

Item 2.  Properties

Through its investments in Local Limited  Partnerships,  the  Partnership  holds
limited  partnership  interests in the Housing  Complexes.  The following  table
reflects the status of the twenty-one Housing Complexes as the dates and for the
periods indicated:

                                       4
<PAGE>
<TABLE>
<CAPTION>

                                                        ------------------------------ ---------------------------------------------
                                                              As of March 31, 2000                As of December 31, 1999
                                                        ------------------------------ ---------------------------------------------
                                                         Partnership's                                                  Encumbrances
                                                         Total Investment  Amount of                     Estimated Low  of Local
Partnership                             General Partner  in Local Limited  Investment    Number   Occu-  Income Housing Limited
Name                       Location     Name             Partnerships      Paid to Date  of Units pancy  Credits        Partnerships
------------------------------------------------------------------------------------------------------------------------------------
<S>                        <C>          <C>                  <C>            <C>            <C>     <C>    <C>           <C>
Alpine Manor, L.P.         Alpine,      1600 Capital
                           Texas        Company, Inc.        $   195,000  $   195,000       36      97%   $  394,000    $   916,000

Baycity Village            Baytown,     Emerald
Apartments, Limited        Texas        Development
Partnership                             Co.                      301,000      301,000       62      94%      629,000      1,478,000

Beckwood Manor Seven       Marianna,    Phillips Development
Limited Partnership        Arkansas     Corporation              307,000      307,000       42     100%      636,000      1,391,000

Briscoe Manor Limited      Galena,      The Humphrey
Partnership                Maryland     Companies                308,000      308,000       31     100%      648,000      1,490,000

Evergreen Four Limited     Maynard,     Phillips Development
Partnership                Arkansas     Corporation              195,000      195,000       24      88%      402,000        871,000

Fawn Haven Limited         Manchester,  Georg E. Maharg and
Partnership                Ohio         Maharg Realty, Inc.      167,000      167,000       28     100%      376,000        859,000

Fort Stockton Manor, L.P.  Ft.          1600 Capital Company,
                           Stockton,    Inc.                     224,000      224,000       36      89%      453,000      1,055,000
                           Texas

Hidden Valley Limited      Gallup, New  Western States Housing
Partnership                Mexico       Corp.                    412,000      412,000       40      98%      801,000      1,487,000

HOI Limited Partnership    Lenoir,      Housing Opportunities,
Of Lenoir                  North        Inc.                     198,000      198,000       34      94%      400,000        562,000
                           Carolina

Indian Creek Limited       Bucyrus,     Georg E. Maharg          306,000      306,000       48      98%      637,000      1,475,000
Partnership                Ohio

Laurel Creek Apartments    San Luis     San Luis Obispo
                           Obispo,      Non-Profit
                           California   Housing Corp.          1,030,000    1,030,000       24      96%    2,103,000        660,000

Madisonville Manor Senior  Madison-     Jean Johnson             174,000      174,000       32      97%      375,000        903,000
Citizens Complex, Ltd.     ville,Texas

</TABLE>

                                       5
<PAGE>
<TABLE>
<CAPTION>

                                                        ------------------------------ ---------------------------------------------
                                                              As of March 31, 2000                As of December 31, 1999
                                                        ------------------------------ ---------------------------------------------
                                                         Partnership's                                                  Encumbrances
                                                         Total Investment  Amount of                     Estimated Low  of Local
Partnership                             General Partner  in Local Limited  Investment    Number   Occu-  Income Housing Limited
Name                       Location     Name             Partnerships      Paid to Date  of Units pancy  Credits        Partnerships
------------------------------------------------------------------------------------------------------------------------------------
<S>                        <C>          <C>                  <C>          <C>              <C>     <C>  <C>           <C>
Mt. Graham Housing, Ltd.   Safford,     Rural Housing, Inc.      410,000      410,000       40     100%      788,000      1,411,000
                           Arizona

Northside Plaza            Angleton,    Jean Johnson             282,000      282,000       48      94%      607,000      1,364,000
Apartments, Ltd.           Texas

Pampa Manor, L.P.          Pampa,       1600 Capital Company,
                           Texas        Inc.                     180,000      180,000       32      94%      363,000        846,000

Regency Court Partners     Monrovia,    Community Housing
                           California   Assistance Program,
                                        Inc., a California
                                        Nonprofit Corporation  1,692,000    1,690,000      115      97%    3,293,000      4,324,000

Sandpiper Square, a        Aulander,    I. Norwood Stone         219,000      219,000       24      96%      433,000        949,000
Limited Partnership        North
                           Carolina

Seneca Falls East          Seneca       David R. Bacon and
Apartments Company II,     Falls, New   Frank Salvatore          270,000      270,000       32     100%      360,000        893,000
L.P.                       York

Vernon Manor, L.P.         Vernon,      1600 Capital Company,
                           Texas        Inc.                     161,000      161,000       28      93%      325,000        764,000

Waterford Place, a         Calhoun      InterMark Management     272,000      272,000       32      94%      549,000      1,184,000
Limited Partnership        Falls,
                           South
                           Carolina

Yantis Housing, Ltd.       Yantis,      Charles Cannon Jr.       145,000      145,000       24      96%      287,000        630,000
                           Texas                               ---------    ---------      ---     ----   ----------     ----------
                                                             $ 7,448,000  $ 7,446,000      812      96% $ 14,463,000  $  25,512,000
                                                               =========    =========      ===     ====   ==========     ==========
</TABLE>
                                       6


<PAGE>
<TABLE>
<CAPTION>


                                         --------------------------------------------------------------------------
                                                              For the year ended December 31, 1999
                                         --------------------------------------------------------------------------
                                                                                            Low Income Housing
                                                                                            Credits Allocated to
Partnership Name                                  Rental Income       Net Income (loss)     Partnership
-------------------------------------------------------------------------------------------------------------------
<S>                                            <C>                   <C>                         <C>
Alpine Manor, L.P.                             $       148,000       $      (26,000)                99%

Baycity Village Apartments, Limited
Partnership                                            234,000              (60,000)                99%

Beckwood Manor Seven Limited Partnership               147,000              (47,000)                95%

Briscoe Manor Limited Partnership                      161,000              (21,000)                99%

Evergreen Four Limited Partnership                      78,000              (35,000)                95%

Fawn Haven Limited Partnership                          87,000              (24,000)                99%

Fort Stockton Manor, L.P.                              112,000              (22,000)                99%

Hidden Valley Limited Partnership                      157,000              (24,000)                99%

HOI Limited Partnership Of Lenoir                      121,000              (51,000)                99%

Indian Creek Limited Partnership                       145,000              (41,000)                99%

Laurel Creek Apartments                                166,000              (26,000)                99%

Madisonville Manor Senior Citizens
Complex, Ltd.                                          105,000               (9,000)                99%

Mt. Graham Housing, Ltd.                               149,000              (64,000)                99%

Northside Plaza Apartments, Ltd.                       145,000              (20,000)                99%

Pampa Manor, L.P.                                       99,000              (31,000)                99%

Regency Court Partners                                 661,000             (220,000)                99%

Sandpiper Square, a Limited Partnership                 98,000              (14,000)                99%

Seneca Falls East Apartments Company
II, L.P.                                               141,000              (18,000)             99.98%

Vernon Manor, L.P.                                      86,000              (12,000)                99%

Waterford Place, a Limited Partnership                 122,000              (36,000)                99%

Yantis Housing, Ltd.                                    74,000              (16,000)                99%
                                                   -----------           -----------
                                               $     3,236,000       $     (817,000)
                                                   ===========           ===========
</TABLE>
                                       7

<PAGE>
Item 3.  Legal Proceedings

NONE.

Item 4.  Submission of Matters to a Vote of Security Holders

NONE.

PART II.

Item 5.  Market for Registrant's Common Equity and Related Stockholder Matters

Item 5a.

(a)  The  Units  are not  traded on a public  exchange  but were sold  through a
     public offering.  It is not anticipated that any public market will develop
     for the  purchase  and  sale of any  Unit and  none  exists.  Units  can be
     assigned  only if certain  requirements  in the  Partnership  Agreement are
     satisfied.

(b)  At March 31, 2000, there were 731 Limited Partners.

(c)  The Partnership was not designed to provide cash  distributions  to Limited
     Partners in  circumstances  other than  refinancing  or  disposition of its
     investments in Local Limited Partnerships.

(d)  No unregistered  securities  were sold by the  Partnership  during the year
     ended March 31, 2000.

Item 5b.

NOT APPLICABLE

Item 6.  Selected Financial Data

Selected balance sheet information for the Partnership is as follows:
<TABLE>
<CAPTION>

                                     March 31                              December 31
                              ------------------------   -------------------------------------------------
                                 2000         1999         1998         1997         1996         1995
                              -----------  -----------  -----------  -----------  -----------  -----------


ASSETS
<S>                         <C>          <C>          <C>          <C>          <C>          <C>
Cash and cash equivalents   $    310,214 $    341,350 $    389,536 $    778,448 $    997,025 $  1,410,867
Investments in limited
 partnerships, net             3,538,899    4,298,485    4,495,621    4,976,247    5,771,116    6,928,034
Due from affiliate                     -            -            -            -        9,020            -
Other assets                      18,407            -            -        3,000        6,986       16,239
                              -----------  -----------  -----------  -----------  -----------  -----------

                            $  3,867,520 $  4,639,835 $  4,885,157 $  5,757,695 $  6,784,147 $  8,355,140
                              ===========  ===========  ===========  ===========  ===========  ===========
LIABILITIES

Due to limited              $      2,303 $     25,301 $     25,301 $     84,303 $    256,610 $    799,745
partnerships
Accrued fees and expenses
 due to general partner
 and affiliates                  104,593       80,940      106,500       65,235       91,982       65,438

PARTNERS' EQUITY               3,760,624    4,533,594    4,753,356    5,608,157    6,435,555    7,489,957
                              -----------  -----------  -----------  -----------  -----------  -----------

                            $  3,867,520 $  4,639,835 $  4,885,157 $  5,757,695 $  6,784,147 $  8,355,140
                              ===========  ===========  ===========  ===========  ===========  ===========
</TABLE>
                                       8
<PAGE>
Selected  results  of  operations,  cash  flows  and other  information  for the
Partnership are as follows:
<TABLE>
<CAPTION>
                           For the
                          Year Ended     For the Three Months                    For the Years Ended
                           March 31        Ended March 31                           December 31
                          -----------  ------------------------  ---------------------------------------------------
                            2000          1999         1998         1998         1997         1996         1995
                          ----------   -----------  -----------  -----------   ----------   ----------   ----------
                                                    (Unaudited)

<S>                     <C>          <C>           <C>          <C>          <C>         <C>           <C>
Loss from operations    $   (79,134) $    (33,750) $   (17,496) $  (126,723) $   (62,968)$    (30,845) $   (17,817)

Equity in losses of
 limited partnerships      (693,836)     (186,012)    (185,500)    (728,078)    (764,430)  (1,023,557)    (727,986)
                          ----------   -----------  -----------  -----------   ----------   ----------   ----------

Net loss                $  (772,970) $   (219,762) $  (202,996) $  (854,801) $  (827,398)$ (1,054,402) $  (745,803)
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========
Net loss allocated to:
 General Partner        $    (7,730) $     (2,198) $    (2,030) $    (8,548) $    (8,274)$    (10,544) $    (7,458)
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========

 Limited Partners       $  (765,240) $   (217,564) $  (200,966) $  (846,253) $  (819,124)$ (1,043,858) $  (738,345)
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========
Net loss per limited
 partner unit           $    (76.52) $     (21.76) $    (20.10) $    (84.63) $    (81.91)$    (104.39) $    (73.83)
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========
Outstanding weighted
 limited partner units       10,000        10,000       10,000       10,000       10,000       10,000       10,000
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========

                           For the
                          Year Ended     For the Three Months                    For the Years Ended
                           March 31        Ended March 31                           December 31
                          -----------  ------------------------  ---------------------------------------------------
                            2000          1999         1998         1998         1997         1996         1995
                          ----------   -----------  -----------  -----------   ----------   ----------   ----------
                                                    (Unaudited)
Net cash provided by
 (used in):
 Operating activities   $   (45,392) $    (52,186) $    (5,082) $   (54,089) $   (51,546)$     22,420 $     55,437
 Investing activities        14,256         4,000        5,225     (334,823)    (170,284)    (437,806)    (914,830)
 Financing activities             -             -            -            -        3,253        1,544      162,499
                          ----------   -----------  -----------  -----------   ----------   ----------   ----------

Net change in cash
 and cash equivalents       (31,136)      (48,186)         143     (388,912)    (218,577)    (413,842)    (696,894)

Cash and cash
 equivalents,
 beginning of period        341,350       389,536      778,448      778,448      997,025    1,410,867    2,107,761
                          ----------   -----------  -----------  -----------   ----------   ----------   ----------

Cash and cash
 equivalents,
 end of period          $   310,214  $    341,350 $    778,591 $    389,536  $   778,448 $    997,025 $  1,410,867
                          ==========   ===========  ===========  ===========   ==========   ==========   ==========

Low Income  Housing  Credit per Unit was as follows for the years ended December
31:

                                  1999               1998              1997               1996               1995
                             ---------------    ---------------   ----------------   ---------------    ---------------

Federal                      $         146      $         142     $          143     $         136     $          101
State                                    -                  -                  -                 -                  -
                               ------------       ------------       ------------      ------------       ------------
Total                        $         146      $         142     $          143     $         136     $          101
                              =============       ============       ============      ============       ============
</TABLE>
Item 7. Management's  Discussion and Analysis of Financial Condition and Results
of Operations

Financial Condition

The  Partnership's  assets at March 31, 2000 consisted  primarily of $310,214 in
cash and aggregate  investments in the twenty-one Local Limited  Partnerships of
$3,538,899.  Liabilities at March 31, 2000 were $106,896,  of which $103,667 was
accrued annual  management  fees,  $926 was for expenses paid by an affiliate of
the  General  Partner  due to the General  Partner or  affiliate  and $2,303 was
payables to limited partnerships.

                                       9


<PAGE>
Results of Operations

Year  Ended  March 31,  2000  Compared  to Year Ended  December  31,  1998.  The
Partnership's  net  loss for the  year  ended  March  31,  2000 was  $(773,000),
reflecting  a decrease  of $82,000  from the net loss  experienced  for the year
ended  December 31, 1998.  The decline in net loss is primarily due to equity in
losses from limited partnerships which declined by $34,000 to $(694,000) for the
year ended March 31, 2000 from  $(728,000) for the year ended December 31, 1998.
This decrease was a result of the Partnership not recognizing  certain losses of
the  Local  Limited   Partnerships.   The  investments  in  such  Local  Limited
Partnerships had reached $0 at March 31, 2000. Since the Partnership's liability
with respect to its  investments is limited,  losses in excess of investment are
not recognized. In addition, the Partnership experienced a decrease in operating
expenses  paid to third  parties of $59,000  partially  offset by a decrease  in
interest income of $12,000.

Three Months Ended March 31, 1999 Compared to Three Months Ended March 31, 1998.
The  Partnership's  net loss for the  three  months  ended  March  31,  1999 was
$(220,000),  reflecting an increase of $17,000 from the net loss experienced for
the three months  ended March 31, 1998.  The increase in net loss is due to loss
from  operations  which  increased by $17,000 to  $(34,000)  for the three month
period  ended March 31, 1999 from  $(17,000)  for the three month  period  ended
March 31, 1998 due to an increase in other  operating  expenses of $15,000 and a
decrease in interest income of $2,000.

Year Ended  December 31, 1998  Compared to Year Ended  December  31,  1997.  The
Partnership's  net loss  for 1998 was  $(855,000),  reflecting  an  increase  of
$28,000  from the net loss  experienced  in 1997.  The  increase  in net loss is
primarily due to operating  expenses  which  increased to $(83,000) in 1998 from
$(17,000)  in 1997,  partially  offset by a  decrease  in equity in losses  from
limited  partnerships  of $36,000,  because  the  investments  in certain  Local
Limited Partnerships reached $0 during 1998.

Cash Flows

Year Ended March 31, 2000  Compared to Year Ended  December 31,  1998.  Net cash
used during the year ended March 31,  2000 was  $(31,000),  compared to net cash
used  for the year  ended  December  31,  1998 of  $(389,000).  The  change  was
primarily due to a decrease in cash used for investments in limited partnerships
and  capitalized  acquisition  fees  and  costs  of  $324,000,  an  increase  in
distributions received from Local Limited Partnerships of $25,000 and a decrease
in cash used in operating  activities,  resulting  primarily  from a decrease in
interest  income  received  and a  decrease  in cash paid to third  parties  for
operating expenses.

Three Months Ended March 31, 1999 Compared to Three Months Ended March 31, 1998.
Net cash used  during  the three  months  ended  March  31,  1999 was  $(48,000)
compared to a net  increase in cash for the three months ended March 31, 1998 of
$100.  The change was due to an increase in cash paid to the General  Partner of
affiliates  of  $32,000  and an  increase  in cash  paid to  third  parties  for
operating expenses of $15,000.

Year Ended  December 31, 1998 Compared to Year Ended December 31, 1997. Net cash
used in 1998 was  $(389,000),  compared to net cash used in 1997 of  $(219,000).
The change was due  primarily  to an  increase in cash used for  investments  in
limited  partnerships of $163,000,  an increase in operating costs paid to third
parties of $65,000, a decrease in distributions from Local Limited  Partnerships
of $2,000,  partially  offset by a decrease in cash paid to the General  Partner
and affiliates of $60,000.

During the year ended March 31, 2000,  the three months ended March 31, 1999 and
the year ended  December 31, 1998,  accrued  payables,  which consist of related
party  management  fees due to the General  Partner,  increased  (decreased)  by
approximately $24,000, ($26,000) and $41,000,  respectively. The General Partner
does not  anticipate  that  these  accrued  fees will be paid until such time as
capital   reserves  are  in  excess  of  future   foreseeable   working  capital
requirements of the Partnership.

The Partnership  expects its future cash flows,  together with its net available
assets at March 31, 2000,  to be  sufficient  to meet all  currently  forseeable
future cash requirements.

                                       10
<PAGE>
Impact of Year 2000

WNC & Associates, Inc.

Status of Readiness

Information Technology (IT) Systems. The Partnership relies on the IT systems of
WNC, its ultimate  general  partner.  IT systems include  computer  hardware and
software  used to produce  financial  reports and tax return  information.  This
information  is then  used to  generate  reports  to  investors  and  regulatory
agencies, including the Internal Revenue Service and the Securities and Exchange
Commission. The IT systems of WNC are year 2000 compliant.

Non-IT Systems. The Partnership also relies on the non-IT systems of WNC. Non-IT
systems  include  machinery and  equipment  such as  telephones,  voice mail and
electronic postage equipment. The non-IT systems of WNC are year 2000 compliant.

Service  Providers.  WNC also  relies on the IT and  non-IT  systems  of service
providers. Service providers include utility companies,  financial institutions,
telecommunications carriers,  municipalities, and other outside vendors. WNC has
obtained verbal assurances from its material service providers (electrical power
provider,  financial institutions and telecommunications carriers) that their IT
and non-IT systems are year 2000  compliant.  To date,  WNC has not  encountered
significant year 2000 issues or business disruptions from its service providers.

Costs to Address Year 2000 Issues

The cost to address year 2000 issues for WNC has been less than $25,000.

Risk of Year 2000 Issues

Although WNC has  encountered no significant  year 2000 issues to date, the most
reasonable  and likely result from  non-year  2000  compliance of systems of the
service  providers  noted  above  would be the  disruption  of  normal  business
operations for WNC. This disruption could, in turn, lead to delays in performing
reporting and fiduciary responsibilities on behalf of the Partnership. The worst
case scenario would be the replacement of a service provider. These delays would
likely  be  temporary  and  would  likely  not  have a  material  effect  on the
Partnership or WNC.

Local Limited Partnerships

Status of Readiness

To date, WNC and the  Partnership  have  encountered  no  significant  year 2000
issues with respect to the Local Limited Partnerships.

Costs to Address Year 2000 Issues

There has been and will be no cost to the  Partnership  as a result of assessing
year 2000 issues for the Local  Limited  Partnerships.  Although no  significant
year 2000 issues have been  encountered to date, the cost to deal with potential
year 2000 issues of the Local Limited  Partnerships  cannot be estimated at this
time.

                                       11


<PAGE>


Risk of Year 2000 Issues

Although no significant  year 2000 issues have been  encountered to date,  there
can be no assurance that the Partnership will be unaffected by year 2000 issues.
The most  reasonable and likely result from non-year 2000 compliance will be the
disruption of normal  business  operations  for the Local Limited  Partnerships,
including but not limited to the possible  failure to properly collect rents and
meet their obligations in a timely manner.  This disruption would, in turn, lead
to  delays  by the  Local  Limited  Partnerships  in  performing  reporting  and
fiduciary responsibilities on behalf of the Partnership. The worst-case scenario
would  include the  initiation  of  foreclosure  proceedings  on the property by
mortgage debt holders.  Under these  circumstances,  WNC or its affiliates  will
take  actions  necessary  to minimize  the risk of  foreclosure,  including  the
removal and  replacement of a Local General  Partner by the  Partnership.  These
delays would likely be temporary and would likely not have a material  effect on
the Partnership or WNC.

Item 7A.  Quantitative and Qualitative Disclosures About Market Risk

NOT APPLICABLE

Item 8.  Financial Statements and Supplementary Data

                                       12
<PAGE>






               REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS





To the Partners
WNC Housing Tax Credit Fund IV, L.P., Series 1


We have audited the  accompanying  balance  sheet of WNC Housing Tax Credit Fund
IV, L.P., Series 1 (a California Limited  Partnership) (the "Partnership") as of
March 31, 2000 and 1999,  and December 31, 1998,  and the related  statements of
operations,  partners'  equity (deficit) and cash flows for the year ended March
31, 2000,  the three months ended March 31, 1999 and the year ended December 31,
1998. These financial  statements are the  responsibility  of the  Partnership's
management.  Our  responsibility  is to express  an  opinion on these  financial
statements  based  on  our  audits.  A  significant  portion  of  the  financial
statements of the limited  partnerships  in which the  Partnership  is a limited
partner were audited by other  auditors whose reports have been furnished to us.
As discussed in Note 2 to the financial statements, the Partnership accounts for
its investments in limited  partnerships using the equity method. The portion of
the Partnership's  investment in limited  partnerships audited by other auditors
represented 63%, 62% and 61% of the total assets of the Partnership at March 31,
2000 and 1999, and December 31, 1998,  respectively.  Our opinion, insofar as it
relates to the amounts  included  in the  financial  statements  for the limited
partnerships which were audited by others, is based solely on the reports of the
other auditors.

We  conducted  our  audits  in  accordance  with  generally   accepted  auditing
standards.  Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the  accounting  principles  used and  significant  estimates  made by
management,  as well as evaluating the overall financial statement presentation.
We  believe  that our audits and the  reports  of the other  auditors  provide a
reasonable basis for our opinion.

In our  opinion,  based on our audits and the  reports  of other  auditors,  the
financial statements referred to above present fairly, in all material respects,
the  financial  position of WNC Housing  Tax Credit Fund IV,  L.P.,  Series 1 (a
California Limited  Partnership) as of March 31, 2000 and 1999, and December 31,
1998,  and the results of its  operations  and its cash flows for the year ended
March 31,  2000,  the three  months  ended  March  31,  1999 and the year  ended
December 31, 1998, in conformity with generally accepted accounting principles.




                              /s/ BDO SEIDMAN, LLP
                                  BDO SEIDMAN, LLP

Orange County, California
May 5, 2000



                                       13

<PAGE>






                          INDEPENDENT AUDITORS' REPORT



To the Partners
WNC Housing Tax Credit Fund IV, L.P., Series 1


We have audited the  accompanying  statement  of  operations,  partners'  equity
(deficit)  and cash flows of WNC Housing Tax Credit Fund IV, L.P.,  Series 1 ( a
California Limited  Partnership) (the "Partnership") for the year ended December
31, 1997. These financial statements are the responsibility of the Partnership's
management.  Our  responsibility  is to express  an  opinion on these  financial
statements based on our audit. We did not audit the financial  statements of the
limited  partnerships in which WNC Housing Tax Credit Fund IV, L.P., Series 1 is
a limited partner.  These  investments,  as discussed in Note 3 to the financial
statements,  are accounted for by the equity method. The financial statements of
substantially  all of the limited  partnerships,  representing  87% of the total
assets of WNC Housing Tax Credit Fund IV,  L.P.,  Series 1 at December 31, 1997,
were audited by other  auditors whose reports have been furnished to us, and our
opinion,  insofar  as it  relates  to the  amounts  included  for these  limited
partnerships, is based solely on the reports of the other auditors.

We conducted our audit in accordance with generally accepted auditing standards.
Those standards  require that we plan and perform the audit to obtain reasonable
assurance   about  whether  the  financial   statements  are  free  of  material
misstatement.  An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements.  An audit also includes
assessing the  accounting  principles  used and  significant  estimates  made by
management,  as well as evaluating the overall financial statement presentation.
We  believe  that our audit and the  reports  of the  other  auditors  provide a
reasonable basis for our opinion.

In our opinion,  based on our audit and the reports of the other  auditors,  the
financial statements referred to above present fairly, in all material respects,
the results of its  operations and its cash flows of WNC Housing Tax Credit Fund
IV,  L.P.,  Series 1 (a  California  Limited  Partnership)  for the  year  ended
December 31, 1997, in conformity with generally accepted accounting principles.



                               /s/ CORBIN & WERTZ
                                   CORBIN & WERTZ

Irvine, California
April 23, 1998, except for
     Notes 2 and 6 which
     are dated as of
     December 4, 1998



                                       14

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                                 BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                      March 31                December 31
                                                            ------------------------------   -------------
                                                                2000            1999             1998
                                                            -------------   --------------   -------------

ASSETS
<S>                                                       <C>             <C>             <C>
Cash and cash equivalents                                 $      310,214  $       341,350 $       389,536
Investments in limited partnerships (Note 2)                   3,538,899        4,298,485       4,495,621
Other assets                                                      18,407                -               -
                                                            -------------   --------------   -------------

                                                          $    3,867,520  $     4,639,835 $     4,885,157
                                                            =============   ==============   =============
LIABILITIES AND PARTNERS' EQUITY
  (DEFICIT)

Liabilities:
 Payables to limited partnerships (Note 4)                $        2,303  $        25,301  $       25,301
 Accrued fees and advances due to General
  Partner and affiliate (Note 3)                                 104,593           80,940         106,500
                                                            -------------   --------------   -------------

     Total liabilities                                           106,896          106,241         131,801
                                                            -------------   --------------   -------------
Commitments and contingencies (Note 6)

Partners' equity (deficit):
 General partner                                                 (62,295)         (54,565)        (52,367)
 Limited partners (10,000 units authorized,
  10,000 units issued and outstanding)                         3,822,919        4,588,159       4,805,723
                                                            -------------   --------------   -------------

     Total partners' equity                                    3,760,624        4,533,594       4,753,356
                                                            -------------   --------------   -------------

                                                          $    3,867,520  $     4,639,835  $    4,885,157
                                                            =============   ==============   =============
</TABLE>

                 See accompanying notes to financial statements
                                       15

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                            STATEMENTS OF OPERATIONS

<TABLE>
<CAPTION>
                                              For the        For the
                                             Year Ended    Three Months       For the Years Ended
                                              March 31    Ended March 31          December 31
                                           ------------   --------------  ----------------------------
                                               2000            1999           1998            1997
                                           ------------   --------------  ------------    ------------

<S>                                      <C>             <C>            <C>            <C>
Interest income                          $      15,541   $       4,084  $      27,708  $       25,676
                                           ------------   -------------   ------------    ------------

Operating expenses:
 Amortization (Note 2)                          28,496           7,124         31,369          31,416
 Asset management fees (Note 3)                 42,105          10,000         40,000          40,000
 Other                                          24,074          20,710         83,062          17,228
                                          ------------   -------------   ------------    ------------

    Total operating expenses                    94,675          37,834        154,431          88,644
                                           ------------   -------------   ------------    ------------

Loss from operations                           (79,134)        (33,750)      (126,723)        (62,968)

Equity in losses of limited
  partnerships (Note 2)                       (693,836)       (186,012)      (728,078)       (764,430)
                                           ------------   -------------   ------------    ------------

Net loss                                 $    (772,970)  $    (219,762) $    (854,801) $     (827,398)
                                           ============   =============   ============    ============

Net loss allocated to:
 General partner                         $      (7,730)  $      (2,198) $      (8,548) $       (8,274)
                                           ============   =============   ============    ============

 Limited partners                        $    (765,240)  $    (217,564)      (846,253) $     (819,124)
                                           ============   ============= $ ============    ============

Net loss per limited partner unit        $      (76.52)  $      (21.76) $      (84.63) $       (81.91)
                                           ============   =============   ============    ============

Outstanding weighted limited
 partner units                                  10,000          10,000         10,000          10,000
                                           ============   =============   ============    ============

</TABLE>

                 See accompanying notes to financial statements
                                       16

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    STATEMENTS OF PARTNERS' EQUITY (DEFICIT)

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997
<TABLE>
<CAPTION>

                                                              General             Limited
                                                              Partner             Partners               Total
                                                           ---------------     ---------------     ---------------

<S>                                   <C>                <C>                        <C>          <C>
Partners' equity (deficit) at January 1, 1997            $        (35,545)  $       6,471,100    $      6,435,555

Net loss                                                           (8,274)           (819,124)           (827,398)
                                                           ---------------     ---------------     ---------------

Partners' equity (deficit) at December 31, 1997                   (43,819)          5,651,976           5,608,157

Net loss                                                           (8,548)           (846,253)           (854,801)
                                                           ---------------     ---------------     ---------------

Partners' equity (deficit) at December 31, 1998                   (52,367)          4,805,723           4,753,356

Net loss                                                           (2,198)           (217,564)           (219,762)
                                                           ---------------     ---------------     ---------------

Partners' equity (deficit) at March 31, 1999                      (54,565)          4,588,159           4,533,594

Net loss                                                           (7,730)           (765,240)           (772,970)
                                                           ---------------     ---------------     ---------------

Partners' equity (deficit) at March 31, 2000             $        (62,295)  $       3,822,919    $      3,760,624
                                                           ===============     ===============     ===============
</TABLE>


                 See accompanying notes to financial statements
                                       17

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                            STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>
                                                             For the       For the
                                                           Year Ended    Three Months       For the Years Ended
                                                            March 31    Ended March 31          December 31
                                                           -----------  --------------   --------------------------
                                                              2000           1999           1998           1997
                                                           -----------  -------------    -----------    -----------
<S>                                                     <C>            <C>            <C>            <C>
Cash flows from operating activities:
 Net loss                                               $   (772,970)  $   (219,762)  $   (854,801)  $   (827,398)
 Adjustments to reconcile net loss to
  net cash used in operating activities:
  Amortization                                                28,496          7,124         31,369         31,416
  Equity in losses of limited
   partnerships                                              693,836        186,012        728,078        764,430
  Change in accrued fees and
   expenses due to general partner
   and affiliates                                             23,653        (25,560)        41,265        (30,000)
  Change in receivable from
   affiliates                                                      -              -              -          9,020
  Change in other assets                                     (18,407)             -              -            986
                                                          -----------    -----------    -----------    -----------

Net cash used in operating activities                        (45,392)       (52,186)       (54,089)       (51,546)
                                                          -----------    -----------    -----------    -----------
Cash flows from investing activities:
 Investments in limited partnerships,
  net                                                        (17,134)             -       (335,059)      (172,307)
 Capitalized acquisition costs and
  fees                                                             -              -         (5,789)        (5,502)
 Distributions from limited
  partnerships                                                31,390          4,000          6,025          7,525
                                                          -----------    -----------    -----------    -----------

Net cash provided by (used in)
 investing activities                                         14,256          4,000       (334,823)      (170,284)
                                                          -----------    -----------    -----------    -----------

Cash flows from financing activities:
 Other                                                             -              -              -          3,253
                                                          -----------    -----------    -----------    -----------

Net cash provided by financing
 activities                                                        -              -              -          3,253
                                                          -----------    -----------    -----------    -----------

Net decrease in cash and cash equivalents                    (31,136)       (48,186)      (388,912)      (218,577)

Cash and cash equivalents, beginning
 of period                                                   341,350        389,536        778,448        997,025
                                                          -----------    -----------    -----------    -----------

Cash and cash equivalents, end of period                $    310,214   $    341,350   $    389,536   $    778,448
                                                          ===========    ===========    ===========    ===========


SUPPLEMENTAL DISCLOSURE OF
 CASH FLOW INFORMATION
  Taxes paid                                            $       800    $          -   $        800   $        800
                                                          ===========    ===========    ===========    ===========
</TABLE>

                 See accompanying notes to financial statements
                                       18

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                          NOTES TO FINANCIAL STATEMENTS

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Organization

WNC Housing Tax Credit Fund IV, L.P., Series 1, a California Limited Partnership
(the  "Partnership"),  was  formed on May 4, 1993 under the laws of the state of
California,  and commenced  operations on October 20, 1993. The  Partnership was
formed to invest  primarily in other limited  partnerships  (the "Local  Limited
Partnerships")  which  own  and  operate  multi-family  housing  complexes  (the
"Housing  Complex") that are eligible for low income housing credits.  The local
general   partners  (the  "Local  General   Partners")  of  each  Local  Limited
Partnership retain  responsibility  for maintaining,  operating and managing the
Housing Complex.

The  general  partner  is WNC  Tax  Credit  Partners,  IV,  L.P.  (the  "General
Partner"), a California limited partnership.  WNC & Associates,  Inc. ("WNC") is
the general partner of the General Partner.  Wilfred N. Cooper, Sr., through the
Cooper  Revocable  Trust,  owns 66.8% of the  outstanding  stock of WNC. John B.
Lester,  Jr.  was the  original  limited  partner of the  Partnership  and owns,
through the Lester Family Trust,  28.6% of the outstanding stock of WNC. Wilfred
N. Cooper, Jr., President of WNC, owns 2.1% of the outstanding stock of WNC.

The financial  statements  include only activity relating to the business of the
Partnership,  and do not give  effect to any assets that the  partners  may have
outside of their interests in the Partnership, or to any obligations,  including
income taxes, of the partners.

The  Partnership  Agreement  authorized the sale of up to 10,000 units at $1,000
per Unit  ("Units").  The offering of Units concluded in July 1994 at which time
10,000 Units in the amount of $10,000,000 had been accepted. The General Partner
has a 1% interest in operating  profits and losses,  taxable  income and losses,
cash  available  for  distribution  from the  Partnership  and tax credits.  The
limited  partners  will  be  allocated  the  remaining  99% of  these  items  in
proportion to their respective investments.

After the limited partners have received proceeds from sale or refinancing equal
to their capital contributions and their return on investment (as defined in the
Partnership  Agreement) and the General  Partner has received  proceeds equal to
its capital contribution and subordinated  disposition fee (as described in Note
3) from the  remainder,  any  additional  sale or  refinancing  proceeds will be
distributed  90% to the limited  partners  (in  proportion  to their  respective
investments) and 10% to the General Partner.

Change in Reporting Year End

In 1999, the Partnership  elected to change its year end for financial reporting
purposes from December 31 to March 31. All  financial  information  reflected in
the financial statements and related footnotes has been adjusted for this change
in year end except for the combined condensed financial  information relating to
the Local Limited Partnerships included in Note 2.

                                       19



<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued

Risks and Uncertainties

The Partnership's  investments in Local Limited  Partnerships are subject to the
risks incident to the management and ownership of low-income  housing and to the
management and ownership of multi-unit  residential  real estate.  Some of these
risks  are that the low  income  housing  credit  could be  recaptured  and that
neither the  Partnership's  investments  nor the Housing  Complexes owned by the
Local Limited Partnerships will be readily marketable. To the extent the Housing
Complexes  receive  government  financing  or operating  subsidies,  they may be
subject to one or more of the following risks: difficulties in obtaining tenants
for the Housing Complexes; difficulties in obtaining rent increases; limitations
on cash distributions; limitations on sales or refinancing of Housing Complexes;
limitations on transfers of Local Limited Partnership Interests;  limitations on
removal of Local General Partners; limitations on subsidy programs; and possible
changes in applicable regulations.  The Housing Complexes are or will be subject
to  mortgage  indebtedness.  If a Local  Limited  Partnership  does not make its
mortgage payments, the lender could foreclose resulting in a loss of the Housing
Complex  and  low-income  housing  credits.  As a limited  partner  of the Local
Limited Partnerships, the Partnership will have very limited rights with respect
to management of the Local  Limited  Partnerships,  and will rely totally on the
Local General  Partners of the Local Limited  Partnerships for management of the
Local Limited Partnerships.  The value of the Partnership's  investments will be
subject  to  changes  in  national  and  local  economic  conditions,  including
unemployment  conditions,  which could adversely  impact vacancy levels,  rental
payment  defaults and operating  expenses.  This, in turn,  could  substantially
increase  the  risk of  operating  losses  for  the  Housing  Complexes  and the
Partnership.  In addition,  each Local Limited  Partnership  is subject to risks
relating  to  environmental  hazards  and  natural  disasters,  which  might  be
uninsurable. Because the Partnership's operations will depend on these and other
factors  beyond  the  control  of the  General  Partner  and the  Local  General
Partners,  there can be no assurance  that the  anticipated  low income  housing
credits will be available to Limited Partners.

In addition,  Limited  Partners are subject to risks in that the rules governing
the low income  housing  credit are  complicated,  and the use of credits can be
limited.  The only  material  benefit from an investment in Units may be the low
income housing credits. There are limits on the transferability of Units, and it
is unlikely that a market for Units will develop.  All management decisions will
be made by the General Partner.

Method of Accounting for Investments in Limited Partnerships

The Partnership  accounts for its investments in limited  partnerships using the
equity method of  accounting,  whereby the  Partnership  adjusts its  investment
balance for its share of the Local Limited  Partnership's  results of operations
and for any distributions received. The accounting policies of the Local Limited
Partnerships are consistent with those of the Partnership. Costs incurred by the
Partnership  in  acquiring  the  investments  are  capitalized  as  part  of the
investment account and are being amortized over 30 years (see Note 2).

Losses from limited  partnerships for the years ended December 31, 1998 and 1997
have been recorded by the Partnership  based on reported results provided by the
Local  Limited  Partnerships.  Losses from  limited  partnerships  for the three
months  ended  March  31,  1999  have  been   estimated  by  management  of  the
Partnership. Losses from Local Limited Partnerships for the year ended March 31,
2000 have been  recorded  by the  Partnership  based on nine  months of reported
results  provided  by the  Local  Limited  Partnerships  and on three  months of
results  estimated  by  management  of  the  Partnership.  Losses  from  limited
partnerships  allocated to the Partnership  will not be recognized to the extent
that the investment balance would be adjusted below zero.

Offering Expenses

Offering  expenses consist of underwriting  commissions,  legal fees,  printing,
filing and  recordation  fees,  and other costs  incurred  with selling  limited
partnership  interests in the  Partnership.  The General Partner is obligated to
pay all  offering  and  organization  costs in  excess of 15%  (including  sales
commissions) of the total offering proceeds.  Offering expenses are reflected as
a reduction of limited  partners'  capital and amounted to $1,356,705 at the end
of all periods presented.

                                       20

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued

Use of Estimates

The preparation of financial  statements in conformity  with generally  accepted
accounting principles requires management to make estimates and assumptions that
affect  the  reported  amounts  of assets  and  liabilities  and  disclosure  of
contingent assets and liabilities at the date of the financial  statements,  and
the  reported  amounts of revenues  and expenses  during the  reporting  period.
Actual results could materially differ from those estimates.

Cash and Cash Equivalents

The  Partnership   considers  all  highly  liquid   investments  with  remaining
maturities of three months or less when purchased to be cash equivalents.  There
were no cash equivalents as of March 31, 2000 and 1999, and December 31, 1998.

Concentration of Credit Risk

At March 31,  2000,  the  Partnership  maintained  a cash  balance  at a certain
financial institution in excess of the maximum federally insured amounts.

Net Loss Per Limited Partner Unit

Net loss per limited  partnership  unit is  calculated  pursuant to Statement of
Financial  Accounting  Standards No. 128,  Earnings Per Share. Net loss per unit
includes no dilution  and is computed  by  dividing  loss  available  to limited
partners by the weighted average number of units outstanding during the period.
Calculation of diluted net loss per unit is not required.

Reporting Comprehensive Income

In June 1997,  the FASB  issued  Statement  of  Financial  Accounting  Standards
("SFAS") No. 130, Reporting  Comprehensive  Income.  This statement  establishes
standards for reporting the components of comprehensive income and requires that
all items that are  required to be  recognized  under  accounting  standards  as
components of comprehensive  income be included in a financial statement that is
displayed with the same prominence as other financial statements.  Comprehensive
income  includes net income as well as certain items that are reported  directly
within a separate  component  of  Partners'  equity and bypass net  income.  The
Partnership  adopted the  provisions of this  statement in 1998. For the periods
presented,  the Partnership has no elements of other  comprehensive  income,  as
defined by SFAS No. 130.

Reclassifications

Certain  prior  year  balances  have been  reclassified  to  conform to the 2000
presentation.

                                       21

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS

As of the periods  presented,  the Partnership had acquired limited  partnership
interests  in  twenty-one  Local  Limited  Partnerships,  each of which owns one
housing  complex  consisting  of an  aggregate  of 812  apartment  units.  As of
December 31, 1998,  construction on all multifamily complexes was complete.  The
respective general partners of the Local Limited  Partnerships manage the day to
day operations of the entities.  Significant Local Limited Partnership  business
decisions require approval from the Partnership.  The Partnership,  as a limited
partner,  is  generally  entitled  to 99%,  as  specified  in the Local  Limited
Partnership agreements,  of the operating profits and losses, taxable income and
losses and tax credits of the Local Limited Partnerships.

The  Partnership's  investments  in Local Limited  Partnerships  as shown in the
balance  sheets  at March 31,  2000 and 1999,  are  approximately  $618,000  and
$578,000,  respectively,  greater than the Partnership's equity at the preceding
December  31 as shown in the  Local  Limited  Partnerships'  combined  financial
statements  presented  below.  This  difference  is primarily  due to unrecorded
losses,  as discussed below,  acquisition,  selection and other costs related to
the  acquisition  of  the  investments   which  have  been  capitalized  in  the
Partnership's  investment  account and to capital  contributions  payable to the
limited  partnerships  which were netted  against  partner  capital in the Local
Limited Partnership's financial statements. The Partnership's investment is also
lower than the Partnership's equity as shown in the Local Limited  Partnership's
combined  financial  statements  due to the  estimated  losses  recorded  by the
Partnership for the three month period ended March 31.

Equity in losses of Local  Limited  Partnerships  is recognized in the financial
statements  until the related  investment  account is reduced to a zero balance.
Losses  incurred  after  the  investment  account  is  reduced  to zero  are not
recognized. If the Local Limited Partnerships report net income in future years,
the  Partnership  will resume applying the equity method only after its share of
such net  income  equals  the share of net  losses  not  recognized  during  the
period(s) the equity method was suspended.

Distributions  received by limited  partners are accounted for as a reduction of
the investment balance.  Distributions received after the investment has reached
zero are recognized as income.

At March 31, 2000, the investment accounts in certain Local Limited Partnerships
have  reached  a zero  balance.  Consequently,  a portion  of the  Partnership's
estimate  of its share of losses for the year ended March 31, 2000 and the three
month  period  ended  March 31,  1999  amounting  to  approximately  $75,000 and
$16,000,  respectively  have not been  recognized.  The  Partnership's  share of
losses  during the year ended  December  31,  1998  amounting  to  approximately
$59,000,  has not been recognized.  As of March 31, 2000, the aggregate share of
net losses not recognized by the Partnership amounted to $150,000.

Following is a summary of the equity method activity of the investments in Local
Limited Partnerships for the periods presented:
<TABLE>
<CAPTION>

                                                  For the Year     For the Three           For the Years Ended
                                                     Ended          Months Ended               December 31
                                                    March 31          March 31
                                                 ---------------  -----------------   -------------------------------

                                                      2000              1999               1998             1997
                                                 ---------------  -----------------   ---------------    ------------
<S>                                            <C>                <C>             <C>                <C>
Investments per balance sheet, beginning of
 period                                        $      4,298,485   $    4,495,621  $      4,976,247   $   5,771,116
Capital contributions paid, net                          (5,864)               -           276,057               -
Distributions received                                  (31,390)          (4,000)           (6,025)         (7,525)
Capitalized acquisition fees and costs                        -                -             5,789           5,502
Equity in losses of limited partnerships               (693,836)        (186,012)         (728,078)       (764,430)
Amortization of paid acquisition fees and
 costs                                                  (28,496)          (7,124)          (28,369)        (28,416)
                                                 ---------------  -----------------   ---------------    ------------

Investments per balance sheet, end of period   $      3,538,899   $    4,298,485  $      4,495,621   $   4,976,247
                                                 ===============  =================   ===============    ============

</TABLE>
                                       22

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS, continued

The financial  information from the individual financial statements of the Local
Limited Partnerships include rental and interest subsidies. Rental subsidies are
included in total revenues and interest  subsidies are generally  netted against
interest expense.  Approximate combined condensed financial information from the
individual financial statements of the Local Limited Partnerships as of December
31 and for the years then ended is as follows:

                        COMBINED CONDENSED BALANCE SHEETS
<TABLE>
<CAPTION>


                                                                    1999                1998
                                                               ---------------     ---------------

ASSETS
<S>  <C>                                                     <C>                 <C>
Buildings and improvements, net of accumulated
 depreciation  of $5,600,000  and  $4,545,000 for 1999
 and 1998, respectively                                      $     29,007,000    $     30,033,000
Land                                                                1,610,000           1,610,000
Due from related parties                                               14,000              31,000
Other assets                                                        2,051,000           1,953,000
                                                               ---------------     ---------------

                                                             $     32,682,000    $     33,627,000
                                                               ===============     ===============
LIABILITIES

Mortgage and construction loans payable                      $     25,512,000    $     26,684,000
Due to related parties                                                844,000             957,000
Other liabilities                                                   2,078,000           1,028,000
                                                               ---------------     ---------------

                                                                   28,434,000          28,669,000
                                                               ---------------     ---------------
PARTNERS' CAPITAL

WNC  Housing Tax Credits Fund IV, L.P, Series 1.                    2,921,000           3,720,000
Other partners                                                      1,327,000           1,238,000
                                                               ---------------     ---------------

                                                                    4,248,000           4,958,000
                                                               ---------------     ---------------

                                                             $     32,682,000    $     33,627,000
                                                               ===============     ===============

</TABLE>

                                       23
<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS, continued

                   COMBINED CONDENSED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>

                                                   1999               1998                1997
                                              ---------------    ---------------     ---------------
<S>                                         <C>               <C>                  <C>
Revenues                                    $      3,342,000  $       3,222,000    $      3,182,000
                                              ---------------    ---------------     ---------------
Expenses:
 Operating expenses                                2,196,000          2,054,000           1,874,000
 Interest expense                                    905,000            880,000           1,019,000
 Depreciation and amortization                     1,058,000          1,087,000           1,064,000
                                              ---------------    ---------------     ---------------

   Total expenses                                  4,159,000          4,021,000           3,957,000
                                              ---------------    ---------------     ---------------

Net loss                                    $       (817,000) $        (799,000)   $       (775,000)
                                              ===============    ===============     ===============

Net loss allocable to the Partnership       $       (806,000) $        (787,000)   $       (764,000)
                                              ===============    ===============     ===============

Net loss recorded by the Partnership        $       (694,000) $        (728,000)   $       (764,000)
                                              ===============    ===============     ===============
</TABLE>

Certain Local Limited  Partnerships have incurred  significant  operating losses
and over 50% of Local Limited Partnership have working capital deficiencies.  In
the  event  these  Local  Limited  Partnerships  continue  to incur  significant
operating losses, additional capital contributions by the Partnership and/or the
Local General  Partners may be required to sustain the  operations of such Local
Limited Partnerships. If additional capital contributions are not made when they
are  required,  the  Partnership's  investment  in certain of such Local Limited
Partnerships  could be impaired  and the loss and  recapture  of the related tax
credits could occur.

The reports of the independent  certified public accountants with respect to the
financial  statements of two Local Limited  Partnerships  expressed  substantial
doubt as to the Local  Limited  Partnerships'  ability  to  continue  as a going
concern.  The  Partnership  had a  $427,978,  $644,019  and  $699,602  remaining
investment in one such Local Limited Partnership at March 31, 2000 and 1999, and
December 31, 1998,  respectively.  The Partnership's  original investment in the
Local Limited Partnership  approximated  $1,691,585.  Through December 31, 1999,
the  Local  Limited  Partnership  has  had  recurring  losses,  working  capital
deficiencies and has not been billed for certain property tax expenses due since
1994. The Local Limited  Partnership is seeking abatement or an extended payment
plan to pay down certain of these  liabilities;  however,  if the Local  Limited
Partnership  is  unsuccessful,  additional  funding  may be  requested  from the
Partnership. In the event the Local Limited Partnership is required to liquidate
or sell its  property,  the net proceeds  could be  significantly  less than the
carrying value of such property.  As of December 31, 1999 and 1998, the carrying
value of such property on the books and records of the Local Limited Partnership
totaled  $6,849,598 and $7,041,056.  The auditors for this entity have expressed
substantial  doubt as to this entity's ability to continue as a going concern as
a result of the property  tax issue.  In September  1996,  the original  general
partners of this  limited  partnership  were  removed.  The Los  Angeles  County
Housing  Development  Corporation  ("LACHDC")  was  named  as the  sole  general
partner.  In September  1997,  Community  Housing  Assistance  Program,  Inc., a
California nonprofit corporation replaced LACHDC as the sole general partner.

The Partnership had a $0, $0 and $33,743 remaining investment in the other Local
Limited  Partnership  at March  31,  2000  and  1999,  and  December  31,  1998,
respectively.  The  Partnership's  original  investment  in  the  Local  Limited
Partnership  approximated  $160,776.  As of December 31, 1999, the Local Limited
Partnership  is delinquent in its mortgage  payments and property  taxes and its
reserve account and security deposit account are underfunded. Rural Development,
the Local Limited  Partnership's  lender, has issued a notice calling the entire
mortgage.  The auditors for this entity have expressed  substantial  doubt as to
this  entity's  ability  to  continue  as a going  concern  as a result  of such
delinquencies.  The Local Limited Partnership has been successful in negotiating
a workout plan with Rural Development  which has resulted in the  reamortization
of the mortgage,  the payment of all delinquent  property taxes, and the funding
of the reserves by the Local General Partner.

                                       24
<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 3 - RELATED PARTY TRANSACTIONS

Under the terms of the  Partnership  Agreement,  the Partnership is obligated to
the General Partner or its affiliates for the following items:

         Acquisition  fees of up to 8% of the  gross  proceeds  from the sale of
         Partnership  units as compensation for services  rendered in connection
         with the acquisition of Local Limited  Partnerships.  At the end of all
         periods  presented,   the  Partnership  incurred  acquisition  fees  of
         $800,000.  Accumulated  amortization  of these  capitalized  costs  was
         $157,298,  $130,634  and  $123,968 as of March 31,  2000 and 1999,  and
         December 31, 1998, respectively.

         Reimbursement  of costs  incurred by the General  Partner in connection
         with   the   acquisition   of   Local   Limited   Partnerships.   These
         reimbursements  have not  exceeded  1.2% of the gross  proceeds.  As of
         March 31, 2000 and 1999 and December 31, 1998, the Partnership incurred
         acquisition  costs of $54,949,  which have been included in investments
         in limited partnerships.  Accumulated  amortization amounted to $8,861,
         $7,030 and $6,572 as of March 31, 2000 and 1999, and December 31, 1998,
         respectively.

         An  annual  asset  management  fee equal to the  greater  amount of (i)
         $2,000 for each apartment complex, or (ii) 0.275% of gross proceeds. In
         either case,  the fee will be decreased or increased  annually based on
         changes to the  Consumer  Price  Index.  However,  in no event will the
         maximum amount exceed 0.2% of the invested  assets of the Local Limited
         Partnerships,  including  the  Partnership's  allocable  share  of  the
         mortgages.  Management fees of $42,105 and $10,000 were incurred during
         the year ended  March 31,  2000 and the three  months  ended  March 31,
         1999,  respectively,  and  $40,000  was  incurred  for the years  ended
         December 31, 1998 and 1997, respectively,  of which $16,310 and $33,690
         was paid during the year ended  March 31,  2000,  and the three  months
         ended March 31, 1999, respectively, and $0 and $70,000 were paid during
         1998 and 1997, respectively.

         A  subordinated  disposition  fee in an amount equal to 1% of the sales
         price of real estate sold.  Payment of this fee is  subordinated to the
         limited  partners  receiving a preferred return of 16% through December
         31, 2003 and 6% thereafter  (as defined in the  Partnership  Agreement)
         and is payable  only if the General  Partner or its  affiliates  render
         services in the sales effort.

         An affiliate of the General Partner  provides  management  services for
         one of the properties in the limited partnerships. Management fees were
         earned by the  affiliate  in the amount of  $50,259  and $8,625 for the
         year ended March 31, 2000 and the three  months  ended March 31,  1999,
         and $38,348 and $9,519  during the years  ended  December  31, 1998 and
         1997,  respectively.  In May 1999, the affiliate of the general partner
         refunded  $7,086 and $1,887 of the management  fees related to 1998 and
         1997,  respectively,  in accordance with the terms of the Partnership's
         prospectus.

The accrued fees and advances due to General  Partner and affiliates  consist of
the following:
<TABLE>
<CAPTION>

                                                       March 31                 December 31
                                             ------------------------------    ---------------

                                                 2000             1999              1998
                                             -------------     ------------    ---------------


<S>                                        <C>               <C>             <C>
Reimbursement for expenses paid by
 the General Partner or an affiliate       $          926    $       2,963   $          4,833

Asset management fee payable                      103,667           77,977            101,667
                                             -------------     ------------    ---------------

Total                                      $      104,593    $      80,940   $        106,500
                                             =============     ============    ===============
</TABLE>

                                       25

<PAGE>
                 WNC HOUSING TAX CREDIT FUND IV, L.P., SERIES 1
                       (A California Limited Partnership)

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                       For The Year Ended March 31, 2000,
                  For The Three Months Ended March 31, 1999 and
                 For The Years Ended December 31, 1998 and 1997

NOTE 4 - PAYABLES TO LIMITED PARTNERSHIPS

Payables  to limited  partnerships  represent  amounts  which are due at various
times based on conditions specified in the limited partnership agreement.  These
contributions  are  payable  in  installments  and  are  due  upon  the  limited
partnership  achieving certain operating and development  benchmarks  (generally
within two years of the Partnership's initial investment).

NOTE 5 - INCOME TAXES

No provision for income taxes has been  recorded in the financial  statements as
any  liability  for  income  taxes  is the  obligation  of the  partners  of the
Partnership.

NOTE 6 - COMMITMENTS AND CONTINGENCIES

One of the Local Limited  Partnerships is currently undergoing an audit with the
Internal Revenue Service ("IRS").  The Partnership's  original investment in the
Local Limited  Partnership  was $271,544.  The outcome of the audit is currently
unknown;  however,  should the IRS's  conclusions  be less than  favorable,  the
Partnership  could be subject to the  disallowance  of certain  expenses and tax
credits, and the recapture of a portion of the tax credits previously taken.


                                       26

<PAGE>
Item  9.  Changes  in and  Disagreements  With  Accountants  on  Accounting  and
Financial Disclosure

NOT APPLICABLE

PART III

Item 10. Directors and Executive Officers of the Registrant

The Partnership has no directors or executive officers of its own. The following
biographical  information is presented for the directors and executive  officers
of Associates which has principal responsibility for the Partnership's affairs.

Directors and Executive Officers of WNC & Associates, Inc.

The directors of WNC & Associates,  Inc. are Wilfred N. Cooper,  Sr., who serves
as Chairman of the Board,  John B.  Lester,  Jr.,  David N.  Shafer,  Wilfred N.
Cooper, Jr. and Kay L. Cooper.  The principal  shareholders of WNC & Associates,
Inc. are trusts established by Wilfred N. Cooper, Sr. and John B. Lester, Jr.

Wilfred N.  Cooper,  Sr.,  age 69, is the  founder,  Chairman,  Chief  Executive
Officer,  and a Director of WNC &  Associates,  Inc.,  a Director of WNC Capital
Corporation,  and a general partner in some of the programs previously sponsored
by the  Sponsor.  Mr.  Cooper has been  involved in real estate  investment  and
acquisition  activities  since 1968.  Previously,  during 1970 and 1971,  he was
founder and principal of Creative Equity Development Corporation,  a predecessor
of WNC & Associates,  Inc., and of Creative  Equity  Corporation,  a real estate
investment firm. For 12 years prior to that, Mr. Cooper was employed by Rockwell
International  Corporation,  last  serving as its  manager of housing  and urban
developments where he had  responsibility  for factory-built  housing evaluation
and project  management  in urban  planning  and  development.  Mr.  Cooper is a
Director of the  National  Association  of Home  Builders  (NAHB) and a National
Trustee  for NAHB's  Political  Action  Committee,  a Director  of the  National
Housing  Conference  (NHC)  and a member  of  NHC's  Executive  Committee  and a
Director of the National Multi-Housing Council (NMHC). Mr. Cooper graduated from
Pomona College in 1956 with a Bachelor of Arts degree.

John B.  Lester,  Jr.,  age 66, is  Vice-Chairman,  a Director,  a member of the
Acquisition  Committee of WNC & Associates,  Inc., and a Director of WNC Capital
Corporation.   Mr.  Lester  has  27  years  of  experience  in  engineering  and
construction  and has been involved in real estate  investment  and  acquisition
activities since 1986 when he joined the Sponsor. Previously, he was Chairman of
the Board and Vice President or President of E & L Associates,  Inc., a provider
of engineering and construction  services to the oil refinery and  petrochemical
industries,  which  he  co-founded  in  1973.  Mr.  Lester  graduated  from  the
University of Southern  California in 1956 with a Bachelor of Science  degree in
Mechanical Engineering.

Wilfred N.  Cooper,  Jr.,  age 37, is  President,  Chief  Operating  Officer,  a
Director and a member of the Acquisition Committee of WNC & Associates,  Inc. He
is President of, and a registered  principal  with, WNC Capital  Corporation,  a
member firm of the NASD, and is a Director of WNC  Management,  Inc. He has been
involved in investment and  acquisition  activities  with respect to real estate
since he joined the  Sponsor  in 1988.  Prior to this,  he served as  Government
Affairs  Assistant with Honda North America in Washington,  D.C. Mr. Cooper is a
member of the Advisory Board for LIHC Monthly Report,  a Director of NMHC and an
Alternate  Director of NAHB. He graduated  from The American  University in 1985
with a Bachelor of Arts degree.

David N.  Shafer,  age 48, is  Executive  Vice  President,  a Director,  General
Counsel,  and a member of the Acquisition  Committee of WNC & Associates,  Inc.,
and a  Director  and  Secretary  of WNC  Management,  Inc.  Mr.  Shafer has been
involved in real estate investment and acquisition  activities since 1984. Prior
to joining the Sponsor in 1990, he was  practicing  law with a specialty in real
estate and taxation.  Mr.  Shafer is a Director and President of the  California
Council of Affordable  Housing and a member of the State Bar of California.  Mr.
Shafer graduated from the University of California at Santa Barbara in 1978 with
a Bachelor of Arts  degree,  from the New  England  School of Law in 1983 with a
Juris  Doctor  degree (cum laude) and from the  University  of San Diego in 1986
with a Master of Law degree in Taxation.

                                       27

<PAGE>
Michael L. Dickenson, age 43, is Vice President and Chief Financial Officer, and
a member of the  Acquisition  Committee  of WNC &  Associates,  Inc.,  and Chief
Financial Officer of WNC Management,  Inc. He has been involved with acquisition
and  investment  activities  with  respect to real estate  since 1985.  Prior to
joining the Sponsor in March 1999, he was the Director of Financial  Services at
TrizecHahn  Centers Inc., a developer  and operator of  commercial  real estate,
from 1995 to 1999,  a Senior  Manager  with E&Y  Kenneth  Leventhal  Real Estate
Group, Ernst & Young, LLP, from 1988 to 1995, and Vice President of Finance with
Great Southwest  Companies,  a commercial and residential real estate developer,
from  1985 to 1988.  Mr.  Dickenson  is a  member  of the  Financial  Accounting
Standards  Committee for the National  Association of Real Estate  Companies and
the  American  Institute  of  Certified  Public  Accountants,  and a Director of
HomeAid  Southern  California,  a charitable  organization  affiliated  with the
building  industry.  He  graduated  from  Texas Tech  University  in 1978 with a
Bachelor of Business  Administration  -  Accounting  degree,  and is a Certified
Public Accountant in California and Texas.

Thomas J. Riha, age 45, is Vice President - Asset Management and a member of the
Acquisition  Committee  of WNC &  Associates,  Inc.  and a  Director  and  Chief
Executive  Officer  of WNC  Management,  Inc.  Mr.  Riha  has been  involved  in
acquisition  and investment  activities  with respect to real estate since 1979.
Prior to joining the  Sponsor in 1994,  Mr.  Riha was  employed by Trust  Realty
Advisor, a real estate acquisition and management company,  last serving as Vice
President - Operations. Mr. Riha graduated from the California State University,
Fullerton  in 1977 with a  Bachelor  of Arts  degree  (cum  laude)  in  Business
Administration  with a  concentration  in Accounting  and is a Certified  Public
Accountant  and  a  member  of  the  American   Institute  of  Certified  Public
Accountants.

Sy P. Garban,  age 54, is Vice  President -  Institutional  Investments of WNC &
Associates, Inc. and has been employed by the Sponsor since 1989. Mr. Garban has
been involved in real estate investment  activities since 1978. Prior to joining
the Sponsor he served as Executive  Vice  President of MRW,  Inc., a real estate
development  and management  firm.  Mr. Garban is a member of the  International
Association of Financial  Planners.  He graduated from Michigan State University
in 1967 with a Bachelor of Science degree in Business Administration.

N. Paul Buckland,  age 37, is Vice President - Acquisitions  and a member of the
Acquisition  Committee of WNC &  Associates,  Inc. He has been  involved in real
estate  acquisitions and investments since 1986 and has been employed with WNC &
Associates, Inc. since 1994. Prior to that, he served on the development team of
the Bixby Ranch that  constructed  apartment  units and Class A office  space in
California and neighboring  states,  and as a land acquisition  coordinator with
Lincoln  Property   Company  where  he  identified  and  analyzed   multi-family
developments. Mr. Buckland graduated from California State University, Fullerton
in 1992 with a Bachelor of Science degree in Business Finance.

David Turek, age 45, is Vice President - Originations of WNC & Associates,  Inc.
He has been involved with real estate  investment and finance  activities  since
1976 and has been employed by WNC & Associates,  Inc.  since 1996.  From 1995 to
1996,  Mr. Turek served as a consultant  for a national Tax Credit sponsor where
he was responsible for on-site feasibility studies and due diligence analyses of
Tax Credit properties.  From 1990 to 1995, he was involved in the development of
conventional  and tax credit  multi-family  housing.  He is a Director  with the
Texas Council for Affordable Rural Housing and graduated from Southern Methodist
University in 1976 with a Bachelor of Business Administration degree.

Kay L. Cooper,  age 63, is a Director of WNC & Associates,  Inc. Mrs. Cooper was
the founder and sole  proprietor  of Agate 108, a  manufacturer  and retailer of
home  accessory  products,  from 1975 until 1998.  She is the wife of Wilfred N.
Cooper,  Sr.,  the mother of Wilfred  N.  Cooper,  Jr. and the sister of John B.
Lester,  Jr. Ms. Cooper graduated from the University of Southern  California in
1958 with a Bachelor of Science degree.

Item 11.  Executive Compensation:

The Partnership has no officers,  employees,  or directors.  However,  under the
terms of the  Partnership  Agreement the  Partnership  is obligated to TCP IV or
Associates during the current or future years for the following fees:

(a)      Annual Asset Management Fee. An annual asset management fee the greater
         of (i) $2,000 per multi-family housing complex, or (ii) 0.275% of Gross
         Proceeds.  The base fee amount will be adjusted  annually  based on the
         change in the  Consumer  Price  Index.  However,  in no event  will the
         annual asset management fee exceed 0.2% of Invested  Assets.  "Invested
         Assets" means the sum of the Partnership's  investment in Local Limited
         Partnerships and the Partnership's allocable share of the amount of the
         indebtedness related to the Housing Complexes. Fees of $42,105, $10,000
         and $40,000 were  incurred  during the year ended March 31,  2000,  the
         three  months  ended March 31,  1999,  and the year ended  December 31,
         1998,  respectively.  The  Partnership  paid the General Partner or its
         affiliates $16,310,  $33,690 and $0 of those fees during the year ended
         March 31,  2000,  the three  months  ended  March 31, 1999 and the year
         ended December 31, 1998, respectively.

                                       28
<PAGE>

(b)      Subordinated  Disposition  Fee. A  subordinated  disposition  fee in an
         amount equal to 1% of the sale price  received in  connection  with the
         sale or disposition of a Housing Complex. Subordinated disposition fees
         will be  subordinated  to the  prior  return of the  Limited  Partners'
         capital  contributions  and payment of the return on  investment to the
         Limited Partners.  "Return on Investment"  means an annual,  cumulative
         but not  compounded,  "return" to the Limited  Partners  (including Low
         Income  Housing   Credits)  as  a  class,  on  their  adjusted  capital
         contributions  commencing  for each Limited  Partner on the last day of
         the  calendar  quarter  during  which  the  Limited  Partner's  capital
         contribution  is  received  by  the  Partnership,   calculated  at  the
         following rates: (i) 16% through December 31, 2003, and (ii) 6% for the
         balance of the Partnership's term. No disposition fees have been paid.

(c)      Operating Expenses.  The Partnership  reimbursed the General Partner or
         its affiliates for operating expenses of approximately $9,000,  $21,000
         and $1,000 during the year ended March 31, 2000, the three months ended
         March 31, 1999, and the year ended December 31, 1998, respectively.

(d)      Interest  in  Partnership.  The  General  Partner  receives  1% of  the
         Partnership's  allocated Low Income Housing Credits, which approximated
         $15,000  and  $14,000  for the  General  Partner  for the  years  ended
         December 31, 1999 and 1998,  respectively.  The General Partner is also
         entitled   to  receive  1%  of  cash   distributions.   There  were  no
         distributions  of cash to the  General  Partner  during  the year ended
         March 31, 2000, the three months ended March 31, 1999 or the year ended
         December 31, 1998.

Item 12. Security Ownership of Certain Beneficial Owners and Management

(a)      Security Ownership of Certain Beneficial Owners

         No person  is known to  the  General  Partner  to own  beneficially  in
         excess of 5% of the outstanding units.

(b)      Security Ownership of Management

         Neither the General Partner, its affiliates, nor any of the officers or
         directors  of the General  Partner or its  affiliates  own  directly or
         beneficially any Units in the Partnership.

(c)      Changes in Control

         The management and control of the General Partner may be changed at any
         time in  accordance  with their  respective  organizational  documents,
         without the consent or approval of the Limited  Partners.  In addition,
         the  Partnership  Agreement  provides for the  admission of one or more
         additional and successor General Partners in certain circumstances.

         First,   with  the  consent  of  any  other  General   Partners  and  a
         majority-in-interest  of the Limited Partners,  any General Partner may
         designate  one or more persons to be successor  or  additional  General
         Partners. In addition,  any General Partner may, without the consent of
         any other General  Partner or the Limited  Partners,  (i) substitute in
         its  stead  as  General  Partner  any  entity  which  has,  by  merger,
         consolidation or otherwise,  acquired  substantially all of its assets,
         stock or other evidence of equity  interest and continued its business,
         or (ii) cause to be admitted to the  Partnership an additional  General
         Partner or  Partners  if it deems such  admission  to be  necessary  or
         desirable so that the Partnership  will be classified a partnership for
         Federal income tax purposes.  Finally,  a  majority-in-interest  of the
         Limited  Partners  may at any time  remove the  General  Partner of the
         Partnership and elect a successor General Partner.

Item 13.  Certain Relationships and Related Transactions

The General Partner manages all of the Partnership's  affairs.  The transactions
with  the  General  Partner  are  primarily  in the  form  of  fees  paid by the
Partnership for services  rendered to the Partnership and the General  Partner's
interests  in the  Partnership,  as discussed in Item 11 and in the notes to the
Partnership's financial statements.

                                       29

<PAGE>
PART IV.

Item 14.  Exhibits, Financial Statement Schedules, and Reports on Form 8-K

Financial Statements

(a)(1)   Financial statements included in Part II hereof:

         Report of Independent Certified Public Accountants
         Independent Auditors' Report
         Balance Sheets, March 31, 2000 and 1999 and December 31, 1998
         Statements of Operations  for the year ended March 31, 2000,  the three
          months ended March 31, 1999 and the years ended  December 31, 1998 and
         1997
         Statements of Partners'  Equity  (Deficit) for the year ended March 31,
          2000, the three  months ended March 31, 1999  and for the  years ended
          December 31, 1998 and 1997
         Statements  of Cash Flows for the year ended March 31, 2000,  the three
          months ended March 31, 1999 and for the years ended  December 31, 1998
          and 1997
         Notes to Financial Statements

(a)(2)   Financial statement schedule included in Part IV hereof:

         Report  of  Independent  Certified  Public  Accountants  on  Financial
         Statement Schedules
         Schedule III - Real Estate Owned by Local Limited Partnerships

(b)      Reports on Form 8-K.

1.       A Form 8-K dated May 13, 1999 was filed on  May 14, 1999  reporting the
         Partnership's  change  in fiscal  year  end to March  31. No  financial
         statements were included.

(c)      Exhibits.

3.1      Articles  of  incorporation   and   by-laws:   The  registrant  is  not
         incorporated.  The  Partnership  Agreement  is included as Exhibit B to
         the  Prospectus,  filed as Exhibit  28.1  to Form 10-K for fiscal  year
         ended December 31, 1995.

10.1     Second  Amended  and  Restated  Agreement  of  Limited  Partnership  of
         Beckwood Manor Seven Limited Partnership filed as  exhibit 10.1 to Form
         8-K dated December 8, 1993 is hereby  incorporated  herein by reference
         as exhibit 10.1.

10.2     Amended and Restated Agreement of Limited  Partnership of Alpine  Manor
         filed as exhibit 10.3 to Post-Effective  Amendment No 1 dated  February
         16, 1994 is hereby incorporated herein by reference as exhibit 10.2.

10.3     Second  Amended  and  Restated  Agreement  of  Limited  Partnership  of
         Briscoe   Manor,   Limited   Partnership   filed  as  exhibit  10.4  to
         Post-Effective  Amendment  No 1  dated  February  16,  1994  is  hereby
         incorporated herein by reference as exhibit 10.3.

10.4     Amended and Restated  Agreement and Certificate of Limited  Partnership
         of  Evergreen  Four,  Limited   Partnership  filed as  exhibit  10.5 to
         Post-Effective  Amendment  No 1 dated  February  16,  1994   is  hereby
         incorporated herein by reference as exhibit 10.4.

10.5     Amended and  Restated Agreement and Certificate of Limited  Partnership
         of  Fawn  Haven,   Limited   Partnership  filed   as  exhibit  10.6  to
         Post-Effective  Amendment  No 1 dated  February   16,  1994  is  hereby
         incorporated herein by reference as exhibit 10.5.

10.6     Amended  and  Restated  Agreement  of  Limited   Partnership  of  Fort
         Stockton, L. P. filed as exhibit 10.7 to Post-Effective  Amendment No 1
         dated February 16, 1994 is hereby  incorporated herein by  reference as
         exhibit 10.6.

                                       30
<PAGE>
10.7     Amended and Restated Agreement and Certificate of  Limited  Partnership
         of Madison Manor Senior Citizens  Complex,  Ltd.  filed as exhibit 10.8
         to  Post-Effective  Amendment  No 1 dated   February 16, 1994 is hereby
         incorporated herein by reference as exhibit 10.7.

10.8     Amended and Restated Agreement and Certificate of  Limited  Partnership
         of Mt. Graham  Housing,  Ltd. filed as exhibit 10.9  to  Post-Effective
         Amendment No 1 dated February 16, 1994 is hereby  incorporated  herein
         by reference as exhibit 10.8.

10.9     Amended and Restated Agreement and Certificate of  Limited  Partnership
         of  Northside  Plaza  Apartments,  Ltd.  filed  as  exhibit  10.10   to
         Post-Effective  Amendment  No 1 dated  February  16,  1994   is  hereby
         incorporated herein by reference as exhibit 10.9.

10.10    Amended and Restated Agreement of Limited  Partnership of Pampa  Manor,
         L.P.  filed as exhibit  10.11 to  Post-Effective  Amendment No  1 dated
         February  16,  1994 is  hereby  incorporated  herein by  reference   as
         exhibit 10.10.

10.11    Amended and Restated Agreement of Limited Partnership of  Vernon Manor,
         L.P.  filed as exhibit  10.12 to  Post-Effective  Amendment No  1 dated
         February  16,  1994 is  hereby  incorporated  herein  by  reference  as
         exhibit 10.11.

10.12    Amended and  Restated  Agreement of Limited  Partnership  of  Waterford
         Place, A Limited  Partnership filed as exhibit 10.13 to  Post-Effective
         Amendment No 1 dated February 16, 1994 is  hereby  incorporated  herein
         by reference as exhibit 10.12.

10.13    Amended  and  Restated  Agreement  of  Limited  Partnership  of  Yantis
         Housing,  Ltd filed as exhibit 10.13 to Post-Effective  Amendment  No 1
         dated February 16, 1994 is hereby  incorporated herein by reference as
         exhibit 10.13.

10.14    Third  Amended  and  Restated  Agreement  of Limited  Partnership   and
         Certificate of Limited Partnership of Indian Creek Limited  Partnership
         filed as exhibit  10.16 to  Post-Effective  Amendment No 2  dated March
         11, 1994 is hereby incorporated herein by reference as exhibit 10.14.

10.15    Agreement of Limited  Partnership of Laurel Creek  Apartments filed  as
         exhibit  10.1 to Form 8-K  dated May 25,  1994 is  hereby  incorporated
         herein by reference as exhibit 10.15.

10.16    Second  Amended  and  Restated  Agreement  of Limited  Partnership   of
         Sandpiper Square, A Limited  Partnership filed as exhibit 10.2 to  Form
         8-K dated May 25, 1994 is hereby  incorporated  herein by reference  as
         exhibit 10.16.

10.17    Amended and Restated Agreement of Limited Partnership of Regency  Court
         Partners  filed as  exhibit  10.1 to Form 8-K dated  June 30,  1994  is
         hereby incorporated herein by reference as exhibit 10.17.

10.18    Disposition  and  Development  Agreement By and Between  The  Community
         Development  Commission of the County of Los Angeles and Regency  Court
         Partners  (including  forum of Ground  Lease) filed as exhibit 10.2  to
         Form  8-K  dated  June  30,  1994 is  hereby  incorporated   herein  by
         reference as exhibit 10.18.

10.19    Amended and  Restated  Agreement  of Limited  Partnership  of  Bay City
         Village  Apartments,  Limited  Partnership  filed as exhibit  10.19  to
         Post-Effective   Amendment   No  4  dated  July  14,  1994   is  hereby
         incorporated herein by reference as exhibit 10.19.

10.20    Second Amended and Restated Agreement of Limited Partnership of  Hidden
         Valley Limited  Partnership  filed as exhibit 10.20  to  Post-Effective
         Amendment  No 4 dated July 14, 1994 is hereby  incorporated  herein  by
         reference as exhibit 10.20.

10.21    Amended and Restated  Agreement of Limited  Partnership of HOI  Limited
         Partnership of Lenoir and Amendments thereto filed as exhibit 10.21  to
         Post-Effective   Amendment   No  4  dated  July  14,  1994  is   hereby
         incorporated herein by reference as exhibit 10.21.

21.1     Financial  Statements of Laurel Creek  Apartments,  for  the year ended
         December 31, 1999 together with Independent  Auditors' Report  Thereon;
         a significant subsidiary of the Partnership.

(d)      Financial  statement  schedules  follow,  as set  forth  in  subsection
         (a)(2) hereof.

                                       31
<PAGE>


               Report of Independent Certified Public Accounts on
                          Financial Statement Schedules




To the Partners
WNC Housing Tax Credit Fund IV, L.P. Series 1


The audits  referred to in our report  dated May 5, 2000,  relating to the 2000,
1999 and 1998  financial  statements  of WNC  Housing  Tax Credit  Fund IV, L.P.
Series 1 (the  "Partnership"),  which is  contained in Item 8 of this Form 10-K,
included  the  audit of the  accompanying  financial  statement  schedules.  The
financial  statement  schedules  are  the  responsibility  of the  Partnership's
management.  Our  responsibility  is to express  an  opinion on these  financial
statement schedules based upon our audits.

In our opinion,  such financial  statement  schedules  presents  fairly,  in all
material respects, the financial information set forth therein.




                              /s/ BDO SEIDMAN, LLP
                                  BDO SEIDMAN, LLP


Orange County, California
May 5, 2000



                                       32


<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2000
<TABLE>
<CAPTION>

                                              --------------------------------- ----------------------------------------------------
                                                   As of March 31, 2000                      As of December 31, 1999
                                              --------------------------------- ----------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                  Location    Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                               <C>             <C>           <C>          <C>           <C>         <C>
Alpine Manor, L.P.                Alpine, Texas   $    195,000    $    195,000  $   916,000  $   1,170,000 $  163,000  $  1,007,000

Baycity Village Apartments,       Baytown,
Limited Partnership               Texas                301,000         301,000    1,478,000      1,829,000    419,000     1,410,000

Beckwood Manor Seven Limited      Marianna,
Partnership                       Arkansas             307,000         307,000    1,391,000      1,790,000    395,000     1,395,000

Briscoe Manor Limited             Galena,
Partnership                       Maryland             308,000         308,000    1,490,000      1,812,000    343,000     1,469,000

Evergreen Four Limited            Maynard,
Partnership                       Arkansas             195,000         195,000      871,000      1,129,000    241,000       888,000

Fawn Haven Limited Partnership    Manchester,
                                  Ohio                 167,000         167,000      859,000      1,069,000    259,000       810,000

Fort Stockton Manor, L.P.         Ft.
                                  Stockton,
                                  Texas                224,000         224,000    1,055,000      1,248,000    156,000     1,092,000

Hidden Valley Limited             Gallup, New
Partnership                       Mexico               412,000         412,000    1,487,000      1,944,000    269,000     1,675,000

HOI Limited Partnership           Lenoir,
Of Lenoir                         North
                                  Carolina             198,000         198,000      562,000      1,168,000    217,000       951,000

Indian Creek Limited Partnership  Bucyrus, Ohio        306,000         306,000    1,475,000      1,776,000    351,000     1,425,000

Laurel Creek Apartments           San Luis
                                  Obispo,
                                  California         1,030,000       1,030,000      660,000      2,165,000    393,000     1,772,000

</TABLE>

                                       33
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2000
<TABLE>
<CAPTION>

                                              --------------------------------- ----------------------------------------------------
                                                   As of March 31, 2000                      As of December 31, 1999
                                              --------------------------------- ----------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                  Location    Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                               <C>             <C>           <C>          <C>           <C>         <C>

Madisonville Manor Senior         Madisonville,
Citizens Complex, Ltd.            Texas                174,000         174,000      903,000      1,149,000     95,000     1,054,000

Mt. Graham Housing, Ltd.          Safford,
                                  Arizona              410,000         410,000    1,411,000      1,874,000    382,000     1,492,000

Northside Plaza Apartments,       Angleton,
Ltd.                              Texas                282,000         282,000    1,364,000      1,736,000    171,000     1,565,000

Pampa Manor, L.P.                 Pampa, Texas         180,000         180,000      846,000      1,029,000    135,000       894,000

Regency Court Partners            Monrovia,
                                  California         1,692,000        1,690,000   4,324,000      7,658,000    809,000     6,849,000

Sandpiper Square, a Limited       Aulander,
Partnership                       North
                                  Carolina             219,000         219,000      949,000      1,190,000    166,000     1,024,000

Seneca Falls East Apartments      Seneca
Company II, L.P.                  Falls, New
                                  York                 270,000         270,000      893,000      1,220,000     61,000     1,159,000

Vernon Manor, L.P.                Vernon, Texas        161,000         161,000      764,000        905,000    118,000       787,000

Waterford Place, a Limited        Calhoun
Partnership                       Falls, South
                                  Carolina             272,000         272,000    1,184,000      1,518,000    335,000     1,183,000

Yantis Housing, Ltd.              Yantis, Texas        145,000         145,000      630,000        838,000    122,000       716,000
                                                    -----------     -----------  -----------    ----------- ----------   -----------

                                                  $  7,448,000    $  7,446,000  $25,512,000  $  36,217,000 $5,600,000  $ 30,617,000
                                                    ===========     ===========  ===========    =========== ==========   ===========
</TABLE>

                                       34


<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2000
<TABLE>
<CAPTION>
                                --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 1999
                                --------------------------------------------------------------------------------------
                                                                    Year Investment                 Estimated Useful
Partnership Name                   Rental Income       Net Loss        Acquired         Status        Life (Years)
----------------------------------------------------------------------------------------------------------------------
<S>                                 <C>            <C>                  <C>            <C>              <C>
Alpine Manor, L.P.                  $    148,000   $    (26,000)        1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      234,000        (60,000)        1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              147,000        (47,000)        1993           Completed        27.5

Briscoe Manor Limited
Partnership                              161,000        (21,000)        1994           Completed        27.5

Evergreen Four Limited
Partnership                               78,000        (35,000)        1994           Completed        27.5

Fawn Haven Limited
Partnership                               87,000        (24,000)        1994           Completed        27.5

Fort Stockton Manor, L.P.                112,000        (22,000)        1994           Completed         40

Hidden Valley Limited
Partnership                              157,000        (24,000)        1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   121,000        (51,000)        1993           Completed         40

Indian Creek Limited
Partnership                              145,000        (41,000)        1994           Completed        27.5

Laurel Creek Apartments                  166,000        (26,000)        1994           Completed        27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   105,000         (9,000)        1994           Completed         50

Mt. Graham Housing, Ltd.                 149,000        (64,000)        1994           Completed        27.5

Northside Plaza Apartments,
Ltd.                                     145,000        (20,000)        1994           Completed         50

Pampa Manor, L.P.                         99,000        (31,000)        1994           Completed         40

Regency Court Partners                   661,000       (220,000)        1994           Completed         40

</TABLE>
                                       35
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2000
<TABLE>
<CAPTION>
                                --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 1999
                                --------------------------------------------------------------------------------------
                                                                    Year Investment                 Estimated Useful
Partnership Name                   Rental Income       Net Loss        Acquired         Status        Life (Years)
----------------------------------------------------------------------------------------------------------------------
<S>                                 <C>            <C>                  <C>            <C>              <C>
Sandpiper Square, a Limited
Partnership                               98,000        (14,000)        1994           Completed         35

Seneca Falls East Apartments
Company II, L.P.                         141,000        (18,000)        1998           Completed         40


Vernon Manor, L.P.                        86,000        (12,000)        1994           Completed         40

Waterford Place, a Limited
Partnership                              122,000        (36,000)        1994           Completed         40

Yantis Housing, Ltd.                      74,000        (16,000)        1994           Completed         40
                                       ----------     ----------
                                    $  3,236,000   $   (817,000)
                                       ==========     ==========
</TABLE>

                                       36

<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 1999
<TABLE>
<CAPTION>

                                              --------------------------------- ----------------------------------------------------
                                                  As of March 31, 1999                     As of December 31, 1998
                                              --------------------------------- ----------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                    Location  Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                              <C>             <C>            <C>          <C>            <C>         <C>
Alpine Manor, L.P.                  Alpine,
                                    Texas        $  195,000      $  195,000     $   920,000  $  1,167,000   $  134,000  $  1,033,000

Baycity Village Apartments,         Baytown,
Limited Partnership                 Texas           301,000         301,000       1,489,000     1,829,000      353,000     1,476,000

Beckwood Manor Seven Limited        Marianna,
Partnership                         Arkansas        307,000         307,000       1,395,000     1,789,000      327,000     1,462,000

Briscoe Manor Limited Partnership   Galena,
                                    Maryland        308,000         308,000       1,521,000     1,813,000      305,000     1,508,000

Evergreen Four Limited Partnership  Maynard,
                                    Arkansas        195,000         195,000         873,000     1,128,000      199,000       929,000

Fawn Haven Limited Partnership      Manchester,
                                    Ohio            167,000         167,000         862,000     1,070,000      218,000       852,000

Fort Stockton Manor, L.P.           Ft.
                                    Stockton,
                                    Texas           224,000         224,000       1,059,000     1,249,000      126,000     1,123,000

Hidden Valley Limited Partnership   Gallup, New
                                    Mexico          412,000         412,000       1,491,000     1,938,000      218,000     1,720,000

HOI Limited Partnership Of Lenoir   Lenoir,
                                    North
                                    Carolina        198,000         198,000         572,000     1,167,000      184,000       983,000

Indian Creek Limited Partnership    Bucyrus,
                                    Ohio            306,000         306,000       1,542,000     1,775,000      285,000     1,490,000

Laurel Creek Apartments             San Luis
                                    Obispo,
                                    California    1,030,000       1,030,000         681,000     2,166,000      322,000     1,844,000
</TABLE>

                                       37

<PAGE>

WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 1999
<TABLE>
<CAPTION>

                                              --------------------------------- ----------------------------------------------------
                                                  As of March 31, 1999                          As of December 31, 1998
                                              --------------------------------- ----------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                    Location  Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>             <C>             <C>           <C>            <C>         <C>
Madisonville Manor Senior Citizens  Madisonville,
Complex, Ltd.                       Texas       $   174,000     $   174,000     $   905,000   $  1,150,000   $   72,000  $ 1,078,000

Mt. Graham Housing, Ltd.            Safford,
                                    Arizona         410,000         410,000       1,416,000      1,873,000      311,000    1,562,000

Northside Plaza Apartments, Ltd.    Angleton,
                                    Texas           282,000         282,000       1,369,000      1,724,000      135,000    1,589,000

Pampa Manor, L.P.                   Pampa,
                                    Texas           180,000         180,000         849,000      1,029,000      110,000      919,000

Regency Court Partners              Monrovia,
                                    California    1,692,000       1,690,000       5,283,000      7,658,000      617,000    7,041,000

Sandpiper Square, a Limited         Aulander,
Partnership                         North
                                    Carolina        219,000         219,000         953,000      1,191,000      134,000    1,057,000

Seneca Falls East Apartments        Seneca
Company II, L.P.                    Falls, New      276,000         253,000         896,000      1,213,000       21,000    1,192,000
                                    York

Vernon Manor, L.P.                  Vernon,
                                    Texas           161,000         161,000         786,000        904,000       96,000      808,000

Waterford Place, a Limited          Calhoun
Partnership                         Falls, South
                                    Carolina        272,000         272,000       1,189,000      1,518,000      277,000    1,241,000

Yantis Housing, Ltd.                Yantis,
                                    Texas           145,000         145,000         633,000        837,000      101,000      736,000
                                                  ---------       ---------      ----------     ----------    ---------   ----------
                                                $ 7,454,000     $ 7,429,000    $ 26,684,000  $  36,188,000 $  4,545,000 $ 31,643,000
                                                  =========       =========      ==========     ==========    =========   ==========
</TABLE>

                                       38
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 1999
<TABLE>
<CAPTION>

                                   ---------------------------------------------------------------------------------
                                                      For the year ended December 31, 1998
                                   ---------------------------------------------------------------------------------
                                                                     Year Investment                 Estimated Useful
Partnership Name                    Rental Income       Net Loss          Acquired       Status        Life (Years)
--------------------------------------------------------------------------------------------------------------------
<S>                                  <C>            <C>                 <C>            <C>              <C>
Alpine Manor, L.P.                   $   104,000    $   (19,000)        1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      260,000        (48,000)        1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              142,000        (49,000)        1993           Completed       27.5

Briscoe Manor Limited
Partnership                              156,000        (57,000)        1994           Completed       27.5

Evergreen Four Limited
Partnership                               68,000        (39,000)        1994           Completed       27.5

Fawn Haven Limited
Partnership                               78,000        (26,000)        1994           Completed       27.5

Fort Stockton Manor, L.P.                109,000        (21,000)        1994           Completed         40

Hidden Valley Limited
Partnership                              149,000        (32,000)        1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   119,000        (45,000)        1993           Completed         40

Indian Creek Limited
Partnership                              136,000        (48,000)        1994           Completed       27.5

Laurel Creek Apartments                  164,000        (22,000)        1994           Completed       27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   105,000         (4,000)        1994           Completed         50

Mt. Graham Housing, Ltd.                 147,000        (59,000)        1994           Completed       27.5

Northside Plaza Apartments,
Ltd.                                     142,000        (12,000)        1994           Completed         50

</TABLE>
                                       39
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 3l, 1999
<TABLE>

                                   ---------------------------------------------------------------------------------
                                                      For the year ended December 31, 1998
                                   ---------------------------------------------------------------------------------
                                                                     Year Investment                 Estimated Useful
Partnership Name                    Rental Income       Net Loss          Acquired       Status        Life (Years)
--------------------------------------------------------------------------------------------------------------------
<S>                                 <C>             <C>                 <C>            <C>              <C>
Pampa Manor, L.P.                        104,000        (15,000)        1994           Completed         40

Regency Court Partners                   646,000       (224,000)        1994           Completed         40

Sandpiper Square, a Limited
Partnership                               92,000        (21,000)        1994           Completed         35

Seneca Falls East Apartments             124,000          9,000         1998           Completed         40
Company II, L.P.

Vernon Manor, L.P.                        84,000        (31,000)        1994           Completed         40

Waterford Place, a Limited
Partnership                              120,000        (25,000)        1994           Completed         40

Yantis Housing, Ltd.                      73,000        (11,000)        1994           Completed         40
                                       ---------       --------
                                    $  3,122,000    $  (799,000)
                                       =========       ========
</TABLE>
                                       40

<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
December 31, 1998
<TABLE>
<CAPTION>

                                              --------------------------------------------------------------------------------------
                                                                                As of December 31, 1998
                                              --------------------------------------------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                    Location  Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                              <C>             <C>            <C>          <C>            <C>         <C>
Alpine Manor, L.P.                  Alpine,
                                    Texas        $  195,000      $  195,000     $   920,000  $  1,167,000   $  134,000  $  1,033,000

Baycity Village Apartments,         Baytown,
Limited Partnership                 Texas           301,000         301,000       1,489,000     1,829,000      353,000     1,476,000

Beckwood Manor Seven Limited        Marianna,
Partnership                         Arkansas        307,000         307,000       1,395,000     1,789,000      327,000     1,462,000

Briscoe Manor Limited Partnership   Galena,
                                    Maryland        308,000         308,000       1,521,000     1,813,000      305,000     1,508,000

Evergreen Four Limited Partnership  Maynard,
                                    Arkansas        195,000         195,000         873,000     1,128,000      199,000       929,000

Fawn Haven Limited Partnership      Manchester,
                                    Ohio            167,000         167,000         862,000     1,070,000      218,000       852,000

Fort Stockton Manor, L.P.           Ft.
                                    Stockton,
                                    Texas           224,000         224,000       1,059,000     1,249,000      126,000     1,123,000

Hidden Valley Limited Partnership   Gallup, New
                                    Mexico          412,000         412,000       1,491,000     1,938,000      218,000     1,720,000

HOI Limited Partnership Of Lenoir   Lenoir,
                                    North
                                    Carolina        198,000         198,000         572,000     1,167,000      184,000       983,000

Indian Creek Limited Partnership    Bucyrus,
                                    Ohio            306,000         306,000       1,542,000     1,775,000      285,000     1,490,000

Laurel Creek Apartments             San Luis
                                    Obispo,
                                    California    1,030,000       1,030,000         681,000     2,166,000      322,000     1,844,000
</TABLE>

                                       41

<PAGE>

WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
December 31, 1998
<TABLE>
<CAPTION>

                                              --------------------------------------------------------------------------------------
                                                                                As of December 31, 1998
                                              --------------------------------------------------------------------------------------
                                              Total Investment   Amount of    Encumbrances of                             Net
                                              in Local Limited   Investment   Local Limited  Property and  Accumulated    Book
Partnership Name                    Location  Partnerships       Paid to Date Partnerships   Equipment     Depreciation   Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                                             <C>             <C>             <C>           <C>            <C>         <C>
Madisonville Manor Senior Citizens  Madisonville,
Complex, Ltd.                       Texas       $   174,000     $   174,000     $   905,000   $  1,150,000   $   72,000  $ 1,078,000

Mt. Graham Housing, Ltd.            Safford,
                                    Arizona         410,000         410,000       1,416,000      1,873,000      311,000    1,562,000

Northside Plaza Apartments, Ltd.    Angleton,
                                    Texas           282,000         282,000       1,369,000      1,724,000      135,000    1,589,000

Pampa Manor, L.P.                   Pampa,
                                    Texas           180,000         180,000         849,000      1,029,000      110,000      919,000

Regency Court Partners              Monrovia,
                                    California    1,692,000       1,690,000       5,283,000      7,658,000      617,000    7,041,000

Sandpiper Square, a Limited         Aulander,
Partnership                         North
                                    Carolina        219,000         219,000         953,000      1,191,000      134,000    1,057,000

Seneca Falls East Apartments        Seneca
Company II, L.P.                    Falls, New      276,000         253,000         896,000      1,213,000       21,000    1,192,000
                                    York

Vernon Manor, L.P.                  Vernon,
                                    Texas           161,000         161,000         786,000        904,000       96,000      808,000

Waterford Place, a Limited          Calhoun
Partnership                         Falls, South
                                    Carolina        272,000         272,000       1,189,000      1,518,000      277,000    1,241,000

Yantis Housing, Ltd.                Yantis,
                                    Texas           145,000         145,000         633,000        837,000      101,000      736,000
                                                  ---------       ---------      ----------     ----------    ---------   ----------
                                                $ 7,454,000     $ 7,429,000    $ 26,684,000  $  36,188,000 $  4,545,000 $ 31,643,000
                                                  =========       =========      ==========     ==========    =========   ==========
</TABLE>
                                       42
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
December 3l, 1998
<TABLE>
<CAPTION>

                                   ---------------------------------------------------------------------------------
                                                      For the year ended December 31, 1998
                                   ---------------------------------------------------------------------------------
                                                                     Year Investment                 Estimated Useful
Partnership Name                    Rental Income       Net Loss          Acquired       Status        Life (Years)
--------------------------------------------------------------------------------------------------------------------
<S>                                  <C>            <C>                 <C>            <C>              <C>
Alpine Manor, L.P.                   $   104,000    $   (19,000)        1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      260,000        (48,000)        1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              142,000        (49,000)        1993           Completed       27.5

Briscoe Manor Limited
Partnership                              156,000        (57,000)        1994           Completed       27.5

Evergreen Four Limited
Partnership                               68,000        (39,000)        1994           Completed       27.5

Fawn Haven Limited
Partnership                               78,000        (26,000)        1994           Completed       27.5

Fort Stockton Manor, L.P.                109,000        (21,000)        1994           Completed         40

Hidden Valley Limited
Partnership                              149,000        (32,000)        1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   119,000        (45,000)        1993           Completed         40

Indian Creek Limited
Partnership                              136,000        (48,000)        1994           Completed       27.5

Laurel Creek Apartments                  164,000        (22,000)        1994           Completed       27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   105,000         (4,000)        1994           Completed         50

Mt. Graham Housing, Ltd.                 147,000        (59,000)        1994           Completed       27.5

Northside Plaza Apartments,
Ltd.                                     142,000        (12,000)        1994           Completed         50

</TABLE>
                                       43
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
December 3l, 1998
<TABLE>

                                   ---------------------------------------------------------------------------------
                                                      For the year ended December 31, 1998
                                   ---------------------------------------------------------------------------------
                                                                     Year Investment                 Estimated Useful
Partnership Name                    Rental Income       Net Loss          Acquired       Status        Life (Years)
--------------------------------------------------------------------------------------------------------------------
<S>                                 <C>             <C>                 <C>            <C>              <C>
Pampa Manor, L.P.                        104,000        (15,000)        1994           Completed         40

Regency Court Partners                   646,000       (224,000)        1994           Completed         40

Sandpiper Square, a Limited
Partnership                               92,000        (21,000)        1994           Completed         35

Seneca Falls East Apartments             124,000          9,000         1998           Completed         40
Company II, L.P.

Vernon Manor, L.P.                        84,000        (31,000)        1994           Completed         40

Waterford Place, a Limited
Partnership                              120,000        (25,000)        1994           Completed         40

Yantis Housing, Ltd.                      73,000        (11,000)        1994           Completed         40
                                       ---------       --------
                                    $  3,122,000    $  (799,000)
                                       =========       ========
</TABLE>
                                       44
<PAGE>
Pursuant to the  requirements of Section 13 or 15(d) of the Securities  Exchange
Act of 1934,  the  Registrant  has duly  caused  this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


WNC HOUSING TAX CREDIT FUND IV, L.P., Series 1 (Registrant)


By:  WNC Tax Credit Partners IV, L.P.,  General Partner

By:  WNC & Associates, Inc., General Partner



By:  /s/ Wilfred N. Cooper, Jr.
Wilfred N. Cooper, Jr.,
President - Chief Operating Officer of WNC & Associates, Inc.

Date:


By:  /s/ Michael L. Dickenson
Michael L. Dickenson,
Vice-President - Chief Financial Officer of WNC & Associates, Inc.

Date:


By:  /s/ Wilfred N. Cooper, Sr.
Wilfred N. Cooper, Sr., General Partner

Date:

Pursuant to the requirements of the Securities Exchange Act of 1934, this report
has been signed below by the following  persons on behalf of the  registrant and
in the capacities and on the dates indicated.


By  /s/ Wilfred N. Cooper, Sr.
Wilfred N. Cooper, Sr., Chairman of the Board of WNC & Associates, Inc.

Date:


By: /s/ John B. Lester, Jr.
John B. Lester, Jr., Director of WNC & Associates, Inc.

Date:


By:  /s/ David N. Shafer
David N Shafer, Director of WNC & Associates, Inc.

Date:

                                       45