FORM 10-K


                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   (Mark One)

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

                    For the fiscal year ended March 31, 2003

                                       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 Section12(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|


                                      1
<PAGE>


Indicate by check mark whether the registrant is an accelerated filer.

Yes               No      X
    -----------      ----------------

State the aggregate market value of the voting and non-voting common equity held
by non-affiliates  computed by reference to the price at which the common equity
was last sold, or the average bid and asked price of such common  equity,  as of
the last business day of the registrant's most recently  completed second fiscal
quarter.

                                  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").
The chairman and president own  substantially  all 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  Complexes") 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.  Each
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,  dated May 4, 1993, (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, 2003, 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.

Certain Risks and Uncertainties

An investment in the  Partnership  and the  Partnership's  investments  in Local
Limited  Partnerships  and their Housing  Complexes are subject to risks.  These
risks may impact the tax benefits of an investment in the  Partnership,  and the
amount of proceeds  available for distribution to the Limited Partners,  if any,
on liquidation of the Partnership's investments. Some of those risks include the
following:

The Low Income  Housing  Credit rules are extremely  complicated.  Noncompliance
with these rules results in the loss of future Low Income  Housing  Credit s and
the fractional  recapture of Low Income Housing  Credits  already taken. In most
cases the annual amount of Low Income Housing Credits that an individual can use
is limited to the tax  liability  due on the  person's  last  $25,000 of taxable
income.  The  Local  Limited  Partnerships  may be  unable  to sell the  Housing
Complexes at a profit. Accordingly,  the Partnership may be unable to distribute
any cash to its investors.  Low Income  Housing  Credits may be the only benefit
from an investment in the Partnership.

The Partnership has invested in a limited number of Local Limited  Partnerships.
Such  limited  diversity  means that the  results of  operation  of each  single
Housing  Complex  will have a greater  impact on the  Partnership.  With limited
diversity,   poor   performance   of  one  Housing   Complex  could  impair  the
Partnership's ability to satisfy its investment objectives. Each Housing Complex
is subject to mortgage  indebtedness.  If a Local Limited  Partnership failed to
pay its  mortgage,  it  could  lose  its  Housing  Complex  in  foreclosure.  If
foreclosure  were to occur during the first 15 years,  the loss of any remaining
future Low Income Housing  Credits,  a fractional  recapture of prior Low Income
Housing  Credits,  and a loss of the  Partnership's  investment  in the  Housing
Complex would occur. The Partnership is a limited partner or non-managing member
of each Local Limited Partnership.  Accordingly,  the Partnership will have very
limited rights with respect to management of the Local Limited Partnerships. The
Partnership  will  rely  totally  on the Local  General  Partners.  Neither  the
Partnership's  investments in Local Limited Partnerships,  nor the Local Limited
Partnerships'  investments in Housing Complexes, are 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 interests
in Local Limited Partnerships; limitations on removal of Local General Partners;
limitations on subsidy programs; and possible changes in applicable regulations.
Uninsured  casualties  could result in loss of property  and Low Income  Housing
Credits and recapture of Low Income Housing Credits  previously taken. The value
of real  estate  is  subject  to risks  from  fluctuating  economic  conditions,
including employment rates, inflation,  tax, environmental,  land use and zoning
policies, supply and demand of similar properties,  and neighborhood conditions,
among others.

The  ability of Limited  Partners to claim tax losses  from the  Partnership  is
limited.  The IRS may audit the  Partnership or a Local Limited  Partnership and
challenge  the tax  treatment  of tax items.  The  amount of Low Income  Housing
Credits and tax losses  allocable to the  investors  could be reduced if the IRS
were successful in such a challenge.  The  alternative  minimum tax could reduce
tax benefits from an investment  in the  Partnership.  Changes in tax laws could
also impact the tax benefits from an investment  in the  Partnership  and/or the
value of the Housing Complexes.

No trading market for the Units exists or is expected to develop.  Investors may
be unable to sell their Units  except at a discount  and should  consider  their
Units to be a long-term  investment.  Individual investors will have no recourse
if they  disagree  with actions  authorized by a vote of the majority of Limited
Partners.

Exit Strategy

The IRS  compliance  period for  low-income  housing  tax credit  properties  is
generally  15 years from  occupancy  following  construction  or  rehabilitation
completion.  WNC was one of the first in the industry to offer investments using
the tax credit.  Now these very first programs are completing  their  compliance
period.


                                       4
<PAGE>

With that in mind, we are continuing our review of the  Partnership's  holdings,
with special  emphasis on the more mature  properties  including those that have
satisfied the IRS compliance requirements. Our review will consider many factors
including  extended  use  requirements  on the  property  (such as those  due to
mortgage  restrictions  or state  compliance  agreements),  the condition of the
property,  and  the tax  consequences  to the  investors  from  the  sale of the
property.

Upon identifying  those  properties with the highest  potential for a successful
sale, refinancing or syndication, we expect to proceed with efforts to liquidate
those  properties.  Our objective is to maximize the investors'  return wherever
possible and,  ultimately,  to wind down those funds that no longer  provide tax
benefits  to  investors.  To date no  properties  in the  Partnership  have been
selected.

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:

                                       5
<PAGE>
<TABLE>
<CAPTION>


                                                  ---------------------------------- -----------------------------------------------
                                                        As of March 31, 2003                       As of December 31, 2002
                                                  ---------------------------------- -----------------------------------------------
                                                      Partnership's                                  Estimated Low      Encumbrances
                                                     Total Investment    Amount of                        Income          of Local
                                   General Partner   in Local Limited    Investment  Number of            Housing          Limited
Partnership Name     Location          Name             Partnerships    Paid to Date   Units  Occupancy  Credits        Partnerships
------------------------------------------------------------------------------------------------------------------------------------
<S>                  <C>           <C>                   <C>              <C>            <C>      <C>     <C>              <C>

Alpine               Alpine,       1600 Capital Company,
Manor, L.P.          Texas         Inc.                  $ 195,000        $ 195,000      36       100%    $ 394,000        $ 904,000

Baycity
Village                            Green
Apartments,                        Companies
Limited              Baytown,      Development
Partnership          Texas         Group, Inc.             301,000          301,000
                                                                                         62        97%      629,000        1,442,000
Beckwood Manor                     Phillips
Seven Limited        Marianna,     Development
Partnership          Arkansas      Corporation             307,000          307,000      42        93%      636,000        1,377,000

Briscoe Manor
Limited              Galena,       McKnight &
Partnership          Maryland      Decoster, Inc.          308,000          308,000      31       100%      648,000        1,476,000

Evergreen Four                     Phillips
Limited              Maynard,      Development
Partnership          Arkansas      Corporation             195,000          195,000      24        63%      402,000          862,000

Fawn Haven                         Georg E. Maharg
Limited              Manchester,   and Maharg
Partnership          Ohio          Realty, Inc.            167,000          167,000      28        93%      376,000          847,000

Fort Stockton        Ft.Stockton,  1600 Capital
Manor, L.P.          Texas         Company,Inc.            224,000          224,000      36        94%      453,000        1,042,000

Hidden Valley
Limited              Gallup, New   Alan Deke
Partnership          Mexico        Noftsker                412,000          412,000      40       100%      801,000        1,472,000

HOI Limited          Lenoir,       Housing
Partnership Of       North         Opportunities,
Lenoir               Carolina      Inc.                    198,000          198,000      34        97%      400,000          526,000

Indian Creek
Limited              Bucyrus,      Georg E.
Partnership          Ohio          Maharg                  306,000          306,000      48        92%      637,000        1,456,000

Laurel               San Luis      San Luis Obispo
Creek                Obispo,       Non-Profit Housing
Apartments           California    Corp.                 1,030,000        1,030,000      24       100%    2,103,000          609,000

Madisonville
Manor Senior
Citizens             Madisonville,
Complex, Ltd.        Texas         Jean Johnson             174,000         174,000      32       100%      375,000          895,000
</TABLE>

                                       6
<PAGE>
<TABLE>
<CAPTION>



                                                  ---------------------------------- -----------------------------------------------
                                                        As of March 31, 2003                       As of December 31, 2002
                                                  ---------------------------------- -----------------------------------------------
                                                      Partnership's                                  Estimated Low      Encumbrances
                                                     Total Investment    Amount of                        Income          of Local
                                   General Partner   in Local Limited    Investment  Number of            Housing          Limited
Partnership Name     Location          Name             Partnerships    Paid to Date   Units  Occupancy  Credits        Partnerships
------------------------------------------------------------------------------------------------------------------------------------
<S>                  <C>           <C>                  <C>             <C>             <C>       <C>  <C>              <C>
Mt. Graham           Safford,      Rural
Housing, Ltd.        Arizona       Housing, Inc.            410,000         410,000      40        88%      788,000        1,394,000

Northside Plaza      Angleton,
Apartments, Ltd.     Texas         Jean Johnson             282,000         282,000      48       100%      607,000        1,348,000

Pampa Manor,         Pampa,        1600 Capital Company,
L.P.                 Texas         Inc.                     180,000         180,000      32        84%      363,000          838,000

                                   Community Housing
                                   Assistance Program,
Regency                            Inc., a California
Court                Monrovia,     Nonprofit
Partners             California    Corporation            1,692,000       1,690,000     115        98%    3,293,000        5,017,000

Sandpiper
Square, a            Aulander,
Limited              North         I. Norwood
Partnership          Carolina      Stone                    219,000         219,000      24       100%      433,000          938,000

Seneca Falls         Seneca        David R. Bacon
East Apartments      Falls, New    and Frank
Company II, L.P.     York          Salvatore                270,000         270,000      32        97%      360,000          885,000

Vernon Manor,        Vernon,       1600 Capital Company,
L.P.                 Texas         Inc.                     177,000         177,000      28       100%      325,000          745,000

Waterford            Calhoun       Thomas E. Connelly, Jr.,
Place, a             Falls,        TEC Rental Properties Inc.,
Limited              South         Warren H.Abernathy, II
Partnership          Carolina      Inc., and Solid  Inc.,   272,000         272,000      32        97%      549,000        1,169,000

Yantis Housing,
Ltd.                 Yantis,       Charles
                     Texas         Cannon Jr.               145,000         145,000      24       100%      287,000          622,000
                                                        ------------    ------------    ----      ---- -------------    ------------
                                                        $ 7,464,000     $ 7,462,000     812        95% $ 14,859,000     $ 25,864,000
                                                        ============    ============    ====      ==== =============    ============
</TABLE>


                                       7
<PAGE>

<TABLE>
<CAPTION>

                                         ---------------------------------------------------------------------------
                                                            For the year ended December 31, 2002
                                         ---------------------------------------------------------------------------
            Partnership Name                 Rental Income           Net Loss                Low Income Housing
                                                                                            Credits Allocated to
                                                                                                 Partnership
--------------------------------------------------------------------------------------------------------------------
<S>                                                  <C>                  <C>                        <C>
Alpine Manor, L.P.                                   $ 121,000            $ (17,000)                 99%

Baycity Village Apartments, Limited
Partnership                                            309,000              (31,000)                 99%


Beckwood Manor Seven Limited Partnership               148,000              (41,000)                 95%

Briscoe Manor Limited Partnership                      179,000              (50,000)                 99%

Evergreen Four Limited Partnership                      83,000              (40,000)                 95%

Fawn Haven Limited Partnership                          85,000              (15,000)                 99%

Fort Stockton Manor, L.P.                              131,000              (22,000)                 99%

Hidden Valley Limited Partnership                      182,000              (23,000)                 99%

HOI Limited Partnership Of Lenoir                      148,000              (18,000)                 99%

Indian Creek Limited Partnership                       148,000              (28,000)                 99%

Laurel Creek Apartments                                194,000              (19,000)                 99%

Madisonville Manor Senior Citizens
Complex, Ltd.                                          110,000               (1,000)                 99%

Mt. Graham Housing, Ltd.                               148,000              (64,000)                 99%

Northside Plaza Apartments, Ltd.                       171,000              (10,000)                 99%

Pampa Manor, L.P.                                       95,000              (26,000)                 99%

Regency Court Partners                                 686,000              (75,000)                 99%


Sandpiper Square, a Limited Partnership                 98,000              (23,000)                 99%

Seneca Falls East Apartments Company
II, L.P.                                               152,000              (25,000)               99.98%

Vernon Manor, L.P.                                      96,000               (8,000)                 99%

Waterford Place, a Limited Partnership                 126,000              (46,000)                 99%

Yantis Housing, Ltd.                                    77,000              (24,000)                 99%
                                                   -----------          ------------
                                                   $ 3,487,000          $  (606,000)
                                                   ===========          ============
</TABLE>


                                       8
<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, 2003, there were 715 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, 2003.

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
                              --------------------------------------------------------------- ------------

                                 2003         2002         2001         2000         1999         1998
                              -----------  -----------  -----------  -----------  -----------  ------------
ASSETS

<S>                         <C>          <C>          <C>          <C>          <C>          <C>
Cash and cash equivalents   $    238,047 $    277,292 $    312,214 $    310,214 $    341,350 $     389,536
Investments in limited
  partnerships, net            1,965,138    2,234,002    2,823,846    3,538,899    4,298,485     4,495,621
Due from affiliate                     -            -            -       18,407            -             -
                              -----------  -----------  -----------  -----------  -----------  ------------
                            $  2,203,185 $  2,511,294 $  3,136,060 $  3,867,520 $  4,639,835 $   4,885,157
                              ===========  ===========  ===========  ===========  ===========  ============
LIABILITIES

Payables to limited                                   $
partnerships                $      2,303 $      2,303        2,303 $      2,303 $     25,301 $      25,301
Accrued fees and expenses
  due to general partner
  and affiliates                 147,057      134,569      115,667      104,593       80,940       106,500

PARTNERS' EQUITY               2,053,825    2,374,422    3,018,090    3,760,624    4,533,594     4,753,356
                              -----------  -----------  -----------  -----------  -----------  ------------
                            $  2,203,185 $  2,511,294 $  3,136,060 $  3,867,520 $  4,639,835 $   4,885,157
                              ===========  ===========  ===========  ===========  ===========  ============
</TABLE>


                                       9
<PAGE>
<TABLE>
<CAPTION>
Selected results of operations, cash flows and other information for the Partnership are as follows:
                                                                                                          For the Year
                                          For the Years Ended                    For the Three Months        Ended
                                               March 31                            Ended March 31         December 31
                          --------------------------------------------------   -----------------------   ------------
                             2003         2002         2001         2000         1999         1998          1998
                          -----------  -----------  -----------   ----------   ----------   ----------   ------------
                                                                                            (Unaudited)
<S>                     <C>          <C>          <C>          <C>           <C>           <C>           <C>
Loss from operations    $    (81,348)$   (78,700) $  (76,146) $    (79,134)  $   (33,750) $    (17,496) $    (126,723)
Equity in losses of
limited
  partnerships              (239,249)   (564,968)   (666,388)     (693,836)     (186,012)     (185,500)      (728,078)
                          -----------  -----------  -----------   ----------   ----------   ----------   ------------
Net loss                $   (320,597)$  (643,668) $ (742,534) $   (772,970)  $  (219,762) $   (202,996) $    (854,801)
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
Net loss allocated to:
  General Partner       $     (3,206)$    (6,437) $   (7,425) $     (7,730)  $    (2,198) $     (2,030) $      (8,548)
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
  Limited Partners      $   (317,391)$  (637,231) $ (735,109) $   (765,240)  $  (217,564) $   (200,966) $    (846,253)
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
Net loss per limited
  partner unit          $     (31.74)$    (63.72) $   (73.51) $     (76.52)  $    (21.76) $     (20.10) $      (84.63)
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
Outstanding weighted
  limited partner
units                         10,000      10,000      10,000        10,000        10,000        10,000         10,000
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
</TABLE>
<TABLE>
<CAPTION>
                                                                                                          For the Year
                                          For the Years Ended                    For the Three Months        Ended
                                               March 31                            Ended March 31         December 31
                          --------------------------------------------------   -----------------------   ------------
                             2003         2002         2001         2000         1999         1998          1998
                          -----------  -----------  -----------   ----------   ----------   ----------   ------------
                                                                                            (unaudited)
<S>                     <C>           <C>         <C>           <C>          <C>          <C>            <C>
Net cash provided by
  (used in):
  Operating activities  $    (45,048) $   (35,847)$    (18,169) $   (45,392) $   (52,186) $    (5,082)  $    (54,089)
  Investing activities         5,803          925       20,169       14,256        4,000        5,225       (334,823)
                          -----------  -----------  -----------   ----------   ----------   ----------   ------------
Net change in cash
and
  cash equivalents           (39,245)     (34,922)       2,000      (31,136)     (48,186)         143       (388,912)

Cash and cash
equivalents,
  beginning of period        277,292      312,214      310,214      341,350      389,536      778,448        778,448
                          -----------  -----------  -----------   ----------   ----------   ----------   ------------
Cash and cash
equivalents,
  end of period         $    238,047 $    277,292 $    312,214  $   310,214  $   341,350  $   778,591  $     389,536
                          ===========  ===========  ===========   ==========   ==========   ==========   ============
</TABLE>
<TABLE>
<CAPTION>

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

                                      2002          2001           2000           1999            1998
                                   -----------   ------------   ------------   ------------    ------------
<S>                              <C>           <C>            <C>            <C>             <C>
Federal                          $        146  $         145  $         149  $         146   $         142

State                                       -              -              -              -               -
                                   -----------   ------------   ------------   ------------    ------------

Total                            $        146  $         145  $         149  $         146   $         142
                                   ===========   ============   ============   ============    ============
</TABLE>
Item 7. Management's  Discussion and Analysis of Financial Condition and Results
        of Operations

Forward Looking Statements

With  the  exception  of  the  discussion  regarding   historical   information,
"Management's  Discussion  and  Analysis of Financial  Condition  and Results of
Operations"  and other  discussions  elsewhere in this Form 10-K contain forward
looking statements. Such statements are based on current expectations subject to
uncertainties  and other  factors which may involve known and unknown risks that
could  cause  actual  results  of  operations  to differ  materially  from those
projected or implied. Further, certain forward-looking statements are based upon
assumptions about future events which may not prove to be accurate.


                                       10
<PAGE>

Risks and uncertainties  inherent in forward looking statements include, but are
not  limited  to,  our  future  cash  flows and  ability  to  obtain  sufficient
financing, level of operating expenses, conditions in the low income housing tax
credit property market and the economy in general, as well as legal proceedings.
Historical  results are not necessarily  indicative of the operating results for
any future period.

Subsequent  written and oral forward  looking  statements  attributable to us or
persons  acting on our behalf  are  expressly  qualified  in their  entirety  by
cautionary  statements  in this Form 10-K and in other reports we filed with the
Securities and Exchange  Commission.  The following discussion should be read in
conjunction  with  the  Financial  Statements  and the  Notes  thereto  included
elsewhere in this filing.

Critical Accounting Policies and Certain Risks and Uncertainties

The Company believes that the following  discussion  addresses the Partnership's
most  significant  accounting  policies,  which are the most  critical to aid in
fully understanding and evaluating the Company's reported financial results, and
certain of the Partnership's risks and uncertainties.

Use of Estimates

The preparation of financial statements in conformity with accounting principles
generally  accepted in the United States of America 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.

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  Partnerships'  results of operations
and for  any  contributions  made or  distributions  received.  The  Partnership
reviews the  carrying  amount of an  individual  investment  in a Local  Limited
Partnership for possible  impairment whenever events or changes in circumstances
indicate that the carrying  amount of such  investment  may not be  recoverable.
Recoverability  of such  investment  is measured by a comparison of the carrying
amount to future  undiscounted  net cash flows  expected to be generated.  If an
investment  is  considered  to be impaired,  the  impairment to be recognized is
measured by the amount by which the carrying  amount of the  investment  exceeds
fair value.  The  accounting  policies  of the Local  Limited  Partnerships  are
generally  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.

Equity in losses of the Local Limited  Partnerships for each year ended March 31
have been recorded by the Partnership  based on nine months of reported  results
provided by the Local Limited  Partnerships  for each year ended December 31 and
on three months of results  estimated by management of the  Partnership for each
three-month  period ended March 31.  Management's  estimate for the  three-month
period is based on either actual unaudited results reported by the Local Limited
Partnerships  or  historical  trends  in the  operations  of the  Local  Limited
Partnerships.  Equity in losses of the Local Limited Partnerships are 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 from the Local Limited Partnerships are accounted for as
a  reduction  of  the  investment  balance.  Distributions  received  after  the
investment has reached zero are recognized as income.

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.


                                       11
<PAGE>

Certain Risks and Uncertainties

An investment in the  Partnership  and the  Partnership's  investments  in Local
Limited  Partnerships  and their Housing  Complexes are subject to risks.  These
risks may impact the tax benefits of an investment in the  Partnership,  and the
amount of proceeds  available for distribution to the Limited Partners,  if any,
on liquidation of the Partnership's investments. Some of those risks include the
following:

The Low Income  Housing  Credit rules are extremely  complicated.  Noncompliance
with these rules results in the loss of future Low Income  Housing  Credit s and
the fractional  recapture of Low Income Housing  Credits  already taken. In most
cases the annual amount of Low Income Housing Credits that an individual can use
is limited to the tax  liability  due on the  person's  last  $25,000 of taxable
income.  The  Local  Limited  Partnerships  may be  unable  to sell the  Housing
Complexes at a profit. Accordingly,  the Partnership may be unable to distribute
any cash to its investors.  Low Income  Housing  Credits may be the only benefit
from an investment in the Partnership.

The Partnership has invested in a limited number of Local Limited  Partnerships.
Such  limited  diversity  means that the  results of  operation  of each  single
Housing  Complex  will have a greater  impact on the  Partnership.  With limited
diversity,   poor   performance   of  one  Housing   Complex  could  impair  the
Partnership's ability to satisfy its investment objectives. Each Housing Complex
is subject to mortgage  indebtedness.  If a Local Limited  Partnership failed to
pay its  mortgage,  it  could  lose  its  Housing  Complex  in  foreclosure.  If
foreclosure  were to occur during the first 15 years,  the loss of any remaining
future Low Income Housing  Credits,  a fractional  recapture of prior Low Income
Housing  Credits,  and a loss of the  Partnership's  investment  in the  Housing
Complex would occur. The Partnership is a limited partner or non-managing member
of each Local Limited Partnership.  Accordingly,  the Partnership will have very
limited rights with respect to management of the Local Limited Partnerships. The
Partnership  will  rely  totally  on the Local  General  Partners.  Neither  the
Partnership's  investments in Local Limited Partnerships,  nor the Local Limited
Partnerships'  investments in Housing Complexes, are 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 interests
in Local Limited Partnerships; limitations on removal of Local General Partners;
limitations on subsidy programs; and possible changes in applicable regulations.
Uninsured  casualties  could result in loss of property  and Low Income  Housing
Credits and recapture of Low Income Housing Credits  previously taken. The value
of real  estate  is  subject  to risks  from  fluctuating  economic  conditions,
including employment rates, inflation,  tax, environmental,  land use and zoning
policies, supply and demand of similar properties,  and neighborhood conditions,
among others.

The  ability of Limited  Partners to claim tax losses  from the  Partnership  is
limited.  The IRS may audit the  Partnership or a Local Limited  Partnership and
challenge  the tax  treatment  of tax items.  The  amount of Low Income  Housing
Credits and tax losses  allocable to the  investors  could be reduced if the IRS
were successful in such a challenge.  The  alternative  minimum tax could reduce
tax benefits from an investment  in the  Partnership.  Changes in tax laws could
also impact the tax benefits from an investment  in the  Partnership  and/or the
value of the Housing Complexes.

No trading market for the Units exists or is expected to develop.  Investors may
be unable to sell their Units  except at a discount  and should  consider  their
Units to be a long-term  investment.  Individual investors will have no recourse
if they  disagree  with actions  authorized by a vote of the majority of Limited
Partners.

To date, certain Local Limited Partnerships have incurred significant  operating
losses and 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  Partner  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.


                                       12
<PAGE>

Financial Condition

The  Partnership's  assets at March 31, 2003 consisted  primarily of $238,000 in
cash  and  aggregate  investments  in  the  21  Local  Limited  Partnerships  of
$1,965,000.  Liabilities at March 31, 2003 were $149,000,  of which $147,000 was
accrued  annual  management  fees and advances due to the General  Partner,  and
$2,000 was a payable to a limited partnership.

Results of Operations

Year  Ended  March  31,  2003   Compared  to  Year  Ended  March  31,  2002  The
Partnership's  net  loss for the  year  ended  March  31,  2003 was  $(321,000),
reflecting  a decrease of $323,000  from the net loss  experienced  for the year
ended  March 31,  2002.  The decline in net loss is  primarily  due to equity in
losses from limited  partnerships  which  declined by $326,000 to $(239,000) for
the year ended March 31, 2003 from $(565,000) for the year ended March 31, 2002.
Equity in losses of  limited  partnerships  decreased  from  prior year due to a
reduction  of the  write-off of  acquisition  fees and costs in the current year
related  to the  investments  that have gone  below  zero.  The equity in losses
decrease  is  also  due to  one of the  Local  Limited  Partnerships  having  an
extraordinary gain of $86,000 in the current year.

Year  Ended  March  31,  2002  Compared  to  Year  Ended  March  31,  2001.  The
Partnership's  net  loss for the  year  ended  March  31,  2002 was  $(644,000),
reflecting  a decrease  of $99,000  from the net loss  experienced  for the year
ended  March 31,  2001.  The decline in net loss is  primarily  due to equity in
losses of limited  partnerships which declined by $101,000 to $(565,000) for the
year ended March 31,  2002 from  $(666,000)  for the year ended March 31,  2001.
Equity in losses of  limited  partnerships  decreased  from  prior year due to a
reduction  of the  write-off of  acquisition  fees and costs in the current year
related to the investments that have gone below zero.

Liquidity and Capital Resources

Year Ended March 31, 2003  Compared to Year Ended March 31, 2002.  Net cash used
during the year ended March 31, 2003 was $(39,000) compared to net cash used for
the year ended March 31, 2002 of  $(35,000).  The change was  primarily due to a
$9,000  increase of cash used for  operating  expenses of which $4,000  resulted
from a decrease  in  interest  income,  offset by an  increase of $5,000 of cash
provided by investing  activities  resulting  from a decrease of  investments in
limited  partnerships of $16,000 from prior year offset by a decrease of $11,000
in distributions from limited partners.

Year Ended March 31, 2002  Compared to Year Ended March 31, 2001.  Net cash used
during  the year  ended  March  31,  2002 was  $(35,000),  compared  to net cash
provided for the year ended March 31, 2001 of $2,000.  The change was  primarily
due to a $18,000  increase of cash used for operating  expenses of which $10,000
resulted  from a decrease  in  interest  income,  and an  increase of $16,000 in
capital contributions paid to the Local Limited Partnerships.

The financial statements of one Local Limited Partnership were prepared assuming
the limited  partnership will continue as a going concern.  The auditor for this
entity has expressed  substantial  doubt as to this entity's ability to continue
as a going concern as a result of the property tax issue  discussed  below.  The
Partnership  had a $183,195 and  $256,705,  remaining  investment  in such Local
Limited Partnership at March 31, 2003 and 2002, respectively.  The Partnership's
original  investment in the Local Limited Partnership  approximated  $1,691,585.
Through  December 31, 2002,  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, 2002 and 2001, the carrying value of such property on the books and
records of the Local Limited Partnership totaled $6,311,179 and $6,507,470.

The Partnership  expects its future cash flows,  together with its net available
assets at March 31, 2003, to be  sufficient  to meet all  currently  foreseeable
future cash  requirements.  This  excludes  amounts  owed to  Associates  by the
Partnership disclosed below.


                                       13
<PAGE>

Future Contractual Cash Obligations
<TABLE>
<CAPTION>

The following table summarizes our future contractual cash obligations as of March 31, 2003:

                                  2004       2005       2006        2007       2008      Thereafter    Total
                                ---------  ---------  ---------   ---------  ---------  ----------   ----------
<S>                           <C>        <C>        <C>         <C>        <C>        <C>          <C>
Asset Management Fees (1)     $  187,167 $   42,000 $   42,000  $   42,000 $   42,000 $ 1,764,000  $ 2,119,167
Capital Contributions
   Payable to Lower Tier
   Partnerships                    2,303          -          -           -          -           -        2,303
                                ---------  ---------  ---------   ---------  ---------  ----------   ----------
Total contractual cash
   obligations                $  189,470 $   42,000 $   42,000  $   42,000 $   42,000 $ 1,764,000  $ 2,121,470
                                =========  =========  =========   =========  =========  ==========   ==========
</TABLE>

(1)  Asset  Management  Fees  are  payable  annually  until  termination  of the
Partnership,  which is to occur no later than  2050.  The  estimate  of the fees
payable included herein assumes the retention of the  Partnership's  interest in
all Housing Complexes until 2050. Amounts due to the General Partner as of March
31, 2003 have been  included in the 2004  column.  The General  Partner does not
anticipate that these fees will be paid until such time as capital  reserves are
in  excess  of  the  future  foreseeable  working  capital  requirements  of the
Partnership.

For   additional   information  on  our  Asset   Management   Fees  and  Capital
Contributions  Payable to Lower Tier  Partnerships,  see Notes 2, 3 and 4 to the
financial statements included elsewhere herein.

Exit Strategy

The IRS  compliance  period for  low-income  housing  tax credit  properties  is
generally  15 years from  occupancy  following  construction  or  rehabilitation
completion.  WNC was one of the first in the industry to offer investments using
the tax credit.  Now these very first programs are completing  their  compliance
period.

With that in mind, we are continuing our review of the  Partnership's  holdings,
with special  emphasis on the more mature  properties  including those that have
satisfied the IRS compliance requirements. Our review will consider many factors
including  extended  use  requirements  on the  property  (such as those  due to
mortgage  restrictions  or state  compliance  agreements),  the condition of the
property,  and  the tax  consequences  to the  investors  from  the  sale of the
property.

Upon identifying  those  properties with the highest  potential for a successful
sale, refinancing or syndication, we expect to proceed with efforts to liquidate
those  properties.  Our objective is to maximize the investors'  return wherever
possible and,  ultimately,  to wind down those funds that no longer  provide tax
benefits  to  investors.  To date no  properties  in the  Partnership  have been
selected.

Impact of New Accounting Pronouncements

In June 2001, the Financial Accounting Standards Board ("FASB") issued Statement
of  Financial  Accounting  Standards  ("SFAS")  No. 143,  "Accounting  for Asset
Retirement  Obligations",  which requires that the fair value of a liability for
an asset  retirement  obligation  be  recognized  in the  period  in which it is
incurred with the associated asset retirement costs being  capitalized as a part
of the  carrying  amount of the  long-lived  asset.  SFAS No. 143 also  includes
disclosure   requirements   that  provide  a  description  of  asset  retirement
obligations   and   reconciliation   of  changes  in  the  components  of  those
obligations.  The statement is effective for fiscal years  beginning  after June
15, 2002. The Partnershp  does not expect the adoption of SFAS No. 143 to have a
material effect on the Partnerhip's financial position or results of operations.

In August  2001,  the FASB  issued  SFAS No.  144,  "Impairment  or  Disposal of
Long-Lived  Assets," which addresses  accounting and financial reporting for the
impairment or disposal of long-lived assets. This standard was effective for the
Partnership's financial statements beginning January 1, 2002. The implementation
of SFAS No. 144 did not have a material  impact on the  Partnership's  financial
position or results of operations.



                                       14
<PAGE>

In April 2002, the FASB issued SFAS No. 145,  "Rescission of FASB Statements No.
4, 44, and 64,  Amendment of FASB Statement No. 13, and Technical  Corrections."
SFAS No. 145 rescinded three previously  issued  statements and amended SFAS No.
13, "Accounting for Leases." The statement provides reporting standards for debt
extinguishments   and   provides   accounting   standards   for  certain   lease
modifications that have economic effects similar to sale-leaseback transactions.
The statement is effective for certain lease  transactions  occurring  after May
15,  2002 and all other  provisions  of the  statement  shall be  effective  for
financial statements issued on or after May 15, 2002. The implementation of SFAS
No. 145 did not have a material impact on the Partnership's  financial  position
or results of operations.

In June 2002,  the FASB issued SFAS No. 146,  "Accounting  for Costs  Associated
with Exit or  Disposal  Activities,"  which  updates  accounting  and  reporting
standards for personnel and operational restructurings.  The Partnership adopted
SFAS No. 146 for exit,  disposal  or other  restructuring  activities  initiated
after  December 31,  2002.  The adoption of SFAS No. 146 did not have a material
effect on the  Partnership's  financial  position or results of  operations.

In November 2002, the FASB issued Interpretation No. 45 ("FIN 45"), "Guarantor's
Accounting  and  Disclosure  Requirements  for  Guarantees,  Including  Indirect
Guarantees  of  Indebtedness  of Others."  The adoption of FIN 45 did not have a
material impact on the Partnership's finacial position or results of operations.

In December  2002,  the FASB issued SFAS No. 148,  "Accounting  for  Stock-Based
Compensation  - Transition  and Disclosure - an Amendment to SFAS No. 123." SFAS
No. 148 provides alternative methods of transition for a voluntary change to the
fair value based method on accounting for stock-based employee compensation. The
implementation  of SFAS No. 148 is not expected to have a material effect on the
Partnership's financial position or results of operations.

In  January   2003,   the  FASB  issued   Interpretation   No.  46  ("FIN  46"),
"Consolidation  of Variable  Interest  Entities." The adoption of FIN 46 did not
have a material  impact on the  Partnership's  financial  position or results of
operations.

Item 7A.  Quantitative and Qualitative Disclosures About Market Risk

NOT APPLICABLE

Item 8.  Financial Statements and Supplementary Data

                                       15
<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 sheets of WNC Housing Tax Credit Fund
IV, L.P., Series 1 (a California Limited  Partnership) (the "Partnership") as of
March 31, 2003 and 2002,  and the related  statements of  operations,  partners'
equity  (deficit)  and cash flows for the years ended March 31,  2003,  2002 and
2001. 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 74% and 72% of the total assets of the Partnership at March 31, 2003
and 2002,  respectively,  and 79%,  79% and 81% of the  Partnership's  equity in
losses of limited  partnerships  for the years  ended March 31,  2003,  2002 and
2001,  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 auditing standards generally accepted
in the  United  States of  America.  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, 2003 and 2002, and the results
of its  operations  and its cash flows for the years ended March 31, 2003,  2002
and 2001, in conformity with  accounting  principles  generally  accepted in the
United States of America.





                                           /s/  BDO SEIDMAN, LLP

Costa Mesa, California
May 12, 2003

                                       16
<PAGE>


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

                                 BALANCE SHEETS
<TABLE>
<CAPTION>




                                                                               March 31
                                                                    -------------------------------
                                                                        2003              2002
                                                                    --------------    -------------

<S>                                                               <C>               <C>
ASSETS

Cash and cash equivalents                                         $       238,047   $      277,292
Investments in limited partnerships (Notes 2 and 3)                     1,965,138        2,234,002
                                                                    --------------    -------------

                                                                  $     2,203,185   $    2,511,294
                                                                    ==============    =============

LIABILITIES AND PARTNERS' EQUITY
  (DEFICIT)

Liabilities:
   Payable to a limited partnership (Note 4)                      $         2,303   $        2,303
   Accrued fees and advances due to General
     Partner and affiliate (Note 3)                                       147,057          134,569
                                                                    --------------    -------------

     Total liabilities                                                    149,360          136,872
                                                                    --------------    -------------

Commitments and contingencies

Partners' equity (deficit):
   General partner                                                        (79,363)         (76,157)
   Limited partners (10,000 units authorized,
     10,000 units issued and outstanding)                               2,133,188        2,450,579
                                                                    --------------    -------------

     Total partners' equity                                             2,053,825        2,374,422
                                                                    --------------    -------------

                                                                  $     2,203,185   $    2,511,294
                                                                    ==============    =============
</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 OPERATIONS
<TABLE>
<CAPTION>





                                                                       For the Years Ended
                                                                             March 31
                                                            -------------------------------------------
                                                               2003            2002           2001
                                                            ------------   -------------   ------------
<S>                                                       <C>            <C>             <C>
Interest income                                           $       3,714  $        7,808  $      18,304
Other income                                                      7,475           9,798          4,200
                                                            ------------   -------------   ------------

Total income                                                     11,189          17,606         22,504
                                                            ------------   -------------   ------------
Operating expenses:
   Amortization (Notes 2 and 3)                                  23,812          23,951         28,496
   Asset management fees (Note 3)                                42,000          42,000         42,000
   Other                                                         26,725          30,355         28,154
                                                            ------------   -------------   ------------

    Total operating expenses                                     92,537          96,306         98,650
                                                            ------------   -------------   ------------

Loss from operations                                            (81,348)        (78,700)       (76,146)

Equity in losses of limited
  partnerships (Note 2)                                        (239,249)       (564,968)      (666,388)
                                                            ------------   -------------   ------------

Net loss                                                  $    (320,597) $     (643,668) $    (742,534)
                                                            ============   =============   ============

Net loss allocated to:
   General partner                                        $      (3,206) $       (6,437) $      (7,425)
                                                            ============   =============   ============

   Limited partners                                       $    (317,391) $     (637,231) $    (735,109)
                                                            ============   =============   ============

Net loss per limited partner unit                         $      (31.74) $       (63.72) $      (73.51)
                                                            ============   =============   ============

Outstanding weighted limited
  partner units                                                  10,000          10,000         10,000
                                                            ============   =============   ============
</TABLE>

                 See accompanying notes to financial statements
                                       18
<PAGE>


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

                    STATEMENTS OF PARTNERS' EQUITY (DEFICIT)

                For The Years Ended March 31, 2003, 2002 and 2001
<TABLE>
<CAPTION>



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

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

Net loss                                                            (7,425)          (735,109)           (742,534)
                                                            ---------------    ---------------     ---------------

Partners' equity (deficit) at March 31, 2001                       (69,720)         3,087,810           3,018,090

Net loss                                                            (6,437)          (637,231)           (643,668)
                                                            ---------------    ---------------     ---------------
Partners' equity (deficit) at March 31, 2002                       (76,157)         2,450,579           2,374,422

Net loss                                                            (3,206)          (317,391)           (320,597)
                                                            ---------------    ---------------     ---------------
Partners' equity (deficit) at March 31, 2003              $        (79,363) $       2,133,188    $      2,053,825
                                                            ===============    ===============     ===============
</TABLE>

                 See accompanying notes to financial statements
                                       19

<PAGE>


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

                            STATEMENTS OF CASH FLOWS


<TABLE>
<CAPTION>

                                                                                       For the Years Ended
                                                                                            March 31
                                                                         ------------------------------------------------
                                                                            2003            2002              2001
                                                                         -----------    --------------   ----------------


<S>                                                                    <C>           <C>               <C>
Cash flows from operating activities:
   Net loss                                                            $   (320,597) $       (643,668) $        (742,534)
   Adjustments to reconcile net loss to
     net cash used in operating activities:
    Amortization                                                             23,812            23,951             28,496
    Equity in losses of limited
      partnerships                                                          239,249           564,968            666,388
    Increase in accrued fees and
      expenses due to General Partner
      and affiliates                                                         12,488            18,902             11,074
    Change in other assets                                                        -                 -             18,407
                                                                         -----------    --------------   ----------------

Net cash used in operating activities                                       (45,048)          (35,847)           (18,169)
                                                                         -----------    --------------   ----------------

Cash flows from investing activities:
   Investments in limited partnerships,
     net                                                                          -           (16,028)                28
   Distributions from limited
     partnerships                                                             5,803            16,953             20,141
                                                                         -----------    --------------   ----------------

Net cash provided by
  investing activities                                                        5,803               925             20,169
                                                                         -----------    --------------   ----------------

Net increase (decrease) in cash and cash equivalents                        (39,245)          (34,922)             2,000

Cash and cash equivalents, beginning
  of period                                                                 277,292           312,214            310,214
                                                                         -----------    --------------   ----------------

Cash and cash equivalents, end of
  period                                                               $    238,047   $       277,292  $         312,214
                                                                         ===========    ==============   ================
SUPPLEMENTAL DISCLOSURE OF
  CASH FLOW INFORMATION
   Taxes paid                                                          $        800   $           800  $             800
                                                                         ===========    ==============   ================
</TABLE>

                 See accompanying notes to financial statements
                                       20

<PAGE>


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

                          NOTES TO FINANCIAL STATEMENTS

                For The Years Ended March 31, 2003, 2002 and 2001



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 Complexes") 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.  The  chairman and  president  own
substantially  all  of  the  outstanding  stock  of  WNC.  The  business  of the
Partnership  is  conducted  primarily  through  WNC, as the  Partnership  has no
employees of its own.

The Partnership shall continue to be in full force and effect until December 31,
2050 unless terminated prior to that date pursuant to the partnership  agreement
or law.

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.


                                       21
<PAGE>


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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------

Risks and Uncertainties
-----------------------

An investment in the  Partnership  and the  Partnership's  investments  in Local
Limited  Partnerships  and their Housing  Complexes are subject to risks.  These
risks may impact the tax benefits of an investment in the  Partnership,  and the
amount of proceeds  available for distribution to the Limited Partners,  if any,
on liquidation of the Partnership's investments. Some of those risks include the
following:

The Low Income  Housing  Credit rules are extremely  complicated.  Noncompliance
with these rules results in the loss of future Low Income  Housing  Credit s and
the fractional  recapture of Low Income Housing  Credits  already taken. In most
cases the annual amount of Low Income Housing Credits that an individual can use
is limited to the tax  liability  due on the  person's  last  $25,000 of taxable
income.  The  Local  Limited  Partnerships  may be  unable  to sell the  Housing
Complexes at a profit. Accordingly,  the Partnership may be unable to distribute
any cash to its investors.  Low Income  Housing  Credits may be the only benefit
from an investment in the Partnership.

The Partnership has invested in a limited number of Local Limited  Partnerships.
Such  limited  diversity  means that the  results of  operation  of each  single
Housing  Complex  will have a greater  impact on the  Partnership.  With limited
diversity,   poor   performance   of  one  Housing   Complex  could  impair  the
Partnership's ability to satisfy its investment objectives. Each Housing Complex
is subject to mortgage  indebtedness.  If a Local Limited  Partnership failed to
pay its  mortgage,  it  could  lose  its  Housing  Complex  in  foreclosure.  If
foreclosure  were to occur during the first 15 years,  the loss of any remaining
future Low Income Housing  Credits,  a fractional  recapture of prior Low Income
Housing  Credits,  and a loss of the  Partnership's  investment  in the  Housing
Complex would occur. The Partnership is a limited partner or non-managing member
of each Local Limited Partnership.  Accordingly,  the Partnership will have very
limited rights with respect to management of the Local Limited Partnerships. The
Partnership  will  rely  totally  on the Local  General  Partners.  Neither  the
Partnership's  investments in Local Limited Partnerships,  nor the Local Limited
Partnerships'  investments in Housing Complexes, are 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 interests
in Local Limited Partnerships; limitations on removal of Local General Partners;
limitations on subsidy programs; and possible changes in applicable regulations.
Uninsured  casualties  could result in loss of property  and Low Income  Housing
Credits and recapture of Low Income Housing Credits  previously taken. The value
of real  estate  is  subject  to risks  from  fluctuating  economic  conditions,
including employment rates, inflation,  tax, environmental,  land use and zoning
policies, supply and demand of similar properties,  and neighborhood conditions,
among others.

The  ability of Limited  Partners to claim tax losses  from the  Partnership  is
limited.  The IRS may audit the  Partnership or a Local Limited  Partnership and
challenge  the tax  treatment  of tax items.  The  amount of Low Income  Housing
Credits and tax losses  allocable to the  investors  could be reduced if the IRS
were successful in such a challenge.  The  alternative  minimum tax could reduce
tax benefits from an investment  in the  Partnership.  Changes in tax laws could
also impact the tax benefits from an investment  in the  Partnership  and/or the
value of the Housing Complexes.

No trading market for the Units exists or is expected to develop.  Investors may
be unable to sell their Units  except at a discount  and should  consider  their
Units to be a long-term  investment.  Individual investors will have no recourse
if they  disagree  with actions  authorized by a vote of the majority of Limited
Partners.


                                       22
<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001



NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------

Exit Strategy
-------------

The IRS  compliance  period for  low-income  housing  tax credit  properties  is
generally  15 years from  occupancy  following  construction  or  rehabilitation
completion.  WNC was one of the first in the industry to offer investments using
the tax credit.  Now these very first programs are completing  their  compliance
period.

With that in mind,  the  Partnership  is continuing to review the  Partnership's
holdings,  with special emphasis on the more mature  properties  including those
that have satisfied the IRS compliance  requirements.  The Partnership's  review
will consider many factors  including  extended use requirements on the property
(such as those due to mortgage restrictions or state compliance agreements), the
condition of the property,  and the tax  consequences  to the investors from the
sale of the property.

Upon identifying  those  properties with the highest  potential for a successful
sale,  refinancing  or  syndication,  the  Partnership  expects to proceed  with
efforts  to  liquidate  those  properties.  The  Partnership's  objective  is to
maximize the investors' return wherever possible and,  ultimately,  to wind down
those  funds  that no longer  provide  tax  benefits  to  investors.  To date no
properties in the Partnership have been selected.

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  Partnerships'  results of operations
and for any  contributions  made and  distributions  received.  The  Partnership
reviews the  carrying  amount of an  individual  investment  in a Local  Limited
Partnership for possible  impairment whenever events or changes in circumstances
indicate that the carrying  amount of such  investment  may not be  recoverable.
Recoverability  of such  investment  is measured by a comparison of the carrying
amount to future  undiscounted  net cash flows  expected to be generated.  If an
investment  is  considered  to be impaired,  the  impairment to be recognized is
measured by the amount by which the carrying  amount of the  investment  exceeds
fair value.  The  accounting  policies  of the Local  Limited  Partnerships  are
generally  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).

Equity in losses of Local  Limited  Partnerships  for the years  ended March 31,
2003, 2002 and 2001 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.  Management's
estimate for the three-month  period is based on either actual unaudited results
reported  by  the  Local  Limited  Partnerships  or  historical  trends  in  the
operations  of the Local  Limited  Partnerships.  Equity  in  losses of  limited
partnerships  allocated to the Partnership  will not be recognized to the extent
that  the  investment  balance  would be  adjusted  below  zero.  As soon as the
investment  balance  reaches zero, the related costs of acquiring the investment
are accelerated to the extent of losses available (see Note 2).

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.

                                       23
<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------

Use of Estimates
----------------

The preparation of financial statements in conformity with accounting principles
generally  accepted in the United States of America 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.  As of
March 31, 2003 and 2002, the Partnership had no cash equivalents.

Concentration of Credit Risk
----------------------------

At March 31,  2003,  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  partner  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
------------------------------

The  Statement of Financial  Accounting  Standards  ("SFAS") No. 130,  Reporting
Comprehensive  Income  established  standards  for the  reporting and display of
comprehensive  income (loss) and its components in a full set of general-purpose
financial statements. The Partnership had no items of other comprehensive income
during the years ended  March 31,  2003,  2002 and 2001,  as defined by SFAS No.
130.

New Accounting Pronouncements
-----------------------------

In June 2001, the Financial Accounting Standards Board ("FASB") issued Statement
of  Financial  Accounting  Standards  ("SFAS")  No. 143,  "Accounting  for Asset
Retirement  Obligations",  which requires that the fair value of a liability for
an asset  retirement  obligation  be  recognized  in the  period  in which it is
incurred with the associated asset retirement costs being  capitalized as a part
of the  carrying  amount of the  long-lived  asset.  SFAS No. 143 also  includes
disclosure   requirements   that  provide  a  description  of  asset  retirement
obligations   and   reconciliation   of  changes  in  the  components  of  those
obligations.  The statement is effective for fiscal years  beginning  after June
15, 2002. The Partnershp  does not expect the adoption of SFAS No. 143 to have a
material effect on the Partnerhip's financial position or results of operations.

In August  2001,  the FASB  issued  SFAS No.  144,  "Impairment  or  Disposal of
Long-Lived  Assets," which addresses  accounting and financial reporting for the
impairment or disposal of long-lived assets. This standard was effective for the
Partnership's financial statements beginning January 1, 2002. The implementation
of SFAS No. 144 did not have a material  impact on the  Partnership's  financial
position or results of operations.

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued
--------------------------------------------------------------

In April 2002, the FASB issued SFAS No. 145,  "Rescission of FASB Statements No.
4, 44, and 64,  Amendment of FASB Statement No. 13, and Technical  Corrections."
SFAS No. 145 rescinded three previously  issued  statements and amended SFAS No.
13, "Accounting for Leases." The statement provides reporting standards for debt
extinguishments   and   provides   accounting   standards   for  certain   lease
modifications that have economic effects similar to sale-leaseback transactions.
The statement is effective for certain lease  transactions  occurring  after May
15,  2002 and all other  provisions  of the  statement  shall be  effective  for
financial statements issued on or after May 15, 2002. The implementation of SFAS
No. 145 did not have a material impact on the Partnership's  financial  position
or results of operations.

In June 2002,  the FASB issued SFAS No. 146,  "Accounting  for Costs  Associated
with Exit or  Disposal  Activities,"  which  updates  accounting  and  reporting
standards for personnel and operational restructurings.  The Partnership adopted
SFAS No. 146 for exit,  disposal  or other  restructuring  activities  initiated
after  December 31,  2002.  The adoption of SFAS No. 146 did not have a material
effect on the Partnership's financial position or results of operations.

In November 2002, the FASB issued Interpretation No. 45 ("FIN 45"), "Guarantor's
Accounting  and  Disclosure  Requirements  for  Guarantees,  Including  Indirect
Guarantees  of  Indebtedness  of Others."  The adoption of FIN 45 did not have a
material impact on the Partnership's finacial position or results of operations.

In December  2002,  the FASB issued SFAS No. 148,  "Accounting  for  Stock-Based
Compensation  - Transition  and Disclosure - an Amendment to SFAS No. 123." SFAS
No. 148 provides alternative methods of transition for a voluntary change to the
fair value based method on accounting for stock-based employee compensation. The
implementation  of SFAS No. 148 is not expected to have a material effect on the
Partnership's financial position or results of operations.

In  January   2003,   the  FASB  issued   Interpretation   No.  46  ("FIN  46"),
"Consolidation  of Variable  Interest  Entities." The adoption of FIN 46 did not
have a material  impact on the  Partnership's  financial  position or results of
operations.

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.  The
respective Local 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, 2003 and 2002,  are  approximately  $1,207,000  and
$867,000,  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.


                                       25
<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS, continued
-------------------------------------------------------

Equity  in  losses  of the  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  from the Local 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, 2003 and 2002,  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 years  ended  March 31,
2003, 2002 and 2001 amounting to approximately  $332,000,  $212,000 and $97,000,
respectively,  have not been  recognized.  As of March 31, 2003,  the  aggregate
share of net losses not recognized by the Partnership amounted to $837,000.

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

                                                                                For the Years Ended
                                                                                     March 31
                                                                ----------------------------------------------------
                                                                     2003               2002              2001
                                                                ----------------   ---------------    --------------

<S>                                                           <C>                <C>                <C>
Investments per balance sheet,
    beginning of period                                       $       2,234,002  $      2,823,846   $     3,538,899
Capital contributions paid, net                                               -            16,028               (28)
Distributions received from limited
    partnerships                                                         (5,803)          (16,953)          (20,141)
Equity in losses of limited partnerships                               (239,249)         (564,968)         (666,388)
Amortization of paid acquisition fees
    and costs                                                           (23,812)          (23,951)          (28,496)
                                                                ----------------   ---------------    --------------

Investments per balance sheet,
    end of period                                             $       1,965,138  $      2,234,002   $     2,823,846
                                                                ================   ===============    ==============
</TABLE>


                                       26
<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


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>

                                                                                     2002               2001
                                                                                ---------------    ---------------

ASSETS

<S>                                                                           <C>                <C>
Buildings and improvements, net of accumulated
  depreciation as of December 31, 2002 and 2001 of
  $8,876,000 and $7,809,000, respectively                                     $     25,862,000   $     26,880,000
Land                                                                                 1,668,000          1,668,000
Due from related parties                                                                14,000             14,000
Other assets                                                                         2,260,000          2,080,000
                                                                                ---------------    ---------------

                                                                              $     29,804,000   $     30,642,000
                                                                                ===============    ===============

LIABILITIES

Mortgage loan payable                                                         $     25,864,000   $     26,037,000
Due to related parties                                                                 923,000            912,000
Other liabilities                                                                      976,000          1,003,000
                                                                                ---------------    ---------------

                                                                                    27,763,000         27,952,000
                                                                                ---------------    ---------------

PARTNERS' CAPITAL

WNC Housing Tax Credits Fund IV, L.P., Series 1                                        758,000          1,367,000
Other partners                                                                       1,283,000          1,323,000
                                                                                ---------------    ---------------

                                                                                     2,041,000          2,690,000
                                                                                ---------------    ---------------

                                                                              $     29,804,000   $     30,642,000
                                                                                ===============    ===============
</TABLE>



<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


NOTE 2 - INVESTMENTS IN LIMITED PARTNERSHIPS, continued
-------------------------------------------------------

                   COMBINED CONDENSED STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>

                                                                 2002                2001               2000
                                                            ---------------     ---------------    ---------------
<S>                                                       <C>                 <C>                <C>
Revenues                                                  $      3,581,000    $      3,400,000   $      3,397,000
                                                            ---------------     ---------------    ---------------

Expenses:
  Operating expenses                                             2,251,000           2,250,000          2,198,000
  Interest expense                                                 860,000             841,000            841,000
  Depreciation and amortization                                  1,076,000           1,098,000          1,142,000
                                                            ---------------     ---------------    ---------------

   Total expenses                                                4,187,000           4,189,000          4,181,000
                                                            ---------------     ---------------    ---------------

Net loss                                                  $       (606,000)   $       (789,000) $        (784,000)
                                                            ===============     ===============    ===============

Net loss allocable to the Partnership                     $       (597,000)   $       (777,000) $        (772,000)
                                                            ===============     ===============    ===============

Net loss recorded by the Partnership                      $       (239,000)   $       (565,000) $        (666,000)
                                                            ===============     ===============    ===============
</TABLE>

Certain Local Limited Partnerships incurred operating losses and/or 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  Partner  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 financial statements of one Local Limited Partnership were prepared assuming
the limited  partnership will continue as a going concern.  The auditor for this
entity has expressed  substantial  doubt as to this entity's ability to continue
as a going concern as a result of the property tax issue  discussed  below.  The
Partnership  had a $183,195 and  $256,705,  remaining  investment  in such Local
Limited Partnership at March 31, 2003 and 2002, respectively.  The Partnership's
original  investment in the Local Limited Partnership  approximated  $1,691,585.
Through  December 31, 2002,  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, 2002 and 2001, the carrying value of such property on the books and
records of the Local Limited Partnership totaled $6,311,179 and $6,507,470.


                                       28

<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


NOTE 3 - RELATED PARTY TRANSACTIONS
-----------------------------------

Under the terms of the  Partnership  Agreement,  the  Partnership has paid or 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
          $457,719 and $384,251 as of March 31, 2003 and 2002, respectively.  Of
          the  accumulated  amortization  recorded on the balance sheet at March
          31, 2003,  $49,656,  $117,011  and $59,327 of the related  expense was
          reflected as equity in losses of limited partnerships during the years
          ended  March 31,  2003,  2002 and 2001,  respectively,  to reduce  the
          respective  net  acquisition  fee  component of  investments  in local
          limited  partnerships  to zero for those  Local  Limited  Partnerships
          which would otherwise be below a zero balance.

          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.  At the
          end of all periods presented, the Partnership had incurred acquisition
          costs of $54,949,  which have been included in  investments in limited
          partnerships.   At  the  end  of  all  years   presented   accumulated
          amortization  amounted to  $54,949.  Of the  accumulated  amortization
          recorded on the balance sheet at March 31, 2003, $0, $0 and $44,256 of
          the  related  expense  was  reflected  as equity in losses of  limited
          partnerships  during the years  ended March 31,  2003,  2002 and 2001,
          respectively,  to reduce the respective net acquisition cost component
          of investments in local limited  partnerships  to zero for those Local
          Limited Partnerships which would otherwise be below a zero balance.

          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, for the life of the Partnership. Management fees of $42,000
          were incurred during the years ended March 31, 2003, 2002 and 2001, of
          which $30,000, $24,500 and $30,000 was paid, 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  $33,926,  $55,040 and
          $53,276 for the years ended March 31, 2003, 2002 and 2001.

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

                                                                                             March 31
                                                                                   ------------------------------
                                                                                       2003             2002
                                                                                   -------------    -------------

<S>                                                                              <C>              <C>
Reimbursement for expenses paid by the General Partner
  or an affiliate                                                                $        1,890   $        1,402

Asset management fee payable                                                            145,167          133,167
                                                                                   -------------    -------------

                                                                                 $      147,057   $      134,569
                                                                                   =============    =============
</TABLE>

                                       29
<PAGE>

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

                    NOTES TO FINANCIAL STATEMENTS - CONTINUED

                For The Years Ended March 31, 2003, 2002 and 2001


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 - QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)
----------------------------------------------------
<TABLE>
<CAPTION>

The following is a summary of the quarterly operations for the years ended March 31, 2003 and 2002:

                                           June 30           September 30       December 31           March 31
                                        ---------------     ---------------    ---------------     ---------------

               2003
               ----

<S>                                   <C>                 <C>                <C>                 <C>
Income                                $          1,000    $          7,000   $          1,000    $          2,000

Operating expenses                             (23,000)            (28,000)           (19,000)            (23,000)

Equity in losses of limited
     partnerships                              (70,000)            (74,000)           (72,000)            (23,000)

Net loss                                       (92,000)            (95,000)           (90,000)            (44,000)

Loss available to limited partners             (91,000)            (94,000)           (90,000)            (42,000)

Loss per limited partner unit                       (9)                 (9)                (9)                 (5)

               2002
               ----

Income                                $          3,000    $          2,000   $          1,000    $         11,000

Operating expenses                             (21,000)            (30,000)           (22,000)            (23,000)

Equity in losses of limited
     partnerships                             (121,000)           (175,000)           (87,000)           (182,000)

Net loss                                      (139,000)           (203,000)          (108,000)           (194,000)

Loss available to limited partners            (137,000)           (201,000)          (107,000)           (192,000)

Loss per limited partner unit                      (14)                (20)               (11)                (19)
</TABLE>

NOTE 6 - 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.

                                       30

<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

(a)  Identification of Directors, (b) Identification of Executive Officers, (c)
     ---------------------------------------------------------------------------
     Identification of Certain Significant Employees, (d) Family Relationships,
     --------------------------------------------------------------------------
     and (e) Business Experience
     ---------------------------

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

Associates is a California corporation which was organized in 1971. Its officers
and significant employees are:
<TABLE>
<CAPTION>

<S>                                   <C>
Wilfred N. Cooper, Sr.                Chairman of the Board
Wilfred N. Cooper, Jr.                President and Chief Executive Officer
David N. Shafer, Esq.                 Executive Vice President and Director of Asset Management
Sylvester P. Garban                   Senior Vice President - Institutional Investments
David C. Turek                        Senior Vice President - Originations
Thomas J. Riha, CPA                   Vice President - Chief Financial Officer
Michael J. Gaber                      Vice President - Acquisitions
Diemmy T. Tran                        Vice President - Portfolio Management
J. Brad Hurlbut                       Director of Syndications
</TABLE>

In addition to Wilfred N. Cooper,  Sr., the directors of Associates  are Wilfred
N. Cooper, Jr., David N. Shafer, and Kay L. Cooper. The principal shareholder of
Associates is a trust established by Wilfred N. Cooper, Sr.

Wilfred N.  Cooper,  Sr.,  age 72, is the founder  and  Chairman of the Board of
Directors of Associates,  a Director of WNC Capital  Corporation,  and a general
partner in some of the  partnerships  previously  sponsored  by  Associates  Mr.
Cooper has been actively involved in the affordable housing industry since 1968.
Previously,  during 1970 and 1971,  he was  founder and a principal  of Creative
Equity  Development  Corporation,  a predecessor of Associates,  and of Creative
Equity Corporation, a real estate investment firm. For 12 years before 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.  He has testified before committees of the U.S. Senate and the U.S.
House  of  Representatives.  Mr.  Cooper  is a Life  Director  of  the  National
Association of Home Builders and a National  Trustee for NAHB's Political Action
Committee,  and the Chairman of NAHB's Multifamily  Council. He is a Director of
the National Housing Conference and a member of NHC's Executive Committee, and a
founder and Director of the California Housing Consortium.  He is the husband of
Kay Cooper and the father of Wilfred N. Cooper,  Jr. Mr. Cooper  graduated  from
Pomona College in 1956 with a Bachelor of Arts degree.

Wilfred N. Cooper, Jr., age 40, is President, Chief Executive Officer, Secretary
and a Director and a member of the  Acquisition  Committee of  Associates  He is
President of, and a registered principal with, WNC Capital Corporation, and is a
Director of WNC Management,  Inc. He has been involved in real estate investment
and acquisition activities since 1988 when he joined Associates  Previously,  he
served as a Government Affairs Assistant with Honda North America in Washington,
D.C.  Mr.  Cooper is a member of the  Editorial  Advisory  Boards of  Affordable
                                                                      ----------
Housing Finance and LIHC Monthly Report, a Steering Member of the Housing Credit
---------------     -------------------
Group of the National  Association  of Home Builders,  an Alternate  Director of
NAHB,  a member of the  Advisory  Board of the New York  State  Association  for
Affordable  Housing and a member of the Urban Land  Institute.  He is the son of
Wilfred  Cooper,  Sr. and Kay Cooper.  Mr.  Cooper  graduated  from The American
University in 1985 with a Bachelor of Arts degree.

                                       31
<PAGE>

David N. Shafer,  age 50, is Executive Vice President,  a Director,  Director of
Asset Management and a member of the Acquisition Committee of Associates,  and a
Director and Secretary of WNC Management, Inc. Mr. Shafer has been active in the
real estate  industry  since 1984.  Before  joining  Associates  in 1990, he was
engaged as an attorney in the private  practice of 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.

Sylvester  P.  Garban,   age  57,  is  Senior  Vice  President  -  Institutional
Investments of Associates Mr. Garban has been involved in real estate investment
activities since 1978. Before joining Associates in 1989, he served as Executive
Vice President with MRW, Inc., a real estate  development  and management  firm.
Mr. Garban is a member of the National Association of Affordable Housing Lenders
and the  Financial  Planning  Association.  He  graduated  from  Michigan  State
University in 1967 with a Bachelor of Science degree in Business Administration.

David C. Turek,  age 48, is Senior Vice President -  Originations  of Associates
His  experience  with real estate  investments  and finance has continued  since
1976, and he has been employed by Associates since 1996.  Previously,  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 1992 to 1995 he served as Executive Vice
President for Levcor, Inc., a multi-family development company, and from 1990 to
1992 he served as Vice President for the Paragon Group where he was  responsible
for tax credit development activities.  He is a Director of the National Housing
and Rehabilitation  Association,  the Rural Rental Housing Association of Texas,
and the Alabama Council of Affordable  Rental Housing.  Mr. Turek graduated from
Southern Methodist University in 1976 with a Bachelor of Business Administration
degree.

Thomas J. Riha, age 47, is Vice President - Chief Financial Officer and a member
of the  Acquisition  Committee of  Associates  and  President,  Treasurer  and a
Director of WNC Management, Inc. He has been involved in real estate acquisition
and investment  activities  since 1979.  Before joining  Associates in 1994, Mr.
Riha was  employed  by Trust  Realty  Advisor,  a real  estate  acquisition  and
management  company,  last  serving  as Vice  President  -  Operations.  He is a
Director  of the Task  Force on Housing  Credit  Certification  of the  National
Association  of Home Builders.  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.

Michael J. Gaber,  age 37, is Vice President - Acquisitions  and a member of the
Acquisition  Committee of Associates  Mr. Gaber has been involved in real estate
acquisition,  valuation  and  investment  activities  since  1989  and has  been
associated  with  Associates  since 1997.  Prior to joining  Associates,  he was
involved in the valuation and  classification of major assets,  restructuring of
debt and analysis of real estate taxes with H.F.  Ahmanson & Company,  parent of
Home  Savings  of  America.  Mr.  Gaber  graduated  from  the  California  State
University,  Fullerton  in 1991 with a Bachelor  of Science  degree in  Business
Administration - Finance.

Diemmy T. Tran, age 37, is Vice  President - Portfolio  Management of Associates
She is responsible for overseeing  portfolio  management and investor  reporting
for  all  WNC  funds,  and  for  monitoring   investment  returns  for  all  WNC
institutional  funds. Ms. Tran has been involved in real estate asset management
and finance  activities for 12 years.  Prior to joining  Associates in 1998, Ms.
Tran served as senior asset manager for a national Tax Credit  sponsor and as an
asset specialist for the Resolution Trust  Corporation where she was responsible
for the disposition  and management of commercial  loan and REO portfolios.  Ms.
Tran is  licensed  as a  California  real  estate  broker.  She  graduated  from
California  State  University,  Northridge  in 1989 with a  Bachelor  of Science
degree in finance and a minor in real estate.

J. Brad  Hurlbut,  age 43, is  Director  of  Syndications  of  Associates  He is
responsible  for the financial  structuring of WNC's  institutional  funds.  Mr.
Hurlbut has 20 years of experience in real estate  investment  and  development.
Prior to  joining  WNC in 2000,  he served  as  corporate  controller  for Great
Western Hotels  Corporation.  Mr. Hurlbut has been an enrolled agent licensed to
practice before the IRS since 1984. He graduated from the University of Redlands
in 1981 with a  Bachelor  of  Science  degree in  business  management  and from
California State  University,  Fullerton in 1985 with a Master of Science degree
in taxation.

                                       32
<PAGE>

Kay L.  Cooper,  age 66, is a Director of  Associates  Mrs.  Cooper was the sole
proprietor of Agate 108, a manufacturer and retailer of home accessory products,
from 1975 until its sale in 1998. She is the wife of Wilfred Cooper, Sr. and the
mother of Wilfred  Cooper,  Jr. Ms.  Cooper  graduated  from the  University  of
Southern California in 1958 with a Bachelor of Science degree.

(f)  Involvement in Certain Legal Proceedings
     -----------------------------------------

     Inapplicable.

(g)  Promoters and Control Persons
     -----------------------------

     Inapplicable.

(h)  Audit Committee Financial Expert
     --------------------------------

     Neither the Partnership nor Associates has an audit committee.

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 $42,000 were incurred during the years ended
     March 31,  2003,  2002 and 2001,  respectively.  The  Partnership  paid the
     General  Partner or its  affiliates  $30,000,  $24,500 and $30,000 of those
     fees during the years ended March 31, 2003, 2002 and 2001, respectively.

(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  $25,000,  $28,000 and
     $26,000 during the years ended March 31, 2003, 2002 and 2001, respectively.

(d)  Interest  in  Partnership.   The  General   Partner   receives  1%  of  the
     Partnership's  allocated Low Income  Housing  Credits,  which  approximated
     $15,000  for the  General  Partner  for all years  presented.  The  General
     Partner is also entitled to receive 1% of cash distributions. There were no
     distributions of cash to the General Partner during the years presented.

Item 12.  Security  Ownership of Certain  Beneficial  Owners and  Management and
          Related Stockholder Matters

(a)  Securities Authorized for Issuance Under Equity Compensation Plans
     ------------------------------------------------------------------

     Inapplicable

                                       33
<PAGE>

(b)  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.

(c)  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.

(d)  Changes in Control
     ------------------

     The management and control of the General  Partner and of Associates 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, reimbursement of expenses,
and the General Partner's interests in the Partnership,  as discussed in Item 11
and in the notes to the Partnership's financial statements.

Item 14.  Controls and Procedures

Associates,  on behalf of the  Partnership,  maintains  disclosure  controls and
procedures that are designed to ensure that information required to be disclosed
in our  periodic  reports  filed with the  Securities  and  Exchange  Commission
("SEC") is recorded, processed,  summarized and reported within the time periods
specified  in the  rules  and  forms of the SEC and  that  such  information  is
accumulated  and  communicated  to our management as appropriate to allow timely
decisions  regarding  required  disclosure.  In  designing  and  evaluating  the
disclosure controls and procedures,  our management recognized that any controls
and  procedures,  no matter how well  designed  and  operated,  can provide only
reasonable  assurance of achieving the desired control objectives and management
necessarily  was required to apply its judgment in evaluating  the  cost-benefit
relationship of possible controls and procedures.

Based on their most recent evaluation, which was completed within 90 days of the
filing of this Annual Report on Form 10-K, our Principal  Executive  Officer and
Principal  Financial Officer believe that our disclosure controls and procedures
(as defined in Rules 13a-14 and 15d-14 of the  Securities  Exchange Act of 1934,
as  amended)  are  effective.  There were no  significant  changes  in  internal
controls or in other  factors that could  significantly  affect  these  internal
controls subsequent to the date of their most recent evaluation.


                                       34

<PAGE>


PART IV.

Item 15.  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
          Balance Sheets, March 31, 2003 and 2002
          Statements of Operations for the years ended March 31, 2003, 2002 and
            2001
          Statements of Partners' Equity (Deficit) for the years ended March
            31, 2003, 2002 and 2001
          Statements of Cash Flows for the years ended March 31, 2003, 2002 and
            2001
          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.        None

(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.

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.

                                       35
<PAGE>

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.

99.1      Certification of the Principal Executive Officer pursuant to 18 U.S.C.
          section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley
          Act of 2002. (filed herewith)

99.2      Certification of the Principal Financial Officer pursuant to 18 U.S.C.
          section 1350, as adopted pursuant to section 906 of the Sarbanes-Oxley
          Act of 2002. (filed herewith)

                                       36
<PAGE>


99.3      Financial  Statements  of Laurel Creek  Apartments,  as of and for the
          years ended  December  31,  2001 and 2000  together  with  Independent
          Auditors'  Report  thereon;  filed as exhibit  99.3 on Form 10-K dated
          March 31, 2002; a significant subsidiary of the Partnership.

99.4      Financial  Statements of Regency Court,  as of and for the years ended
          December 31, 2001 and 2000 together with Independent  Auditors' Report
          thereon;  filed as exhibit  99.4 on Form 10-K dated March 31,  2002; a
          significant subsidiary of the Partnership.

99.5      Financial  Statements  of Laurel Creek  Apartments,  as of and for the
          years ended  December  31,  2002 and 2001  together  with  Independent
          Auditors' Report thereon; a significant subsidiary of the Partnership.
          (filed herewith)

99.6      Financial  Statements of Regency Court,  as of and for the years ended
          December 31, 2002 and 2001 together with Independent  Auditors' Report
          thereon; a significant subsidiary of the Partnership. (filed herewith)

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


                                       37
<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 12, 2003,  relating to the 2003,
2002 and 2001  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
Costa Mesa, California
May 12, 2003

                                       38
<PAGE>


WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2003
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2003                            As of December 31, 2002
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                  <C>              <C>           <C>              <C>           <C>           <C>
Alpine Manor,             Alpine,
L.P.                      Texas                $  195,000       $  195,000    $  904,000       $ 1,169,000   $  249,000    $ 920,000

Baycity
Village
Apartments,
Limited                   Baytown,
Partnership               Texas                   301,000          301,000     1,442,000         1,837,000      613,000    1,224,000

Beckwood
Manor Seven
Limited                   Marianna,
Partnership               Arkansas                307,000          307,000     1,377,000         1,805,000      589,000    1,216,000


Briscoe Manor
Limited                   Galena,
Partnership               Maryland                308,000          308,000     1,476,000         1,845,000      570,000    1,275,000

Evergreen Four
Limited                   Maynard,
Partnership               Arkansas                195,000          195,000       862,000         1,129,000      364,000      765,000


Fawn Haven
Limited                   Manchester,
Partnership               Ohio                    167,000          167,000       847,000         1,072,000      370,000      702,000


Fort Stockton             Ft.Stockton,
Manor, L.P.               Texas                   224,000          224,000     1,042,000         1,249,000      246,000    1,003,000

Hidden Valley
Limited                   Gallup, New
Partnership               Mexico                  412,000          412,000     1,472,000         1,988,000      430,000    1,558,000

HOI Limited               Lenoir,
Partnership               North
Of Lenoir                 Carolina                198,000          198,000       526,000         1,178,000      316,000      862,000

Indian Creek
Limited                   Bucyrus,
Partnership               Ohio                    306,000          306,000     1,456,000         1,776,000      543,000    1,233,000

Laurel                    San Luis
Creek                     Obispo,
Apartments                California            1,030,000        1,030,000       609,000         2,165,000      602,000    1,563,000
</TABLE>


                                       39
<PAGE>



WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2003
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2003                            As of December 31, 2002
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                <C>                <C>         <C>               <C>           <C>         <C>
Madisonville
Manor Senior
Citizens                  Madisonville,
Complex, Ltd.             Texas                   174,000          174,000       895,000         1,151,000      164,000      987,000

Mt. Graham                Safford,
Housing, Ltd.             Arizona                 410,000          410,000     1,394,000         1,886,000      594,000    1,292,000

Northside Plaza           Angleton,
Apartments, Ltd.          Texas                   282,000          282,000     1,348,000         1,745,000      280,000    1,465,000

Pampa Manor, L.P.         Pampa, Texas            180,000          180,000       838,000         1,032,000      212,000      820,000

Regency Court             Monrovia,
Partners                  California            1,692,000        1,690,000     5,017,000         7,707,000    1,396,000    6,311,000

Sandpiper
Square, a                 Aulander,
Limited                   North
Partnership               Carolina                219,000          219,000       938,000         1,193,000      261,000      932,000

Seneca Falls              Seneca
East Apartments           Falls, New
Company II, L.P.          York                    270,000          270,000       885,000         1,229,000      195,000    1,034,000

Vernon Manor, L.P.        Vernon, Texas           177,000          177,000       745,000           905,000      184,000      721,000

Waterford Place,          Calhoun
a Limited                 Falls, South
Partnership               Carolina                272,000          272,000     1,169,000         1,503,000      513,000      990,000


Yantis Housing, Ltd.      Yantis, Texas           145,000          145,000       622,000           842,000      185,000      657,000
                                             -------------      ----------  -------------     ------------  ------------ -----------

                                             $  7,464,00        $7,462,000  $ 25,864,000      $ 36,406,000  $ 8,876,000 $ 27,530,000
                                             =============      ==========  =============     ============  ============ ===========
</TABLE>



                                       40
<PAGE>



WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2003
<TABLE>
<CAPTION>

                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2002
                              --------------------------------------------------------------------------------------
                                                                   Year Investment                Estimated Useful
      Partnership Name          Rental Income        Net Loss         Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>
Alpine Manor, L.P.                     $ 121,000     $   (17,000)       1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      309,000         (31,000)       1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              148,000         (41,000)       1993           Completed        27.5

Briscoe Manor Limited
Partnership                              179,000         (50,000)       1994           Completed        27.5

Evergreen Four Limited
Partnership                               83,000         (40,000)       1994           Completed        27.5

Fawn Haven Limited
Partnership                               85,000         (15,000)       1994           Completed        27.5

Fort Stockton Manor, L.P.                131,000         (22,000)       1994           Completed         40

Hidden Valley Limited
Partnership                              182,000         (23,000)       1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   148,000         (18,000)       1993           Completed         40

Indian Creek Limited
Partnership                              148,000         (28,000)       1994           Completed        27.5

Laurel Creek Apartments                  194,000         (19,000)       1994           Completed        27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   110,000          (1,000)       1994           Completed         50

Mt. Graham Housing, Ltd.                 148,000         (64,000)       1994           Completed        27.5

Northside Plaza Apartments,
Ltd.                                     171,000         (10,000)       1994           Completed         50

Pampa Manor, L.P.                         95,000         (26,000)       1994           Completed         40

Regency Court Partners                   686,000         (75,000)       1994           Completed         40

Sandpiper Square, a Limited
Partnership                               98,000         (23,000)       1994           Completed         35

Seneca Falls East Apartments
Company II, L.P.                         152,000         (25,000)       1998           Completed         40

</TABLE>
                                       41
<PAGE>
WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2003
<TABLE>
<CAPTION>

                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2002
                              --------------------------------------------------------------------------------------
                                                                   Year Investment                Estimated Useful
      Partnership Name          Rental Income        Net Loss         Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>

Vernon Manor, L.P.                        96,000          (8,000)       1994           Completed         40

Waterford Place, a Limited
Partnership                              126,000         (46,000)       1994           Completed         40


Yantis Housing, Ltd.                      77,000         (24,000)       1994           Completed         40
                                     ----------       -----------

                                     $ 3,487,000      $ (606,000)
                                     ===========      ===========
</TABLE>

                                       42

<PAGE>


WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2002
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2002                            As of December 31, 2001
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                  <C>              <C>           <C>              <C>           <C>           <C>
Alpine Manor,             Alpine,
L.P.                      Texas                $  195,000       $  195,000    $  909,000       $ 1,170,000   $  221,000    $ 949,000

Baycity
Village
Apartments,
Limited                   Baytown,
Partnership               Texas                   301,000          301,000     1,455,000         1,829,000      550,000    1,279,000

Beckwood
Manor Seven
Limited                   Marianna,
Partnership               Arkansas                307,000          307,000     1,383,000         1,789,000      527,000    1,262,000


Briscoe Manor
Limited                   Galena,
Partnership               Maryland                308,000          308,000     1,481,000         1,845,000      505,000    1,340,000

Evergreen Four
Limited                   Maynard,
Partnership               Arkansas                195,000          195,000       865,000         1,129,000      325,000      804,000


Fawn Haven
Limited                   Manchester,
Partnership               Ohio                    167,000          167,000       851,000         1,072,000      333,000      739,000


Fort Stockton             Ft.Stockton,
Manor, L.P.               Texas                   224,000          224,000     1,046,000         1,248,000      216,000    1,032,000

Hidden Valley
Limited                   Gallup, New
Partnership               Mexico                  412,000          412,000     1,477,000         1,981,000      378,000    1,603,000

HOI Limited               Lenoir,
Partnership               North
Of Lenoir                 Carolina                198,000          198,000       539,000         1,173,000      283,000      890,000

Indian Creek
Limited                   Bucyrus,
Partnership               Ohio                    306,000          306,000     1,462,000         1,777,000      483,000    1,294,000

Laurel                    San Luis
Creek                     Obispo,
Apartments                California            1,030,000        1,030,000       611,000         2,165,000      534,000    1,631,000
</TABLE>


                                       43
<PAGE>


WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2002
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2002                            As of December 31, 2001
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                <C>                <C>         <C>               <C>           <C>         <C>
Madisonville
Manor Senior
Citizens                  Madisonville,
Complex, Ltd.             Texas                   174,000          174,000       898,000         1,150,000      140,000    1,010,000

Mt. Graham                Safford,
Housing, Ltd.             Arizona                 410,000          410,000     1,400,000         1,883,000      525,000    1,358,000

Northside Plaza           Angleton,
Apartments, Ltd.          Texas                   282,000          282,000     1,354,000         1,741,000      244,000    1,497,000

Pampa Manor, L.P.         Pampa, Texas            180,000          180,000       841,000         1,032,000      186,000      846,000

Regency Court             Monrovia,
Partners                  California            1,692,000        1,690,000     5,088,000         7,708,000    1,200,000    6,508,000

Sandpiper
Square, a                 Aulander,
Limited                   North
Partnership               Carolina                219,000          219,000       942,000         1,193,000      231,000      962,000

Seneca Falls              Seneca
East Apartments           Falls, New
Company II, L.P.          York                    270,000          270,000       888,000         1,227,000      151,000    1,076,000

Vernon Manor, L.P.        Vernon, Texas           177,000          177,000       748,000           905,000      162,000      743,000

Waterford Place,          Calhoun
a Limited                 Falls, South
Partnership               Carolina                272,000          272,000     1,174,000         1,501,000      452,000    1,049,000


Yantis Housing, Ltd.      Yantis, Texas           145,000          145,000       625,000           839,000      163,000      676,000
                                             -------------      ----------  -------------     ------------  ------------ -----------

                                             $  7,464,00        $7,462,000  $ 26,037,000      $ 36,357,000  $ 7,809,000 $ 28,548,000
                                             =============      ==========  =============     ============  ============ ===========
</TABLE>



                                       44
<PAGE>



WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2002
<TABLE>
<CAPTION>
                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2001
                              --------------------------------------------------------------------------------------
                                                                   Year Investment                Estimated Useful
      Partnership Name          Rental Income        Net Loss         Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>
Alpine Manor, L.P.                     $ 113,000     $   (19,000)       1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      248,000         (51,000)       1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              148,000         (75,000)       1993           Completed        27.5

Briscoe Manor Limited
Partnership                              174,000         (64,000)       1994           Completed        27.5

Evergreen Four Limited
Partnership                               89,000         (37,000)       1994           Completed        27.5

Fawn Haven Limited
Partnership                               84,000         (24,000)       1994           Completed        27.5

Fort Stockton Manor, L.P.                123,000         (14,000)       1994           Completed         40

Hidden Valley Limited
Partnership                              176,000         (18,000)       1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   142,000         (26,000)       1993           Completed         40

Indian Creek Limited
Partnership                              145,000         (33,000)       1994           Completed        27.5

Laurel Creek Apartments                  180,000          (4,000)       1994           Completed        27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   104,000         (12,000)       1994           Completed         50

Mt. Graham Housing, Ltd.                 138,000         (69,000)       1994           Completed        27.5

Northside Plaza Apartments,
Ltd.                                     151,000         (30,000)       1994           Completed         50

Pampa Manor, L.P.                         94,000         (27,000)       1994           Completed         40

Regency Court Partners                   657,000        (162,000)       1994           Completed         40

Sandpiper Square, a Limited
Partnership                               99,000         (17,000)       1994           Completed         35

Seneca Falls East Apartments
Company II, L.P.                         144,000         (27,000)       1998           Completed         40

</TABLE>

                                       45
<PAGE>

WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2002
<TABLE>
<CAPTION>
                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2001
                              --------------------------------------------------------------------------------------
                                                                   Year Investment                Estimated Useful
      Partnership Name          Rental Income        Net Loss         Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>

Vernon Manor, L.P.                        92,000          (4,000)       1994           Completed         40

Waterford Place, a Limited
Partnership                              125,000         (50,000)       1994           Completed         40


Yantis Housing, Ltd.                      73,000         (26,000)       1994           Completed         40
                                     -----------      -----------

                                     $ 3,299,000      $ (789,000)
                                     ===========      ===========
</TABLE>


                                       46
<PAGE>


WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2001
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2001                            As of December 31, 2000
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                  <C>              <C>           <C>              <C>           <C>           <C>
Alpine Manor,             Alpine,
L.P.                      Texas                $  195,000       $  195,000    $  913,000       $ 1,170,000   $  192,000    $ 978,000

Baycity
Village
Apartments,
Limited                   Baytown,
Partnership               Texas                   301,000          301,000     1,467,000         1,829,000      486,000    1,343,000

Beckwood
Manor Seven
Limited                   Marianna,
Partnership               Arkansas                307,000          307,000     1,387,000         1,790,000      463,000    1,327,000


Briscoe Manor
Limited                   Galena,
Partnership               Maryland                308,000          308,000     1,485,000         1,812,000      441,000    1,371,000

Evergreen Four
Limited                   Maynard,
Partnership               Arkansas                195,000          195,000       868,000         1,129,000      285,000      844,000


Fawn Haven
Limited                   Manchester,
Partnership               Ohio                    167,000          167,000       855,000         1,069,000      296,000      773,000


Fort Stockton             Ft.Stockton,
Manor, L.P.               Texas                   224,000          224,000     1,051,000         1,248,000      186,000    1,062,000

Hidden Valley
Limited                   Gallup, New
Partnership               Mexico                  412,000          412,000     1,482,000         1,979,000      321,000    1,658,000

HOI Limited               Lenoir,
Partnership               North
Of Lenoir                 Carolina                198,000          198,000       551,000         1,168,000      250,000      918,000

Indian Creek
Limited                   Bucyrus,
Partnership               Ohio                    306,000          306,000     1,469,000         1,776,000      416,000    1,360,000

Laurel                    San Luis
Creek                     Obispo,
Apartments                California            1,030,000        1,030,000       636,000         2,165,000      464,000    1,701,000
</TABLE>


                                       47
<PAGE>

WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2001
 <TABLE>
<CAPTION>

                                              ------------------------------------  ------------------------------------------------
                                                    As of March 31, 2001                            As of December 31, 2000
------------------------------------------------------------------------------------------------------------------------------------
                                              Total Investment     Amount of       Encumbrances                              Net
                                           in Local Limited   Investment Paid  of Local Limited  Property and  Accumulated   Book
   Partnership Name       Location              Partnerships        to Date       Partnerships    Equipment  Depreciation    Value
------------------------------------------------------------------------------------------------------------------------------------
<S>                       <C>                <C>                <C>         <C>               <C>           <C>         <C>
Madisonville
Manor Senior
Citizens                  Madisonville,
Complex, Ltd.             Texas                   174,000          174,000       900,000         1,150,000      188,000    1,032,000

Mt. Graham                Safford,
Housing, Ltd.             Arizona                 410,000          410,000     1,406,000         1,878,000      454,000    1,424,000

Northside Plaza           Angleton,
Apartments, Ltd.          Texas                   282,000          282,000     1,359,000         1,736,000      208,000    1,528,000

Pampa Manor, L.P.         Pampa, Texas            180,000          180,000       844,000         1,032,000      161,000      871,000

Regency Court             Monrovia,
Partners                  California            1,692,000        1,690,000     5,156,000         7,708,000    1,004,000    6,704,000

Sandpiper
Square, a                 Aulander,
Limited                   North
Partnership               Carolina                219,000          219,000       946,000         1,193,000      198,000      995,000

Seneca Falls              Seneca
East Apartments           Falls, New
Company II, L.P.          York                    270,000          270,000       890,000         1,224,000      107,000    1,117,000

Vernon Manor, L.P.        Vernon, Texas           161,000          161,000       751,000           905,000      140,000      765,000

Waterford Place,          Calhoun
a Limited                 Falls, South
Partnership               Carolina                272,000          272,000     1,179,000         1,495,000      391,000    1,104,000


Yantis Housing, Ltd.      Yantis, Texas           145,000          145,000       627,000           839,000      143,000      696,000
                                             -------------      ----------  -------------     ------------  ------------ -----------

                                             $  7,448,00        $7,446,000  $ 26,222,000      $ 36,295,000  $ 6,724,000 $ 29,571,000
                                             =============      ==========  =============     ============  ============ ===========
</TABLE>



                                       48
<PAGE>



WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2001
<TABLE>
<CAPTION>
                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2000
                              --------------------------------------------------------------------------------------

                                                    Net Income     Year Investment                Estimated Useful
      Partnership Name          Rental Income         (Loss)          Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>
Alpine Manor, L.P.                     $ 103,000     $   (23,000)       1994           Completed         40

Baycity Village Apartments,
Limited Partnership                      259,000         (55,000)       1994           Completed         30

Beckwood Manor Seven Limited
Partnership                              151,000         (59,000)       1993           Completed        27.5

Briscoe Manor Limited
Partnership                              165,000         (96,000)       1994           Completed        27.5

Evergreen Four Limited
Partnership                               83,000         (36,000)       1994           Completed        27.5

Fawn Haven Limited
Partnership                               81,000         (22,000)       1994           Completed        27.5

Fort Stockton Manor, L.P.                116,000         (22,000)       1994           Completed         40

Hidden Valley Limited
Partnership                              156,000         (30,000)       1994           Completed         40

HOI Limited Partnership Of
Lenoir                                   131,000         (34,000)       1993           Completed         40

Indian Creek Limited
Partnership                              139,000         (40,000)       1994           Completed        27.5

Laurel Creek Apartments                  169,000         (35,000)       1994           Completed        27.5

Madisonville Manor Senior
Citizens Complex, Ltd.                   111,000           1,000        1994           Completed         50

Mt. Graham Housing, Ltd.                 144,000         (67,000)       1994           Completed        27.5

Northside Plaza Apartments,
Ltd.                                     152,000         (17,000)       1994           Completed         50

Pampa Manor, L.P.                         98,000         (34,000)       1994           Completed         40

Regency Court Partners                   657,000         (62,000)       1994           Completed         40

Sandpiper Square, a Limited
Partnership                               99,000         (15,000)       1994           Completed         35

Seneca Falls East Apartments
Company II, L.P.                         143,000         (22,000)       1998           Completed         40

</TABLE>

                                       49
<PAGE>

WNC Housing Tax Credit Fund IV, L.P., Series 1
Schedule III
Real Estate Owned by Local Limited Partnerships
March 31, 2001
<TABLE>
<CAPTION>
                              --------------------------------------------------------------------------------------
                                                      For the year ended December 31, 2000
                              --------------------------------------------------------------------------------------
                                                                   Year Investment                Estimated Useful
      Partnership Name          Rental Income        Net Loss         Acquired         Status       Life (Years)
--------------------------------------------------------------------------------------------------------------------

<S>                                    <C>           <C>                <C>            <C>              <C>

Vernon Manor, L.P.                        78,000         (32,000)       1994           Completed         40

Waterford Place, a Limited
Partnership                              115,000         (55,000)       1994           Completed         40


Yantis Housing, Ltd.                      71,000         (29,000)       1994           Completed         40
                                     -----------      -----------

                                     $ 3,221,000      $ (784,000)
                                     ===========      ===========
</TABLE>


                                       50
<PAGE>



                                   SIGNATURES


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

By:      WNC & Associates, Inc.,
         General Partner

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

Date:  June 24, 2003

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, Jr.
         --------------------------
         Wilfred N. Cooper, Jr.,
         Chief Executive Officer, President and Director of WNC & Associates,
         Inc. (principal executive officer)

Date:  June 24, 2003


By:      /s/ Thomas J. Riha
         ----------------------
         Thomas J. Riha,
         Vice-President - Chief Financial Officer of WNC & Associates, Inc.
         (principal financial officer and principal accounting
         officer)

Date:  June 24, 2003


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

Date:  June 24, 2003

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

Date:  June 24, 2003


                                       51
<PAGE>


                                 CERTIFICATIONS

     I,   Wilfred N. Cooper, Jr., certify that:

     1.   I have  reviewed  this  annual  report on Form 10-K of WNC HOUSING TAX
          CREDITS FUND IV, L.P., Series 1;

     2.   Based on my knowledge,  this annual report does not contain any untrue
          statement  of a  material  fact  or  omit to  state  a  material  fact
          necessary to make the statements  made, in light of the  circumstances
          under which such  statements were made, not misleading with respect to
          the periods covered by this annual report;

     3.   Based on my knowledge,  the financial statements,  and other financial
          information  included in this  annual  report,  fairly  present in all
          material respects the financial  condition,  results of operations and
          cash flows of the registrant as of, and for, the periods  presented in
          this annual report;

     4.   The registrant's  other certifying  officers and I are responsible for
          establishing  and maintaining  disclosure  controls and procedures (as
          defined in Exchange  Act Rules  13a-14 and 15d-14) for the  registrant
          and we have:

          (a) designed such  disclosure  controls and  procedures to ensure that
          material  information  relating  to  the  registrant,   including  its
          consolidated subsidiaries,  is made known to us by others within those
          entities,  particularly  during the period in which this annual report
          is being prepared;

          (b)  evaluated  the  effectiveness  of  the  registrant's   disclosure
          controls  and  procedures  as of a date  within  90 days  prior to the
          filing date of this annual report (the "Evaluation Date"); and

          (c)  presented  in  this  annual  report  our  conclusions  about  the
          effectiveness  of the disclosure  controls and procedures based on our
          evaluation as of the Evaluation Date;

     5.   The registrant's other certifying officers and I have disclosed, based
          on our most recent  evaluation,  to the registrant's  auditors and the
          audit  committee  of  registrant's  board  of  directors  (or  persons
          performing the equivalent function):

          (a)  all  significant  deficiencies  in the  design  or  operation  of
          internal  controls  which  could  adversely  affect  the  registrant's
          ability to record,  process,  summarize and report  financial data and
          have identified for the registrant's  auditors any material weaknesses
          in internal controls; and

          (b) any fraud,  whether or not material,  that involves  management or
          other  employees  who  have a  significant  role  in the  registrant's
          internal controls; and

     6.   The  registrant's  other  certifying  officers and I have indicated in
          this annual report  whether or not there were  significant  changes in
          internal controls or in other factors that could significantly  affect
          internal   controls   subsequent  to  the  date  of  our  most  recent
          evaluation,   including   any   corrective   actions  with  regard  to
          significant deficiencies and material weaknesses.

     Date: June 24, 2003


     /s/  Wilfred N. Cooper, Jr.

     [Signature]

     Chairman and Chief Executive Officer of WNC & Associates, Inc.


                                       52
<PAGE>


                                 CERTIFICATIONS

         I, Thomas J. Riha, certify that:

     1.   I have  reviewed  this  annual  report on Form 10-K of WNC HOUSING TAX
          CREDITS FUND IV, L.P., Series 1;

     2.   Based on my knowledge,  this annual report does not contain any untrue
          statement  of a  material  fact  or  omit to  state  a  material  fact
          necessary to make the statements  made, in light of the  circumstances
          under which such  statements were made, not misleading with respect to
          the periods covered by this annual report;

     3.   Based on my knowledge,  the financial statements,  and other financial
          information  included in this  annual  report,  fairly  present in all
          material respects the financial  condition,  results of operations and
          cash flows of the registrant as of, and for, the periods  presented in
          this annual report;

     4.   The registrant's  other certifying  officers and I are responsible for
          establishing  and maintaining  disclosure  controls and procedures (as
          defined in Exchange  Act Rules  13a-14 and 15d-14) for the  registrant
          and we have:

          (a) designed such  disclosure  controls and  procedures to ensure that
          material  information  relating  to  the  registrant,   including  its
          consolidated subsidiaries,  is made known to us by others within those
          entities,  particularly  during the period in which this annual report
          is being prepared;

          (b)  evaluated  the  effectiveness  of  the  registrant's   disclosure
          controls  and  procedures  as of a date  within  90 days  prior to the
          filing date of this annual report (the "Evaluation Date"); and

          (c)  presented  in  this  annual  report  our  conclusions  about  the
          effectiveness  of the disclosure  controls and procedures based on our
          evaluation as of the Evaluation Date;

     5.   The registrant's other certifying officers and I have disclosed, based
          on our most recent  evaluation,  to the registrant's  auditors and the
          audit  committee  of  registrant's  board  of  directors  (or  persons
          performing the equivalent function):

          (a)  all  significant  deficiencies  in the  design  or  operation  of
          internal  controls  which  could  adversely  affect  the  registrant's
          ability to record,  process,  summarize and report  financial data and
          have identified for the registrant's  auditors any material weaknesses
          in internal controls; and

          (b) any fraud,  whether or not material,  that involves  management or
          other  employees  who  have a  significant  role  in the  registrant's
          internal controls; and

     6.   The  registrant's  other  certifying  officers and I have indicated in
          this annual report  whether or not there were  significant  changes in
          internal controls or in other factors that could significantly  affect
          internal   controls   subsequent  to  the  date  of  our  most  recent
          evaluation,   including   any   corrective   actions  with  regard  to
          significant deficiencies and material weaknesses.

     Date:  June 24, 2003


     /s/  Thomas J. Riha
     -------------------

     [Signature]

     Vice-President - Chief Financial Officer of WNC & Associates, Inc.

                                       53