|   | [X]      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES      EXCHANGE |
|--------|-------------------------------------------------------------------------------------------|

|   | ACT      OF 1934 |
|--------|------------------|

|   | [       ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES      EXCHANGE |
|--------|--------------------------------------------------------------------------------------------------|

|   | ACT      OF 1934 |
|--------|------------------|

| Florida                                       |   | 65-0142704                                                                 |
|-----------------------------------------------|--------|----------------------------------------------------------------------------|
| (State      or other jurisdiction             |   | (IRS      Employer No.)                                                    |
| of      incorporation or organization)        |   |                                                                       |
|                                          |   |                                                                       |
| 880 Carillon      Parkway                     |   | St.      Petersburg,   Florida    33716 |
| (Address      of principal executive offices) |   | (Zip      Code)                                                            |

| Registrant’s      Telephone Number, Including Area Code: |   | (727) 567-1000 |
|----------------------------------------------------------------|--------|---------------------|

| YES  [X] | NO  [  ] |
|--------------------|------------------------------|

| Large      accelerated filer [  ] | Accelerated      filer [  ] |
|---------------------------------------------|---------------------------------------|
| Non-accelerated      filer [  ]   | Smaller      Reporting Company [X]    |

| Yes      [ ] | No      [X] |
|--------------|-------------|

----

----

GATEWAY TAX CREDIT FUND IILTD.

|                                                 | SERIES      2                                                  |   | SERIES      3                                           |   | SERIES      4                                                             |
|------------------------------------------------------|----------------------------------------------------------------|--------|---------------------------------------------------------|--------|---------------------------------------------------------------------------|
|                                                 | June      30,                                                  |   | March      31,                                          |   | June      30,                                                             |   | March      31, |   | June      30, |   | March      31, |
|                                                 | 2008                                                           |   | 2008                                                    |   | 2008                                                                      |   | 2008 |   | 2008 |   | 2008 |
| ASSETS                                               |                                                                |   |                                                         |   |                                                                           |   |  |   |  |   |  |
| Current      Assets:                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Cash      and Cash Equivalents                       | $       193,382        |   | $       83,047  |   | $        192,822             |   | $       75,920  |   | $        381,375  |   | $        97,986  |
| Investments      in Securities                       | -                                                         |   | 126,654                                            |   | -                                                                         |   | 126,654  |   | -  |   | 177,316  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Total      Assets                                    | $        193,382  |   | $     209,701             |   | $        192,822             |   | $     202,574  |   | $        381,375  |   | $      275,302  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| LIABILITIES      AND PARTNERS' DEFICIT               |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Current      Liabilities:                            |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Payable      to General Partners                     | $       51,805         |   | $       55,456  |   | $          49,422  |   | $       53,465  |   | $          57,188  |   | $        63,632  |
| Distribution      Payable                            | -                                                         |   | -                                                  |   | 3,249                                                                |   | 3,249  |   | 130,714  |   | 9,737  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Total      Current Liabilities                       | 51,805                                                    |   | 55,456                                             |   | 52,671                                                               |   | 56,714  |   | 187,902  |   | 73,369  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Long-Term      Liabilities:                          |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Payable      to General Partners                     | 738,359                                                   |   | 726,103                                            |   | 603,904                                                              |   | 594,405  |   | 792,255  |   | 782,308  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Partners'      Equity (Deficit):                     |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Limited      Partner Assignees - 40,000 BAC's        |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| authorized      of which 6,136, 5,456, and 6,915     |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| for      Series 2, 3, and 4, respectively, have been |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| issued      at June 30, 2008 and March 31, 2008      | (734,598)                                                      |   | (709,923)                                               |   | (464,854)                                                                 |   | (449,798) |   | (602,834) |   | (583,401) |
| General      Partners                                | 137,816                                                   |   | 138,065                                            |   | 1,101                                                                |   | 1,253  |   | 4,052  |   | 3,026  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Total      Partners' Deficit                         | (596,782)                                                      |   | (571,858)                                               |   | (463,753)                                                            |   | (448,545) |   | (598,782) |   | (580,375) |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |
| Total      Liabilities and Partners' Deficit         | $        193,382  |   | $     209,701             |   | $        192,822             |   | $     202,574  |   | $        381,375  |   | $      275,302  |
|                                                 |                                                           |   |                                                    |   |                                                                      |   |   |   |   |   |   |

----

|                                            | SERIES      5                                                                   |   | SERIES      6                                           |   | TOTAL      SERIES 2 - 6                                                         |
|-------------------------------------------------|---------------------------------------------------------------------------------|--------|---------------------------------------------------------|--------|---------------------------------------------------------------------------------|
|                                            | June      30,                                                                   |   | March      31,                                          |   | June      30,                                                                   |   | March      31, |   | June      30, |   | March      31, |
|                                            | 2008                                                                            |   | 2008                                                    |   | 2008                                                                            |   | 2008 |   | 2008 |   | 2008 |
| ASSETS                                          |                                                                            |   |                                                         |   |                                                                                 |   |  |   |  |   |   |
| Current      Assets:                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Cash      and Cash Equivalents                  | $         178,867             |   | $     258,274             |   | $         408,039             |   | $      128,416  |   | $      1,354,485  |   | $        643,643  |
| Investments      in Securities                  | -                                                                          |   | 126,654                                            |   | -                                                                          |   | 303,971  |   | -  |   | 861,249  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Total      Current Assets                       | 178,867                                                                    |   | 384,928                                            |   | 408,039                                                                    |   | 432,387  |   | 1,354,485  |   | 1,504,892  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Investments      in Project Partnerships, net   | 17,294                                                                     |   | 21,112                                             |   | 26,997                                                                     |   | 28,229  |   | 44,291  |   | 49,341  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Total      Assets                               | $         196,161             |   | $     406,040             |   | $         435,036             |   | $      460,616  |   | $      1,398,776  |   | $     1,554,233  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| LIABILITIES      AND PARTNERS' DEFICIT          |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Current      Liabilities:                       |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Payable      to General Partners                | $           79,067  |   | $       83,663  |   | $           73,640  |   | $        79,468  |   | $         311,122  |   | $        335,684  |
| Distribution      Payable                       | 4                                                                          |   | 179,992                                            |   | 39,987                                                                     |   | 39,987  |   | 173,954  |   | 232,965  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Total      Current Liabilities                  | 79,071                                                                     |   | 263,655                                            |   | 113,627                                                                    |   | 119,455  |   | 485,076  |   | 568,649  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Long-Term      Liabilities:                     |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Payable      to General Partners                | 709,560                                                                    |   | 690,261                                            |   | 1,064,497                                                                  |   | 1,039,921  |   | 3,908,575  |   | 3,832,998  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Partners'      Equity (Deficit):                |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Limited      Partner Assignees - 40,000 BAC's   |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| authorized      of which 8,616 and 10,105 for   |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Series      5 and 6, respectively, have been    |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| issued      at June 30, 2008 and March 31, 2008 | (594,251)                                                                       |   | (550,103)                                               |   | (736,640)                                                                       |   | (692,755) |   | (3,133,177) |   | (2,985,980) |
| General      Partners                           | 1,781                                                                      |   | 2,227                                              |   | (6,448)                                                                         |   | (6,005) |   | 138,302  |   | 138,566  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Total      Partners' Deficit                    | (592,470)                                                                       |   | (547,876)                                               |   | (743,088)                                                                       |   | (698,760) |   | (2,994,875) |   | (2,847,414) |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |
| Total      Liabilities and Partners' Deficit    | $         196,161             |   | $     406,040             |   | $         435,036             |   | $      460,616  |   | $      1,398,776  |   | $     1,554,233  |
|                                            |                                                                            |   |                                                    |   |                                                                            |   |   |   |   |   |   |

----

|                                        | SERIES      2                                                |   | SERIES      3                                                |   | SERIES      4                                                |
|---------------------------------------------|--------------------------------------------------------------|--------|--------------------------------------------------------------|--------|--------------------------------------------------------------|
|                                        | 2008                                                         |   | 2007                                                         |   | 2008                                                         |   | 2007 |   | 2008 |   | 2007 |
| Revenues:                                   |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Distribution      Income                    | $        3,793  |   | $        3,793  |   | $        8,555  |   | $     11,633  |   | $       4,153  |   | $       8,508  |
| Total      Revenues                         | 3,793                                                   |   | 3,793                                                   |   | 8,555                                                   |   | 11,633  |   | 4,153  |   | 8,508  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Expenses:                                   |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Asset      Management Fee - General Partner | 12,256                                                  |   | 16,781                                                  |   | 9,499                                                   |   | 11,212  |   | 9,947  |   | 16,534  |
| General      and Administrative:            |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| General      Partner                        | 15,550                                                  |   | 16,335                                                  |   | 12,958                                                  |   | 13,925  |   | 12,664  |   | 19,605  |
| Other                                       | 2,768                                                   |   | 2,887                                                   |   | 3,147                                                   |   | 2,671  |   | 2,567  |   | 2,843  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Total      Expenses                         | 30,574                                                  |   | 36,003                                                  |   | 25,604                                                  |   | 27,808  |   | 25,178  |   | 38,982  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Loss      Before Gain on Sale of Project    |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Partnerships      and Other Income          | (26,781)                                                     |   | (32,210)                                                     |   | (17,049)                                                     |   | (16,175) |   | (21,025) |   | (30,474) |
| Gain      on Sale of Project Partnerships   | -                                                       |   | 56,043                                                  |   | -                                                       |   | 43,850  |   | 120,977  |   | 84,200  |
| Interest      Income                        | 1,857                                                   |   | 3,335                                                   |   | 1,841                                                   |   | 5,391  |   | 2,618  |   | 4,870  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Net      (Loss) Income                      | $   (24,924)                                  |   | $      27,168             |   | $    (15,208)                            |   | $     33,066  |   | $   102,570  |   | $     58,596  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Allocation      of Net (Loss) Income:       |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Assignees                                   | $   (24,675)                                  |   | $   (28,586)                                  |   | $    (15,056)                            |   | $     32,629  |   | $   101,544  |   | $     57,757  |
| General      Partners                       | (249)                                                        |   | 55,754                                                  |   | (152)                                                        |   | 437  |   | 1,026  |   | 839  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
|                                        | $   (24,924)                                  |   | $      27,168             |   | $    (15,208)                            |   | $     33,066  |   | $   102,570  |   | $     58,596  |
| Net      (Loss) Income Per Beneficial       |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Assignee      Certificate                   | $       (4.02)            |   | $       (4.66)            |   | $        (2.76)      |   | $         5.98  |   | $       14.68  |   | $         8.35  |
| Number      of Beneficial Assignee          |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |
| Certificates      Outstanding               | 6,136                                                   |   | 6,136                                                   |   | 5,456                                                   |   | 5,456  |   | 6,915  |   | 6,915  |
|                                        |                                                         |   |                                                         |   |                                                         |   |   |   |   |   |   |

----

|                                        | SERIES      5                                                |   | SERIES      6                                     |   | TOTAL      SERIES 2 - 6                                 |
|---------------------------------------------|--------------------------------------------------------------|--------|---------------------------------------------------|--------|---------------------------------------------------------|
|                                        | 2008                                                         |   | 2007                                              |   | 2008                                                    |   | 2007 |   | 2008 |   | 2007 |
| Revenues:                                   |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Distribution      Income                    | $        5,992  |   | $      16,410  |   | $      11,438        |   | $        9,399  |   | $      33,931  |   | $      49,743  |
| Total      Revenues                         | 5,992                                                   |   | 16,410                                       |   | 11,438                                             |   | 9,399  |   | 33,931  |   | 49,743  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Expenses:                                   |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Asset      Management Fee - General Partner | 19,299                                                  |   | 22,999                                       |   | 24,576                                             |   | 25,394  |   | 75,577  |   | 92,920  |
| General      and Administrative:            |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| General      Partner                        | 24,189                                                  |   | 25,987                                       |   | 30,236                                             |   | 27,472  |   | 95,597  |   | 103,324  |
| Other                                       | 5,149                                                   |   | 3,145                                        |   | 3,900                                              |   | 5,813  |   | 17,531  |   | 17,359  |
| Amortization                                | -                                                       |   | -                                            |   | -                                                  |   | 4,386  |   | -  |   | 4,386  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Total      Expenses                         | 48,637                                                  |   | 52,131                                       |   | 58,712                                             |   | 63,065  |   | 188,705  |   | 217,989  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Loss      Before Equity in (Loss) Income of |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Project      Partnerships and Other Income  | (42,645)                                                     |   | (35,721)                                          |   | (47,274)                                                |   | (53,666) |   | (154,774) |   | (168,246) |
| Equity      in (Loss) Income of Project     |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Partnerships                                | (3,818)                                                      |   | (1,062)                                           |   | (1,233)                                                 |   | 6,645  |   | (5,051) |   | 5,583  |
| Gain      on Sale of Project Partnerships   | -                                                       |   | -                                            |   | -                                                  |   | -  |   | 120,977  |   | 184,093  |
| Interest      Income                        | 1,869                                                   |   | 3,351                                        |   | 4,179                                                   |   | 5,786  |   | 12,364  |   | 22,733  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Net      (Loss) Income                      | $   (44,594)                                  |   | $   (33,432)                       |   | $    (44,328)                       |   | $   (41,235) |   | $    (26,484) |   | $      44,163  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Allocation      of Net (Loss) Income:       |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Assignees                                   | $   (44,148)                                  |   | $   (33,098)                       |   | $    (43,885)                       |   | $   (40,823) |   | $    (26,220) |   | $   (12,121) |
| General      Partners                       | (446)                                                        |   | (334)                                             |   | (443)                                                   |   | (412) |   | (264) |   | 56,284  |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
|                                        | $   (44,594)                                  |   | $   (33,432)                       |   | $    (44,328)                       |   | $   (41,235) |   | $    (26,484) |   | $      44,163  |
| Net      Loss Per Beneficial                |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Assignee      Certificate                   | $       (5.12)            |   | $       (3.84) |   | $        (4.34) |   | $       (4.04) |   |   |   |   |
| Number      of Beneficial Assignee          |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |
| Certificates      Outstanding               | 8,616                                                   |   | 8,616                                        |   | 10,105                                             |   | 10,105  |   |   |   |   |
|                                        |                                                         |   |                                              |   |                                                    |   |   |   |   |   |   |

----

|                           | SERIES      2                                  |   | SERIES      3                                            |
|--------------------------------|------------------------------------------------|--------|----------------------------------------------------------|
|                           |                                           |   | General                                                  |   |   |   |   |   | General |   |   |
|                           | Assignees                                      |   | Partners                                                 |   | Total |   | Assignees |   | Partners |   | Total |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2007 | $      (399,531) |   | $      (58,378)            |   | $      (457,909) |   | $    (365,257) |   | $                 -  |   | $      (365,257) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Net      (Loss) Income         | (28,586)                                       |   | 55,754                                              |   | 27,168  |   | 32,629  |   | 437  |   | 33,066  |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Distributions                  | (56,043)                                       |   | -                                                   |   | (56,043) |   | (43,850) |   | -  |   | (43,850) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2007  | $      (484,160) |   | $        (2,624) |   | $      (486,784) |   | $    (376,478) |   | $            437  |   | $      (376,041) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2008 | $      (709,923) |   | $      138,065        |   | $      (571,858) |   | $    (449,798) |   | $         1,253  |   | $      (448,545) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Net      Loss                  | (24,675)                                       |   | (249)                                                    |   | (24,924) |   | (15,056) |   | (152) |   | (15,208) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2008  | $      (734,598) |   | $      137,816        |   | $      (596,782) |   | $    (464,854) |   | $         1,101  |   | $      (463,753) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |

----

|                           | SERIES      4                                  |   | SERIES      5                                                                                                        |
|--------------------------------|------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------|
|                           |                                           |   | General                                                                                                              |   |   |   |   |   | General |   |   |
|                           | Assignees                                      |   | Partners                                                                                                             |   | Total |   | Assignees |   | Partners |   | Total |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2007 | $      (459,820) |   | $                  -  |   | $      (459,820) |   | $    (275,580) |   | $        (4,035) |   | $      (279,615) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Net      Income (Loss)         | 57,757                                    |   | 839                                                                                                             |   | 58,596  |   | (33,098) |   | (334) |   | (33,432) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Distributions                  | (84,200)                                       |   | -                                                                                                               |   | (84,200) |   | -  |   | -  |   | -  |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2007  | $      (486,263) |   | $             839                              |   | $      (485,424) |   | $    (308,678) |   | $        (4,369) |   | $      (313,047) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2008 | $      (583,401) |   | $          3,026                                              |   | $      (580,375) |   | $    (550,103) |   | $          2,227  |   | $      (547,876) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Net      Income (Loss)         | 101,544                                   |   | 1,026                                                                                                           |   | 102,570  |   | (44,148) |   | (446) |   | (44,594) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Distributions                  | (120,977)                                      |   | -                                                                                                               |          | (120,977) |   | -  |   | -  |   | -  |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2008  | $      (602,834) |   | $          4,052                                              |   | $      (598,782) |   | $    (594,251) |   | $          1,781  |   | $      (592,470) |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                                                                                 |   |   |   |   |   |   |   |   |

----

|                           | SERIES      6                                  |   | TOTAL      SERIES 2 - 6                                  |
|--------------------------------|------------------------------------------------|--------|----------------------------------------------------------|
|                           |                                           |   | General                                                  |   |   |   |   |   | General |   |   |
|                           | Assignees                                      |   | Partners                                                 |   | Total |   | Assignees |   | Partners |   | Total |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2007 | $      (327,179) |   | $        (3,327) |   | $      (330,506) |   | $      (1,827,367) |   | $      (65,740) |   | $   (1,893,107) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Net      (Loss) Income         | (40,823)                                       |   | (412)                                                    |   | (41,235) |   | (12,121) |   | 56,284  |   | 44,163  |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Distributions                  | -                                         |   | -                                                   |   | -  |   | (184,093) |   | -  |   | (184,093) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2007  | $      (368,002) |   | $        (3,739) |   | $      (371,741) |   | $      (2,023,581) |   | $        (9,456) |   | $   (2,033,037) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at March 31, 2008 | $      (692,755) |   | $        (6,005) |   | $      (698,760) |   | $      (2,985,980) |   | $      138,566  |   | $   (2,847,414) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Net      Loss                  | (43,885)                                       |   | (443)                                                    |   | (44,328) |   | (26,220) |   | (264) |   | (26,484) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Distributions                  | -                                         |   | -                                                   |   | -  |   | (120,977) |   | -  |   | (120,977) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
| Balance      at June 30, 2008  | $      (736,640) |   | $        (6,448) |   | $      (743,088) |   | $      (3,133,177) |   | $      138,302  |   | $   (2,994,875) |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |
|                           |                                           |   |                                                     |   |   |   |   |   |   |   |   |

----

|                                                  | SERIES      2                                                                                            |   | SERIES      3                                                                          |
|-------------------------------------------------------|----------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------|
|                                                  | 2008                                                                                                     |   | 2007                                                                                   |   | 2008 |   | 2007 |
| Cash      Flows from Operating Activities:            |                                                                                                     |   |                                                                                   |   |   |   |   |
| Net      (Loss) Income                                | $    (24,924)                                                                        |   | $     27,168                                             |   | $    (15,208) |   | $      33,066  |
| Adjustments      to Reconcile Net (Loss) Income       |                                                                                                     |   |                                                                                   |   |   |   |   |
| to      Net Cash Used in Operating Activities:        |                                                                                                     |   |                                                                                   |   |   |   |   |
| Premium      (Discount) on Investment in Securities   | 44                                                                                                  |   | (514)                                                                                  |   | 44  |   | (514) |
| Gain      on Sale of Project Partnerships             | -                                                                                                   |   | (56,043)                                                                               |   | -  |   | (43,850) |
| Distribution      Income                              | (3,793)                                                                                                  |   | (3,793)                                                                                |   | (8,555) |   | (11,633) |
| Changes      in Operating Assets and Liabilities:     |                                                                                                     |   |                                                                                   |   |   |   |   |
| Decrease      (Increase) in Interest Receivable       | 1,610                                                                                               |   | (1,148)                                                                                |   | 1,610  |   | (1,148) |
| Increase      in Payable to General Partners          | 8,605                                                                                               |   | 19,019                                                                            |   | 5,456  |   | 5,160  |
| Net      Cash Used in Operating Activities            | (18,458)                                                                                                 |   | (15,311)                                                                               |   | (16,653) |   | (18,919) |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Cash      Flows from Investing Activities:            |                                                                                                     |   |                                                                                   |   |   |   |   |
| Decrease      in Receivable - Other                   | -                                                                                                   |   | -                                                                                 |   | -  |   | 44,000  |
| Distributions      Received from Project Partnerships | 3,793                                                                                               |   | 3,793                                                                             |   | 8,555  |   | 11,633  |
| Net      Proceeds from Sale of Project Partnerships   | -                                                                                                   |   | 53,043                                                                            |   | -  |   | -  |
| Redemption      of Investment Securities              | 125,000                                                                                             |   | -                                                                                 |   | 125,000  |   | -  |
| Net      Cash Provided by Investing Activities        | 128,793                                                                                             |   | 56,836                                                                            |   | 133,555  |   | 55,633  |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Cash      Flows from Financing Activities:            |                                                                                                     |   |                                                                                   |   |   |   |   |
| Distributions      Paid to Assignees                  | -                                                                                                   |   | -                                                                                 |   | -  |   | (357,095) |
| Net      Cash Used in Financing Activities            | -                                                                                                   |   | -                                                                                 |   | -  |   | (357,095) |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Increase      (Decrease) in Cash and Cash Equivalents | 110,335                                                                                             |   | 41,525                                                                            |   | 116,902  |   | (320,381) |
| Cash      and Cash Equivalents at Beginning of Year   | 83,047                                                                                              |   | 129,724                                                                           |   | 75,920  |   | 426,791  |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Cash      and Cash Equivalents at End of Period       | $     193,382                                                              |   | $   171,249                                                        |   | $    192,822  |   | $    106,410  |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Supplemental      disclosure of non-cash activities:  |                                                                                                     |   |                                                                                   |   |   |   |   |
| Increase      in Distribution Payable                 | $                -  |   | $    56,043                                                   |   | $                -  |   | $                -  |
| Distribution      to Assignees                        | -                                                                                                   |   | (56,043)                                                                               |   | -  |   | -  |
| Increase      in Receivable - Other                   | -                                                                                                   |   | (185,026)                                                                              |   | -  |   | -  |
| Proceeds      from Sale of Project Partnerships       | -                                                                                                   |   | 185,026                                                                           |   | -  |   | -  |
|                                                  | $                -  |   | $             -  |   | $                -  |   | $                -  |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |
|                                                  |                                                                                                     |   |                                                                                   |   |   |   |   |

----

|                                                  | SERIES      4                                                                                                  |   | SERIES      5                                                                                |
|-------------------------------------------------------|----------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------|
|                                                  | 2008                                                                                                           |   | 2007                                                                                         |   | 2008 |   | 2007 |
| Cash      Flows from Operating Activities:            |                                                                                                           |   |                                                                                         |   |   |   |   |
| Net      Income (Loss)                                | $     102,570                                                                    |   | $     58,596                                                   |   | $    (44,594) |   | $    (33,432) |
| Adjustments      to Reconcile Net Income (Loss)       |                                                                                                           |   |                                                                                         |   |   |   |   |
| to      Net Cash Used in Operating Activities:        |                                                                                                           |   |                                                                                         |   |   |   |   |
| Premium      (Discount) on Investment in Securities   | 62                                                                                                        |   | (721)                                                                                        |   | 44  |   | (409) |
| Equity      in Loss of Project Partnerships           | -                                                                                                         |   | -                                                                                       |   | 3,818  |   | 1,062  |
| Gain      on Sale of Project Partnerships             | (120,977)                                                                                                      |   | (84,200)                                                                                     |   | -  |   | -  |
| Distribution      Income                              | (4,153)                                                                                                        |   | (8,508)                                                                                      |   | (5,992) |   | (16,410) |
| Changes      in Operating Assets and Liabilities:     |                                                                                                           |   |                                                                                         |   |   |   |   |
| Decrease      (Increase) in Interest Receivable       | 2,254                                                                                                     |   | (1,608)                                                                                      |   | 1,610  |   | (913) |
| Increase      in Payable to General Partners          | 3,503                                                                                                     |   | 10,823                                                                                  |   | 14,703  |   | 18,934  |
| Net      Cash Used in Operating Activities            | (16,741)                                                                                                       |   | (25,618)                                                                                     |   | (30,411) |   | (31,168) |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Cash      Flows from Investing Activities:            |                                                                                                           |   |                                                                                         |   |   |   |   |
| Decrease      in Receivable - Other                   | -                                                                                                         |   | 84,500                                                                                  |   | -  |   | -  |
| Distributions      Received from Project Partnerships | 4,153                                                                                                     |   | 8,508                                                                                   |   | 5,992  |   | 16,410  |
| Net      Proceeds from Sale of Project Partnerships   | 120,977                                                                                                   |   | -                                                                                       |   | -  |   | -  |
| Redemption      of Investment Securities              | 175,000                                                                                                   |   | -                                                                                       |   | 125,000  |   | -  |
| Net      Cash Provided by Investing Activities        | 300,130                                                                                                   |   | 93,008                                                                                  |   | 130,992  |   | 16,410  |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Cash      Flows from Financing Activities:            |                                                                                                           |   |                                                                                         |   |   |   |   |
| Distributions      Paid to Assignees                  | -                                                                                                         |   | (146,944)                                                                                    |   | (179,988) |   | -  |
| Net      Cash Used in Financing Activities            | -                                                                                                         |   | (146,944)                                                                                    |   | (179,988) |   | -  |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Increase      (Decrease) in Cash and Cash Equivalents | 283,389                                                                                                   |   | (79,554)                                                                                     |   | (79,407) |   | (14,758) |
| Cash      and Cash Equivalents at Beginning of Year   | 97,986                                                                                                    |   | 206,516                                                                                 |   | 258,274  |   | 175,920  |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Cash      and Cash Equivalents at End of Period       | $     381,375                                                                    |   | $  126,962                                                                    |   | $    178,867  |   | $    161,162  |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Supplemental      disclosure of non-cash activities:  |                                                                                                           |   |                                                                                         |   |   |   |   |
| Increase      in Distribution Payable                 | $    120,977                                                                          |   | $              -  |   | $                -  |   | $                -  |
| Distribution      to Assignees                        | (120,977)                                                                                                      |   | -                                                                                       |   | -  |   | -  |
|                                                  | $                 -  |   | $              -  |   | $                -  |   | $                -  |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |
|                                                  |                                                                                                           |   |                                                                                         |   |   |   |   |

----

|                                                  | SERIES      6                                                                                                  |   | TOTAL      SERIES 2 - 6                                                                            |
|-------------------------------------------------------|----------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------|
|                                                  | 2008                                                                                                           |   | 2007                                                                                               |   | 2008 |   | 2007 |
| Cash      Flows from Operating Activities:            |                                                                                                           |   |                                                                                               |   |   |   |   |
| Net      (Loss) Income                                | $    (44,328)                                                                              |   | $  (41,235)                                                                              |   | $    (26,484) |   | $      44,163  |
| Adjustments      to Reconcile Net (Loss) Income       |                                                                                                           |   |                                                                                               |   |   |   |   |
| to      Net Cash Used in Operating Activities:        |                                                                                                           |   |                                                                                               |   |   |   |   |
| Amortization                                          | -                                                                                                         |   | 4,386                                                                                         |   | -  |   | 4,386  |
| Premium      (Discount) on Investment in Securities   | 105                                                                                                       |   | (1,130)                                                                                            |   | 299  |   | (3,288) |
| Equity      in Loss (Income) of Project Partnerships  | 1,233                                                                                                     |   | (6,645)                                                                                            |   | 5,051  |   | (5,583) |
| Gain      on Sale of Project Partnerships             | -                                                                                                         |   | -                                                                                             |   | (120,977) |   | (184,093) |
| Distribution      Income                              | (11,438)                                                                                                       |   | (9,399)                                                                                            |   | (33,931) |   | (49,743) |
| Changes      in Operating Assets and Liabilities:     |                                                                                                           |   |                                                                                               |   |   |   |   |
| Decrease      (Increase) in Interest Receivable       | 3,865                                                                                                     |   | (2,521)                                                                                            |   | 10,949  |   | (7,338) |
| Increase      in Payable to General Partners          | 18,748                                                                                                    |   | 21,296                                                                                        |   | 51,015  |   | 75,232  |
| Net      Cash Used in Operating Activities            | (31,815)                                                                                                       |   | (35,248)                                                                                           |   | (114,078) |   | (126,264) |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Cash      Flows from Investing Activities:            |                                                                                                           |   |                                                                                               |   |   |   |   |
| Decrease      in Receivable - Other                   | -                                                                                                         |   | -                                                                                             |   | -  |   | 128,500  |
| Distributions      Received from Project Partnerships | 11,438                                                                                                    |   | 9,399                                                                                         |   | 33,931  |   | 49,743  |
| Net      Proceeds from Sale of Project Partnerships   | -                                                                                                         |   | -                                                                                             |   | 120,977  |   | 53,043  |
| Redemption      of Investment Securities              | 300,000                                                                                                   |   | -                                                                                             |   | 850,000  |   | -  |
| Net      Cash Provided by Investing Activities        | 311,438                                                                                                   |   | 9,399                                                                                         |   | 1,004,908  |   | 231,286  |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Cash      Flows from Financing Activities:            |                                                                                                           |   |                                                                                               |   |   |   |   |
| Distributions      Paid to Assignees                  | -                                                                                                         |   | -                                                                                             |   | (179,988) |   | (504,039) |
| Net      Cash Used in Financing Activities            | -                                                                                                         |   | -                                                                                             |   | (179,988) |   | (504,039) |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Increase      (Decrease) in Cash and Cash Equivalents | 279,623                                                                                                   |   | (25,849)                                                                                           |   | 710,842  |   | (399,017) |
| Cash      and Cash Equivalents at Beginning of Year   | 128,416                                                                                                   |   | 193,964                                                                                       |   | 643,643  |   | 1,132,915  |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Cash      and Cash Equivalents at End of Period       | $     408,039                                                                    |   | $   168,115                                                                    |   | $      1,354,485  |   | $    733,898  |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Supplemental      disclosure of non-cash activities:  |                                                                                                           |   |                                                                                               |   |   |   |   |
| Increase      in Distribution Payable                 | $                 -  |   | $               -  |   | $    120,977  |   | $      56,043  |
| Distribution      to Assignees                        | -                                                                                                         |   | -                                                                                             |   | (120,977) |   | (56,043) |
| Increase      in Receivable - Other                   | -                                                                                                         |   | -                                                                                             |   | -  |   | (185,026) |
| Proceeds      from Sale of Project Partnerships       | -                                                                                                         |   | -                                                                                             |   | -  |   | 185,026  |
|                                                  | $                 -  |   | $               -  |   | $                -  |   | $                -  |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
|                                                  |                                                                                                           |   |                                                                                               |   |   |   |   |
| See      accompanying notes to financialstatements.   |

----

| 1)   | Gateway’s      capital contribution, |
|----------------|--------------------------------------------|

| 2)   | Acquisition      fees paid to the General Partner for services rendered in selecting      properties for acquisition, and |
|----------------|---------------------------------------------------------------------------------------------------------------------------|

| 3)   | Acquisition      expenses including legal fees, travel and other miscellaneous costs      relating to acquiring properties. |
|----------------|-----------------------------------------------------------------------------------------------------------------------------|

----

| 1)   | Increased      for equity in income or decreased for equity in loss of the Project      Partnerships, |
|----------------|-------------------------------------------------------------------------------------------------------|

| 2)   | Decreased      for cash distributions received from the Project Partnerships,      and |
|----------------|----------------------------------------------------------------------------------------|

| 3)   | Decreased      for the amortization of the acquisition fees and  expenses. |
|----------------|----------------------------------------------------------------------------|

----

----

|                       | Series      2                                                                                                        |   | Series      3                                                        |
|----------------------------|----------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------|
|                       | June      30, 2008                                                                                                   |   | March      31, 2008                                                  |   | June      30, 2008 |   | March      31, 2008 |
| Amortized      Cost        | $                  -  |   | $         126,654  |   | $                  -  |   | $         126,654  |
| Gross      Unrealized Loss | -                                                                                                               |   | (501)                                                                |   | -  |   | (501) |
|                       |                                                                                                                 |   |                                                                 |   |   |   |   |
| Fair      Value            | $                  -  |   | $         126,153  |   | $                  -  |   | $         126,153  |

|                       | Series      4                                                                                                        |   | Series      5                                                        |
|----------------------------|----------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------|
|                       | June      30, 2008                                                                                                   |   | March      31, 2008                                                  |   | June      30, 2008 |   | March      31, 2008 |
| Amortized      Cost        | $                  -  |   | $         177,316  |   | $                  -  |   | $         126,654  |
| Gross      Unrealized Loss | -                                                                                                               |   | (702)                                                                |   | -  |   | (501) |
|                       |                                                                                                                 |   |                                                                 |   |   |   |   |
| Fair      Value            | $                  -  |   | $         176,614  |   | $                  -  |   | $         126,153  |

|                       | Series      6                                                                                                        |   | Total      Series 2 – 6                                        |
|----------------------------|----------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------|
|                       | June      30, 2008                                                                                                   |   | March      31, 2008                                                  |   | June      30, 2008 |   | March      31, 2008 |
| Amortized      Cost        | $                  -  |   | $         303,970  |   | $                  -  |   | $         861,248  |
| Gross      Unrealized Loss | -                                                                                                               |   | (1,204)                                                              |   | -  |   | (3,409) |
|                       |                                                                                                                 |   |                                                                 |   |   |   |   |
| Fair      Value            | $                  -  |   | $         302,766  |   | $                  -  |   | $         857,839  |

----

|              | 2008                      |   | 2007                      |
|-------------------|---------------------------|--------|---------------------------|
| Series      2     | $   12,256 |   | $   16,781 |
| Series      3     | 9,499                     |   | 11,212                    |
| Series      4     | 9,947                     |   | 16,534                    |
| Series      5     | 19,299                    |   | 22,999                    |
| Series      6     |   24,576        |   |   25,394        |
|   Total | $   75,577 |   | $   92,920 |

|              | 2008                           |   | 2007                     |
|-------------------|--------------------------------|--------|--------------------------|
| Series      2     | $   15,550      |   | $  16,335      |
| Series      3     | 12,958                         |   | 13,925                   |
| Series      4     | 12,664                         |   | 19,605                   |
| Series      5     | 24,189                         |   | 25,987                   |
| Series      6     |     30,236 |   |    27,472 |
|   Total | $   95,597      |   | $      103,324           |

----

|  As      of June 30, 2008, Gateway had acquired a 99% interest in the profits,      losses, and Tax Credits as a limited partner in Project Partnerships      (Series 2 - 18, Series 3 - 15, and Series 4 - 14) which own and operate      government assisted multi-family housing complexes.  Cash flows      from operations are allocated according to each Project Partnership      agreement.  Upon dissolution, proceeds will be distributed      according to each Project Partnership agreement. |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| The      following is a summary of Investments in Project Partnerships as      of:                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | SERIES      2 |   | SERIES      3 |   | SERIES      4 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | June      30, |   | March      31, |   | June      30, |   | March      31, |   | June      30, |   | March      31, |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | 2008 |   | 2008 |   | 2008 |   | 2008 |   | 2008 |   | 2008 |
| Capital      Contributions to Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |
| and      purchase price paid for limited partner                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| interests      in Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | $   3,351,639  |   | $   3,351,639  |   | $   2,494,974  |   | $   2,494,974  |   | $     2,312,008  |   | $     2,563,233  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Cumulative      equity in losses of Project                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Partnerships      (1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (3,497,278) |   | (3,497,278) |   | (2,675,808) |   | (2,675,808) |   | (2,457,673) |   | (2,722,332) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Cumulative      distributions received from                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Project      Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | (69,851) |   | (69,851) |   | (93,673) |   | (93,673) |   | (64,928) |   | (73,322) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Investment      in Project Partnerships before                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |
| Adjustment                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | (215,490) |   | (215,490) |   | (274,507) |   | (274,507) |   | (210,593) |   | (232,421) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Excess      of investment cost over the underlying                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |
| assets      acquired:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Acquisition      fees and expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | 278,463  |   | 278,463  |   | 318,739  |   | 318,739  |   | 254,304  |   | 280,277  |
| Accumulated      amortization of acquisition                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |
| fees      and expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | (62,973) |   | (62,973) |   | (44,232) |   | (44,232) |   | (43,711) |   | (47,856) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Investments      in Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | $                 -  |   | $                 -  |   | $                 -  |   | $                 -  |   | $                    -  |   | $                    -  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| (1)      In accordance with Gateway's accounting policy to not carry investments in      Project Partnerships below zero, cumulative suspended losses of $4,866,006      in Series 2, $5,531,258 in Series 3, and $4,064,550 in Series 4 for the      period ended June 30, 2008; and cumulative suspended losses of $4,816,357      in Series 2, $5,485,807 in Series 3, and $4,400,783 in Series 4 for the      year ended March 31, 2008 are notincluded.                                                                       |

----

|  As      of June 30, 2008, Gateway had acquired a 99% interest in the profits,      losses, and Tax Credits as a limited partner in Project Partnerships      (Series 5 - 28 and Series 6 - 35) which own and operate government      assisted multi-family housing complexes.  Cash flows from      operations are allocated according to each Project Partnership      agreement.  Upon dissolution, proceeds will be distributed      according to each Project Partnership agreement. |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| The      following is a summary of Investments in Project Partnerships as      of:                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | SERIES      5 |   | SERIES      6 |   | TOTAL      SERIES 2 - 6 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | June      30, |   | March      31, |   | June      30, |   | March      31, |   | June      30, |   | March      31, |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               | 2008 |   | 2008 |   | 2008 |   | 2008 |   | 2008 |   | 2008 |
| Capital      Contributions to Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |
| and      purchase price paid for limited partner                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |
| interests      in Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | $   5,097,323  |   | $   5,097,323  |   | $   6,511,934  |   | $   6,511,934  |   | $   19,767,878  |   | $   20,019,103  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Cumulative      equity in losses of Project                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Partnerships      (1)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              | (5,314,569) |   | (5,310,751) |   | (6,716,392) |   | (6,715,160) |   | (20,661,720) |   | (20,921,329) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Cumulative      distributions received from                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |
| Project      Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | (157,679) |   | (157,679) |   | (228,408) |   | (228,408) |   | (614,539) |   | (622,933) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Investment      in Project Partnerships before                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |   |   |   |   |
| Adjustment                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | (374,925) |   | (371,107) |   | (432,866) |   | (431,634) |   | (1,508,381) |   | (1,525,159) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Excess      of investment cost over the underlying                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |   |   |   |   |   |   |   |   |   |   |
| assets      acquired:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Acquisition      fees and expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 | 531,092  |   | 531,092  |   | 667,412  |   | 667,412  |   | 2,050,010  |   | 2,075,983  |
| Accumulated      amortization of acquisition                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   |   |   |   |   |   |   |   |   |   |   |
| fees      and expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | (138,873) |   | (138,873) |   | (207,549) |   | (207,549) |   | (497,338) |   | (501,483) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| Investments      in Project Partnerships                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | $        17,294  |   | $        21,112  |   | $        26,997  |   | $        28,229  |   | $          44,291  |   | $          49,341  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |   |   |   |   |   |   |
| (1)      In accordance with Gateway's accounting policy to not carry investments in      Project Partnerships below zero, cumulative suspended losses of $7,192,079      in Series 5 and $5,426,081 in Series 6 for the period ended June 30, 2008;      and cumulative suspended losses of $7,150,202 in Series 5 and $5,326,842      in Series 6 for the year ended March 31, 2008 are not      included.                                                                                                        |

----

|  In      accordance with Gateway's policy of presenting the financial information      of the Project Partnerships on a three month lag, below is the summarized      balance sheets for the Project Partnerships of Series 2 and Series 3 as of      March 31 and the respective summarized statements of operations for the      three months ended March 31 of each year: |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                              | SERIES      2 |   | SERIES      3 |
|                                                                                                                                                                                                                                                                                                                                                                              | 2008 |   | 2007 |   | 2008 |   | 2007 |
| SUMMARIZED      BALANCE SHEETS                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |   |   |   |
| Assets:                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |
| Current      assets                                                                                                                                                                                                                                                                                                                                                               | $         1,758,232  |   | $         2,049,740  |   | $         1,588,677  |   | $         1,943,312  |
| Investment      properties, net                                                                                                                                                                                                                                                                                                                                                   | 9,870,143  |   | 12,795,601  |   | 5,431,107  |   | 7,661,915  |
| Other      assets                                                                                                                                                                                                                                                                                                                                                                 | 40,129  |   | 4,108  |   | 44,769  |   | 31,503  |
| Total      assets                                                                                                                                                                                                                                                                                                                                                                 | $       11,668,504  |   | $       14,849,449  |   | $         7,064,553  |   | $         9,636,730  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Liabilities      and Partners' Deficit:                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |
| Current      liabilities                                                                                                                                                                                                                                                                                                                                                          | $            603,183  |   | $            500,685  |   | $            262,265  |   | $            235,488  |
| Long-term      debt                                                                                                                                                                                                                                                                                                                                                               | 16,346,779  |   | 20,456,115  |   | 12,743,481  |   | 15,224,112  |
| Total      liabilities                                                                                                                                                                                                                                                                                                                                                            | 16,949,962  |   | 20,956,800  |   | 13,005,746  |   | 15,459,600  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Partners'      equity (deficit)                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |
| Limited      Partner                                                                                                                                                                                                                                                                                                                                                              | (5,152,748) |   | (5,962,658) |   | (6,163,650) |   | (6,101,002) |
| General      Partners                                                                                                                                                                                                                                                                                                                                                             | (128,710) |   | (144,693) |   | 222,457  |   | 278,132  |
| Total      partners' deficit                                                                                                                                                                                                                                                                                                                                                      | (5,281,458) |   | (6,107,351) |   | (5,941,193) |   | (5,822,870) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Total      liabilities and partners' deficit                                                                                                                                                                                                                                                                                                                                      | $      11,668,504  |   | $       14,849,449  |   | $         7,064,553  |   | $         9,636,730  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| SUMMARIZED      STATEMENTS OF OPERATIONS                                                                                                                                                                                                                                                                                                                                          |   |   |   |   |
| Rental      and other income                                                                                                                                                                                                                                                                                                                                                      | $          597,556  |   | $            725,665  |   | $            515,064  |   | $            571,210  |
| Expenses:                                                                                                                                                                                                                                                                                                                                                                         |   |   |   |   |   |   |   |
| Operating      expenses                                                                                                                                                                                                                                                                                                                                                           | 395,031  |   | 476,822  |   | 335,766  |   | 393,513  |
| Interest      expense                                                                                                                                                                                                                                                                                                                                                             | 88,728  |   | 114,676  |   | 63,374  |   | 76,980  |
| Depreciation      and amortization                                                                                                                                                                                                                                                                                                                                                | 163,947  |   | 200,691  |   | 161,834  |   | 182,770  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Total      expenses                                                                                                                                                                                                                                                                                                                                                               | 647,706  |   | 792,189  |   | 560,974  |   | 653,263  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Net      loss                                                                                                                                                                                                                                                                                                                                                                     | $           (50,150) |   | $           (66,524) |   | $           (45,910) |   | $           (82,053) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Other      partners' share of net loss                                                                                                                                                                                                                                                                                                                                            | $                (501) |   | $                (665) |   | $                (459) |   | $                (821) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Gateway's      share of net loss                                                                                                                                                                                                                                                                                                                                                  | $           (49,649) |   | $           (65,859) |   | $           (45,451) |   | $           (81,232) |
| Suspended      losses                                                                                                                                                                                                                                                                                                                                                             | 49,649  |   | 65,859  |   | 45,451  |   | 81,232  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Equity      in Loss of Project Partnerships                                                                                                                                                                                                                                                                                                                                       | $                      -  |   | $                      -  |   | $                      -  |   | $                      -  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |

----

|  In      accordance with Gateway's policy of presenting the financial information      of the Project Partnerships on a three month lag, below is the summarized      balance sheets for the Project Partnerships of Series 4 and Series 5 as of      March 31 and the respective summarized statements of operations for the      three months ended March 31 of each year: |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                              | SERIES      4 |   | SERIES      5 |
|                                                                                                                                                                                                                                                                                                                                                                              | 2008 |   | 2007 |   | 2008 |   | 2007 |
| SUMMARIZED      BALANCE SHEETS                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |   |   |   |
| Assets:                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |
| Current      assets                                                                                                                                                                                                                                                                                                                                                               | $         1,519,999  |   | $         2,135,251  |   | $         3,037,519  |   | $         3,630,378  |
| Investment      properties, net                                                                                                                                                                                                                                                                                                                                                   | 6,529,316  |   | 15,341,283  |   | 15,552,539  |   | 20,193,609  |
| Other      assets                                                                                                                                                                                                                                                                                                                                                                 | 27,470  |   | 25,225  |   | 50,421  |   | 5,421  |
| Total      assets                                                                                                                                                                                                                                                                                                                                                                 | $         8,076,785  |   | $       17,501,759  |   | $       18,640,479  |   | $       23,829,408  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Liabilities      and Partners' Deficit:                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |   |   |
| Current      liabilities                                                                                                                                                                                                                                                                                                                                                          | $            267,513  |   | $            903,223  |   | $            653,462  |   | $            669,475  |
| Long-term      debt                                                                                                                                                                                                                                                                                                                                                               | 12,130,814  |   | 22,403,582  |   | 25,905,754  |   | 31,098,218  |
| Total      liabilities                                                                                                                                                                                                                                                                                                                                                            | 12,398,327  |   | 23,306,805  |   | 26,559,216  |   | 31,767,693  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Partners'      equity (deficit)                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |
| Limited      Partner                                                                                                                                                                                                                                                                                                                                                              | (4,390,642) |   | (6,507,046) |   | (7,668,228) |   | (7,566,578) |
| General      Partners                                                                                                                                                                                                                                                                                                                                                             | 69,100  |   | 702,000  |   | (250,509) |   | (371,707) |
| Total      partners' deficit                                                                                                                                                                                                                                                                                                                                                      | (4,321,542) |   | (5,805,046) |   | (7,918,737) |   | (7,938,285) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Total      liabilities and partners' deficit                                                                                                                                                                                                                                                                                                                                      | $         8,076,785  |   | $       17,501,759  |   | $       18,640,479  |   | $       23,829,408  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| SUMMARIZED      STATEMENTS OF OPERATIONS                                                                                                                                                                                                                                                                                                                                          |   |   |   |   |
| Rental      and other income                                                                                                                                                                                                                                                                                                                                                      | $            488,876  |   | $            815,953  |   | $         1,003,317  |   | $         1,130,256  |
| Expenses:                                                                                                                                                                                                                                                                                                                                                                         |   |   |   |   |   |   |   |
| Operating      expenses                                                                                                                                                                                                                                                                                                                                                           | 342,725  |   | 589,030  |   | 643,502  |   | 767,833  |
| Interest      expense                                                                                                                                                                                                                                                                                                                                                             | 65,760  |   | 120,950  |   | 139,442  |   | 169,025  |
| Depreciation      and amortization                                                                                                                                                                                                                                                                                                                                                | 132,886  |   | 230,313  |   | 266,530  |   | 305,016  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Total      expenses                                                                                                                                                                                                                                                                                                                                                               | 541,371  |   | 940,293  |   | 1,049,474  |   | 1,241,874  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Net      loss                                                                                                                                                                                                                                                                                                                                                                     | $           (52,495) |   | $         (124,340) |   | $           (46,157) |   | $         (111,618) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Other      partners' share of net loss                                                                                                                                                                                                                                                                                                                                            | $                (565) |   | $                (937) |   | $                (462) |   | $             (1,116) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Gateway's      share of net loss                                                                                                                                                                                                                                                                                                                                                  | $           (51,930) |   | $         (123,403) |   | $           (45,695) |   | $         (110,502) |
| Suspended      losses                                                                                                                                                                                                                                                                                                                                                             | 51,930  |   | 123,403  |   | 41,877  |   | 109,440  |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Equity      in Loss of Project Partnerships                                                                                                                                                                                                                                                                                                                                       | $                      -  |   | $                      -  |   | $             (3,818) |   | $             (1,062) |
|                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |

----

|  In      accordance with Gateway's policy of presenting the financial information      of the Project Partnerships on a three month lag, below is the summarized      balance sheets for the Project Partnerships of Series 6 and Total Series 2      - 6 as of March 31 and the respective summarized statements of operations      for the three months ended March 31 of each year: |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                        | SERIES      6 |   | TOTAL      SERIES 2 - 6 |
|                                                                                                                                                                                                                                                                                                                                                                                        | 2008 |   | 2007 |   | 2008 |   | 2007 |
| SUMMARIZED      BALANCE SHEETS                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |   |   |   |
| Assets:                                                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |
| Current      assets                                                                                                                                                                                                                                                                                                                                                                         | $       4,531,299  |   | $       4,322,108  |   | $     12,435,726  |   | $     14,080,789  |
| Investment      properties, net                                                                                                                                                                                                                                                                                                                                                             | 22,588,002  |   | 24,543,786  |   | 59,971,107  |   | 80,536,194  |
| Other      assets                                                                                                                                                                                                                                                                                                                                                                           | 24,094  |   | 10,123  |   | 186,883  |   | 76,380  |
| Total      assets                                                                                                                                                                                                                                                                                                                                                                           | $     27,143,395  |   | $     28,876,017  |   | $     72,593,716  |   | $     94,693,363  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Liabilities      and Partners' Deficit:                                                                                                                                                                                                                                                                                                                                                     |   |   |   |   |   |   |   |
| Current      liabilities                                                                                                                                                                                                                                                                                                                                                                    | $          853,117  |   | $          646,962  |   | $       2,639,540  |   | $       2,955,833  |
| Long-term      debt                                                                                                                                                                                                                                                                                                                                                                         | 32,940,725  |   | 33,708,264  |   | 100,067,553  |   | 122,890,291  |
| Total      liabilities                                                                                                                                                                                                                                                                                                                                                                      | 33,793,842  |   | 34,355,226  |   | 102,707,093  |   | 125,846,124  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Partners'      deficit                                                                                                                                                                                                                                                                                                                                                                      |   |   |   |   |   |   |   |
| Limited      Partner                                                                                                                                                                                                                                                                                                                                                                        | (6,036,779) |   | (4,919,841) |   | (29,412,047) |   | (31,057,125) |
| General      Partners                                                                                                                                                                                                                                                                                                                                                                       | (613,668) |   | (559,368) |   | (701,330) |   | (95,636) |
| Total      partners' deficit                                                                                                                                                                                                                                                                                                                                                                | (6,650,447) |   | (5,479,209) |   | (30,113,377) |   | (31,152,761) |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Total      liabilities and partners' deficit                                                                                                                                                                                                                                                                                                                                                | $     27,143,395  |   | $     28,876,017  |   | $     72,593,716  |   | $     94,693,363  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| SUMMARIZED      STATEMENTS OF OPERATIONS                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |
| Rental      and other income                                                                                                                                                                                                                                                                                                                                                                | $       1,222,820  |   | $       1,210,321  |   | $       3,827,633  |   | $       4,453,405  |
| Expenses:                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |   |   |
| Operating      expenses                                                                                                                                                                                                                                                                                                                                                                     | 821,823  |   | 796,167  |   | 2,538,847  |   | 3,023,365  |
| Interest      expense                                                                                                                                                                                                                                                                                                                                                                       | 170,839  |   | 179,973  |   | 528,143  |   | 661,604  |
| Depreciation      and amortization                                                                                                                                                                                                                                                                                                                                                          | 332,096  |   | 325,962  |   | 1,057,293  |   | 1,244,752  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Total      expenses                                                                                                                                                                                                                                                                                                                                                                         | 1,324,758  |   | 1,302,102  |   | 4,124,283  |   | 4,929,721  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Net      loss                                                                                                                                                                                                                                                                                                                                                                               | $       (101,938) |   | $         (91,781) |   | $       (296,650) |   | $       (476,316) |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Other      partners' share of net loss                                                                                                                                                                                                                                                                                                                                                      | $           (1,466) |   | $           (1,425) |   | $           (3,453) |   | $           (4,964) |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Gateway's      share of net loss                                                                                                                                                                                                                                                                                                                                                            | $       (100,472) |   | $         (90,356) |   | $       (293,197) |   | $       (471,352) |
| Suspended      losses                                                                                                                                                                                                                                                                                                                                                                       | 99,239  |   | 97,001  |   | 288,146  |   | 476,935  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |
| Equity      in (Loss) Income of Project Partnerships                                                                                                                                                                                                                                                                                                                                        | $           (1,233) |   | $             6,645  |   | $           (5,051) |   | $             5,583  |
|                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |   |   |

----

| Transaction       |                     |              | Net      Proceeds | Gain      (Loss) |
|-------------------|--------------------------|-------------------|-------------------|------------------|
| Month      / Year | Project      Partnership | Net      Proceeds | Per      BAC      | on      Disposal |
| June      2008    | Norton      Green        | $120,977     | $17.49       | $120,977    |
|              |                     |              |              | $120,977    |

| Transaction       |                       |              | Net      Proceeds | Gain      (Loss) |
|-------------------|----------------------------|-------------------|-------------------|------------------|
| Month      / Year | Project      Partnership   | Net      Proceeds | Per      BAC      | on      Disposal |
| October      2007 | Inverness      Club, Ltd.  | $309,188     | $50.39       | $308,748    |
| October      2007 | Lakeshore      Apartments  | 105,432      | 17.18        | 105,324     |
| April      2007   | Claxton      Elderly, Ltd. | 56,043       | 9.13         | 56,043      |
| April      2007   | Lake      Park, Ltd.       | 183,026      | 29.83        | 182,807     |
|              |                       |              |              | $652,922    |

| Claxton      Elderly, Ltd.             | $   42,775 |
|----------------------------------------|---------------------------|
| Lake      Park, Ltd.                   | 148,278                   |
|                                   |                      |
| Total      Re-syndication contribution | $      191,053            |

----

| Transaction        |                               |                      | Net      Proceeds | Gain      (Loss)          |
|--------------------|------------------------------------|---------------------------|-------------------|---------------------------|
| Month      / Year  | Project      Partnership           | Net      Proceeds         | Per      BAC      | on      Disposal          |
| December      2007 | Sunchase      II, Ltd.             | $  73,000  | $13.38       | $  74,700  |
| December      2007 | Logansport      Seniors Apartments | 6,000                | 1.10         | 7,371                |
| March      2007    | Belmont      Senior Apts., Ltd.    | -                    | -            | 43,850               |
|               | Other,      net (see below)        | -                    | -            | 185                  |
|               |                               |                      |              | $126,106             |

| Transaction        |                                         | Net                                                                  | Net      Proceeds                                  | Gain      (Loss)           |
|--------------------|----------------------------------------------|----------------------------------------------------------------------|----------------------------------------------------|----------------------------|
| Month      / Year  | Project      Partnership                     | Proceeds                                                             | Per      BAC                                       | on      Disposal           |
| February      2008 | Chestnut      Apartments                     | $          -  | $       -  | $   (2,000) |
| December      2007 | Oaks      Apartments                         | 6,000                                                           | 0.87                                          | 7,737                 |
| December      2007 | Tarpon      Heights Apartments               | 10,000                                                          | 1.45                                          | 11,653                |
| December      2007 | Sonora      Seniors Apartments, Ltd.         | 6,000                                                           | 0.87                                          | 7,737                 |
| December      2007 | Fredericksburg      Seniors Apartments, Ltd. | 10,000                                                          | 1.45                                          | 11,578                |
| December      2007 | Ozona      Seniors, Ltd.                     | 4,000                                                           | 0.58                                          | 5,587                 |
| December      2007 | Brackettville      Seniors Apartments, Ltd.  | 6,000                                                           | 0.87                                          | 7,663                 |
| December      2007 | Timpson      Seniors Apartments, Ltd.        | 5,000                                                           | 0.72                                          | 6,738                 |
| November      2007 | Jasper      Villas Apartments                | 99,700                                                          | 14.42                                         | 99,700                |
| October      2007  | Eudora      Senior Housing                   | 63,379                                                          | 9.17                                          | 63,218                |
| March      2007    | Edmonton      Senior, Ltd.                   | -                                                               | -                                             | 38,350                |
| March      2007    | Owingsville      Senior, Ltd.                | -                                                               | -                                             | 45,850                |
|               |                                         |                                                                 |                                               | $303,811              |

----

| Transaction         |                                        |                      | Net      Proceeds       | Gain      (Loss)           |
|---------------------|---------------------------------------------|---------------------------|-------------------------|----------------------------|
| Month      / Year   | Project      Partnership                    | Net      Proceeds         | Per      BAC            | on      Disposal           |
| November      2007  | Zapata      Housing, Ltd.                   | $  74,935  | $  8.70  | $   (3,880) |
| October      2007   | Pemberton      Village II, Ltd.             | 53,560               | 6.22               | 53,560                |
| October      2007   | Magic      Circle II, Ltd.                  | 51,787               | 6.01               | 51,787                |
| September      2007 | Redmont      II, Ltd.                       | 16,575               | 1.92               | 16,575                |
| September      2007 | Fox      Ridge Apartments, Ltd.             | 16,650               | 1.93               | 16,650                |
| September      2007 | Country      Place Apartments - Georgetown  | 46,736               | 5.42               | 46,736                |
| September      2007 | Country      Place Apartments - Portland II | 47,163               | 5.47               | 47,163                |
|                |                                        |                      |                    | $228,591              |

| Transaction        |                                 | Net                       | Net      Proceeds       | Gain      (Loss)           |
|--------------------|--------------------------------------|---------------------------|-------------------------|----------------------------|
| Month      / Year  | Project      Partnership             | Proceeds                  | Per      BAC            | on      Disposal           |
| December      2007 | Hardy      Senior Citizen Apartments | $  39,837  | $  3.94  | $   (9,834) |
| August      2007   | Autumn      Village II               | 60,837               | 5.99               | (64,800)                   |
|               |                                 |                      |                    | $      (74,634)            |

----

----

----

----

| Transaction       |                     |              | Net      Proceeds | Gain      (Loss) |
|-------------------|--------------------------|-------------------|-------------------|------------------|
| Month      / Year | Project      Partnership | Net      Proceeds | Per      BAC      | on      Disposal |
| June      2008    | Norton      Green        | $120,977     | $17.49       | $120,977    |
|              |                     |              |              | $120,977    |

----

| Transaction       |                       |              | Net      Proceeds | Gain      (Loss) |
|-------------------|----------------------------|-------------------|-------------------|------------------|
| Month      / Year | Project      Partnership   | Net      Proceeds | Per      BAC      | on      Disposal |
| October      2007 | Inverness      Club, Ltd.  | $309,188     | $50.39       | $308,748    |
| October      2007 | Lakeshore      Apartments  | 105,432      | 17.18        | 105,324     |
| April      2007   | Claxton      Elderly, Ltd. | 56,043       | 9.13         | 56,043      |
| April      2007   | Lake      Park, Ltd.       | 183,026      | 29.83        | 182,807     |
|              |                       |              |              | $652,922    |

| Claxton      Elderly, Ltd.             | $   42,775 |
|----------------------------------------|---------------------------|
| Lake      Park, Ltd.                   | 148,278                   |
|                                   |                      |
| Total      Re-syndication contribution | $      191,053            |

| Transaction        |                               |                      | Net      Proceeds | Gain      (Loss)          |
|--------------------|------------------------------------|---------------------------|-------------------|---------------------------|
| Month      / Year  | Project      Partnership           | Net      Proceeds         | Per      BAC      | on      Disposal          |
| December      2007 | Sunchase      II, Ltd.             | $  73,000  | $13.38       | $  74,700  |
| December      2007 | Logansport      Seniors Apartments | 6,000                | 1.10         | 7,371                |
| March      2007    | Belmont      Senior Apts., Ltd.    | -                    | -            | 43,850               |
|               | Other,      net (see below)        | -                    | -            | 185                  |
|               |                               |                      |              | $126,106             |

----

| Transaction        |                                         | Net                                                                  | Net      Proceeds                                  | Gain      (Loss)           |
|--------------------|----------------------------------------------|----------------------------------------------------------------------|----------------------------------------------------|----------------------------|
| Month      / Year  | Project      Partnership                     | Proceeds                                                             | Per      BAC                                       | on      Disposal           |
| February      2008 | Chestnut      Apartments                     | $          -  | $       -  | $   (2,000) |
| December      2007 | Oaks      Apartments                         | 6,000                                                           | 0.87                                          | 7,737                 |
| December      2007 | Tarpon      Heights Apartments               | 10,000                                                          | 1.45                                          | 11,653                |
| December      2007 | Sonora      Seniors Apartments, Ltd.         | 6,000                                                           | 0.87                                          | 7,737                 |
| December      2007 | Fredericksburg      Seniors Apartments, Ltd. | 10,000                                                          | 1.45                                          | 11,578                |
| December      2007 | Ozona      Seniors, Ltd.                     | 4,000                                                           | 0.58                                          | 5,587                 |
| December      2007 | Brackettville      Seniors Apartments, Ltd.  | 6,000                                                           | 0.87                                          | 7,663                 |
| December      2007 | Timpson      Seniors Apartments, Ltd.        | 5,000                                                           | 0.72                                          | 6,738                 |
| November      2007 | Jasper      Villas Apartments                | 99,700                                                          | 14.42                                         | 99,700                |
| October      2007  | Eudora      Senior Housing                   | 63,379                                                          | 9.17                                          | 63,218                |
| March      2007    | Edmonton      Senior, Ltd.                   | -                                                               | -                                             | 38,350                |
| March      2007    | Owingsville      Senior, Ltd.                | -                                                               | -                                             | 45,850                |
|               |                                         |                                                                 |                                               | $303,811              |

| Transaction         |                                        |                      | Net      Proceeds       | Gain      (Loss)           |
|---------------------|---------------------------------------------|---------------------------|-------------------------|----------------------------|
| Month      / Year   | Project      Partnership                    | Net      Proceeds         | Per      BAC            | on      Disposal           |
| November      2007  | Zapata      Housing, Ltd.                   | $  74,935  | $  8.70  | $   (3,880) |
| October      2007   | Pemberton      Village II, Ltd.             | 53,560               | 6.22               | 53,560                |
| October      2007   | Magic      Circle II, Ltd.                  | 51,787               | 6.01               | 51,787                |
| September      2007 | Redmont      II, Ltd.                       | 16,575               | 1.92               | 16,575                |
| September      2007 | Fox      Ridge Apartments, Ltd.             | 16,650               | 1.93               | 16,650                |
| September      2007 | Country      Place Apartments - Georgetown  | 46,736               | 5.42               | 46,736                |
| September      2007 | Country      Place Apartments - Portland II | 47,163               | 5.47               | 47,163                |
|                |                                        |                      |                    | $228,591              |

----

| Transaction        |                                 | Net                       | Net      Proceeds       | Gain      (Loss)           |
|--------------------|--------------------------------------|---------------------------|-------------------------|----------------------------|
| Month      / Year  | Project      Partnership             | Proceeds                  | Per      BAC            | on      Disposal           |
| December      2007 | Hardy      Senior Citizen Apartments | $  39,837  | $  3.94  | $   (9,834) |
| August      2007   | Autumn      Village II               | 60,837               | 5.99               | (64,800)                   |
|               |                                 |                      |                    | $      (74,634)            |

| Durango      C.W.W. Limited Partnership | Charleston      Properties |
|-----------------------------------------|----------------------------|
| Sallisaw      Properties II             | Pocola      Properties     |

| Nowata      Properties    | Poteau      Properties II |
|---------------------------|---------------------------|
| Roland      Properties II | Sallisaw      Properties  |
| Stilwell      Properties  | Waldron      Properties   |

----

| Rural      Development Group          | Jonesville      Manor Limited Partnership |
|---------------------------------------|-------------------------------------------|
| Stilwell      Properties II           | Westville      Properties                 |
| Spring      Hill Senior Housing, L.P. |                                      |

| Alma      Properties         | Clayton      Properties        |
|------------------------------|--------------------------------|
| Mill      Creek Properties V | Spring      Hill Housing, L.P. |

| Blacksburg      Terrace Limited Partnership | Newport      Village Limited Partnership |
|---------------------------------------------|------------------------------------------|
| Parsons      Properties, L.P.               |                                     |

| Lewiston      Limited Partnership |   |
|-----------------------------------|--------|

| Countrywood      Apartments, Limited | Wildwood      Apartments, Limited |
|--------------------------------------|-----------------------------------|

----

| Shellman      Housing, L.P. | Pine      Terrace Apartments, L.P.        |
|-----------------------------|-------------------------------------------|
| Crisp      Properties, L.P. | Blackshear      Apartments, L.P. Phase II |

| Meadowcrest      Apartments, Ltd.               | Lancaster      House |
|-------------------------------------------------|----------------------|
| Country      Place Apartments – Coal City |                 |

| Prairie      Apartments Limited Partnership |   |
|---------------------------------------------|--------|

| Hornellsville      Apartments | Weston      Apartments, Limited |
|-------------------------------|---------------------------------|
| Elkhart      Apts., Ltd.      |                            |

| Village      Apartments of St. Joseph II Limited Partnership |   |
|--------------------------------------------------------------|--------|

| Village      Apartments of Effingham Limited Partnership | Village      Apartments of Seymour II, L.P. |
|----------------------------------------------------------|---------------------------------------------|

| Cornell      Apartments Limited Partnership     | Shannon      Apartments Limited Partnership |
|-------------------------------------------------|---------------------------------------------|
| Winter      Park Apartments Limited Partnership | Spruce      Apartments Limited Partnership  |

----

----

----

| GATEWAY      TAX CREDIT FUND II, LTD.         |
|-----------------------------------------------|
| (A      Florida Limited Partnership)          |
| By:      Raymond James Tax Credit Funds, Inc. |
| (the      Managing General Partner)           |

| Date:      August 12,      2008 |   | By:/s/ Ronald M.      Diner |
|---------------------------------|--------|-----------------------------|
|                            |   | Ronald      M. Diner        |
|                            |   | President,      Director    |

| Date:      August 12,      2008 |   | By:/s/ Jonathan      Oorlog                    |
|---------------------------------|--------|------------------------------------------------|
|                            |   | Jonathan      Oorlog                           |
|                            |   | Vice      President and Chief FinancialOfficer |

| Date:      August 12,      2008 |   | By:/s/ Sandra C.      Humphreys |
|---------------------------------|--------|---------------------------------|
|                            |   | Sandra      C. Humphreys        |
|                            |   | Secretary      and Treasurer    |