FORM 10-Q

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

(Mark One)

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

For the quarterly period ended December 31, 2007

or

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

For the transition period from _______ to _______
Commission file number        0-19443



BOSTON CAPITAL TAX CREDIT FUND II L.P.(Exact name of registrant as specified in its charter)



|Delaware                          | 52-1749505         
|--------------------------------- | -------------------
|(State or other jurisdiction      | (I.R.S. Employer   
|of incorporation or organization) | Identification No.)



One Boston Place, Suite 2100, Boston, Massachusetts  02108(Address of principal executive offices)           (Zip Code)

Registrant's telephone number, including area code (617)624-8900

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

|Yes ý | Noo
|----- | ---

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See definition of "large accelerated filer," "accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act  (check one):

|Large accelerated filero | Accelerated filero         
|------------------------ | ---------------------------
|Non-accelerated filero   | Smaller reporting company ý

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

|Yeso | No ý
|---- | ----



BOSTON CAPITAL TAX CREDIT FUND II L.P.

QUARTERLY REPORT ON FORM 10-QFOR THE QUARTER ENDED December 31, 2007

TABLE OF CONTENTS

FOR THE QUARTER ENDED December 31,2007

Balance Sheets	4

Balance Sheets Series 07	5

Balance Sheets Series 09	6

Balance Sheets Series 10	7

Balance Sheets Series 11	8

Balance Sheets Series 12	9

Balance Sheets Series 14	10

Three MONTHS ENDED December 31	11

Statements of Operations Series 07	12

Statements of Operations Series 09	13

Statements of Operations Series 10	14

Statements of Operations Series 11	15

Statements of Operations Series 12	16

Statements of Operations Series 14	17

NINE MONTHS ENDED December 31	18

Statements of Operations Series 07	19

Statements of Operations Series 09	20

Statements of Operations Series 10	21

Statements of Operations Series 11	22

Statements of Operations Series 12	23

Statements of Operations Series 14	24

statementS OF Changes in Partners' Capital (Deficit)	25

Changes in Partners' Capital (DEFICIT) Series 07	26

Changes in Partners' Capital (DEFICIT) Series 09	26

Changes in Partners' Capital (DEFICIT) Series 10	27

Changes in Partners' Capital (DEFICIT) Series 11	27

Changes in Partners' Capital (DEFICIT) Series 12	28

Changes in Partners' Capital (DEFICIT) Series 14	28

Statements of Cash Flows	29

Statements of Cash Flows Series 07	31

Statements of Cash Flows Series 09	33

Statements of Cash Flows Series 10	35

Statements of Cash Flows Series 11	37

Statements of Cash Flows Series 12	39

Statements of Cash Flows Series 14	41



























BOSTON CAPITAL TAX CREDIT FUND II L.P.

QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED DECEMBER 31, 2007

TABLE OF CONTENTS (CONTINUED)

Notes to Financial Statements	43

Note A Organization	43

Note B Accounting	43

Note C Related Party Transactions	44

Note D Investments	46

Combined Statements of operations	49

Combined Statements Series 07	50

Combined Statements Series 09	51

Combined Statements Series 10	52

Combined Statements Series 11	53

Combined Statements Series 12	54

Combined Statements Series 14	55

Note E Taxable Loss	56

Note F Subsequent Event	56

Liquidity	57

Capital Resources	58

Results of Operations	59

Critical Accounting Policies	114

Quantitative and Qualitative	115

Controls and Procedures	115

Part II Other Information	116

Item 1. Legal Proceedings	116

Item 1A. Risk Factors	116

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.	116

Item 3. Defaults Upon Senior Securities	116

Item 4. Submission of Matters to a Vote of Security Holders	116

Item 5. Other Information	116

Item 6. Exhibits	116



SIGNATURES	117







Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS



|                                                 | December 31,
2007
(Unaudited)                                                                                                   | March 31,
2007
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------- | ------------------------
|ASSETS                                           |                                                                                                                                 |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $   2,271,573                                                                                                                   | $   2,790,211           
|                                                 |                                                                                                                                
|OTHER ASSETS                                     |                                                                                                                                
|                                                 | Cash and cash equivalents                                                                                                       | 1,259,693               
|                                                 | Deferred acquisition costs (Note B)                                                                                             | 513,170                 
|                                                 | Other assets                                                                                                                    | 435,014                 
|                                                 | $4,479,450                                                                                                                      | $5,679,096              
|                                                 |                                                                                                                                 |                         
|LIABILITIES                                      |                                                                                                                                 |                         
|                                                 | Accounts payable                                                                                                                | $       3,750           
|                                                 | Accounts payable affiliates (Note C)                                                                                            | 26,113,595              
|                                                 | Capital contributions payable (Note D)                                                                                          | 236,345                 
|                                                 | 26,353,690                                                                                                                      | 27,926,723              
|PARTNERS' CAPITAL (DEFICIT)                      |                                                                                                                                 |                         
|                                                 |                                                                                                                                 |                         
|Limited Partners                                 |                                                                                                                                 |                         
|                                                 | Units of limited partnership 
interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
18,679,738 issued and outstanding | (20,102,458)            
|                                                 |                                                                                                                                 |                         
|General Partner                                  | (1,771,782)                                                                                                                     | (1,775,516)             
|                                                 | (21,874,240)                                                                                                                    | (22,247,627)            
|                                                 | $4,479,450                                                                                                                      | $5,679,096              







The accompanying notes are an integral part of this statement



Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS

Series7



|                                                 | December 31,
2007
(Unaudited)                                                                                                  | March 31,
2007
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                           |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $          -                                                                                                                   | $         -             
|                                                 |                                                                                                                               
|OTHER ASSETS                                     |                                                                                                                               
|                                                 | Cash and cash equivalents                                                                                                      | 156,232                 
|                                                 | Deferred acquisition costs (Note B)                                                                                            | -                       
|                                                 | Other assets                                                                                                                   | -                       
|                                                 | $156,232                                                                                                                       | $513,950                
|                                                 |                                                                                                                                |                         
|LIABILITIES                                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Accounts payable                                                                                                               | $          -            
|                                                 | Accounts payable affiliates (Note C)                                                                                           | 337,397                 
|                                                 | Capital contributions payable (Note D)                                                                                         | -                       
|                                                 | 337,397                                                                                                                        | 833,517                 
|                                                 |                                                                                                                                |                         
|PARTNERS' CAPITAL (DEFICIT)                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|Limited Partners                                 |                                                                                                                                |                         
|                                                 | Units of limited partnership 
interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
1,036,100 issued and outstanding | (91,758)                
|                                                 |                                                                                                                                |                         
|General Partner                                  | (89,407)                                                                                                                       | (90,791)                
|                                                 | (181,165)                                                                                                                      | (319,567)               
|                                                 | $156,232                                                                                                                       | $513,950                



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS

Series9



|                                                 | December 31,
2007
(Unaudited)                                                                                                  | March 31,
2007
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                           |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $          -                                                                                                                   | $         -             
|                                                 |                                                                                                                                |                         
|OTHER ASSETS                                     |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Cash and cash equivalents                                                                                                      | 156,191                 
|                                                 | Deferred acquisition costs (Note B)                                                                                            | 5,701                   
|                                                 | Other assets                                                                                                                   | 57,338                  
|                                                 | $219,230                                                                                                                       | $161,885                
|                                                 |                                                                                                                                |                         
|LIABILITIES                                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Accounts payable                                                                                                               | $          -            
|                                                 | Accounts payable affiliates (Note C)                                                                                           | 6,336,131               
|                                                 | Capital contributions payable (Note D)                                                                                         | -                       
|                                                 | 6,336,131                                                                                                                      | 6,159,320               
|                                                 |                                                                                                                                |                         
|PARTNERS' CAPITAL (DEFICIT)                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|Limited Partners                                 |                                                                                                                                |                         
|                                                 | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
4,178,029 issued and outstanding | (5,720,894)             
|                                                 |                                                                                                                                |                         
|General Partner                                  | (396,007)                                                                                                                      | (394,812)               
|                                                 |                                                                                                                                |                         
|                                                 | (6,116,901)                                                                                                                    | (5,997,435)             
|                                                 | $219,230                                                                                                                       | $161,885                



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 10



|                                                   | December 31,
2007
(Unaudited)                                                                                                   | March 31,
2007
(Audited)
|-------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------- | ------------------------
|ASSETS                                             |                                                                                                                                 |                         
|INVESTMENTS IN OPERATING 
   PARTNERSHIPS (Note D) | $    121,012                                                                                                                    | $    234,798            
|                                                   |                                                                                                                                 |                         
|OTHER ASSETS                                       |                                                                                                                                 |                         
|                                                   | Cash and cash equivalents                                                                                                       | 203,859                 
|                                                   | Deferred acquisition costs (Note B)                                                                                             | 30,388                  
|                                                   | Other assets                                                                                                                    | 109,836                 
|                                                   | $465,095                                                                                                                        | $579,407                
|                                                   |                                                                                                                                 |                         
|LIABILITIES                                        |                                                                                                                                 |                         
|                                                   |                                                                                                                                 |                         
|                                                   | Accounts payable                                                                                                                | $          -            
|                                                   | Accounts payable affiliates (Note C)                                                                                            | 3,076,787               
|                                                   | Capital contributions payable (Note D)                                                                                          | -                       
|                                                   | 3,076,787                                                                                                                       | 3,477,877               
|                                                   |                                                                                                                                 |                         
|PARTNERS' CAPITAL (DEFICIT)                        |                                                                                                                                 |                         
|                                                   |                                                                                                                                 |                         
|Limited Partners                                   |                                                                                                                                 |                         
|                                                   | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,428,925  issued and outstanding | (2,390,662)             
|                                                   |                                                                                                                                 |                         
|General Partner                                    | (221,030)                                                                                                                       | (223,898)               
|                                                   | (2,611,692)                                                                                                                     | (2,898,470)             
|                                                   | $465,095                                                                                                                        | $579,407                



The accompanying notes are an integral part of this statement



Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 11



|                                                     | December 31,
2007
(Unaudited)                                                                                                  | March 31,
2007
(Audited)
|---------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                               |                                                                                                                                |                         
|INVESTMENTS IN OPERATING   
   PARTNERSHIPS (NOTE D) | $ 1,410,288                                                                                                                    | $  1,568,461            
|                                                     |                                                                                                                                |                         
|OTHER ASSETS                                         |                                                                                                                                |                         
|                                                     | Cash and cash equivalents                                                                                                      | 150,232                 
|                                                     | Deferred acquisition costs (Note B)                                                                                            | 22,343                  
|                                                     | Other assets                                                                                                                   | 210,186                 
|                                                     | $1,793,049                                                                                                                     | $1,803,790              
|                                                     |                                                                                                                                |                         
|LIABILITIES                                          |                                                                                                                                |                         
|                                                     | Accounts payable                                                                                                               | $         -             
|                                                     | Accounts payable affiliates (Note C)                                                                                           | 3,107,293               
|                                                     | Capital contributions payable (Note D)                                                                                         | 22,528                  
|                                                     | 3,129,821                                                                                                                      | 3,824,661               
|                                                     |                                                                                                                                |                         
|PARTNERS' CAPITAL (DEFICIT)                          |                                                                                                                                |                         
|                                                     |                                                                                                                                |                         
|Limited Partners                                     |                                                                                                                                |                         
|                                                     | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,489,599 issued and outstanding | (1,108,719)             
|                                                     |                                                                                                                                |                         
|General Partner                                      | (228,053)                                                                                                                      | (234,894)               
|                                                     | (1,336,772)                                                                                                                    | (2,020,871)             
|                                                     | $1,793,049                                                                                                                     | $1,803,790              



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 12



|                                                  | December 31,
2007
(Unaudited)                                                                                                  | March 31,
2007
(Audited)
|------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                            |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS (NOTE D) | $          -                                                                                                                   | $     69,772            
|                                                  |                                                                                                                                |                         
|OTHER ASSETS                                      |                                                                                                                                |                         
|                                                  | Cash and cash equivalents                                                                                                      | 204,323                 
|                                                  | Deferred acquisition costs (Note B)                                                                                            | 137,524                 
|                                                  | Other assets                                                                                                                   | 17,942                  
|                                                  | $359,789                                                                                                                       | $719,682                
|                                                  |                                                                                                                                |                         
|LIABILITIES                                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|                                                  | Accounts payable                                                                                                               | $      3,750            
|                                                  | Accounts payable affiliates (Note C)                                                                                           | 4,344,199               
|                                                  | Capital contributions payable (Note D)                                                                                         | 11,405                  
|                                                  | 4,359,354                                                                                                                      | 4,621,318               
|                                                  |                                                                                                                                |                         
|PARTNERS' CAPITAL (DEFICIT)                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|Limited Partners                                  |                                                                                                                                |                         
|                                                  | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,972,795 issued and outstanding | (3,708,438)             
|                                                  |                                                                                                                                |                         
|General Partner                                   | (291,127)                                                                                                                      | (290,148)               
|                                                  | (3,999,565)                                                                                                                    | (3,901,636)             
|                                                  | $359,789                                                                                                                       | $719,682                



The accompanying notes are an integral part of this statement



Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 14



|                                                  | December 31,
2007
(Unaudited)                                                                                                  | March 31,
2007
(Audited)
|------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                            |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS (NOTE D) | $    740,273                                                                                                                   | $    917,180            
|                                                  |                                                                                                                                |                         
|OTHER ASSETS                                      |                                                                                                                                |                         
|                                                  | Cash and cash equivalents                                                                                                      | 388,856                 
|                                                  | Deferred acquisition costs (Note B)                                                                                            | 317,214                 
|                                                  | Other assets                                                                                                                   | 39,712                  
|                                                  | $1,486,055                                                                                                                     | $1,900,382              
|                                                  |                                                                                                                                |                         
|LIABILITIES                                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|                                                  | Accounts payable                                                                                                               | $          -            
|                                                  | Accounts payable affiliates (Note C)                                                                                           | 8,911,788               
|                                                  | Capital contributions payable (Note D)                                                                                         | 202,412                 
|                                                  | 9,114,200                                                                                                                      | 9,010,030               
|                                                  |                                                                                                                                |                         
|PARTNERS' CAPITAL (DEFICIT)                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|Limited Partners                                  |                                                                                                                                |                         
|                                                  | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
5,574,290 issued and outstanding | (7,081,987)             
|                                                  |                                                                                                                                |                         
|General Partner                                   | (546,158)                                                                                                                      | (540,973)               
|                                                  | (7,628,145)                                                                                                                    | (7,109,648)             
|                                                  | $1,486,055                                                                                                                     | $1,900,382              



The accompanying notes are an integral part of this statement









Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF OPERATIONS Three Months Ended December 31,
(Unaudited)





|                                                              | 2007                                           | 2006        
|------------------------------------------------------------- | ---------------------------------------------- | ------------
|                                                              |                                                |             
|Income                                                        |                                                |             
|                                                              | Interest income                                | $     15,111
|                                                              | Other income                                   | 57,462      
|                                                              | 72,573                                         | 39,017      
|                                                              |                                                |             
|Share of income (loss) from Operating 
  Partnerships(Note D) | 448,503                                        | 662,025     
|                                                              |                                                |             
|Expenses                                                      |                                                |             
|                                                              |                                                |             
|                                                              | Partnership management fee (Note C)            | 221,693     
|                                                              | Amortization                                   | 8,698       
|                                                              | General and administrative expenses            | 100,816     
|                                                              | 331,207                                        | 424,764     
|                                                              |                                                |             
|NET INCOME (LOSS)                                             | $189,869                                       | $276,278    
|                                                              |                                                |             
|                                                              | Net income(loss) allocated to limited
Partners | $187,970    
|                                                              |                                                |             
|                                                              | Net income(loss) allocated general partner     | $1,899      
|                                                              |                                                |             
|                                                              | Net income(loss) per BAC                       | $0.01       
|                                                              |                                                |             















The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,

(Unaudited)

Series7



|                                                              | 2007                                           | 2006      
|------------------------------------------------------------- | ---------------------------------------------- | ----------
|                                                              |                                                |           
|Income                                                        |                                                |           
|                                                              | Interest income                                | $    1,750
|                                                              | Other income                                   | -         
|                                                              | 1,750                                          | 2,211     
|                                                              |                                                |           
|Share of income (loss) from Operating 
  Partnerships(Note D) | -                                              | 363,200   
|                                                              |                                                |           
|Expenses                                                      |                                                |           
|                                                              |                                                |           
|                                                              | Partnership management fee (Note C)            | 3,174     
|                                                              | Amortization                                   | -         
|                                                              | General and administrative expenses            | 8,965     
|                                                              | 12,139                                         | 5,660     
|                                                              |                                                |           
|NET INCOME (LOSS)                                             | $ (10,389)                                     | $359,751  
|                                                              |                                                |           
|                                                              | Net income(loss) allocated to limited
partners | $(10,285) 
|                                                              |                                                |           
|                                                              | Net income(loss) allocated general
partner     | $(104)    
|                                                              |                                                |           
|                                                              | Net income(loss) per BAC                       | $(.01)    
|                                                              |                                                |           





The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)

Series9



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     1,877
|                                                              | Other income                                   | 2          
|                                                              | 1,879                                          | 3,133      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 32,292                                         | 10         
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 57,097     
|                                                              | Amortization                                   | 97         
|                                                              | General and administrative expenses            | 16,402     
|                                                              | 73,596                                         | 99,462     
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(39,425)                                      | $  (96,319)
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(39,031)  
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general partner     | $(394)     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.01)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement



























Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)Series 10



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     3,259
|                                                              | Other income                                   | 44,588     
|                                                              | 47,847                                         | 4,635      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 106,279                                        | 10,042     
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 9,393      
|                                                              | Amortization                                   | 515        
|                                                              | General and administrative expenses            | 13,663     
|                                                              | 23,571                                         | 68,534     
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $130,555                                       | $(53,857)  
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $129,249   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $1,306     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $.05       
|                                                              |                                                |            



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)Series 11



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     1,912
|                                                              | Other income                                   | 11,069     
|                                                              | 12,981                                         | 6,310      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 280,923                                        | 302,434    
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 19,951     
|                                                              | Amortization                                   | 379        
|                                                              | General and administrative expenses            | 13,473     
|                                                              | 33,803                                         | 5,171      
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $260,101                                       | $303,573   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $257,500   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $2,601     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $.10       
|                                                              |                                                |            

The accompanying notes are an integral part of this statement















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)Series 12



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     3,241
|                                                              | Other income                                   | 1,680      
|                                                              | 4,921                                          | 7,313      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 5,872                                          | 23,925     
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 37,924     
|                                                              | Amortization                                   | 2,331      
|                                                              | General and administrative expenses            | 15,927     
|                                                              | 56,182                                         | 87,556     
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(45,389)                                      | $(56,318)  
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(44,935)  
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $(454)     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.02)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement





















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)Series 14



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     3,072
|                                                              | Other income                                   | 123        
|                                                              | 3,195                                          | 15,415     
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 23,137                                         | (37,586)   
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 94,154     
|                                                              | Amortization                                   | 5,376      
|                                                              | General and administrative expenses            | 32,386     
|                                                              | 131,916                                        | 158,381    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(105,584)                                     | $(180,552) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(104,528) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $(1,056)   
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.02)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS 
Nine Months Ended December 31, 
(Unaudited)





|                                                              | 2007                                           | 2006        
|------------------------------------------------------------- | ---------------------------------------------- | ------------
|                                                              |                                                |             
|Income                                                        |                                                |             
|                                                              | Interest income                                | $     55,550
|                                                              | Other income                                   | 72,917      
|                                                              | 128,467                                        | 356,285     
|                                                              |                                                |             
|Share of income (loss) from Operating 
  Partnerships(Note D) | 1,476,030                                      | 385,840     
|                                                              |                                                |             
|Expenses                                                      |                                                |             
|                                                              |                                                |             
|                                                              | Partnership management fee (Note C)            | 813,455     
|                                                              | Amortization                                   | 26,093      
|                                                              | General and administrative expenses            | 391,562     
|                                                              | 1,231,110                                      | 1,426,331   
|                                                              |                                                |             
|NET INCOME (LOSS)                                             | $373,387                                       | $(684,206)  
|                                                              |                                                |             
|                                                              | Net income(loss) allocated to limited
partners | $369,653    
|                                                              |                                                |             
|                                                              | Net income(loss) allocated general partner     | $3,734      
|                                                              |                                                |             
|                                                              | Net income(loss) per BAC                       | $.02        
|                                                              |                                                |             















The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,

(Unaudited)

Series 7



|                                                              | 2007                                           | 2006      
|------------------------------------------------------------- | ---------------------------------------------- | ----------
|                                                              |                                                |           
|Income                                                        |                                                |           
|                                                              | Interest income                                | $    5,847
|                                                              | Other income                                   | 720       
|                                                              | 6,567                                          | 5,499     
|                                                              |                                                |           
|Share of income (loss) from Operating 
  Partnerships(Note D) | 168,901                                        | 363,220   
|                                                              |                                                |           
|Expenses                                                      |                                                |           
|                                                              |                                                |           
|                                                              | Partnership management fee (Note C)            | 7,547     
|                                                              | Amortization                                   | -         
|                                                              | General and administrative expenses            | 29,519    
|                                                              | 37,066                                         | 44,957    
|                                                              |                                                |           
|NET INCOME (LOSS)                                             | $138,402                                       | $323,762  
|                                                              |                                                |           
|                                                              | Net income(loss) allocated to limited
partners | $137,018  
|                                                              |                                                |           
|                                                              | Net income(loss) allocated general
Partner     | $1,384    
|                                                              |                                                |           
|                                                              | Net income(loss) per BAC                       | $.13      
|                                                              |                                                |           





The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)

Series 9



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     5,301
|                                                              | Other income                                   | 2,796      
|                                                              | 8,097                                          | 5,741      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 134,647                                        | 10         
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 198,374    
|                                                              | Amortization                                   | 290        
|                                                              | General and administrative expenses            | 63,546     
|                                                              | 262,210                                        | 291,509    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(119,466)                                     | $(285,758) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(118,271) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general partner     | $(1,195)   
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.03)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement



















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)Series 10



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $    11,362
|                                                              | Other income                                   | 44,662     
|                                                              | 56,024                                         | 6,001      
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 322,386                                        | (22,572)   
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 34,231     
|                                                              | Amortization                                   | 1,545      
|                                                              | General and administrative expenses            | 55,856     
|                                                              | 91,632                                         | 197,816    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $286,778                                       | $(214,387) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $283,910   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $2,868     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $.12       
|                                                              |                                                |            



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)Series 11



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $     8,387
|                                                              | Other income                                   | 11,104     
|                                                              | 19,491                                         | 298,081    
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 856,210                                        | 179,774    
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 134,138    
|                                                              | Amortization                                   | 1,136      
|                                                              | General and administrative expenses            | 56,328     
|                                                              | 191,602                                        | 173,353    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $684,099                                       | $304,502   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $677,258   
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $6,841     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $.27       
|                                                              |                                                |            

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)Series 12



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $    12,199
|                                                              | Other income                                   | 5,687      
|                                                              | 17,886                                         | 13,795     
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | 64,650                                         | (14,102)   
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 108,778    
|                                                              | Amortization                                   | 6,993      
|                                                              | General and administrative expenses            | 64,694     
|                                                              | 180,465                                        | 212,660    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(97,929)                                      | $(212,967) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(96,950)  
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $(979)     
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.03)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement









Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)Series 14



|                                                              | 2007                                           | 2006       
|------------------------------------------------------------- | ---------------------------------------------- | -----------
|                                                              |                                                |            
|Income                                                        |                                                |            
|                                                              | Interest income                                | $    12,454
|                                                              | Other income                                   | 7,948      
|                                                              | 20,402                                         | 27,168     
|                                                              |                                                |            
|Share of income (loss) from Operating 
  Partnerships(Note D) | (70,764)                                       | (120,490)  
|                                                              |                                                |            
|Expenses                                                      |                                                |            
|                                                              |                                                |            
|                                                              | Partnership management fee (Note C)            | 330,387    
|                                                              | Amortization                                   | 16,129     
|                                                              | General and administrative expenses            | 121,619    
|                                                              | 468,135                                        | 506,036    
|                                                              |                                                |            
|NET INCOME (LOSS)                                             | $(518,497)                                     | $(599,358) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated to limited
partners | $(513,312) 
|                                                              |                                                |            
|                                                              | Net income(loss) allocated general
partner     | $(5,185)   
|                                                              |                                                |            
|                                                              | Net income(loss) per BAC                       | $(.09)     
|                                                              |                                                |            

The accompanying notes are an integral part of this statement











Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31, 
(Unaudited)



|                                                   | Assignees     | GeneralPartner | Total         
|-------------------------------------------------- | ------------- | -------------- | --------------
|                                                   |               |                |               
|Partners' capital 
 (deficit)
  April 1, 2007      | $(20,472,111) | $ (1,775,516)  | $ (22,247,627)
|                                                   |               |                |               
|Net income (loss)                                  | 369,653       | 3,734          | 373,387       
|                                                   |               |                |               
|Partners' capital 
 (deficit),
  December 31, 2007 | $(20,102,458) | $(1,771,782)   | $ (21,874,240)
|                                                   |               |                |               

The accompanying notes are an integral part of this statement







Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)

Nine Months Ended December 31,
(Unaudited)



|                                                  | Assignees    | GeneralPartner | Total       
|------------------------------------------------- | ------------ | -------------- | ------------
|Series7                                           |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2007     | $(228,776)   | $ (90,791)     | $(319,567)  
|                                                 
|Net income (loss)                                 | 137,018      | 1,384          | 138,402     
|                                                  |              |                |             
|Partners' capital 
 (deficit)
  December 31, 2007 | $(91,758)    | $(89,407)      | $(181,165)  
|                                                  |             
|Series9                                           |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2007     | $(5,602,623) | $ (394,812)    | $(5,997,435)
|                                                 
|Net income (loss)                                 | (118,271)    | (1,195)        | (119,466)   
|                                                  |              |                |             
|Partners' capital 
 (deficit)
  December 31, 2007 | $(5,720,894) | $(396,007)     | $(6,116,901)
|                                                  |              |                |             















The accompanying notes are an integral part of these statements.

























Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)

Nine Months Ended December 31,
(Unaudited)



|                                                  | Assignees     | GeneralPartner | Total        
|------------------------------------------------- | ------------- | -------------- | -------------
|Series 10                                         |               |                |              
|Partners' capital 
 (deficit)
  April 1, 2007     | $ (2,674,572) | $ (223,898)    | $ (2,898,470)
|                                                 
|Net income (loss)                                 | 283,910       | 2,868          | 286,778      
|                                                  |               |                |              
|Partners' capital 
 (deficit)
  December 31, 2007 | $(2,390,662)  | $(221,030)     | $(2,611,692) 
|                                                 
|Series 11                                         |               |                |              
|Partners' capital 
 (deficit)
  April 1, 2007     | $ (1,785,977) | $ (234,894)    | $ (2,020,871)
|                                                 
|Net income (loss)                                 | 677,258       | 6,841          | 684,099      
|                                                  |               |                |              
|Partners' capital 
 (deficit)
  December 31, 2007 | $(1,108,719)  | $(228,053)     | $(1,336,772) 
|                                                  |               |                |              

The accompanying notes are an integral part of this statement















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31,
(Unaudited)



|                                                  | Assignees    | GeneralPartner | Total       
|------------------------------------------------- | ------------ | -------------- | ------------
|Series 12                                         |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2007     | $(3,611,488) | $  (290,148)   | $(3,901,636)
|                                                 
|Net income (loss)                                 | (96,950)     | (979)          | (97,929)    
|                                                  |              |                |             
|Partners' capital 
 (deficit)
  December 31, 2007 | $(3,708,438) | $(291,127)     | $(3,999,565)
|                                                  |              |                |             
|Series 14                                         |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2007     | $(6,568,675) | $  (540,973)   | $(7,109,648)
|                                                 
|Net income (loss)                                 | (513,312)    | (5,185)        | (518,497)   
|                                                  |              |                |             
|Partners' capital 
 (deficit)
  December 31, 2007 | $(7,081,987) | $(546,158)     | $(7,628,145)
|                                                  |              |                |             

The accompanying notes are an integral part of this statement







Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWSNine Months Ended December 31,
(Unaudited)



|                                                                     | 2007         | 2006        
|-------------------------------------------------------------------- | ------------ | ------------
|Cash flows from operating activities:                                |              |             
|                                                                     |              |             
|Net Income(Loss)                                                     | $    373,387 | $  (684,206)
|Adjustments                                                          |              |             
|Distributions from Operating
        Partnerships                    | 66,148       | 32,109      
|Amortization                                                         | 26,093       | 26,093      
|Share of (Income)Loss from Operating
        Partnerships            | (1,476,030)  | (385,840)   
|Changes in assets and liabilities                                    |              |             
|(Decrease) Increase in accounts
        payable and accrued expenses | (5,000)      | (30,506)    
|Decrease (Increase) in other assets                                  | 249,278      | 690,135     
|(Decrease) Increase in accounts
        payable affiliates           | (1,568,033)  | 47,600      
|                                                                     |              |             
|Net cash (used in) provided by 
        operating activities         | (2,334,157)  | (304,615)   
|                                                                     |              |             
|                                                                     |              |             
|Cash flows from investing activities:                                |              |             
|                                                                     |              |             
|Proceeds from sale of operating
Limited Partnerships:                | 1,587,986    | 134,211     
|                                                                     |              |             
|Net cash (used in) provided by
     investing activities             | 1,587,986    | 134,211     

The accompanying notes are an integral part of this statement



Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)



|                                                          | 2007       | 2006       
|--------------------------------------------------------- | ---------- | -----------
|                                                          |            |            
|Continued                                                 |            |            
|                                                          |            |            
|Cash flows from financing activity:                       |            |            
|                                                          |            |            
|Distributions to Investors                                | -          | (1,543,025)
|                                                          |            |            
|Net cash (used in) provided by
        financing activity | -          | (1,543,025)
|                                                          |            |            
|                                                          |            |            
|                                                          |            |            
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (746,171)  | (1,713,429)
|                                                          |            |            
|Cash and cash equivalents, beginning                      | 2,005,864  | 3,500,741  
|                                                          |            |            
|Cash and cash equivalents, ending                         | $1,259,693 | $1,787,312 
|                                                          |            |            

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 7





|                                                                     | 2007         | 2006        
|-------------------------------------------------------------------- | ------------ | ------------
|Cash flows from operating activities:                                |              |             
|                                                                     |              |             
|Net Income(Loss)                                                     | $    138,402 | $    323,762
|Adjustments                                                          |              |             
|Distributions from Operating
        Partnerships                    | -            | -           
|Amortization                                                         | -            | -           
|Share of (Income)Loss from Operating
        Partnerships            | (168,901)    | (363,220)   
|Changes in assets and liabilities                                    |              |             
|(Decrease) Increase in accounts
        payable and accrued expenses | -            | (5,700)     
|Decrease (Increase) in other assets                                  | 326,920      | 805,501     
|(Decrease) Increase in accounts
        payable affiliates           | (496,120)    | (677,309)   
|                                                                     |              |             
|Net cash (used in) provided by 
        operating activities         | (199,699)    | 83,034      
|                                                                     |              |             
|                                                                     |              |             
|Cash flows from investing activities:                                |              |             
|                                                                     |              |             
|Proceeds from sale of operating
Limited Partnerships:                | 168,901      | 36,300      
|                                                                     |              |             
|Net cash (used in) provided by
     investing activities             | 168,901      | 36,300      

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 7



|                                                          | 2007     | 2006     
|--------------------------------------------------------- | -------- | ---------
|                                                          |          |          
|Continued                                                 |          |          
|                                                          |          |          
|Cash flows from financing activity:                       |          |          
|                                                          |          |          
|Distributions to Investors                                | -        | (233,185)
|                                                          |          |          
|Net cash (used in) provided by
        financing activity | -        | (233,185)
|                                                          |          |          
|                                                          |          |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (30,798) | (113,851)
|                                                          |          |          
|Cash and cash equivalents, beginning                      | 187,030  | 362,316  
|                                                          |          |          
|Cash and cash equivalents, ending                         | $156,232 | $248,465 
|                                                          |          |          

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 9



|                                                                     | 2007        | 2006       
|-------------------------------------------------------------------- | ----------- | -----------
|Cash flows from operating activities:                                |             |            
|                                                                     |             |            
|Net Income(Loss)                                                     | $ (119,466) | $ (285,758)
|Adjustments                                                          |             |            
|Distributions from Operating
        Partnerships                    | -           | -          
|Amortization                                                         | 290         | 290        
|Share of (Income) Loss from Operating
        Partnerships           | (134,647)   | (10)       
|Changes in assets and liabilities                                    |             |            
|(Decrease) Increase in accounts
        payable and accrued expenses | -           | (2,000)    
|Decrease (Increase) in accounts
        receivable                   | (10,908)    | (3,800)    
|(Decrease) Increase in accounts
        payable affiliates           | 176,811     | 237,928    
|                                                                     |             |            
|Net cash (used in) provided by 
        operating activities         | (87,920)    | (53,350)   
|                                                                     |             |            
|                                                                     |             |            
|Cash flows from investing activities:                                |             |            
|                                                                     |             |            
|Proceeds from sale of operating
Limited Partnerships:                | 102,355     | -          
|                                                                     |             |            
|Net cash (used in) provided by
     investing activities             | 102,355     | -          

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 9



|                                                          | 2007     | 2006    
|--------------------------------------------------------- | -------- | --------
|                                                          |          |         
|Continued                                                 |          |         
|                                                          |          |         
|Cash flows from financing activity:                       |          |         
|                                                          |          |         
|Distributions to Investors                                | -        | -       
|                                                          |          |         
|Net cash (used in) provided by
        financing activity | -        | -       
|                                                          |          |         
|                                                          |          |         
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | 14,435   | (53,350)
|                                                          |          |         
|Cash and cash equivalents, beginning                      | 141,756  | 206,104 
|                                                          |          |         
|Cash and cash equivalents, ending                         | $156,191 | $152,754
|                                                          |          |         

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)

Series 10



|                                                                     | 2007         | 2006        
|-------------------------------------------------------------------- | ------------ | ------------
|Cash flows from operating activities:                                |              |             
|                                                                     |              |             
|Net Income(Loss)                                                     | $    286,778 | $  (214,387)
|Adjustments                                                          |              |             
|Distributions from Operating
        Partnerships                    | 13,020       | 20,581      
|Amortization                                                         | 1,545        | 1,545       
|Share of (Income)Loss from Operating
        Partnerships            | (322,386)    | 22,572      
|Changes in assets and liabilities                                    |              |             
|(Decrease) Increase in accounts
        payable and accrued expenses | -            | (12,000)    
|Decrease (Increase) in other assets                                  | (23,498)     | -           
|(Decrease) Increase in accounts
        payable affiliates           | (401,090)    | 111,079     
|                                                                     |              |             
|Net cash (used in) provided by 
        operating activities         | (445,631)    | (70,610)    
|                                                                     |              |             
|                                                                     |              |             
|Cash flows from investing activities:                                |              |             
|                                                                     |              |             
|Proceeds from sale of operating
Limited Partnerships:                | 336,814      | -           
|                                                                     |              |             
|Net cash (used in) provided by
     investing activities             | 336,814      | -           

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 10



|                                                          | 2007      | 2006    
|--------------------------------------------------------- | --------- | --------
|                                                          |           |         
|Continued                                                 |           |         
|                                                          |           |         
|Cash flows from financing activity:                       |           |         
|                                                          |           |         
|Distributions to Investors                                | -         | -       
|                                                          |           |         
|Net cash (used in) provided by
        financing activity | -         | -       
|                                                          |           |         
|                                                          |           |         
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (108,817) | (70,610)
|                                                          |           |         
|Cash and cash equivalents, beginning                      | 312,676   | 351,299 
|                                                          |           |         
|Cash and cash equivalents, ending                         | $203,859  | $280,689
|                                                          |           |         

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Nine Months Ended December 31, 
(Unaudited)Series 11



|                                                                     | 2007         | 2006        
|-------------------------------------------------------------------- | ------------ | ------------
|Cash flows from operating activities:                                |              |             
|                                                                     |              |             
|Net Income(Loss)                                                     | $    684,099 | $    304,502
|Adjustments                                                          |              |             
|Distributions from Operating
        Partnerships                    | 14,680       | -           
|Amortization                                                         | 1,136        | 1,136       
|Share of Income(Loss) from Operating
        Partnerships            | (856,210)    | (179,774)   
|Changes in assets and liabilities                                    |              |             
|(Decrease) Increase in accounts
        payable and accrued expenses | (5,000)      | (14,710)    
|Decrease (Increase) in accounts
        receivable                   | (18,900)     | (106,166)   
|(Decrease) Increase in accounts
        payable affiliates           | (689,840)    | (7,128)     
|                                                                     |              |             
|Net cash (used in) provided by 
        operating activities         | (870,035)    | (2,140)     
|                                                                     |              |             
|                                                                     |              |             
|Cash flows from investing activities:                                |              |             
|                                                                     |              |             
|Proceeds from sale of operating
Limited Partnerships:                | 808,417      | -           
|                                                                     |              |             
|Net cash (used in) provided by
     investing activities             | 808,417      | -           

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 11



|                                                          | 2007     | 2006    
|--------------------------------------------------------- | -------- | --------
|                                                          |          |         
|Continued                                                 |          |         
|                                                          |          |         
|Cash flows from financing activity:                       |          |         
|                                                          |          |         
|Distributions to Investors                                | -        | -       
|                                                          |          |         
|Net cash (used in) provided by
        financing activity | -        | -       
|                                                          |          |         
|                                                          |          |         
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (61,618) | (2,140) 
|                                                          |          |         
|Cash and cash equivalents, beginning                      | 211,850  | 260,979 
|                                                          |          |         
|Cash and cash equivalents, ending                         | $150,232 | $258,839
|                                                          |          |         

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 12



|                                                                     | 2007         | 2006       
|-------------------------------------------------------------------- | ------------ | -----------
|Cash flows from operating activities:                                |              |            
|                                                                     |              |            
|Net Income(Loss)                                                     | $   (97,929) | $ (212,967)
|Adjustments                                                          |              |            
|Distributions from Operating
        Partnerships                    | -            | 7,709      
|Amortization                                                         | 6,993        | 6,993      
|Share of (Income) Loss from Operating
        Partnerships           | (64,650)     | 14,102     
|Changes in assets and liabilities                                    |              |            
|(Decrease) Increase in accounts
        payable and accrued expenses | -            | 7,534      
|Decrease (Increase) in accounts
        receivable                   | (9,370)      | (5,400)    
|(Decrease) Increase in accounts
        payable affiliates           | (261,964)    | 106,613    
|                                                                     |              |            
|Net cash (used in) provided by 
        operating activities         | (426,920)    | (75,416)   
|                                                                     |              |            
|                                                                     |              |            
|Cash flows from investing activities:                                |              |            
|                                                                     |              |            
|Proceeds from sale of operating
Limited Partnerships:                | 128,550      | 62,387     
|                                                                     |              |            
|Net cash (used in) provided by
     investing activities             | 128,550      | 62,387     

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 12



|                                                          | 2007      | 2006     
|--------------------------------------------------------- | --------- | ---------
|                                                          |           |          
|Continued                                                 |           |          
|                                                          |           |          
|Cash flows from financing activity:                       |           |          
|                                                          |           |          
|Distributions to Investors                                | -         | (612,755)
|                                                          |           |          
|Net cash (used in) provided by
        financing activity | -         | (612,755)
|                                                          |           |          
|                                                          |           |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (298,370) | (625,784)
|                                                          |           |          
|Cash and cash equivalents, beginning                      | 502,693   | 996,805  
|                                                          |           |          
|Cash and cash equivalents, ending                         | $204,323  | $371,021 
|                                                          |           |          

The accompanying notes are an integral part of this statement

















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 14



|                                                                     | 2007        | 2006       
|-------------------------------------------------------------------- | ----------- | -----------
|Cash flows from operating activities:                                |             |            
|                                                                     |             |            
|Net Income(Loss)                                                     | $ (518,497) | $ (599,358)
|Adjustments                                                          |             |            
|Distributions from Operating
        Partnerships                    | 38,448      | 3,819      
|Amortization                                                         | 16,129      | 16,129     
|Share of (Income)Loss from Operating
        Partnerships            | 70,764      | 120,490    
|Changes in assets and liabilities                                    |             |            
|(Decrease) Increase in accounts
        payable and accrued expenses | -           | (3,630)    
|Decrease (Increase) in accounts
        receivable                   | (14,966)    | -          
|(Decrease) Increase in accounts
        payable affiliates           | 104,170     | 276,417    
|                                                                     |             |            
|Net cash (used in) provided by 
        operating activities         | (303,952)   | (186,133)  
|                                                                     |             |            
|                                                                     |             |            
|Cash flows from investing activities:                                |             |            
|                                                                     |             |            
|Proceeds from sale of operating
Limited Partnerships:                | 42,949      | 35,524     
|                                                                     |             |            
|Net cash (used in) provided by
     investing activities             | 42,949      | 35,524     

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)Series 14



|                                                          | 2007      | 2006     
|--------------------------------------------------------- | --------- | ---------
|                                                          |           |          
|Continued                                                 |           |          
|                                                          |           |          
|Cash flows from financing activity:                       |           |          
|                                                          |           |          
|Distributions to Investors                                | -         | (697,085)
|                                                          |           |          
|Net cash (used in) provided by
        financing activity | -         | (697,085)
|                                                          |           |          
|                                                          |           |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (261,003) | (847,694)
|                                                          |           |          
|Cash and cash equivalents, beginning                      | 649,859   | 1,323,238
|                                                          |           |          
|Cash and cash equivalents, ending                         | $388,856  | $475,544 
|                                                          |           |          

The accompanying notes are an integral part of this statement













Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS

December 31, 2007

(Unaudited)

NOTE A - ORGANIZATION

Boston Capital Tax Credit Fund II Limited Partnership (the "Partnership") was
formed under the laws of the State of Delaware as of September 28, 1989, for the purpose of acquiring, holding, and disposing of limited partnership interests in operating partnerships which will acquire, develop, rehabilitate, operate and own newly constructed, existing or rehabilitated low-income apartment complexes ("Operating Partnerships"). Effective as of June 1, 2001 there was a restructuring, and as a result, the Partnership's general partner was reorganized as follows.  The general partner of the Partnership continues to be Boston Capital Associates II Limited Partnership, a Delaware limited partnership.  The general partner of the general partner is BCA Associates Limited Partnership, a Massachusetts limited partnership, whose sole general partner is C&M Management, Inc., a Massachusetts corporation and whose limited partners are Herbert F. Collins and John P. Manning.  Mr. Manning is the principal of Boston Capital Partners, Inc. The limited partner of the general partner is Capital Investment Holdings, a general partnership whose partners are certain officers and employees of Boston Capital Partners, Inc. and its affiliates. The assignor limited partner is BCTC II Assignor Corp., a Delaware corporation which is now wholly-owned by John P. Manning.

Pursuant to the Securities Act of 1933, the Partnership filed a Form S-11
Registration Statement with the Securities and Exchange Commission, effective
October 25, 1989, which covered the offering (the "Public Offering") of the
Partnership's beneficial assignee certificates ("BACs") representing
assignments of units of the beneficial interest of the limited partnership
interest of the assignor limited partner.  The Partnership registered
20,000,000 BACs at $10 per BAC for sale to the public in six series.  The
Partnership sold 1,036,100 of Series 7 BACs, 4,178,029 of Series 9 BACs,
2,428,925 of Series 10 BACs, 2,489,599 of Series 11 BACs, 2,972,795 of Series
12 BACs, and 5,574,290 of Series 14 BACs. The Partnership issued the
last BACs in Series 14 on January 27, 1992.  This concluded the Public
Offering of the Partnership.

NOTE B - ACCOUNTING AND FINANCIAL REPORTING POLICIES

The condensed financial statements included herein as of December 31, 2007
and for the nine months then ended have been prepared by the Partnership, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission.  No BACs with respect to Series 8 and Series 13 were offered.  The Partnership accounts for its investments in Operating Partnerships using the equity method, whereby the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued.



Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)



December 31, 2007

(Unaudited)

NOTE - B ACCOUNTING AND FINANCIAL REPORTING POLICIES - CONTINUED

Costs incurred by the Partnership in acquiring the investments in 
Operating Partnerships were capitalized to the investment account.  The 
Partnership's accounting and financial reporting policies are in conformity with generally accepted accounting principles and include adjustments in interim periods considered necessary for a fair presentation of the results of 
operations.  Such adjustments are of a normal recurring nature.  Certain 
information and footnote disclosures normally included in financial statements 
prepared in accordance with generally accepted accounting principles have been 
condensed or omitted pursuant to such rules and regulations.  It is suggested 
that these condensed financial statements be read in conjunction with the
financial statements and the notes thereto included in the Partnership Annual
Report on Form 10-K.

On July 1, 1995, the Partnership began amortizing unallocated acquisition
costs over 330 months from April 1, 1995.  As of December 31, 2007, the
Partnership has accumulated unallocated acquisition amortization totaling
$513,170. The breakdown of accumulated unallocated acquisition amortization
within the Partnership as of December 31, 2007 for Series 9, Series 10,
Series 11, Series 12, and Series 14 is $5,701, $30,388, $22,343, $137,524, and
$317,214, respectively.



NOTE C - RELATED PARTY TRANSACTIONS

The Partnership has entered into several transactions with various affiliates of the general partner, including Boston Capital Holdings, L.P. and Boston Capital Asset Management Limited Partnership, or BCAMLP, as follows:

Accounts payable - affiliates at December 31, 2007 and 2006 represents
accrued general and administrative expenses, accrued partnership management fees, and advances from an affiliate of the general partner, which are payable to Boston Capital Holdings, L.P. and Boston Capital Asset Management Limited
Partnership.

An annual partnership management fee based on .5 percent of the aggregate
cost of all apartment complexes owned by the Operating Partnerships has been
accrued to Boston Capital Asset Management Limited Partnership.  Since reporting fees collected by the series were added to reserves and not paid to Boston Capital Asset Management Limited Partnership, the amounts accrued are not net of reporting fees received.





Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

December 31, 2007

(Unaudited)

NOTE C - RELATED PARTY TRANSACTIONS (continued)

The partnership management fee accrued for the quarters ended December 31, 2007 and 2006 are as follows:



|          | 2007        | 2006       
|--------- | ----------- | -----------
|Series 7  | $     3,474 | $    15,366
|Series 9  | 72,960      | 86,040     
|Series 10 | 39,086      | 55,968     
|Series 11 | 53,873      | 77,727     
|Series 12 | 49,662      | 82,614     
|Series 14 | 143,957     | 166,665    
|          |             |            
|          | $   363,012 | $   484,380

The partnership management fee paid for the quarters ended December 31, 2007 and 2006 are as follows:



|          | 2007         | 2006       
|--------- | ------------ | -----------
|Series 7  | $          - | $         -
|Series 9  | 25,000       | -          
|Series 10 | 175,000      | -          
|Series 11 | 50,000       | 200,000    
|Series 12 | 125,000      | -          
|Series 14 | 75,000       | -          
|          |              |            
|          | $   450,000  | $   200,000

The partnership management fee paid for the nine months ended December 31, 2007 and 2006 are as follows:



|          | 2007        | 2006       
|--------- | ----------- | -----------
|Series 7  | $   512,501 | $   726,160
|Series 9  | 50,000      | 15,233     
|Series 10 | 524,512     | 31,825     
|Series 11 | 879,677     | 237,873    
|Series 12 | 349,835     | 150,743    
|Series 14 | 333,277     | 212,766    
|          |             |            
|          | $ 2,649,802 | $ 1,374,600









Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)  
December 31, 2007

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS

At December 31, 2007 and 2006 the Partnership had limited partnership
interests in 194 and 244 Operating Partnerships, respectively, which own apartment complexes. The number of Operating Partnerships in which the Partnership had limited partnership interests at December 31, 2007 and 2006 by series is as follows:



|          | 2007 | 2006
|--------- | ---- | ----
|Series 7  | 3    | 7   
|Series 9  | 33   | 39  
|Series 10 | 24   | 34  
|Series 11 | 26   | 35  
|Series 12 | 33   | 42  
|Series 14 | 75   | 87  
|          |      |     
|          | 194  | 244 
|          |      |     



Under the terms of the Partnership's investment in each Operating
Partnership, the Partnership is required to make capital contributions to the
Operating Partnerships.  These contributions are payable in installments over
several years upon each Operating Partnership achieving specified levels of
construction and/or operations.

The contributions payable at December 31, 2007 and 2006 by series are as
follows:



|          | 2007     | 2006    
|--------- | -------- | --------
|Series 7  | $      - | $      -
|Series 9  | -        | -       
|Series 10 | -        | -       
|Series 11 | 22,528   | 22,528  
|Series 12 | 11,405   | 11,405  
|Series 14 | 202,412  | 202,412 
|          |          |         
|          | $236,345 | $236,345
|          |          |         





Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)  
December 31, 2007

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS - Continued

During the nine months ended December 31, 2007 the Partnership disposed of thirty-three of the Operating Partnerships.  A summary of the dispositions by Series for December 31, 2007 is as follows:



|          | Operating Partnership Interest Transferred |  | Sale of Underlying Operating Partnership |  | Partnership Proceeds from Disposition |           | Gain/(Loss) on Disposition
|--------- | ------------------------------------------ |  | ---------------------------------------- |  | ------------------------------------- | --------- | --------------------------
|Series 7  | 2                                          |  | 2                                        |  | $                                     | 168,901   |                           
|Series 9  | 3                                          |  | 2                                        |  |                                       | 102,355   |                           
|Series 10 | 2                                          |  | 7                                        |  |                                       | 336,814   |                           
|Series 11 | -                                          |  | 8                                        |  |                                       | 808,417   |                           
|Series 12 | 1                                          |  | 3                                        |  |                                       | 128,550   |                           
|Series 14 | -                                          |  | 3                                        |  |                                       | 42,949    |                           
|Total     | 8                                          |  | 25                                       |  | $                                     | 1,587,986 |                           



* Partnership proceeds from disposition does not include the following amounts recorded as receivable at December 31, 2007, $32,292 for Series 9, $86,338 for Series 10, $191,286 for Series 11, $5,872 for Series 12, and $24,746 for Series 14.

The gain (loss) described above is for financial statement purposes only.  There are significant differences between the equity method of accounting and the tax reporting of income and losses from operating partnership investments. The largest difference is the ability, for tax purposes, to deduct losses in excess of the Partnership's investment in the Operating Partnership.  As such, the amount of gain recognized for tax purposes may be significantly higher than the gain recorded in the financial statements.



Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)  
December 31, 2007

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS - Continued

During the nine months ended December 31, 2006 the Partnership disposed of thirteen of the operating limited partnerships.  A summary of the dispositions by Series for December 31, 2006 is as follows:



|          | Operating Partnership Interest Transferred |  | Sale of Underlying Operating Partnership |  | Partnership Proceeds from Disposition |         | Gain/(Loss) on Disposition
|--------- | ------------------------------------------ |  | ---------------------------------------- |  | ------------------------------------- | ------- | --------------------------
|Series 7  | -                                          |  | 1                                        |  | $                                     | 36,300  |                           
|Series 9  | -                                          |  | 1                                        |  |                                       | -       |                           
|Series 10 | -                                          |  | 1                                        |  |                                       | -       |                           
|Series 11 | -                                          |  | 2                                        |  |                                       | -       |                           
|Series 12 | -                                          |  | 6                                        |  |                                       | 62,387  |                           
|Series 14 | -                                          |  | 2                                        |  |                                       | 35,524  |                           
|Total     | -                                          |  | 13                                       |  | $                                     | 134,211 |                           



* Partnership proceeds from disposition does not include the following amounts recorded as receivable at December 31, 2006, $326,920 for Series 7, $10 for Series 9, $10 for Series 10, $363,500 for Series 11, $1,948 for Series 12, and $10 for Series 14.

The gain (loss) described above is for financial statement purposes only.  There are significant differences between the equity method of accounting and the tax reporting of income and losses from operating partnership investments. The largest difference is the ability, for tax purposes, to deduct losses in excess of the Partnership's investment in the Operating Partnership.  As such, the amount of gain recognized for tax purposes may be significantly higher than the gain recorded in the financial statements.

The Partnership's fiscal year ends March 31 of each year, while all the

Operating Partnerships' fiscal years are the calendar year. Pursuant to the provisions of each Operating Partnership Agreement, financial results for each of the Operating Partnerships are provided to the Partnership within 45 days after the close of each Operating Partnership's quarterly period. Accordingly, the current financial results available for the Operating Partnerships are for the nine months ended September 30, 2007.









Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS

December 31, 2007

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,

(Unaudited)





|                 | 2007                                                                                 | 2006         
|---------------- | ------------------------------------------------------------------------------------ | -------------
|                 |                                                                                      |              
|Revenues         |                                                                                      |              
|                 | Rental                                                                               | $  28,650,651
|                 | Interest and other                                                                   | 1,361,271    
|                 | 30,011,922                                                                           | 37,361,386   
|                 |                                                                                      |              
|Expenses         |                                                                                      |              
|                 | Interest                                                                             | 6,009,272    
|                 | Depreciation and amortization                                                        | 6,645,766    
|                 | Operating expenses                                                                   | 21,094,207   
|                 | 33,749,245                                                                           | 41,381,042   
|                 |                                                                                      |              
|NET INCOME(LOSS) | $(3,737,323)                                                                         | $(4,019,656) 
|                 |                                                                                      |              
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(3,699,950) 
|                 |                                                                                      |              
|                 |                                                                                      |              
|                 | Net income(loss) allocated to other
partners                                         | $(37,373)    
|                 |                                                                                      |              

*Amounts include $3,439,988 and $3,562,482 for 2007 and 2006, respectively, of income(loss) not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.











Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS

December 31, 2007

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,

(Unaudited)

Series7



|                 | 2007                                                                                 | 2006         
|---------------- | ------------------------------------------------------------------------------------ | -------------
|                 |                                                                                      |              
|Revenues         |                                                                                      |              
|                 | Rental                                                                               | $     449,459
|                 | Interest and other                                                                   | 57,248       
|                 | 506,707                                                                              | 1,069,839    
|                 |                                                                                      |              
|Expenses         |                                                                                      |              
|                 | Interest                                                                             | 144,140      
|                 | Depreciation and amortization                                                        | 72,625       
|                 | Operating expenses                                                                   | 450,650      
|                 | 667,415                                                                              | 1,344,379    
|                 |                                                                                      |              
|NET INCOME(LOSS) | $(160,708)                                                                           | $(274,540)   
|                 |                                                                                      |              
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(159,101)   
|                 |                                                                                      |              
|                 |                                                                                      |              
|                 | Net income(loss) allocated to other
partners                                         | $(1,607)     
|                 |                                                                                      |              

*Amounts include $159,101 and $271,794 for 2007 and 2006, respectively, of income(loss) not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.









Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS
December 31, 2007
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)

Series9



|                 | 2007                                                                                 | 2006         
|---------------- | ------------------------------------------------------------------------------------ | -------------
|                 |                                                                                      |              
|Revenues         |                                                                                      |              
|                 | Rental                                                                               | $   5,635,372
|                 | Interest and other                                                                   | (94,139)     
|                 | 5,541,233                                                                            | 6,085,857    
|                 |                                                                                      |              
|Expenses         |                                                                                      |              
|                 | Interest                                                                             | 1,245,967    
|                 | Depreciation and amortization                                                        | 1,364,836    
|                 | Operating expenses                                                                   | 3,660,585    
|                 | 6,271,388                                                                            | 7,202,799    
|                 |                                                                                      |              
|NET INCOME(LOSS) | $(730,155)                                                                           | $(1,116,942) 
|                 |                                                                                      |              
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(722,853)   
|                 |                                                                                      |              
|                 |                                                                                      |              
|                 | Net income(loss) allocated to other
partners                                         | $(7,302)     
|                 |                                                                                      |              

*Amounts include $722,853 and $1,105,773 for 2007 and 2006, respectively, of income(loss) not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.











Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS
December 31, 2007
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)

Series 10

|                 | 2007                                                                                 | 2006        
|---------------- | ------------------------------------------------------------------------------------ | ------------
|                 |                                                                                      |             
|Revenues         |                                                                                      |             
|                 | Rental                                                                               | $  3,085,419
|                 | Interest and other                                                                   | 122,914     
|                 | 3,208,333                                                                            | 4,184,570   
|                 |                                                                                      |             
|Expenses         |                                                                                      |             
|                 | Interest                                                                             | 642,223     
|                 | Depreciation and amortization                                                        | 921,936     
|                 | Operating expenses                                                                   | 2,160,227   
|                 | 3,724,386                                                                            | 4,653,274   
|                 |                                                                                      |             
|NET INCOME(LOSS) | $(516,053)                                                                           | $(468,704)  
|                 |                                                                                      |             
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(510,893)  
|                 |                                                                                      |             
|                 |                                                                                      |             
|                 | Net income(loss) allocated to other
partners                                         | $(5,160)    
|                 |                                                                                      |             

*Amounts include $506,391 and $441,435 for 2007 and 2006, respectively, of loss not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.





































Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS
December 31, 2007
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)

Series 11



|                 | 2007                                                                                 | 2006        
|---------------- | ------------------------------------------------------------------------------------ | ------------
|                 |                                                                                      |             
|Revenues         |                                                                                      |             
|                 | Rental                                                                               | $  4,717,500
|                 | Interest and other                                                                   | 353,917     
|                 | 5,071,417                                                                            | 6,810,244   
|                 |                                                                                      |             
|Expenses         |                                                                                      |             
|                 | Interest                                                                             | 917,250     
|                 | Depreciation and amortization                                                        | 842,774     
|                 | Operating expenses                                                                   | 3,898,496   
|                 | 5,658,520                                                                            | 6,578,847   
|                 |                                                                                      |             
|NET INCOME(LOSS) | $(587,103)                                                                           | $231,397    
|                 |                                                                                      |             
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(581,232)  
|                 |                                                                                      |             
|                 |                                                                                      |             
|                 | Net income(loss) allocated to other
partners                                         | $(5,871)    
|                 |                                                                                      |             

*Amounts include $(464,231) and $412,808 for 2007 and 2006, respectively, of income (loss) not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.











Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS
December 31, 2007
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)

Series 12

|                 | 2007                                                                                 | 2006        
|---------------- | ------------------------------------------------------------------------------------ | ------------
|                 |                                                                                      |             
|Revenues         |                                                                                      |             
|                 | Rental                                                                               | $  3,687,750
|                 | Interest and other                                                                   | 361,980     
|                 | 4,049,730                                                                            | 6,279,726   
|                 |                                                                                      |             
|Expenses         |                                                                                      |             
|                 | Interest                                                                             | 872,548     
|                 | Depreciation and amortization                                                        | 425,793     
|                 | Operating expenses                                                                   | 3,286,073   
|                 | 4,584,414                                                                            | 7,246,329   
|                 |                                                                                      |             
|NET INCOME(LOSS) | $(534,684)                                                                           | $(966,603)  
|                 |                                                                                      |             
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(529,337)  
|                 |                                                                                      |             
|                 |                                                                                      |             
|                 | Net income(loss) allocated to other
partners                                         | $(5,347)    
|                 |                                                                                      |             

*Amounts include $529,337 and $878,500 for 2007 and 2006, respectively, of loss not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.

































Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS
December 31, 2007
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months Ended September 30,
(Unaudited)

Series 14

|                 | 2007                                                                                 | 2006        
|---------------- | ------------------------------------------------------------------------------------ | ------------
|                 |                                                                                      |             
|Revenues         |                                                                                      |             
|                 | Rental                                                                               | $ 11,075,151
|                 | Interest and other                                                                   | 559,351     
|                 | 11,634,502                                                                           | 12,931,150  
|                 |                                                                                      |             
|Expenses         |                                                                                      |             
|                 | Interest                                                                             | 2,187,144   
|                 | Depreciation and amortization                                                        | 3,017,802   
|                 | Operating expenses                                                                   | 7,638,176   
|                 | 12,843,122                                                                           | 14,355,414  
|                 |                                                                                      |             
|NET INCOME(LOSS) | $(1,208,620)                                                                         | $(1,424,264)
|                 |                                                                                      |             
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(1,196,534)
|                 |                                                                                      |             
|                 |                                                                                      |             
|                 | Net income(loss) allocated to other
partners                                         | $(12,086)   
|                 |                                                                                      |             

*Amounts include $1,058,075 and $1,277,788 for 2007 and 2006, respectively, of loss not recognized under the equity method of accounting.

The Partnership accounts for its investments using the equity method of
accounting.  Under the equity method of accounting, the Partnership adjusts
its investment cost for its share of each Operating Partnership's results of
operations and for any distributions received or accrued.  However, the
Partnership recognizes individual operating losses only to the extent of
capital contributions.  Excess losses are suspended for use in future years to
offset excess income.





Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)
December 31, 2007
(Unaudited)

NOTE E - TAXABLE LOSS

The taxable loss for the calendar year ended December 31, 2007 is expected to differ from its loss for financial reporting purposes. This is primarily due to accounting differences in depreciation incurred by the Operating Partnerships and also differences between the equity method of accounting and the IRS accounting methods. No provision or benefit for income taxes has been included in these financial statements since taxable income or loss passes through to, and is reportable by, the partners and assignees individually.

NOTE F - SUBSEQUENT EVENT

Subsequent to December 31, 2007, the Partnership has entered into agreements to either sell or transfer interests in seven Operating Partnerships. The estimated sales prices and other terms for disposition of the Operating Partnerships have not been determined. Gain on sale of the Operating Partnerships in the aggregate is expected to be recognized in either the third or fourth quarter of fiscal year 2008.



Item 2.   Management's Discussion and Analysis of Financial
               Condition and Results of Operations

This Management's Discussion and Analysis of Financial Condition and Results of Operations contains forward-looking statements including our intentions, hopes, beliefs, expectations, strategies and predictions of our future activities, or other future events or conditions. These statements are "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbors created by these acts. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including, for example, the factors identified in Part I, Item 1A. "Risk Factors" of our Annual Report on Form 10-K for the fiscal year ended March 31, 2007. Although we believe that the assumptions underlying these forward-looking statements are reasonable, any of the assumptions could be inaccurate, and there can be no assurance that the forward-looking statements included in this Report will prove to be accurate. In light of the significant uncertainties inherent in these forward-looking statements, the inclusion of this information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved.



Liquidity
The Partnership's primary source of funds was the proceeds of its Public Offering.  Other sources of liquidity include (i) interest earned on capital contributions unpaid for the nine months ended December 31, 2007 or on working capital reserves and (ii) cash distributions from operations of the Operating Partnerships in which the Partnership has invested.  These sources of liquidity, along with the Partnership's working capital reserve, are available to meet the obligations of the Partnership.  The Partnership does not anticipate significant cash distributions from operations of the Operating Partnerships.

The Partnership has recognized other income for the nine months ended December 31, 2007 in the amount of $72,917. The balance represents distributions received from Operating Partnerships, which the Partnership normally records as a decrease in the Investment in Operating Partnerships. Due to the equity method of accounting, the Partnership has recorded these distributions as other income.

The Partnership is currently accruing the partnership management fee.  Partnership management fees accrued during the quarter ended December 31, 2007 were $363,012 and total partnership management fees accrued as of December 31, 2007 were $25,365,675. During the quarter and nine months ended December 31, 2007 $450,000 and $2,649,802 of accrued partnership management fees was paid. Pursuant to the Partnership Agreement, these liabilities will be deferred until the Partnership receives proceeds from sales of the Operating Partnerships, which will be used to satisfy these liabilities.  The Partnership's working capital and sources of liquidity coupled with affiliated party liability accruals allow sufficient levels of liquidity to meet the third party obligations of the Partnership.  The Partnership is currently unaware of any trends that would create insufficient liquidity to meet future third party obligations of the Partnership.

As of December 31, 2007, an affiliate of the general partner of the Partnership advanced a total of $747,920 to the Partnership to pay some operating expenses of the Partnership, and to make advances and/or loans to Operating Partnerships. These advances are included in Accounts payable-affiliates.  During the quarter ended December 31, 2007 the Partnership did not receive any advances. Below is a summary, by series, of the total advances made to date.



|          | Current Quarter | Total   
|--------- | --------------- | --------
|Series 7  | $      -        | $322,613
|Series 11 | -               | 99,461  
|Series 12 | -               | 153,188 
|Series 14 | -               | 172,658 
|          | $      -        | $747,920

All payables to affiliates will be paid, without interest, from available cash flow or the proceeds of sales or refinancing of the Partnership's interests in Operating Partnerships.  During the nine months ended December 31, 2007, Series 12 paid $62,550 to an affiliate of the general partner.

Capital Resources

The Partnership offered BACs in a Public Offering declared effective by the Securities and Exchange Commission on October 25, 1989.  The Partnership received and accepted subscriptions for $186,337,017 representing 18,679,738 BACs from investors admitted as BAC holders in Series 7 through Series 14 of the Partnership.

As of December 31, 2007 the Partnership had $1,259,693 remaining in cash and cash equivalents.  Below is a table, which provides, by series, the equity raised, number of BACs sold, final date BACs were offered, number of properties acquired, and cash and cash equivalents.

|Series | Equity       | BACs       | Final Close Date | Number of
Properties | Cash and Cash Equivalents
|------ | ------------ | ---------- | ---------------- | -------------------- | -------------------------
|7      | $ 10,361,000 | 1,036,100  | 12/29/89         | 3                    | $   156,232              
|9      | 41,574,018   | 4,178,029  | 05/04/90         | 33                   | 156,191                  
|10     | 24,288,997   | 2,428,925  | 08/24/90         | 24                   | 203,859                  
|11     | 24,735,002   | 2,489,599  | 12/27/90         | 26                   | 150,232                  
|12     | 29,710,003   | 2,972,795  | 04/30/91         | 33                   | 204,323                  
|14     | 55,728,997   | 5,574,290  | 01/27/92         | 75                   | 388,856                  
|       |              |            |                  |                      |                          
|       | $186,398,017 | 18,679,738 |                  | 194                  | $1,259,693               
|       |              |            |                  |                      |                          

Reserve balances are remaining proceeds less outstanding capital contribution obligations, which have not been advanced or loaned to the Operating Partnerships.  The reserve balances for Series 7,9,10,11,12 and 14 as of December 31, 2007 are $156,232, $156,191, $203,859, $127,704, $192,918 and $186,444, respectively.

(Series 8)  No BACs with respect to Series 8 were offered.

(Series 13)  No BACs with respect to Series 13 were offered.













































Results of Operations

As of December 31, 2007 and 2006 the Partnership held limited partnership interests in 194 and 244 Operating Partnerships, respectively.  In each instance the apartment complex owned by the applicable Operating Partnership is eligible for the federal housing tax credit.  Initial occupancy of a unit in each apartment complex which initially complied with the minimum set-aside test (i.e., initial occupancy by tenants with incomes equal to no more than a certain percentage of area median income) and the rent restriction test (i.e., gross rent charged tenants does not exceed 30% of the applicable income standards) is referred to as "Qualified Occupancy."  Each of the Operating Partnerships and each of the respective apartment complexes are described more fully in the Prospectus or applicable report on Form 8-K.  The general partner believes that there is adequate casualty insurance on the properties.

The Partnership incurs an annual partnership management fee to the general partner of the Partnership and/or its affiliates in an amount equal to 0.5% of the aggregate cost of the apartment complexes owned by the Operating Partnerships, less the amount of various partnership management and reporting fees paid by the Operating Partnerships. The partnership management fees incurred and the reporting fees paid by the Operating Partnerships for the three and nine months ended December 31, 2007 are as follows:

|          | 3 Months
Management Fee Net of Reporting Fee | 3 MonthsReporting Fee | 9 Months
Management Fee Net of Reporting Fee | 9 MonthsReporting Fee
|--------- | -------------------------------------------- | --------------------- | -------------------------------------------- | ---------------------
|Series 07 | $   3,174                                    | $     300             | $   7,547                                    | $   8,834            
|Series 09 | 57,097                                       | 15,863                | 198,374                                      | 28,437               
|Series 10 | 9,393                                        | 29,693                | 34,231                                       | 89,191               
|Series 11 | 19,951                                       | 33,922                | 134,138                                      | 55,699               
|Series 12 | 37,924                                       | 11,738                | 108,778                                      | 41,643               
|Series 14 | 94,154                                       | 49,803                | 330,387                                      | 107,060              
|          | $ 221,693                                    | $ 141,319             | $ 813,455                                    | $ 330,864            

The Partnership's investment objectives do not include receipt of significant cash distributions from the Operating Partnerships in which it has invested.  The Partnership's investments in Operating Partnerships have been made principally with a view towards realization of federal housing tax credits for allocation to its partners and BAC holders.

The Partnership's investments in Operating Partnerships have been made principally with a view towards realization of federal housing tax credits for allocation to its partners and BAC holders.

(Series 7)

As of December 31, 2007 and 2006, the average Qualified Occupancy for the series was 100%.  The series had a total of 3 properties at December 31, 2007 all of which were 100% Qualified Occupancy.

For the periods ended December 31, 2007 and 2006, Series 7 reflects net loss from Operating Partnerships of $(160,708) and $(274,540), respectively, which includes depreciation and amortization of $72,625 and $255,973, respectively. This is an interim period estimate; it is not indicative of the final year end results.

In March 2006, the property owned by Metropole Apartments Associates Limited Partnership was sold for $6,150,000, which includes the outstanding mortgage balance of approximately $3,936,450 and proceeds to the Operating Partnership of $1,736,881. The net proceeds paid to Series 7 were $808,572. Of the total proceeds received, $113,726 represents reimbursements of funds previously advanced by an affiliate of the investment general partner, $46,500 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $9,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $639,346 will be returned to cash reserves held by Series 7.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $753,072 as of March 31, 2006.

In July 2007, the investment general partner entered into an agreement to transfer its interest in Deer Hill II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,431,974 and cash proceeds to the investment partnership of $140,000.  Of the total proceeds received, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $132,500 will be returned to cash reserves held by Series 7.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $132,500 as of August 31, 2007.

In August 2007, the investment general partner entered into an agreement to transfer its interest in Oakview Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,092,000 and cash proceeds to the investment limited partners of $32,760.  Of the total proceeds received, $1,130 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,579 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $24,051 will be returned to cash reserves held by Series 7.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $24,051 as of August 31, 2007.

In July 2007, the investment general partner entered into an agreement to transfer its interest in Westwood Square Apartments Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,363,362 and cash proceeds to the investment partnerships of Series 7 and Series 9 of $15,200 and $24,800, respectively.  Of the total proceeds received, $2,850 and $4,650, respectively, was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $12,350 and $20,150 for Series 7 and Series 9, respectively, will be returned to cash reserves held by Series 7 and Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $12,350 and $20,150 for Series 7 and Series 9, respectively, as of August 31, 2007.

In December 2004, the investment partnership sold its interest in Buckner Properties, Limited Partnership (Buckner Properties) to the operating general partner for his assumption of the outstanding mortgage balance of $607,514 and proceeds to the investment partnership of $18,225.  Of the total investment partnership proceeds, $5,000 represents payment of outstanding reporting fees due to an affiliate of the investment partnership.  The remaining proceeds of $13,225 were paid to BCAMLP for expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amounts paid to BCAMLP is as follows:  $2,182 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal costs; and $11,043 represents partial reimbursement of outstanding advances and asset management fees. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $13,043 as of December 31, 2004.  In the prior fiscal year ended March 31, 2006, $182 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In December 2004, the investment partnership sold its interest in Winfield Properties II, Limited Partnership (Winfield Properties II) to the operating general partner for his assumption of the outstanding mortgage balance of $598,371 and proceeds to the investment partnership of $17,951.  Of the total investment partnership proceeds, $5,000 represents payment of outstanding reporting fees due to an affiliate of the investment partnership.  The remaining proceeds of $12,951 were paid to BCAMLP for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amounts paid to BCAMLP is as follows:  $2,180 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal costs; and $10,771 represents partial reimbursement of outstanding advances and asset management fees. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $12,771 as of December 31, 2004. In the prior fiscal year ended March 31, 2006, $180 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In October 2004, while attempting to capitalize on the strong California real estate market, the operating general partner of Rosenberg Building Associates (Rosenberg Apartments) entered into an agreement to sell the property and the transaction closed in the first quarter of 2005.  As part of the purchase agreement, the buyer is required to maintain the property as affordable housing through the end of the tax credit compliance period, and to provide a recapture bond to avoid the recapture of the tax credits that have been taken. After repayment of the outstanding mortgage balance of approximately $1,699,801, and payments of outstanding fees due to the managing and operating general partners of $61,748 and $173,500, respectively, proceeds to the investment limited partners were $1,508,640.  Of the investment limited partner proceeds received: $120,086 represents re-payment of outstanding loans made to the Operating Partnership; and $76,251 represents payment of outstanding investor service fees.  The remaining proceeds of $1,312,303 were paid to the investment limited partnerships, Boston Capital Tax Credit Fund I Series 4 and Series 6 and the Partnership's Series 7 and Series 14, in accordance with their contributions to the Operating Partnership and the terms of the Operating Partnership agreement.  The amount paid to each Series is as follows: Series 4 $138,130, Series 6 $91,034, Series 7 $318,139 and Series 14 $765,000.  Series 4, Series 6, Series 7 and Series 14 will use $43,705, $28,804, $100,661 and $233,948, respectively, of their proceeds to pay outstanding asset management fees due to an affiliate of the investment partnership. In August 2005 additional sale proceeds of $59,929 were received and were allocated to Series 4, Series 6, and Series 7 as follows: $15,125 to Series 4, $9,968 to Series 6, and $34,836 to Series 7.  Of the initial and additional sales proceeds, it is estimated that approximately $109,550, $66,725, $233,186 and $490,795, for Series 4, Series 6, Series 7, and Series 14, respectively, will be distributed to the investors, or used to pay non-resident tax withholdings requirements of the State of California.  Provided that this is the actual amount distributed, the investor per BAC distribution will be $.037, $.051, $.225, and $.090, for Series 4, Series 6, Series 7, and Series 14, respectively. The remaining amount of $64,888 will be retained by the investment limited partner to improve their reserve balances this amount is allocated to Series 6, Series 7, and Series 14 as follows: $5,473 to Series 6, $19,127 to Series 7, and $40,288 to Series 14.  A gain/(loss) on the sale of the investment limited partner interest of ($645,692), ($348,936), $318,139, and $288,349, for Series 4, Series 6, Series 7, and Series 14, respectively, was realized in the quarter ended March 31, 2005. An additional gain on the sale of the investment limited partner interest of $15,125, $9,968, and $34,836, for Series 4, Series 6, and Series 7, respectively, was realized in the quarter ended September 30, 2005.  The gain/(loss) recorded represented the proceeds received by the investment limited partnership, net of their remaining investment balance and their share of the overhead and expense reimbursement.

In December 2001, the operating general partner of King City Elderly Housing exercised its option to purchase King City Elderly Housing (Leo A. Meyer Senior Citizen Housing) from Series 7.  In March 2003, the investment general partner entered into an agreement to sell the property to the operating general partner in return for its agreement to assume the outstanding mortgage balance of approximately $1,680,854 and distribute cash proceeds to the investment partnership of $320,278.  In the 10-Q filed for the quarter ended December 31, 2005 it was estimated that $131,888 would be distributed to investors and provided this was the actual amount distributed, the investor per BAC distribution would be $.08 and that the remaining proceeds of $188,390 were anticipated to be paid to BCAMLP for fees and expenses related to the sale and partial reimbursement for amounts owed to affiliates.  The breakdown of the amount to be paid to BCAMLP is as follows: $4,000 represents the reimbursement of legal expenses incurred in connection with the disposition of the property; and $184,390 represents partial reimbursement for outstanding asset management fees.  It has been decided that the reimbursement related to the disposition of $131,888 will not be paid, and that the monies originally anticipated to be returned to investors will be added back to the Series' working capital reserves.  The monies returned to the Series' working capital reserves will be available to pay obligations of the investment limited partnership.  A gain on the sale of the Operating Partnership in the amount of the proceeds from the sale, net of the expenses, has been recorded in the amount of $284,510 as of September 30, 2005. The gain recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance, non-reimbursed advances to the Operating Partnership and their share of legal expenses.

In December 2006, the investment general partner transferred the interest of - Boston Capital Tax Credit Fund I LP Series 6 and Series 7 in Hillandale Commons Limited Partnership to an entity affiliated with the operating general partner, for its assumption of the outstanding mortgage balance and cash proceeds of $863,000.  In accordance with Agreement of Purchase and Sale an initial payment of $67,200 and $52,800 was paid in December 2006 and an outstanding note payable of $416,080 and $326,920 was paid in July 2007 to Series 6 and Series 7, respectively. Of the gross proceeds received, $16,800 and $13,200 represent reporting fees due to an affiliate, and $4,200 and $3,300 was paid to BCAMLP for expenses of the sale, which includes third party legal costs for Series 6 and Series 7, respectively.  Of the remaining proceeds, $462,280 and $363,220 for Series 6 and Series 7, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid partnership management fees, and accrued but unpaid expenses of the investment limited partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnerships' investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. The sale proceeds, previously recorded as receivable, in the amount of $416,080 and $326,920 for Series 6 and Series 7, respectively, was received as of July 31, 2007.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the expense and overhead reimbursement, has been recorded in the amount of $462,280 and $363,220, for Series 6 and Series 7, respectively, as of December 31, 2006.



In November 2006, the investment general partner transferred 50% of its interest in Creekside Apartments, a Pennsylvania limited partnership to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $622,287 and cash proceeds to the investment limited partner of $6,821. Of the proceeds received, $3,071 represented reporting fees due to an affiliate of the investment limited partnership and $3,750 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. No proceeds were returned to the cash reserves held by Series 7.  In December 2007, the investment general partner transferred its remaining 50% investment limited partner interest in the Operating Partnership to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $620,109 and cash proceeds to the investment limited partner of $6,821.  Of the total proceeds to be received, $3,071 represents reporting fees due to an affiliate of the investment limited partnership and $3,750 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. No proceeds were returned to the cash reserves held by Series 7. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partner investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the partial transfer of the investment limited partner interest has been recorded.

(Series 9)

As of December 31, 2007 and 2006, the average Qualified Occupancy for the series was 99.9%.  The series had a total of 33 properties at December 31, 2007. Out of the total, 31 were at 100% Qualified Occupancy.

For the periods ended December 31, 2007 and 2006, Series 9 reflects loss from Operating Partnerships of $(730,155) and $(1,116,942), respectively, which includes depreciation and amortization of $1,364,836 and $1,604,616, respectively. This is an interim period estimate; it is not indicative of the final year end results.

Blanco Seniors Apartments Ltd (Blanco Seniors Apartments) is a 20-unit elderly development located in Blanco, Texas.  In 2006, the partnership experienced significant increases in the operating expenses, causing the property to operate below breakeven.  The above normal operating costs were experienced as a result of property improvements.  Since the site was completed in September 1994, the property is aging; so capital expenditures will continue to be necessary to improve the curb appeal.  Despite occupancy averaging 99% in 2007, the property continues to operate below breakeven.  At this point the current rental rates cannot generate enough revenue to cover expenses.  The operating general partner is hopeful a rental rate increase will be approved and implemented in 2008.  The slightest increase may cause vacancies as the tenants are on limited incomes.  The operating general partner will work closely with the on-site manager to weigh the effects on occupancy if an increase is applied.  The investment general partner will continue to monitor the property's operations.  The operating general partner is funding deficits as the guarantee is unlimited in time and amount.  All real estate tax, mortgage, and insurance payments are current.

In August 2007, the investment general partner entered into an agreement to transfer its interest in Brooklyn Limited to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,079,144 and cash proceeds to the investment limited partners of $32,374.  Of the total proceeds received, $7,579 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $24,795 will be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $24,795 as of August 31, 2007.

In May 2007, the investment general partner of School Street II LP approved an agreement to sell the property and the transaction closed on July 10, 2007. The sales price of the property was $875,000, which includes the outstanding mortgage balance of approximately $625,716. After the payment of all costs related to the sale of the property, including the brokerage commission, legal fees, satisfaction of the outstanding mortgage balance, and repayment of previous advances to the operating general partner in accordance with the operating partnership agreement, cash proceeds to the investment limited partner were $0. As part of the purchase agreement, the buyer is required to maintain the property as affordable housing through the end of the tax credit compliance period which ends December 31, 2007. In addition, the operating general partner has provided a recapture bond on behalf of the investment limited partner to avoid the recapture of the tax credits that have been taken. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain on the sale of the Operating Partnership was been recorded.



Fountain Green Apartments, Limited (Fountain Green Apartments) is a 24-unit property located in Crestview, FL.  The property's operations were strong in 2007, with an average occupancy of 94%.  All insurance, real estate taxes, and mortgage payments are current.  Tax credit delivery ended in 2002 and the compliance period expired in 2007.

In July 2007, the investment general partner entered into an agreement to transfer its interest in Westwood Square Apartments Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,363,362 and cash proceeds to the investment partnerships of Series 7 and Series 9 of $15,200 and $24,800, respectively.  Of the total proceeds received, $2,850 and $4,650, respectively, was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $12,350 and $20,150 for Series 7 and Series 9, respectively, will be returned to cash reserves held by Series 7 and Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $12,350 and $20,150 for Series 7 and Series 9, respectively, as of August 31, 2007.

Glenwood Hotel Investors (Glenwood Hotel) is 36-unit single room occupancy development, located in Porterville, CA. In 2006 this property operated with an average physical occupancy of 97%. Average physical occupancy remained strong and stable at 97% in 2007. Despite strong occupancy the property is unable to breakeven due to low rental rates. To maintain a high occupancy level and to be competitive in the market, the management feels it is necessary to keep low rental rates. The management agent continues to market the available units to the housing authority, as well as performing various outreach efforts to attract qualified residents and to maintain high occupancy levels.  The operating general partner continues to support the Operating Partnership financially. The operating general partner funded an operating deficit of $37,973 in 2006.  The mortgage, insurance and payables are current. The tax credit compliance period for this Operating Partnership ended on December 31, 2005.

In December 2006, the investment limited partnership transferred its interest in Surry Village II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance and cash proceeds to the investment limited partner of $10. The cash proceeds were returned to cash reserves held by Series 9. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement, if the property owned by the Operating Partnership is refinanced or sold, there would be a residual payment of $7,000 plus the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership agreement in effect at the date the investment limited partner transferred its interest. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $10 as of December 31, 2006.  The transfer of the Operating Partnership has been recognized as of December 31, 2006, and the proceeds were received in the first quarter of 2007.

In December 2006, the investment general partner exercised an option to transfer their interest in Springfield Housing Associates Limited Partnership to an affiliated entity of the operating general partner for its assumption of the outstanding mortgage balance of $3,921,906 and cash proceeds to the investment limited partner of $35,780 (Series 9) and $81,877 (Series 12).  The transaction closed in January 2007. Of the total proceeds received, $70,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the proceeds received, $2,281 (Series 9) and $5,219 (Series 12) was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $12,212 and $27,945 were returned to cash reserves held by Series 9 and Series 12, respectively. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the transfer of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $12,212 for Series 9 and $27,945 for Series 12 as of March 31, 2007.

Warrensburg Estates Limited Partnership (Warrensburg Estates), is a 32-unit property located in Warrensburg, Missouri. The property reached the end of its compliance period on December 31, 2004. In June 2005, the investment partnership sold its interest in Warrensburg Estates, Limited Partnership to the operating general partner for his assumption of the outstanding mortgage balance of $773,085 and proceeds to the investment partnership of $23,264.  Of the total investment partnership proceeds received, $5,000 represents payment of outstanding reporting fees due to an affiliate of the investment partnership.  The remaining proceeds of $18,264 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amounts to be paid to BCAMLP is as follows:  $2,000 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal costs; and $16,264 represents partial reimbursement for outstanding advances and asset management fees. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $16,264 as of March 31, 2006.

In December 2004, Series 9 negotiated a sale of its investment limited partner interest in Pedcor Investments 1989-VIII (Port Crossing Apartments) to the operating general partner for his assumption of the outstanding mortgage of approximately $3,747,940 and proceeds to Series 9 of $906,000.  The sale of the investment limited partner interest occurred in the first quarter of 2005.  Of the total investment limited partner proceeds $32,000 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the net proceeds $232,000 was distributed to the investors.  The investor per BAC distribution was $.056.  The total return to the investors was distributed based on the number of BACs held by each investor.  The remaining proceeds of $642,000 were paid to BCAMLP for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates. The breakdown of the amount paid to BCAMLP is as follows: $21,560 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $620,440 represents a partial payment of outstanding asset management fees due to BCAMLP.  A gain on the sale of the Operating Partnership in the amount of the proceeds from the sale, net of the overhead and expense reimbursement and the Operating Partnership's investment balance at the time of the sale, has been recorded in the amount of $779,369 as of March 31, 2005.  As of March 31, 2006 $9,060 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.  A reduction in the amount of $12,500 on the gain recorded in the prior year was recorded for final costs incurred on the disposition of the property.

In October 2004, the operating general partner of Cedar Rapids Housing Associates (Country Hill Apartments I) entered into an agreement to sell the property and the transaction closed in the first quarter of 2005. The total proceeds received by the investment limited partner, after the payment of the outstanding mortgage balance and other liabilities of $4,890,157, were $485,000.  Of the net proceeds received, $225,000 was distributed to the investors.  The total returned to the investors was distributed based on the number of BACs held by each investor.  The investor per BAC distribution was $.053. The remaining proceeds of $260,000 were paid to BCAMLP for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates. The breakdown of the amount paid to BCAMLP is as follows:  $68,750 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $191,250 represents partial reimbursement for outstanding asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $416,250 as of March 31, 2005. In the prior fiscal year ended March 31, 2006 $59,750 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In June 2007, the investment general partner transferred the investment partnership's interest in Twin Oaks Associates Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,110,415 and cash proceeds to the investment partnership of $43,873.  Of the total proceeds received $2,550 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $33,823 will be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $33,823 as of June 30, 2007.

In June 2007, the investment general partner transferred the investment partnership's interest in Old Stage Road Associates Limited to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,225,662 and cash proceeds to the investment partnership of $31,999.  Of the total proceeds received, $912 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $23,587 will be returned to cash reserves held by the BCTC Fund II  LP - Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $23,587 as of June 30, 2007.

In March 2005, the investment general partner sold its interest in Breezewood RRH, Ltd., to a non-affiliated entity for its assumption of the outstanding mortgage balance of $1,403,106 and proceeds to the investment limited partner of $56,124. Of the total investment limited partner proceeds received, $3,570 represents payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the remaining proceeds, the net distribution to investors was $16,196.  This represents a per BAC distribution of $0.004.  The total return to the investor was distributed based on the number of BACS held by each investor.  The remaining proceeds of $36,358 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,016 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $27,342 represents partial reimbursement for outstanding advances and asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $43,538 as of March 31, 2005. In the prior fiscal year ended March 31, 2006, $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In March 2005, the investment general partner sold its interest in Cambridge Manor, Ltd., (Cambridge Manor) to a non-affiliated entity for its assumption of the outstanding mortgage balance of $1,110,193 and proceeds to the investment limited partner of $44,408. Of the total investment limited partner proceeds received, $6,215 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the remaining proceeds, the net distribution to investors was $10,933.  This represents a per BAC distribution of $0.003.  The total return to the investors was distributed based on the number of BACS held by each investor.  The remaining proceeds of $27,260 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,016 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $18,244 represents partial reimbursement for outstanding advances and asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $29,177 as of March 31, 2005. In the prior fiscal year ended March 31, 2006, $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In March 2005, the investment general partner sold its interest in Hernando 515, (Ventura Village) Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of $1,458,165 and proceeds to the investment limited partner of $58,327. Of the total investment limited partner proceeds received, $13,882 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the remaining proceeds, the net distribution to investors was $17,185.  This represents a per BAC distribution of $0.004.  The total return to the investors was distributed based on the number of BACS held by each investor.  The remaining proceeds of $27,260 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,017 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $18,243 represents partial reimbursement for outstanding advances and asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $35,428 as of March 31, 2005. In the prior fiscal year ended March 31, 2006, $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In March 2005, the investment general partner sold its interest in Hobe Sound RRH, Ltd. (Breezewood Village Phase I), to a non-affiliated entity for its assumption of the outstanding mortgage balance of $2,725,687 and proceeds to the investment limited partner of $109,027.  Of the total investment limited partner proceeds received, $7,188 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the remaining proceeds, the net distribution to investors was $39,961.  This represents a per BAC distribution of $0.010.  The total return to the investors was distributed based on the number of BACS held by each investor.  The remaining proceeds of $61,878 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,017 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $52,861 represents partial reimbursement for outstanding advances and asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $92,822 as of March 31, 2005. In the prior fiscal year ended March 31, 2006, $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In March 2005, the investment general partner sold its interest in Quail Hollow RRH, Ltd., (Quail Hollow Apts.) to a non-affiliated entity for its assumption of the outstanding mortgage balance of $1,439,422 and proceeds to the investment limited partner of $57,577. Of the total investment limited partner proceeds received, $2,198 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  Of the remaining proceeds, the net distribution to investors was $16,848.  This represents a per BAC distribution of $0.004.  The total return to the investors was distributed based on the number of BACS held by each investor.  The remaining proceeds of $38,531 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,017 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $29,514 represents partial reimbursement for outstanding advances and asset management fees.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $46,362 as of March 31, 2005. In the prior fiscal year ended March 31, 2006, $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In June 2007, the investment general partner of Grand Princess Manor Limited Partnership approved an agreement to sell the property and the transaction is anticipated to close in September 2008.  The anticipated sales price for the property is $1,638,630, which includes the outstanding mortgage balance of approximately $1,453,630 and cash proceeds to the investment partnership of $140,000.  Of the total proceeds anticipated to be received, $15,000 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $125,000 is anticipated to be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In June 2007, the investment general partner of Grand Princess Villas Limited Partnership approved an agreement to sell the property and the transaction is anticipated to close in September 2008.  The anticipated sales price for the property is $1,637,660, which includes the outstanding mortgage balance of approximately $1,452,660 and cash proceeds to the investment partnership of $140,000.  Of the total proceeds anticipated to be received, $15,000 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $125,000 is anticipated to be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In December 2007, the investment general partner of Series 9 entered into an agreement to transfer its interest in Rainbow Garden Apartments Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,168,553 and anticipated cash proceeds to the investment partnership of $42,068. Of the total proceeds received, $1,517 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. The transaction is anticipated to close in January 2008.  Of the total proceeds anticipated to be received, $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $33,051 is anticipated to be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In December 2007, the investment general partner of Series 9 entered into an agreement to transfer 99% of its interest in Haines City Apartments Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,374,226 and cash proceeds to the investment partnership of $48,000.  Of the total proceeds to be received, $8,208 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $32,292 will be returned to cash reserves held by Series 9.  The remaining 1% investment partnership interest in the Operating Partnership is anticipated to close in December 2008 for its assumption of the outstanding mortgage balance of approximately $13,881 and cash proceeds of $10,000. The remaining proceeds of $10,000 is anticipated to be returned to cash reserves held by Series 9. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $32,292 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In December 2007, the investment general partner of Westside Associates Limited Partnership approved an agreement to sell the property and the transaction is anticipated to close in February 2008. The anticipated sales price for the property is $2,112,654, which includes the outstanding mortgage balance of approximately $2,102,654 and cash proceeds to the investment limited partner of $5,000.  It is anticipated that $5,000 will be paid to BCAMLP for expenses related to the sale, which include third party legal costs.  It is anticipated that no proceeds will be returned to cash reserves held by Series 9. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In September 2007, the investment general partner of Blakely Properties LP approved an agreement to sell the property and the transaction is anticipated to close in June 2008.  The anticipated sales price for the property is $1,501,011, which includes the outstanding mortgage balance of approximately $1,001,011 and cash proceeds to the investment limited partner of $300,000.  Of the total proceeds anticipated to be received, $18,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, it is anticipated that $7,500 will be paid to BCAMLP for expenses related to the sale, which include third party legal costs.  The remaining proceeds from the sale of $274,500 are anticipated to be returned to cash reserves held by Series 9.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

(Series 10)

As of December 31, 2007 and 2006, the average Qualified Occupancy for the series was 100%.  The series had a total of 24 properties at December 31, 2007, all of which were at 100% Qualified Occupancy.

For the periods ended December 31, 2007 and 2006, Series 10 reflects net loss from Operating Partnerships of $(516,053) and $(468,704), respectively, which includes depreciation and amortization of $921,936 and $1,048,616, respectively. This is an interim period estimate; it is not indicative of the final year end results.

Stratford Square LP (Stratford Square Apartments) is a 24-unit elderly community located in Brundidge, Alabama.  Historically, the property has operated with high occupancy and has been able to generate cash flow.  Occupancy averaged 94% in 2007.  Low rent levels and fluctuations in occupancy have caused poor periods of operation; however, through the third quarter 2007, the property continues to operate above breakeven.  Fourth quarter financial information has been requested from the management company by the investment general partner. All mortgage, tax and insurance payments are current. The operating deficit guarantee is unlimited in time and amount. On December 31, 2007, the 15-year low income housing tax credit compliance period expired with respect to Stratford Square Apartments.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

Lawton Apartments Company Limited Partnership (Village Commons) is a 58-unit, family property located in Lawton, MI. This property has historically had low occupancy, which has resulted in negative cash flow and delinquent taxes for the property. Average physical occupancy through the first quarter of 2005

was 58%.  Second quarter operating results were not reported by the operating general partner due to the foreclosure described below. Low occupancy was attributed to deferred maintenance issues and lack of employment in Lawton, combined with a high level of affordable housing in the surrounding area. The management company projected that approximately $110,000 was needed to address deferred maintenance repairs.  The operating general partner did not fund any capital improvements.  Due to the declining financial and physical conditions of this property, the operating reserve, replacement reserve, and tax and insurance escrow had not been properly funded.  The Operating Partnership was unable to support the mortgage payments, which resulted in the payments becoming more than 12 months delinquent. In May of 2003, Rural Development sent a letter to the operating general partner citing the mortgage delinquencies and started foreclosure proceedings against the property.  The operating general partner appealed the foreclosure actions, which the court rejected in June 2005. A disposition analysis performed by the investment general partner has indicated that the property's current value is less than the current mortgage balance.  As a result, it is in the investment partnership's best interest that no additional capital be invested into the project and that it be allowed to go to foreclosure. The Operating Partnership's compliance period ended December 31, 2004; so there will be no loss of credit or recapture of credits previously taken in the event of foreclosure.  The property received a notice of foreclosure in August of 2005, which included a six-month redemption clause.  No steps were taken on the redemption and the foreclosure was finalized in January 2006.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partner investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the foreclosure of the investment limited partner interest has been recorded.

In December 2006, the investment partnership transferred its interest in Chuckatuck Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance and cash proceeds to the investment limited partner of $10. The cash proceeds will be returned to cash reserves held by Series 10. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, there would be a residual payment of $12,500 plus the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership agreement in effect at the date the investment limited partner transferred its interest.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $10 as of December 31, 2006.  The transfer of the Operating Partnership has been recognized as of December 31, 2006, and the proceeds were received in the first quarter of 2007.

In the fourth quarter of 2006, the investment general partner of Dallas Apartments II approved an agreement to sell the property and the transaction closed on April 25, 2007.  The sales price for the property was $1,695,800, which includes the outstanding mortgage balance of approximately $1,387,536 and cash proceeds to the investment partnership of $76,998, $14,876, and $62,122 for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $5,000, $966, and $4,034 for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $725, and $3,025 for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $68,248, $13,185, and $55,063, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $68,248, $13,185, and $55,063, for Series 10, Series 11, and Series 12, respectively, as of June 30, 2007.  On August 21, 2007, additional sale proceeds of $3,036 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $1,518, $293 and $1,225 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.

In the fourth quarter of 2006, the investment general partner of Newnan Apartments II LP approved an agreement to sell the property and the transaction closed on April 25, 2007. The sales price for the property was $2,190,000, which includes the outstanding mortgage balance of approximately $1,784,003 and cash proceeds to the investment partnership of $102,514, $28,212, and $74,302, for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $2,500, $688, and $1,812, for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $1,032, and $2,718, for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, which were applied against the remaining balance in the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  As a result, no gain or loss on the transfer of the Operating Partnership was recorded as of June 30, 2007.  On August 21, 2007, additional sale proceeds of $6,875 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $3,438, $947 and $2,490 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.

Great Falls Properties Limited Partnership(Melrose Lane Apartments) is a 24-unit family development located in Great Falls, SC.  The property continues to compete against other affordable housing developments in the area that offer rental assistance.  The market area remains soft due to loss of industry.  As a result, management struggles to maintain occupancy levels at or above 90%.  In 2006 occupancy averaged 89%, in line with historical averages.  Through the third quarter of 2007, occupancy is averaging 90%.  The Operating Partnership continues to operate at a deficit.  In the past, management has made several unsuccessful attempts to obtain a real estate tax abatement for the property.  Additionally, management has worked with the State to obtain project-based Section 8 subsidies; however, to date, no awards have been made. An approved workout plan is in effect to replenish the replacement reserve account, which continues to be substantially under-funded.  All insurance, real estate tax and mortgage payments are current.  To date the operating general partner has funded the cash deficit by accruing management fees due to an affiliate, and has made cash advances totaling $18,278.

In January 2007, the investment general partner of Great Falls Properties Limited Partnership entered into an agreement to sell the property.  The transaction was anticipated to close in the second quarter of 2007. However, the agreement expired in March 2007, as the buyer was unable to consummate the sale. On December 31, 2007, the 15-year low income housing tax credit compliance period expired with respect to Great Falls Properties Limited Partnership.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

In December 2004, the investment general partner negotiated a partial sale of its investment limited partner interest in Pedcor Investments 1989-X (Mann Village II) to the operating general partner. In December 2004, 24.99% of the investment limited partner interest was transferred to the operating general partner for proceeds to the investment limited partner of $131,060. In addition, the investment limited partner and the operating general partner negotiated a put option regarding the future transfer of the remaining investment limited partner interest.  The sale of the remaining investment limited partner interest occurred in the first quarter of 2006.  With the exercise of the investment limited partner's put option, the operating general partner assumed the Operating Partnership's outstanding mortgage, which is approximately $3,049,000.  In addition, the operating general partner paid additional estimated proceeds to the investment limited partner of $489,440 for the remaining interest. Of the total investment limited partner proceeds received, $32,000 represented payment of outstanding reporting fees due to an affiliate of the investment limited partner.  In addition, from the partial sale and put option, approximately $163,060 was distributed to the investors.   The investor per BAC distribution was $.079.  The total returned to the investors was distributed based on the number of BACs held by each investor.  The remaining proceeds of $425,440 are anticipated to be paid to BCAMLP for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates. The breakdown of the amount to be paid to BCAMLP is as follows:  $12,500 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $412,940 represents a partial payment of outstanding asset management fees due to BCAMLP.  The proceeds received as of December 31, 2004 were applied against the investment partnership's remaining investment in the Operating Partnership in accordance with the equity method of accounting.  The investment partnership recorded a loss on the sale of the partial investment in the amount of $61,815 in the quarter ended December 31, 2004.  The loss represented 24.99% of the remaining investment balance net of additional expected proceeds.  The additional proceeds received as of March 31, 2006 were applied against the investment partnership's remaining investment in the Operating Partnership in accordance with the equity method of accounting.  The investment partnership recorded a loss on the sale of the partial investment in the amount of $144,177 in the quarter ended March 31, 2006.  The loss represented the balance of the remaining investment balance net of additional proceeds.

In June 2005, the investment general partner of West Des Moines Associates LP approved an agreement to sell the property and the transaction closed in July 2005.  After repayment of the outstanding mortgage balance of approximately $1,758,425, proceeds to the investment limited partner were $1,250,108.  Net sales proceeds distributed to the investors were $657,530.  The investor per BAC distribution was $0.027.  The remaining proceeds of $592,578 were paid to BCAMLP or other related entities for fees and expenses related to the sale and partial reimbursements of amounts payable to affiliates.  The breakdown of the amount paid to BCAMLP is as follows:  $9,000 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $583,578 represents partial reimbursement for advances and outstanding asset management fees. A gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $1,070,408 as of September 30, 2005.  The gain recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance and their share of the disposition fee and expenses.

In February 2006, the investment general partner transferred its interest in Forsyth, Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,425,679 and cash proceeds to the investment limited partner of $57,027. Of the proceeds received $13,640 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $37,387 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $37,387 as of March 31, 2006.

In February 2006, the investment general partner transferred its interest in Hilltop Terrace, Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,454,625 and cash proceeds to the investment limited partner of $58,185. Of the proceeds received $15,144 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $37,041 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $37,041 as of March 31, 2006.

In January 2006, the investment general partner exercised an option to transfer its interest in Connellsville Heritage Apartments to the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,334,804 and proceeds to the investment limited partner of $1.  The investment limited partnership proceeds actually represented a partial payment of reporting fees due to an affiliate of the investment limited partnership and have not been recorded as proceeds from the sale of the Operating Partnership. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership from the sale was recorded.

In November 2005, the investment general partner of Briarwood of Middleburg Limited Partnership approved an agreement to sell the property and the transaction closed on November 2, 2007.  The sales price of the property was $1,524,779, which includes the outstanding mortgage balance of approximately $1,439,571 and cash proceeds to the investment limited partner of $28,952.  Of the total proceeds received, $9,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $19,952 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $19,952 as of December 31, 2007.

In July 2006, the investment general partner of Morgantown Properties Limited approved an agreement to sell the property and the transaction closed on May 30, 2007.  The sales price of the property was $956,492, which includes the outstanding mortgage balance of approximately $750,000 and cash proceeds to the investment partnership of $135,000.  Of the total proceeds received, $11,250 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $116,250 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  In addition to the $135,000 of sales proceeds received by the investment partnership, BCAMLP has agreed to write down $25,500 of accrued but unpaid asset management fees.  The investment partnership was originally scheduled to receive $160,500 from the sale of Morgantown.  However, due to an appraisal which valued the property significantly below the mortgage balance, the investment partnership agreed to receive reduced proceeds totaling $135,000 in order for the sale to occur.  Proceeds to the investment limited partnership of $135,000 and a write down of $25,500 will have the same effect on the investment partnership as if the investment partnership received the original proceeds of $160,500. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $116,250 as of June 30, 2007.

In November 2006, the investment general partner of Parkwood Commons Limited Partnership approved an agreement to sell the property and the transaction closed on January 31, 2007.  Cash proceeds to the investment limited partners were $550,373 (Series 10), $206,032 (Series 12) and $206,032 (Series 14). Of the proceeds received, $4,289 (Series 10), $1,606 (Series 12) and $1,606 (Series 14) were paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $546,084, $204,426 and $204,426, respectively, were returned to cash reserves held by Series 10, Series 12 and Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  A gain on the sale of the Operating Partnership of the proceeds from the sale, net of the expense and overhead reimbursement, has been recorded in the amount of $487,967, $186,471, and $204,426 for Series 10, Series 12, and Series 14, respectively, as of March 31, 2007.  The gain recorded represented the proceeds received by the investment limited partners, net of their remaining investment balance and their share of the disposition fee and expenses.

In June 2007, the investment general partner transferred the investment partnership's interest in Cloverleaf Associates Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $830,406 and cash proceeds to the investment partnership of $36,595.  Of the total proceeds received, $10,628 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $18,467 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $18,467 as of June 30, 2007.

In June 2007, the investment general partner of Series 10 transferred the investment partnership's interest in Cloverleaf Associates, Phase II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $844,558 and cash proceeds to the investment partnership of $33,177.  Of the total proceeds received, $13,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $12,677 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $12,677 as of June 30, 2007.

In November 2007, the investment general partner entered into an agreement to transfer its interest in Baytree Associates, Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $928,758 and cash proceeds to the investment limited partner of $43,595.  Of the total proceeds to be received, $8,009 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the transfer, which include third party legal costs.  The remaining proceeds of $28,086 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $28,086 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In November 2007, the investment general partner entered into an agreement to transfer its interest in Benchmark Associates, Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,079,731 and cash proceeds to the investment limited partner of $57,614.  Of the total proceeds to be received, $8,483 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the transfer, which include third party legal costs.  The remaining proceeds of $41,631 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $41,631 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In November 2007, the investment general partner entered into an agreement to transfer its interest in Longview Associates Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $845,762 and cash proceeds to the investment limited partner of $31,127.  Of the total proceeds to be received, $7,006 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the transfer, which include third party legal costs.  The remaining proceeds of $16,621 will be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $16,621 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In December 2007, the investment general partner entered into an agreement to transfer its interest in Pine View Apartments RRH, Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $929,798 and anticipated cash proceeds to the investment partnership of $37,192.  The transaction is anticipated to close in January 2008.  Of the total proceeds anticipated to be received, $7,200 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, it is anticipated that $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $25,912 are anticipated to be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In December 2007, the investment general partner entered into an agreement to transfer its interest in Charlton Court of Folkston to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,158,800 and anticipated cash proceeds to the investment partnership of $46,352. The transaction is anticipated to close in January 2008.  Of the total proceeds anticipated to be received, $1,465 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, it is anticipated that $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $37,387 are anticipated to be returned to cash reserves held by Series 10.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

(Series 11)

As of December 31, 2007 and 2006 the average Qualified Occupancy for the series was 100%.  The series had a total of 26 properties, all of which were 100% at December 31, 2007.

For the periods ended December 31, 2007 and 2006, Series 10 reflects net income(loss) from Operating Partnerships of $(587,103) and $231,397, respectively, which includes depreciation and amortization of $842,774 and $1,322,920, respectively. This is an interim period estimate; it is not indicative of the final year end results.

In September of 2001, the investment general partner became aware that unauthorized distributions in excess of Rural Development's (mortgagor) allowable limits were made to the operating general partner of Aspen Square Limited Partnership (Aspen Square Apartments), Copper Creek Limited Partnership (Copper Creek Apartments) and Sierra Springs Limited Partnership (Sierra Springs Apartments). These unauthorized distributions have been classified as receivables from the operating general partner on the Operating Partnership's audited financial statements as of December 31, 2004.

The investment general partner is actively seeking the immediate return of these funds through the estate of the operating general partner. Claims in the name of the individual Operating Partnerships have been filed against the estate.  On May 30, 2003, the investment general partner filed a complaint for the damages suffered from the misappropriations of funds against the operating general partner, the certified public accountant who performed audits of the properties, a related corporation of the operating general partner which received some of the misappropriated funds, and the former and current management companies.  On May 24, 2004, a Settlement Agreement was successfully mediated with all parties named in the complaint filed in May of 2003.  Currently, all legal action has been suspended pending the fulfillment of the terms of the Agreement.  Under the terms of the Agreement the estate will provide the investment general partner with quarterly accounting records, and if funds are available, make payments to the investment general partner against amounts owed to the Operating Partnerships.

On April 9, 2004, the proposed removal of the operating general partner was approved by the mortgagor. The new operating general partner is an entity

related to the investment general partner. The investment general partner and the new operating general partner have initiated the process of selling the properties.  Any sale will occur at the conclusion of the 15 year tax credit compliance periods.  In November 2006, a Revised Settlement Agreement was entered into with the estate of the former operating general partner.  Under the Revised Agreement the estate paid $200,000 and forfeited its interest in the various Operating Partnerships as well as the other partnerships involved in the litigation, which are located in Virginia.  The monies received are being applied to each Operating Partnership to reduce the monies misappropriated by the former deceased operating general partner in proportion to the total amount misappropriated from all partnerships involved in the litigation. Under the terms of the Revised Agreement amounts that would have been paid to the estate through a capital transaction or cash flow will be utilized to repay the remaining misappropriated funds.

In July 2007, the investment general partner entered into an agreement to transfer the investment partnership's interest in Academy Hill Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,333,455 and cash proceeds to the investment partnership of $25,000.  Of the total proceeds received, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $17,500 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $17,500 as of August 31, 2007.

Coronado Housing (Coronado Hotel Apartments) located in Tucson, Arizona is a 42-unit single room occupancy development with project-based Section 8 rental assistance for all the units.  In December 2005, the permanent mortgage was fully paid off; as a result the cash flow increased by $7,466 a month.  In 2006 the property's average occupancy increased to 90%, allowing the property to operate above breakeven.  In 2007, average physical occupancy decreased   to 82%.  Despite the decrease in the occupancy the property is still able to operate at breakeven. Low occupancy is due to heavy construction that is going on across the street from the property. The city is building a highway overpass right next to the property. In the recent months the area became very noisy and dusty, causing some of the existing residents to move out.  The construction of the overpass is expected to be complete by October 2008. At this point, due to the heavy construction, management is having difficulty attracting residents. Due to the property being 15 years old, it requires significant capital improvements.  These repairs are being funded out of cash flow.  The real estate taxes and insurance are current.  The operating general partner guarantee is unlimited in time and amount. The compliance period expired December 31, 2005.

In the fourth quarter of 2006, the investment general partner of Dallas Apartments II entered into an agreement to sell the property and the transaction closed on April 25, 2007.  The sales price for the property was $1,695,800, which includes the outstanding mortgage balance of approximately $1,387,536 and cash proceeds to the investment partnership of $76,998, $14,876, and $62,122 for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $5,000, $966, and $4,034 for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $725, and $3,025 for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $68,248, $13,185, and $55,063, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $68,248, $13,185, and $55,063 for Series 10, Series 11, and Series 12, respectively, as of June 30, 2007.   On August 21, 2007, additional sale proceeds of $3,036 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $1,518, $293 and $1,225 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.



In January 2007, the investment general partner of Denmark Properties Limited Partnership II approved an agreement to sell the property and the transaction closed on October 23, 2007.  The sales price of the property was $892,389, which includes the outstanding mortgage balance of approximately $794,109 and cash proceeds to the investment limited partner of $53,601.  Of the total proceeds to be received, $12,600 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $33,501 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $33,501 as of December 31, 2007. The sale of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

Franklin School Associates (Franklin School Apartments) experienced difficulties in recent years because of poor management compounded, in part, by the structure of housing subsidies. Portable vouchers are scarce and considered desirable; so people on the voucher waiting list who opt for project-based vouchers (Franklin School's program) may have a less desirable profile and may impose greater than average wear on the property. Past management companies were not able to provide a secure environment and the property developed a reputation as undesirable. Another issue is seasonally variable occupancy because the tenants have multiple residential alternatives during the non-winter months. All of these issues together have made it difficult to maintain strong occupancy.  Moreover, the landlord is responsible for the payment of tenant heat and hot water, which makes the property vulnerable to rising utility expense.  As a result, the property has experienced cash flow shortfalls in recent years. The cash flow deficits were ($36,311) and ($51,249) in 2004 and 2005, respectively.  The investment general partner funded the deficits. For the full year 2005, the investment general partner funded $76,495.

In mid-2005, the lender rejected the Operating Partnership's request to restructure the loan, and in the first quarter of 2006, the Operating Partnership defaulted on its monthly payments due to insufficient cash flow. In July 2006, the first mortgage lender issued a demand and acceleration letter and on August 14, 2006 scheduled a Trustee Sale for December 29, 2006.

In August 2006, the Montana Board of Housing conducted an inspection and found numerous physical and file deficiencies and issued several 8823s.  The management company resigned.  The Operating Partnership engaged a new management company and undertook the remediation of the conditions that elicited the 8823s, with the investment general partner providing $22,500 of additional funds to the property when remediation costs exceeded the cash available from property operations. The Operating Partnership retained ownership of the property through the Low Income Housing Tax Credit compliance period, which ended on December 31, 2006. After canceling the first Trustee Sale in December 2006, the lender scheduled a new Trustee Sale for July 6, 2007 at which time the property was bid on by the lender for an amount slightly less than the outstanding debt. Therefore, no proceeds were available for Series 11 as the result of the Trustee Sale.

In the fourth quarter of 2006, the investment general partner of Newnan Apartments II LP entered into an agreement to sell the property and the transaction closed on April 25, 2007. The sales price for the property was $2,190,000, which includes the outstanding mortgage balance of approximately $1,784,003 and cash proceeds to the investment partnership of $102,514, $28,212, and $74,302, for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $2,500, $688, and $1,812, for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $1,032, and $2,718, for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, were applied against the remaining balance in the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, reducing the investment in the Operating Partnership to zero.  Therefore, no gain or loss on the transfer of the Operating Partnership was recorded as of June 30, 2007.  On August 21, 2007, additional sale proceeds of $6,875 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $3,438, $947 and $2,490 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.

South Fork Heights, Limited (South Fork Heights Apartments), located in South Fork, Colorado is a 48-unit, Rural Development financed family site. The property produced credits from 1991 through 2001 with the compliance ending on December 31, 2005. The property has suffered from low occupancy and high turnover due to its location in a small tourist town in the mountains.  The town lost two of its largest employers, a mining company and a saw-mill.  These losses have negatively impacted the occupancy at the property.  The property operated with average occupancy of 74% and a cash flow deficit of ($5,767) in 2006.  The average occupancy of 2007 was 77%.  Although management continues to tighten-up expenses the property will need at least 80% occupancy to reach breakeven.  The town recently approved the development of a golf course, single family homes and condos at a nearby ski resort.  The operating general partner continues to be optimistic that these businesses will attract qualifying applicants.  The operating general partner continues to fund all operating deficits. The tax, insurance, and mortgage payments are all current.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

Harbour View Group Limited, (Sandy Pines Manor) is an apartment complex for families located in Punta Gorda, Florida.  The property was hit by multiple hurricanes in the late fall of 2004 resulting in the total loss of habitability to all 44 residential units. The operating general partner has received insurance proceeds for reconstruction.  The tax credit compliance period ended for this property on December 31, 2004. In December 2005, the

Operating Partnership requested early prepayment of the mortgage from Rural Development. On June 15, 2006, Rural Development notified the operating general partner the agency would accept prepayment of the mortgage. The Operating Partnership consummated the prepayment of the Rural Development mortgage on June 30, 2006. Subsequently, the Operating Partnership distributed $305,330 to the investment general partnership, which represents the insurance proceeds exceeding the payoff of the outstanding mortgage balance and includes the investment general partner portion of the non-refundable deposits under the Purchase and Sale Agreement described below. Of the total investment partnership proceeds received, $7,500 was paid to BCAMLP for expenses related to the sale which include third party legal costs. The remaining proceeds received by the investment limited partner of $297,830 will be returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

On March 30, 2006, the investment general partner entered into a Purchase and Sale Agreement with a non-affiliated entity to purchase the land owned by the property. The purchase price for the land is $1,435,041. In addition, the buyer will reimburse the Operating Partnership $161,037 for debris removal as a result of the hurricanes. In July 2007, cash proceeds to the investment limited partner of $750,000 were received and will be returned to cash reserves held by Series 11. In January 2008, cash proceeds to the investment limited partner of $1,989 were received and will be returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $750,000 as of August 31, 2007.

In February 2006, the investment general partner entered into an agreement to transfer its interest in Eldon Estates II LP to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $568,159 and cash proceeds to the investment limited partner of $17,045. Of the proceeds received $5,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds $3,854 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $8,191 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $8,191 as of March 31, 2006.

In February 2006, the investment general partner entered into an agreement to transfer its interest in Eldon Manor LP to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $546,871 and cash proceeds to the investment limited partner of $16,406. Of the proceeds received $5,000 represent reporting fees due an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $3,856 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $7,550 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $7,550 as of March 31, 2006.

In February 2006, the investment general partner entered into an agreement to transfer its interest in Forest Glade, Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,450,640 and cash proceeds to the investment limited partner of $58,026. Of the proceeds received $8,074 represent reporting fees due an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds $7,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $42,952 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $42,952 as of March 31, 2006.

In December 2006, the investment general partner entered into an agreement to transfer its investment limited partner interest and its general partner interest in London Arms/Lyn, Mar Limited to an entity related to the remaining operating general partner for its assumption of the outstanding mortgage balance of approximately $3,811,566 and cash proceeds of $209,000 to the operating general partner and $446,000 to the investment limited partner. Of the proceeds received, $75,000 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale. Of the proceeds received, $7,500 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $363,500 were returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $363,500 as of December 31, 2006. The sale of the Operating Partnership had been recognized as of December 31, 2006, and the sale proceeds were received in the first quarter of 2007.

In December 2006, the investment general partner exercised an option to transfer its interest in Licking Associates II Limited Partnership to an affiliated entity of the operating general partner for its assumption of the outstanding mortgage balance of approximately $395,999 and cash proceeds to the investment limited partner of $11,880.  The transaction closed in January 2007. Of the total proceeds received, $3,750 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the proceeds received, $7,500 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $630 were returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the transfer of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $630 as of March 31, 2007.

Effective January 1, 2006, the investment general partner transferred its interest in Bridgeview Apartments, a Limited Partnership to the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,330,582 and proceeds to the investment limited partner of $1.  The proceeds actually represented a partial payment of reporting fees due to an affiliate of the investment limited partnership and have not been recorded as proceeds from the sale of the Operating Partnership.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership of the proceeds from the sale was recorded.

In January 2007, the investment general partner of Manning Properties Limited Partnership approved an agreement to sell the property and the transaction closed on October 23, 2007.  The sales price of the property was $814,243, which equals the outstanding mortgage balance of approximately $814,243.  Although there were no proceeds available from the sale, Manning Properties Limited Partnership received a seller's fee totaling $52,944.  The investment limited partner will receive $26,878 of the seller's fee.  Of the total proceeds to be received, $2,700 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $16,678 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $16,678 as of December 31, 2007. The sale of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In January 2007, the investment general partner of Denmark Properties Limited Partnership I approved an agreement to sell the property and the transaction closed on October 23, 2007.  The sales price of the property was $926,654, which includes the outstanding mortgage balance of approximately $747,689 and cash proceeds to the investment limited partner of $152,207.  Of the total proceeds to be received, $3,600 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $141,107 will be returned to cash reserves held by Series 11.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $141,107 as of December 31, 2007. The sale of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In December 2007, the investment general partner entered into an agreement to transfer its interest in Metter Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,412,226 and anticipated cash proceeds to the investment partnership of $45,191. The transaction is anticipated to close in January 2008.  Of the total proceeds anticipated to be received, $1,836 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, it is anticipated that $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $35,855 are anticipated to be returned to cash reserves held by Series 11. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

(Series 12)

As of December 31, 2007 and 2006 the average Qualified Occupancy for the series was 99.9%.  The series had a total of 33 properties at December 31, 2007, all of which were at 100% Qualified Occupancy.

For the periods ended December 31, 2007 and 2006, Series 12 reflects net loss from Operating Partnerships of $(534,684) and $(966,603), respectively, which includes depreciation and amortization of $425,793 and $1,383,500, respectively. This is an interim period estimate; it is not indicative of the final year end results.

In September of 2001, the investment general partner became aware that unauthorized distributions in excess of Rural Development's (mortgagor) allowable limits were made to the operating general partner of Cananche Creek Limited Partnership (Cananche Creek Apartments) and Shawnee Ridge Limited Partnership (Shawnee Ridge Apartments). These unauthorized distributions have been classified as receivables from the operating general partner on the Operating Partnerships' audited financial statements as of December 31, 2004.

The investment general partner is actively seeking the immediate return of these funds through the estate of the operating general partner. Claims in the name of the individual Operating Partnerships have been filed against the estate.  On May 30, 2003, the investment general partner filed a complaint

for the damages suffered from the misappropriations of funds against the operating general partner, the certified public accountant who performed audits of the properties, a related corporation of the operating general partner which received some of the misappropriated funds, and the former and current management companies.  On May 24, 2004, a Settlement Agreement was successfully mediated with all parties named in the complaint filed in May of 2003.  Currently, all legal action has been suspended pending the fulfillment of the terms of the Agreement.  Under the terms of the Agreement the estate will provide the investment general partner with quarterly accounting records, and if funds are available, make payments to the investment general partner against amounts owed to the Operating Partnerships.

On April 9, 2004, the mortgagor approved the proposed removal of the operating general partner. The new operating general partner is an entity related to the investment general partner. The investment general partner and the new operating general partner have initiated the process of selling the properties.  Any such sale will occur at the conclusion of the 15 year tax credit compliance periods. In November 2006, a Revised Settlement Agreement was entered into with the estate of the former operating general partner.  Under the Revised Agreement the estate paid $200,000 and forfeited its interest in the various Operating Partnerships as well as the other partnerships involved in the litigation, which are located in Virginia.  The monies received are being applied to each Operating Partnership to reduce the monies misappropriated by the former deceased operating general partner in proportion to the total amount misappropriated from all partnerships involved in the litigation. Under the terms of the Revised Agreement amounts that would have been paid to the estate through a capital transaction or cash flow will be utilized to repay the remaining misappropriated funds.

Union Baptist Plaza Apartments (Union Baptist Plaza, Limited Partnership), located in Springfield, Illinois, consists of 24 units. Historically, the property struggled, and as a result, an affiliate of the investment general partner took over the role of co-general partner of the Operating Partnership. Subsequently, the other co-operating general partner of the Operating Partnership entered into an agreement to assume the outstanding mortgage of the property and purchase the interests of the investment general partner, the special limited partner, and the related co-operating general partner. The transaction closed on September 15, 2006. After assumption of the outstanding mortgage balance of approximately $349,210, the cash proceeds to the investment limited partner were $80,000. Of the total proceeds received, $30,000 represents reporting fees due to an affiliate of the investment partnership; $7,500 was paid to BCAMLP for expenses incurred as a result of the redemption transaction, which include third party legal costs; and the remaining proceeds of $42,500 were returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $42,500 as of September 30, 2006.

In the fourth quarter of 2006, the investment general partner of Dallas Apartments II entered into an agreement to sell the property and the transaction closed on April 25, 2007.  The sales price for the property was $1,695,800, which includes the outstanding mortgage balance of approximately $1,387,536 and cash proceeds to the investment partnership of $76,998, $14,876, and $62,122 for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $5,000, $966, and $4,034 for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $725, and $3,025 for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $68,248, $13,185, and $55,063, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $68,248, $13,185, and $55,063 for Series 10, Series 11, and Series 12, respectively, as of June 30, 2007. On August 21, 2007, additional sale proceeds of $3,036 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $1,518, $293 and $1,225 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.



In the fourth quarter of 2006, the investment general partner of Newnan Apartments II LP entered into an agreement to sell the property and the transaction closed on April 25, 2007. The sales price for the property was $2,190,000, which includes the outstanding mortgage balance of approximately $1,784,003 and cash proceeds to the investment partnership of $102,514, $28,212, and $74,302, for Series 10, Series 11, and Series 12, respectively.  Of the total proceeds received, $2,500, $688, and $1,812, for Series 10, Series 11, and Series 12, respectively, represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds received, $3,750, $1,032, and $2,718, for Series 10, Series 11, and Series 12, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, will be returned to cash reserves.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. The remaining proceeds from the sale of $96,264, $26,492, and $69,772, for Series 10, Series 11, and Series 12, respectively, were applied against the remaining balance in the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting.  Accordingly, reducing the investment in the Operating Partnership to zero.  Therefore, no gain or loss on the transfer of the Operating Partnership was recorded as of June 30, 2007.  On August 21, 2007, additional sale proceeds of $6,875 were received after the liquidation of the Operating Partnership was finalized. **The additional proceeds of $3,438, $947 and $2,490 for Series 10, 11, and 12, respectively, were recorded as a gain on the transfer of the Operating Partnership and were returned to the cash reserves as of September 30, 2007**.

Lakeridge Apartments of Eufala, Ltd. (Lakeridge Apts.) is a 30-unit development located in Eufala, AL. The property is located in a rural area with a stagnant economy. In 2006 occupancy averaged 67%. The management company relieved the on-site manager of her responsibility for two other properties to focus her attention on Lakeridge.  Her aggressive efforts, coupled with the reissuing of Section 8 vouchers in March 2007, resulted in a 2007 average occupancy of 85%.  The fourth quarter of 2007 saw the most significant improvement with an average occupancy of 90% and operations above breakeven. The operating general partner's guarantee expired in 2001; however they have continued to fund deficits as needed.  All insurance, real estate tax and mortgage payments are current.  On December 31, 2005, the 15-year low income housing tax credit compliance period expired with respect to Lakeridge Apartments of Eufala, Ltd. The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

Fort Smith Housing Associates (Yorkshire Townhomes) is a 50-unit property located in Fort Smith, AR.  Due to occupancy issues and high operating expenses, the property operated below breakeven in 2006.  However, as average occupancy continued to increase through 2007, operations improved back above breakeven.  Through October 2007, occupancy averaged 92%, versus the 2006 average of 89%.  RPM Management assumed operations of the site in March 2007, as the prior management company was replaced due to poor performance.  Shortly after assuming management, RPM received notification from the Federal Home Loan Bank that the property was operating over the Bank's 50% income requirement.  It appears that the prior management company, as well as the new management company, didn't adhere to this strict policy.  As a result of adhering to this policy, while attempting to negotiate a modification to the 60% income limit, occupancy dropped to 88% in September 2007.  At the end of September management received approval from the Bank to increase the income limit to 60%.  Since the increase, management has had more success in finding qualified applicants through its marketing approaches.  The investment general partner will continue to monitor occupancy and operations.  The operating general partner will continue to fund the cash deficit as needed.  The mortgage, real estate tax and insurance payments are all current; however, the operating general partner is not funding the replacement reserve account.

During March 2006, the investment general partner of Brandywood Limited Partnership entered into an agreement to sell the property to a non-affiliated entity and the transaction closed on January 11, 2007.  The sales price was $2,500,000, which includes the outstanding mortgage balance of approximately $1,522,460, and net proceeds to the investment partnership of $799,093. Of the total net proceeds received, $183,897 was paid to the former operating general partner for amounts advanced to the Operating Partnership.  The investment limited partner received proceeds of $615,175. Of the total proceeds received, $117,275 represented reimbursement of funds previously advanced by the investment limited partnership and an affiliate of the investment limited partnership, and $49,375 represented reporting fees due to BCAMLP.  Of the proceeds received, $7,500 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $441,026 were returned to cash reserves held by Series 12.

Hamilton Village Limited Partnership is a 20-unit family development located in Preston, GA.  On December 31, 2007, the 15-year low income Housing tax credit compliance period expired with respect to Hamilton Village Limited Partnership.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.  Despite very high occupancy, the partnership has been unable to achieve breakeven due to historically high operating expenses, driven by administrative and maintenance costs.  Through the third quarter of 2007, the property has averaged 100% occupancy.  All mortgage, real estate tax and insurance payments are current.

During October 2004, while attempting to capitalize on the strong California real estate market, the operating general partner of California Investors VII (Summit Ridge Apartments/Longhorn Pavilion) entered into an agreement to sell the property and the transaction closed in the first quarter of 2005.  As part of the purchase agreement, the buyer is required to maintain the property as affordable housing through the end of the tax credit compliance period, and to provide a recapture bond to avoid the recapture of the tax credits that have been taken.  The proceeds to the investment limited partner received in the first quarter 2005 were $919,920, $312,959, $1,459,511, and $1,346,025, for Series 12, Series 14, Series 15 and Series 17, respectively. Of the total received, $211,638 is for payment of outstanding reporting fees due to an affiliate of the investment partnership, $183,283 is a reimbursement of funds previously advanced to the Operating Partnership by affiliates of the investment partnership and $3,643,494 is the estimated proceeds from the sale of the investment limited partners' interests.  Of the proceeds, $612,758, $206,285, $940,482, and $865,445, for Series 12, Series 14, Series 15, and Series 17, respectively, are estimated to be distributed to the investors, or used to pay non-resident tax withholdings requirements of the State of California.  This represents a per BAC distribution of $.206, $.037, $.243, and $.173, for Series 12, Series 14, Series 15, and Series 17, respectively.  Of the remaining proceeds, $643,691 were paid to BCAMLP for fees and expenses related to the sale and partial reimbursement for amounts owed to affiliates.  The breakdown of amounts paid to BCAMLP is as follows: $51,250 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property; $88,274 represents a reimbursement of estimated expenses incurred in connection with the disposition; and $504,167 represents a partial payment of outstanding asset management fees due to BCAMLP.  The remaining proceeds of $374,833 will be returned to cash reserves. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnerships. Losses on the sale of the property were recorded by Series 12, Series 14, Series 15 and Series 17 of $(2,113,352), $(690,791), $(3,046,179) and $(2,791,520), respectively, in the quarter ended March 31, 2005.  As of December 2005 additional sales proceeds of $99,080 were received and allocated to Series 12, Series 14, Series 15 and Series 17 as follows: $23,128 to Series 12, $7,786 to Series 14, $35,500 to Series 15 and $32,666 to Series 17.  These proceeds will be retained by the investment limited partners to improve their reserve balances.  The gain/(loss) recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance, non-reimbursed advances to the Operating Partnership and their share of the overhead and expense reimbursement. In the prior year ended March 31, 2006, $11,964, $4,028, $18,362 and $16,897 for Series 12, Series 14, Series 15 and Series 17, respectively, of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In February 2006, the investment general partner entered into an agreement to transfer its interest in River Reach of Crystal River to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,335,731 and cash proceeds to the investment limited partner of $53,429. Of the proceeds received $3,600 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $7,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $42,829 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $42,829 as of March 31, 2006.

In February 2006, the investment general partner entered into an agreement to transfer its interest in Scott City Associates III, LP to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $586,930 and cash proceeds to the investment limited partner of $17,608. Of the proceeds received $5,000 represent reporting fees due an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $4,528 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $8,080 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $8,080 as of March 31, 2006.

In February 2006, the investment general partner entered into an agreement to transfer its interest in Stonegate Manor, Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $988,021 and cash proceeds to the investment limited partner of $39,521. Of the proceeds received $5,040 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $7,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $27,481 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $27,481 as of March 31, 2006.

In February 2006, the investment general partner entered into an agreement to transfer 50% of its interest in Nye County Associates to an entity affiliated with the operating general partner for its assumption of 50% of the outstanding mortgage balance of approximately $666,140 and cash proceeds to the investment limited partner of $23,705. Of the proceeds received, $13,705 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale.  Of the remaining proceeds, $5,000 was paid to BCAMLP for expenses related to the sale, which included third party legal costs.  The remaining proceeds of $5,000 were returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $5,000 as of March 31, 2006.  In January 2007, the investment limited partner transferred the remaining 50% of its interest to the same affiliated entity for cash proceeds to the investment limited partner of $23,705. The proceeds of $23,705 were returned to cash reserves held by Series 12. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $23,705 as of March 31, 2007.

In August 2006, the investment general partner entered into an agreement to transfer its interest in Bucksport Park Associates, LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,334,233 and cash proceeds to the investment limited partner of $16,803. Of the proceeds received $7,290 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $1,445 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $8,068 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $8,068 as of September 30, 2006.

In August 2006, the investment general partner entered into an agreement to transfer its interest in Cornish Park Associates, LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,417,111 and cash proceeds to the investment limited partner of $23,612. Of the proceeds received $14,455 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $1,391 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $7,766 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $7,766 as of September 30, 2006.

In August 2006, the investment general partner entered into an agreement to transfer its interest in Nanty Glo House Associates, LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,437,378 and cash proceeds to the investment limited partner of $21,585. Of the proceeds received $16,806 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $726 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $4,053 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $4,053 as of September 30, 2006.

Briarwick Apartments Limited, A KY Limited Partnership (Briarwick Apartments) is a 40-unit family development located in Nicholasville, KY.  On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Briarwick Apartments Limited.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.  In 2006 the Operating Partnership operated at a significant loss due to high operating expenses and declining occupancy.  Operating expenses are primarily driven by administrative costs and maintenance expenses related to the age of the property as well as the condition of units upon turnover.  Low occupancy is the result of the property's advanced age, which has made it uncompetitive in the local rental market.  Management continues to lose residents to newer developments offering more space and superior amenity packages.  Through the third quarter of 2007, the Operating Partnership continues to operate at a significant loss, with occupancy averaging 75%. The mortgage, real estate tax and insurance payments are current.  The operating general partner's obligation to fund operating deficits is limited to $50,840 per year.

Los Caballos II Limited Partnership (Los Caballos II Apartments) was a 24-unit, family complex located in Hatch, New Mexico.  On August 14, 2006, flash floods caused significant damage to the property.  The county building inspector determined the property was a complete loss.  On January 10, 2007, the operating general partner had a meeting with the Village of Hatch, representatives from FEMA, and Rural Development.  It was determined that the property would be demolished and would not be rebuilt.  Demolition was completed in June 2007. The operating general partner has engaged Rural Development to determine the value of the land.  After the Rural Development appraisal is complete, the operating general partner will begin looking for a buyer. The parcel will have a newly constructed facility that will be part of a new partnership, not to include the current investment general partner. The existing mortgage, of which Rural Development had already agreed to suspend all payments on until the property was reconstructed, will be assumed by a new partnership. The existing liability will subsequently be removed from Los Caballos Ltd Partnership.  For tax purposes, this event will not be classified as an early extinguishment of debt.

The operating general partner is hopeful that they will receive an appraisal from Rural Development within the first quarter of 2008.  The operating general partner requested the appraisal through Rural Development so there would be no identity of interest problems at the time of sale.   The operating general partner continues to push Rural Development to complete the valuation so that the parcel can be liquidated. On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Los Caballos II Limited Partnership. The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.



In November 2006, the investment general partner transferred 50% of its interest in Woodside Apartments to an entity affiliated with the operating general partner for its assumption of half of the outstanding mortgage balance of approximately $561,912 and cash proceeds to the investment limited partner of $11,078. Of the proceeds received, $1,789 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the transfer.  Of the proceeds received, $3,750 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $5,539 were returned to cash reserves held by Series 12. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the partial transfer of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $5,539 as of December 31, 2006. The transfer of the Operating Partnership had been recognized as of December 31, 2006, and the proceeds were received in the first quarter of 2007.

In December 2007, the investment general partner transferred the remaining 50% interest investment limited partner interest in the Woodside Apartments to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $559,126 and cash proceed to the investment limited partner of $11,078. Of the proceeds to be received, $1,789 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the transfer.  Of the total proceeds received, $3,750 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $5,539 will be returned to cash reserves held by Series 12.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the partial transfer of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $5,539 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

In December 2006, the investment general partner exercised an option to transfer their interest in Springfield Housing Associates Limited Partnership to an affiliated entity of the operating general partner for its assumption of the outstanding mortgage balance of $3,921,906 and cash proceeds to the investment limited partner of $35,780 (Series 9) and $81,877 (Series 12).  The transaction closed in January 2007. Of the total proceeds received, $70,000 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the proceeds received, $2,281 (Series 9) and $5,219 (Series 12) was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $12,212 and $27,945 were returned to cash reserves held by Series 9 and Series 12, respectively. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the transfer of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $12,212 for Series 9 and $27,945 for Series 12 as of March 31, 2007.

In December 2006, the investment general partner transferred its interest in Franklin II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance and cash proceeds to the investment limited partner of $10. The cash proceeds were returned to cash reserves held by Series 12. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment partnership entered into an agreement with the Operating Partnership for receipt of a residual payment if the property is later refinanced or sold by the Operating Partnership. The residual payment will be $4,000 plus the capital transaction proceeds distributable to the investment partnership in accordance with the Operating Partnership agreement. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $10 as of December 31, 2006.  The transfer of the Operating Partnership has been recognized as of December 31, 2006, and the proceeds were received in the first quarter of 2007.

In December 2006, the investment general partner transferred its interest in Windsor II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance and cash proceeds to the investment limited partner of $10. The cash proceeds were returned to cash reserves held by Series 12. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment partnership entered into an agreement with the Operating Partnership for receipt of a residual payment if the property is later refinanced or sold by the Operating Partnership. The residual payment will be $9,575 plus the capital transaction proceeds distributable to the investment partnership in accordance with the Operating Partnership agreement in effect at the date the investment limited partner transferred its interest. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $10 as of December 31, 2006.  The transfer of the Operating Partnership has been recognized as of December 31, 2006, and the proceeds were received in the first quarter of 2007.

In January 2007, the investment general partner transferred its interest in Clymer House Associates, LP to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,087,414 and cash proceeds to the investment partnership of $24,124. Of the proceeds received, $13,048 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds $1,391 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $9,685 were returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $9,685 as of March 31, 2007.

In November 2006, the investment general partner of Parkwood Commons Limited Partnership entered into an agreement to sell the property and the transaction closed on January 31, 2007.  Cash proceeds to the investment limited partners were $550,373 (Series 10), $206,032 (Series 12) and $206,032 (Series 14). Of the proceeds received, $4,289 (Series 10), $1,606 (Series 12) and $1,606 (Series 14) were paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $546,084, $204,426 and $204,426 were returned to cash reserves held by Series 10, Series 12 and Series 14, respectively.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  A gain on the sale of the Operating Partnership of the proceeds from the sale, net of the expense and overhead reimbursement, has been recorded in the amount of $487,967, $186,471, and $204,426 for Series 10, Series 12, and Series 14, respectively, as of March 31, 2007.  The gain recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance and their share of the disposition fee and expenses.

In November 2007, the investment general partner entered into an agreement to transfer its interest in Marlboro Place, Phase II Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $802,994 and cash proceeds to the investment limited partner of $15,414.  Of the total proceeds to be received, $7,581 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $333 will be returned to cash reserves held by Series 12.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $333 as of December 31, 2007. The transfer of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

(Series 14)

As of December 31, 2007 and 2006 the average Qualified Occupancy for the series was 99.9%.  The series had a total of 75 properties at December 31, 2007, all of which were at 100% Qualified Occupancy.

For the periods ended December 31, 2007 and 2006, Series 14 reflects net loss from Operating Partnerships of $(1,208,620) and $(1,424,264), respectively, which includes depreciation and amortization of $3,017,802 and $3,441,770 respectively. This is an interim period estimate; it is not indicative of the final year end results.

Blanchard Senior Apartments, (Blanchard Senior Apartments II) is a 24-unit development located in Shreveport, Louisiana.  Occupancy has remained at 100% since the end of 2004.  In 2006, the partnership experienced significant increases in the operating expenses, causing the property to operate below breakeven.  Operating expenses increased 42% from 2005 to 2006 as increases were experienced in all major categories.  Maintenance expenses increased the most dramatically as a result of property improvements.  Since the site was completed in September 1994, the property is aging; capital expenditures are necessary to improve the curb appeal.  During 2007, a $15 per unit rent increase was implemented on all units and maintenance expenses were reduced significantly from those of 2006.  These factors have allowed the partnership to operate above breakeven.  In addition, occupancy averaged 99% in 2007.  The operating general partners guarantee is unlimited in time and amount.  All real estate tax, mortgage, and insurance payments are current.

Cottonwood Apartments II Partnership (Cottonwood Apartments II) is a 24-unit development located in Cottonport, Louisiana.  In 2006, operations at the site were impacted by hurricane related expenses sustained in 2005.  Although the property was insured, these expenses were not great enough to file a claim and offset the deductible expense.  In addition, the project suffered a complete loss of revenue on eight units that were uninhabitable during the majority of 2006 due to two separate grease fires.  The down units caused occupancy to drop to 58% during the last two months of 2006.  The operating general partner did receive insurance proceeds to repair the fire damaged units, but the deductible expenses were paid for out of operations.  The loss of revenue from the fire damaged units coupled with the increased expenses caused the property to operate below breakeven in 2006.  During 2007, occupancy fluctuated from 71% to 83% resulting in an average occupancy of 78%.  Move-outs from evictions were the primary cause of the decline in occupancy.  The evictions were the result of non-payment of rent or suspected criminal activity.  The partnership continued to operate below breakeven in 2007.  Operating expenses continue to increase as management upgrades units with new carpeting and vinyl flooring in an effort to attract more residents.  The investment general partner will continue to monitor operations and assist management in finding ways to increase qualified traffic.  All real estate tax, mortgage, and insurance payments are current.

In November 2005, the investment general partner of Briarwood II, Limited Partnership approved an agreement to sell the property and the transaction closed on November 2, 2007.  The sales price of the property was $1,529,726 which includes the outstanding mortgage balance of approximately $1,447,134 and cash proceeds to the investment limited partner of $41,324.  Of the total proceeds received, $9,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $32,324 will be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $32,324 as of December 31, 2007.

In December 2006, the investment general partner of Series 14, Boston Capital Tax Credit Fund III - Series 17 and Boston Capital Tax Credit Fund IV - Series 20 transferred 33% of their interest in College Greene Rental Associates Limited Partnership to entities affiliated with the operating general partners for their assumption of one third of the outstanding mortgage balance.  The cash proceeds received by Series 14, Series 17, and Series 20 were $25,740, $7,920, and $65,340, respectively. Of the proceeds received, $1,950, $799, and $4,951 for Series 14, Series 17, and Series 20, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds received by Series 14, Series 17, and Series 20 of $23,790, $7,320 and $60,390, respectively, were applied against the investment general partner's investment in the Operating Partnership in accordance with the equity method of accounting.  The remaining 67% investment limited partner interest is anticipated to be transferred as follows: 50% in January 2010 for $150,000 and 17% in February 2011 for $51,000.  The future proceeds will be allocated to the investment limited partnerships based on their original equity investments in the Operating Partnership.

In January 2007, the investment general partner of Summer Lane LP approved an agreement to sell the property and the transaction closed on October 23, 2007.  The sales price of the property was $954,982, which includes the outstanding mortgage balance of approximately $847,032 and cash proceeds to the investment limited partner of $47,212.  Of the total proceeds to be received, $14,966 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, $7,500 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds from the sale of $24,746 will be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $24,746 as of December 31, 2007. The sale of the Operating Partnership had been recognized as of December 31, 2007, and the proceeds were received in the first quarter of 2008.

Woodfield Commons Limited Partnership (Woodfield Commons Apartments) is a 46 unit development located in Marshfield, WI.  Low rental rates in the area combined with the low occupancy prevented the property from achieving break-even operations in 2004 and 2005.  As a result, the Operating Partnership defaulted on its mortgage in January 2005.  The lender, GMAC Commercial Mortgage Corporation, agreed to reduce monthly payments to cash flow payments. The operating general partner, who had historically supported the property, ceased support. In the fourth quarter of 2005, GMAC proceeded to foreclose its mortgage on the property.  In December 2005, an affiliate of the operating general partner loaned the Operating Partnership funds to redeem the property at the foreclosure sale.  The property remained in compliance throughout its compliance period, which ended December 31, 2005.

In October 2006, the investment general partner transferred 49% of its interest in Woodfield Commons Limited Partnership to an affiliate of the operating general partner for its assumption of 49% of the outstanding mortgage balance and proceeds to the investment limited partnership of $25,000. Of the proceeds received, $10,625 represents reporting fees due to an affiliate of the investment limited partnership and $3,750 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $10,625 will be returned to cash reserves held by Series 14.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the partial transfer of the Operating Partnership of the proceeds has been recorded in the amount of $10,625 as of December 31, 2006.

In November 2007, the investment limited partnership transferred the remaining 51% of its interest in Woodfield Commons Limited Partnership for the assumption of the 51% of the outstanding mortgage balance and proceeds of $25,000. Of the proceeds received, $10,625 represents reporting fees due to an affiliate of the investment limited partnership and $3,750 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $10,625 will be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the partial transfer of the Operating Partnership of the proceeds has been recorded in the amount of $10,625 as of December 31, 2007.

Wynnewood Village Apartments (Wynnewood Village Apartments, Ltd.) is a 16-unit family property located in Wynnewood, OK.  Wynnewood is a small town where population and employment opportunities have been consistently declining in recent years.  To increase the applicant pool, the operating general partner requested that Rural Development provide additional project-based rental assistance.  This request was denied.  The management company increased their marketing activities in 2006 with advertisements in local publications as well as those of surrounding towns, and outreach to local agencies for referrals.   As a result of these efforts, in 2006 occupancy increased slightly to an annual average of 83%, and the property operated above breakeven.  Occupancy averaged 94% in the fourth quarter of 2007, for an annual average of 92% with above breakeven operations.  The operating general partner continues to fund deficits as needed.  All taxes, mortgage and insurance payments are current. On December 31, 2007, the 15-year low income housing tax credit compliance period expired with respect to Wynnewood Village Apartments, Limited.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

Okemah Village Apartments (Okemah Village Apartments Limited, Limited Partnership) is a 30-unit family property in Okemah, OK.  In 2005, the property operated at a loss with average occupancy of 76%.  In 2005 the property received a much needed rent increase, and eight units that were left uninhabitable by the previous site manager were renovated. As a result, the property had an average occupancy of 84% and cash flow in 2006.  Through the fourth quarter of 2007, occupancy has averaged 84% with above breakeven operations.

On December 15, 2005, one duplex building had a fire, destroying both of the three-bedroom units.  The proceeds of the $145,324 insurance claim were received in March 2006 and building permit applications were submitted in May.   Demolition began in June 2006 and was quickly completed.  In September 2006, Rural Development selected Okemah to participate in their Multifamily Preservation and Revitalization Restructuring Demonstration Program to restructure the first permanent loan.  The proposal included deferring annual principal and interest payments of approximately $5,000 for 20 years, an additional rehabilitation loan of $265,030 with payments deferred for 20 years, and using the insurance proceeds to fund the replacement reserve account rather than rebuilding the fire-damaged duplex building.  Because the compliance period expired December 31, 2007, the investment general partner calculated recapture and penalties of only $6,918.  The operating general partner is repaying the recapture amount of $6,918 and accepting the additional rehabilitation loan.  In July 2007, the investment general partner approved the refinancing package and the additional debt for rehabilitation. The tax, insurance, and mortgage payments are all current.

In November 2007, the investment general partner entered into an agreement to transfer its interest in Okemah Village Apartments, Limited to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $647,815 and anticipated cash proceeds to the investment partnership of $40,600.  The transaction is anticipated to close in March 2008.  Of the total proceeds anticipated to be received, $15,600 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, it is anticipated that $7,500 will be paid to BCAMLP for expenses related to the transfer, which includes third party legal costs.  The remaining proceeds of $17,500 are anticipated to be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

Montague Place, LP (Montague Place Apartments) is a 28-unit family complex located in Caro, MI. Occupancy averaged 85% in the fourth quarter of 2007 for this property, which is a strong improvement from the 2006 average of 74%.  This upward trend in occupancy is attributable to enhanced marketing efforts.  Management has increased local newspaper advertising and has held numerous open house activities.  The property is offering one free month rent as a leasing incentive.  The 2006 operating expenses were lower than the state averages with this trend continuing in 2007.  The property generated cash flow in 2006 and is projected to continue to operate above breakeven in 2007 as well.  On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Montague Place, LP.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership. The real estate tax, insurance and mortgage payments are current.

In January 2006, the investment general partner sold one half of its interest in Kilmarnock Limited Partnership to an entity affiliated with the operating general partner of the Operating Partnership for its assumption of half of the outstanding mortgage balance of approximately $401,572 and proceeds to the investment partnership of $.50. Of the total proceeds received, $0.50 represented payment of outstanding reporting fees due to an affiliate of the investment partnership.  On February 26, 2007, the remaining one half of its interest in the Operating Partnership was transferred to the same entity for its assumption of the remaining mortgage balance and proceeds to the investment limited partnership of $0.50.  Of the total proceeds received, $0.50 represents payment of outstanding reporting fees due to an affiliate of the investment partnership.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  No gain on the sale of the Operating Partnership has been recorded.

Village Terrace Limited Partnership (Village Green Apartments) is a 42-unit family property located in Jacksonville, NC.  The property produced credits from 1992 through 2002 with tax credit compliance ending in 2006.  In 2006, occupancy averaged 86% with operations below breakeven status.  Management, through stronger site control and multiple evictions, was able to stabilize operations in 2007 with an average occupancy of 92% through the first three quarters of 2007.  In the fourth quarter, occupancy decreased slightly to 90% but the property has maintained breakeven operations.  The operating general partner's operating deficit guarantee is unlimited in time and amount.  The tax, insurance and mortgage payments are current.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

In December 2006, the investment general partner exercised an option to transfer its interest in Schroon Lake Housing Redevelopment Company to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $991,212 and proceeds to the investment limited partner of $14,813. The transaction closed in January 2007.  Of the proceeds received, $3,750 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $10,568 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.   Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership has been recorded in the amount of $10,568 as of March 31, 2007.

In January 2006, the investment general partner transferred its interest in Townview Apartments, a Limited Partnership (Townview Apartments) to the operating general partner for its assumption of the outstanding mortgage balance of $1,350,294 and proceeds to the investment limited partnership of $1.  The investment limited partnership proceeds actually represented a partial payment of reporting fees due to an affiliate of the investment limited partnership and have not been recorded as proceeds from the sale of the Operating Partnership.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership of the proceeds from the sale was recorded.

Franklin Vista III, LP, (Franklin Vista III Apartments) is a 28-unit development located in Las Cruces, NM.  On May 29, 2004 the property suffered a serious fire which destroyed two buildings and a total of twelve units.  Prior to the fire Franklin Vista III was operating at 100% occupancy.  Permitting for reconstruction of the destroyed units was delayed by pending changes to the Dona Ana County building codes, mainly involving sprinkler installation.  On May 11, 2005 a building permit was issued to the contractor and reconstruction began.  All repairs were scheduled to be complete and the units placed back online before the end of October 2005.  The Certificate of Occupancy from the contractor, TAJ Construction Inc., was received on November 28, 2005.  The owner, architect, and Rural Development conducted an inspection on November 29, 2005 and determined that the contractor had completed enough of the work to allow tenants to move in.  During the month of December 2005, all twelve re-built units were occupied.  As of January 4, 2006, occupancy for the entire complex was back at 100%.  Franklin Vista III has been operating at 100% occupancy since 2006.  The property is expected to continue to operate above breakeven.  The property's tax credit compliance period expired as of December 31, 2006; all tax credits have been delivered.  All real estate tax, insurance and mortgage payments are current.  On December 31, 2007, the low income housing tax credit compliance period expired with respect to Franklin Vista III Limited Partnership.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

McComb Family LP (Pine Ridge Apartments) is a 32-unit development located in McComb, Mississippi.  This property is located in a remote location.  Unlike its competing properties it does not have project-based Section 8 subsidy or any other form of project-based rental assistance.  In 2006 the property operated below breakeven status with an average occupancy of 84%.  Through the fourth quarter of 2007 occupancy remained strong, averaging 90%.  However, the property continues to operate below breakeven due to low rent levels.  The operating general partner will continue to fund deficits as needed in accordance with the operating deficit guarantee, which is unlimited in time and amount. All real estate tax, insurance and mortgage payments are current.  On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Pine Ridge Apartments.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

In October 2004, while attempting to capitalize on the strong California real estate market, the operating general partner of Rosenberg Building Associates (Rosenberg Apartments) entered into an agreement to sell the property and the transaction closed in the first quarter of 2005.  As part of the purchase agreement, the buyer is required to maintain the property as affordable housing through the end of the tax credit compliance period, and to provide a recapture bond to avoid the recapture of the tax credits that have been taken. After repayment of the outstanding mortgage balance of approximately $1,699,801, and payments of outstanding fees due to the managing and operating general partners of $61,748 and $173,500, respectively, proceeds to the investment limited partners were $1,508,640.  Of the investment limited partner proceeds received: $120,086 represents re-payment of outstanding loans made to the Operating Partnership; and $76,251 represents payment of outstanding investor service fees.  The remaining proceeds of $1,312,303 were paid to the investment limited partnerships, Boston Capital Tax Credit Fund I Series 4 and Series 6 and the Partnership's Series 7 and Series 14, in accordance with their contributions to the Operating Partnership and the terms of the Operating Partnership agreement.  The amount paid to each Series is as follows: Series 4 $138,130, Series 6 $91,034, Series 7 $318,139 and Series 14 $765,000.  Series 4, Series 6, Series 7 and Series 14 will use $43,705, $28,804, $100,661 and $233,948, respectively, of their proceeds to pay outstanding asset management fees due to an affiliate of the investment partnership. In August 2005 additional sale proceeds of $59,929 were received and were allocated to Series 4, Series 6, and Series 7 as follows: $15,125 to Series 4, $9,968 to Series 6, and $34,836 to Series 7.  Of the initial and additional sales proceeds, it is estimated that approximately $109,550, $66,725, $233,186 and $490,795, for Series 4, Series 6, Series 7, and Series 14, respectively, will be distributed to the investors, or used to pay non-resident tax withholdings requirements of the State of California.  Provided that this is the actual amount distributed, the investor per BAC distribution will be $.037, $.051, $.225, and $.090, for Series 4, Series 6, Series 7, and Series 14, respectively. The remaining amount of $64,888 will be retained by the investment limited partner to improve their reserve balances this amount is allocated to Series 6, Series 7, and Series 14 as follows: $5,473 to Series 6, $19,127 to Series 7, and $40,288 to Series 14.  A gain/(loss) on the sale of the investment limited partner interest of ($645,692), ($348,936), $318,139, and $288,349, for Series 4, Series 6, Series 7, and Series 14, respectively, was realized in the quarter ended March 31, 2005. An additional gain on the sale of the investment limited partner interest of $15,125, $9,968, and $34,836, for Series 4, Series 6, and Series 7, respectively, was realized in the quarter ended September 30, 2005.  The gain/(loss) recorded represented the proceeds received by the investment limited partnership, net of their remaining investment balance and their share of the overhead and expense reimbursement.

During October 2004, while attempting to capitalize on the strong California real estate market, the operating general partner of California Investors VII (Summit Ridge Apartments/Longhorn Pavilion) entered into an agreement to sell the property and the transaction closed in the first quarter of 2005.  As part of the purchase agreement, the buyer is required to maintain the property as affordable housing through the end of the tax credit compliance period, and to provide a recapture bond to avoid the recapture of the tax credits that have been taken.  The proceeds to the investment limited partner received in the first quarter 2005 are $919,920, $312,959, $1,459,511, and $1,346,025, for Series 12 and Series 14 and Boston Capital Tax Credit Fund III-Series 15 and Series 17, respectively. Of the total received, $211,638 is for payment of outstanding reporting fees due to an affiliate of the investment partnership, $183,283 is a reimbursement of funds previously advanced to the Operating Partnership by affiliates of the investment partnership and $3,643,494 is the estimated proceeds from the sale of the investment limited partner's interests.  Of the proceeds, $612,758, $206,285, $940,482, and $865,445, for Series 12, Series 14, Series 15, and Series 17, respectively, are estimated to be distributed to the investors, or used to pay non-resident tax withholdings requirements of the State of California.  This represents a per BAC distribution of $.206, $.037, $.243, and $.173, for Series 12, Series 14, Series 15, and Series 17, respectively.  Of the remaining proceeds, $643,691 was paid to BCAMLP for fees and expenses related to the sale and partial reimbursement for amounts owed to affiliates.  The breakdown of amounts paid to BCAMLP is as follows: $51,250 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property; $88,274 represents a reimbursement of estimated expenses incurred in connection with the disposition; and $504,167 represents a partial payment of outstanding asset management fees due to BCAMLP.  The remaining proceeds of $374,833 will be returned to cash reserves. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnerships. Losses on the sale of the property were recorded by Series 12, Series 14, Series 15 and Series 17 of $(2,113,352), $(690,791), $(3,046,179) and $(2,791,520), respectively, in the quarter ended March 31, 2005.  As of December 2005 additional sales proceeds of $99,080 were received and allocated to Series 12, Series 14, Series 15 and Series 17 as follows: $23,128 to Series 12, $7,786 to Series 14, $35,500 to Series 15 and $32,666 to Series 17.  These proceeds will be retained by the investment limited partner to improve their reserve balances as well.  The gain/(loss) recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance, non-reimbursed advances to the Operating Partnership and their share of the overhead and expense reimbursement. In the prior year ended March 31, 2006, $11,964, $4,028, $18,362 and $16,897 for Series 12, Series 14, Series 15 and Series 17, respectively, of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

One Northridge, LTD., (Northridge Apts.) in Arlington, Texas is located between Dallas and Fort Worth. The community consists of 126 units. The property has historically experienced problems with high payables, low occupancy, and deferred maintenance. The operating general partner has not provided financial reports since March 2004.  In June of 2004 the operating general partner entered into a contract for deed to sell the property without consent from the investment limited partner. The investment general partner had been in discussions with the proposed purchaser of the property, Chandler Wonderly, in an effort to resolve the disputed property transfer.  The operating general partner had ceased communications in this matter.  In November of 2004, Chandler Wonderly also purchased the note on the property. On April 5, 2005, Chandler Wonderly, in his capacity as the lender, foreclosed on the property.  On May 27, 2005, the investment general partner reached an agreement to resolve the dispute with Chandler Wonderly. As part of the agreement, the property is to remain affordable through the remainder of the compliance period. An IRS recapture bond was obtained on May 27, 2005 through Liberty Mutual and a Low-Income Housing Credit Disposition Bond application was filed with the IRS on June 1, 2005 in accordance with IRS guidelines.  The investment partnership did not receive any proceeds from the sale of the property and the Operating Partnership's investment balance at the time of the property sale was zero.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership of the proceeds from the sale was recorded.

In December 2004, the investment general partner of Boston Capital Tax Credit Fund I - Series 2 and Series 14 negotiated the sale of their interest in Haven Park Partners III to the operating general partner. The transaction closed in April of 2005 for the assumption of the outstanding mortgage balance of approximately $462,000 and proceeds to the investment limited partners of $979,310 ($403,912 for Series 2 and $575,398 for Series 14).  Of the total proceeds received, $608,547 represents a reimbursement of funds previously advanced to the Operating Partnership by affiliates of the investment limited partners and $8,000 is for payment of outstanding reporting fees due to an affiliate of the investment limited partners. Of the remaining proceeds, the net distribution to the investors was $253,710 ($170,747 for Series 2 and $82,963 for Series 14).  This represented a per BAC distribution of $.206 and $.015 for Series 2 and 14, respectively.  The total returned to the investors was distributed based on the number of BACs held by each investor.  The remaining proceeds of $109,053 were paid to BCAMLP for fees and expenses related to the sale and partial reimbursement for amounts owed to affiliates.  The breakdown of amounts paid to BCAMLP is as follows: $9,000 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursements and third party legal and mailing costs; and $100,053 for a partial payment of outstanding asset management fees due to BCAMLP. Accordingly, gains on the sale of the property were recorded by Series 2 and Series 14 of $242,269 and $95,594, respectively, as of March 31, 2006.  The gains recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance, non-reimbursed advances to the Operating Partnership and their share of the overhead and expense reimbursement.

In February 2004, the investment general partner of Boston Capital Tax Credit Fund I - Series 4 and Series 14 negotiated a transfer of their investment limited partner interest in Haven Park Partners II, A California LP (Glenhaven Park II) to the operating general partner for his assumption of the outstanding mortgage balance of $466,593 and proceeds to the investment limited partnership of $715,000. Of the total received, $4,500 was for payment of outstanding reporting fees due to an affiliate of the investment limited partnership, and $710,500 was proceeds from the sale of the interest. Of the sale proceeds received, $504,941 was utilized to repay subordinated loans that had been made by the investment limited partnership to the Operating Partnership.  The remaining sale proceeds were $26,374 and $179,185, for Series 4 and Series 14, respectively.  Of the proceeds remaining, $5,793 and $39,360, for Series 4 and Series 14, respectively, was distributed to the investors in September 2005.  This represents a per BAC distribution of $.002 and $.007, for Series 4 and Series 14, respectively.  The total returned to the investors is distributed based on the number of BACs held by each investor.  The remaining balance of $160,406 was paid to BCAMLP for fees and expenses related to the sale and partial reimbursement of amounts payable to affiliates. The breakdown of the amount paid to BCAMLP is as follows:  $30,450 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes salary reimbursement, mailing cost and third party legal fees; and $129,956 represents a partial payment of outstanding asset management fees due to BCAMLP.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership's investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the investment limited partner interest of $18,137 and $179,185 for Series 4 and Series 14, respectively, was realized in the quarter ended March 31, 2004. In the prior year ended, March 31, 2006, $2,752 and $18,698 for Series 4 and Series 14, respectively, of the sales proceeds were refunded to BCAMLP to pay accrued asset management fees.

In February 2006, the investment general partner transferred 98% of its interest in Plantation IV, Limited to a non-affiliated entity for its assumption of the proportionate amount of the outstanding mortgage balance of approximately $1,385,688 and cash proceeds to the investment limited partner of $54,319. Of the proceeds received $3,610 represent reporting fees due to an affiliate of the investment partnership and the balance represent proceeds from the sale. Of the remaining proceeds $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $44,709 will be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  In September 2006, the investment limited partner transferred the remaining 2% of its interest to a non-affiliated entity for cash proceeds to the investment limited partner of $1,109. The proceeds of $1,109 will be returned to cash reserves held by Series 14. Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $44,709 as of March 31, 2006 and additional proceeds of $1,109 have been recorded as of December 31, 2006.

In January 2006, the investment general partner transferred its interest in Independence Apartments, A Limited Partnership to the operating general partner for its assumption of the outstanding mortgage balance of $1,055,274 and proceeds to the investment limited partnership of $1.  The investment limited partnership proceeds actually represented a partial payment of reporting fees due to an affiliate of the investment limited partnership and have not been recorded as proceeds from the sale of the Operating Partnership.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership of the proceeds from the sale was recorded.

In January 2006, the investment general partner transferred its interest in Yorkshire Corners, A Limited Partnership to the operating general partner for its assumption of the outstanding mortgage balance of $903,925 and proceeds to the investment limited partnership of $1.  The investment limited partnership proceeds actually represented a partial payment of reporting fees due to an affiliate of the investment limited partnership and have not been recorded as proceeds from the sale of the Operating Partnership.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain or loss on the sale of the Operating Partnership of the proceeds from the sale was recorded.

In December 2006, the investment general partner exercised an option to transfer its interest in Hunter's Run of Douglas LP to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,405,000 and cash proceeds to the investment limited partner of $56,200. The transaction closed in January 2007.  Of the proceeds received, $3,600 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale. Of the proceeds received, $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $46,600 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $46,600 as of March 31, 2007.

In December 2006, the investment general partner exercised an option to transfer its interest in Wildwood Terrace Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,231,856 and cash proceeds to the investment limited partner of $49,274. The transaction closed in January 2007. Of the proceeds received $4,716 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale. Of the proceeds received. $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $38,558 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $38,558 as of March 31, 2007.

In December 2006, the investment general partner exercised an option to transfer its interest in Woodside RRH Limited to a non-affiliated entity for its assumption of the outstanding mortgage balance of approximately $1,182,112 and cash proceeds to the investment limited partner of $47,284. The transaction closed in January 2007.  Of the proceeds received, $6,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $41,284 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expenses, has been recorded in the amount of $41,284 as of March 31, 2007.

Jarratt Limited Partnership (Jarratt Village Apartments) is a 24-unit complex located in Jarratt, Virginia.  Occupancy began to decline in the third quarter of 2006, averaging 75% for the year.  The site manager was terminated and temporarily replaced with a manager from a nearby property until a permanent replacement was hired in March of 2007.  Occupancy averaged 90% in 2007, ending the year at 96% in December with operations slightly above breakeven. The mortgage, taxes, and insurance are current.  On December 31, 2006, the 15-year low income housing tax credit compliance period expired with respect to Jarratt Limited Partnership.  The investment general partner is in the process of exploring various disposition opportunities consistent with the investment objectives of the investment partnership.

In December 2006, the investment general partner transferred its interest in Toano III Limited Partnership to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance and cash proceeds to the investment limited partner of $10. The cash proceeds were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In addition, the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, there will be a residual payment of $500 plus the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership agreement in effect at the date the investment limited partner transferred its interest. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $10 as of December 31, 2006.  The transfer of the Operating Partnership had been recognized as of December 31, 2006 and the proceeds were received in the first quarter of 2007.

In January 2007, the investment general partner transferred its interest in Bethel Park Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,447,772 and cash proceeds to the investment limited partner of $17,183. Of the proceeds received, $6,183 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale. Of the remaining proceeds, $1,650 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  The remaining proceeds of $9,350 were returned to cash reserves held by Series 14. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $9,350 as of March 31, 2007.

In January 2007, the investment general partner transferred its interest in Pittsfield Park Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,017,904 and cash proceeds to the investment limited partner of $8,745.  Of the proceeds received $4,478 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale.  Of the remaining proceeds, $268 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds of $3,999 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $3,999 as of March 31, 2007.

In January 2007, the investment general partner transferred its interest in Tyrone Housing Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,435,011 and cash proceeds to the investment limited partner of $20,949.  Of the proceeds received, $11,634 represented reporting fees due to an affiliate of the investment partnership and the balance represented proceeds from the sale.  Of the remaining proceeds $1,397 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds of $7,918 were returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership.  After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, a gain on the transfer of the Operating Partnership has been recorded in the amount of $7,918 as of March 31, 2007.

In November 2006, the investment general partner of Parkwood Commons Limited Partnership entered into an agreement to sell the property and the transaction closed on January 31, 2007.  Cash proceeds to the investment limited partners were $550,373 (Series 10), $206,032 (Series 12) and $206,032 (Series 14). Of the proceeds received, $4,289 (Series 10), $1,606 (Series 12) and $1,606 (Series 14) were paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $546,084, $204,426 and $204,426, respectively, were returned to cash reserves held by Series 10, Series 12 and Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.  A gain on the sale of the Operating Partnership of the proceeds from the sale, net of the expense and overhead reimbursement, has been recorded in the amount of $487,967, $186,471, and $204,426 for Series 10, Series 12, and Series 14, respectively, as of March 31, 2007.  The gain recorded represented the proceeds received by the investment limited partner, net of their remaining investment balance and their share of the disposition fee and expenses.

In December 2007, the investment general partner transferred 50% of the investment partnership interest in Portville Square Apartments LP to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $425,921 and cash proceeds to the investment limited partner of $0.  The remaining 50% investment limited partner interest in the Operating Partnership is anticipated to be transferred in December 2008 for the assumption of the remaining mortgage balance outstanding and proceeds of $0.  In addition, the investment general partner on behalf of the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, on or before December 18, 2013, there would be a residual payment of the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership Agreement in effect at the date the investment limited partnership transferred its interest.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain on the transfer of the Operating Partnership has been recorded as of December 31, 2007.

In December 2007, the investment general partner of Carleton Court approved an agreement to sell the property and the transaction is anticipated to close in February 2008. The anticipated sales price for the property is $3,199,484, which includes the outstanding mortgage balance of approximately $3,189,484 and cash proceeds to the investment limited partners of $5,000.  Of the total proceeds anticipated to be received, $0 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale.  Of the remaining proceeds, it is anticipated that $5,000 will be paid to BCAMLP for expenses related to the sale, which includes third party legal costs.  There are no remaining proceeds anticipated to be returned to cash reserves held by Series 14.  The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution.

In December 2007, the investment general partner transferred 50% of the investment partnership interest in Belmont Village Court to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $450,438 and cash proceeds to the investment limited partner of $0.  The remaining 50% investment limited partner interest in the Operating Partnership is anticipated to be transferred in December 2008 for the assumption of the remaining mortgage balance outstanding and proceeds of $0.  In addition, the investment general partner on behalf of the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, on or before December 18, 2013, there would be a residual payment of the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership Agreement in effect at the date the investment limited partnership transferred its interest. Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain on the transfer of the Operating Partnership has been recorded as of December 31, 2007.

In December 2007, the investment general partner transferred 50% of the investment partnership interest in Harrison City Associates, a Limited Partnership to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $716,719 and cash proceeds to the investment limited partner of $0.  The remaining 50% investment limited partner interest in the Operating Partnership is anticipated to be transferred in December 2008 for the assumption of the remaining mortgage balance outstanding and proceeds of $0.  In addition, the investment general partner on behalf of the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, on or before December 18, 2013, there would be a residual payment of the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership Agreement in effect at the date the investment limited partnership transferred its interest.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain on the transfer of the Operating Partnership has been recorded as of December 31, 2007.

In December 2007, the investment general partner transferred 50% of the investment partnership interest in Tionesta Manor, a Limited Partnership to an entity affiliated with the operating general partner for its assumption of half the outstanding mortgage balance of approximately $690,817 and cash proceeds to the investment limited partner of $0.  The remaining 50% investment limited partner interest in the Operating Partnership is anticipated to be transferred in December 2008 for the assumption of the remaining mortgage balance outstanding and proceeds of $0.  In addition, the investment general partner on behalf of the investment limited partnership entered into an agreement with the Operating Partnership for receipt of a residual payment.  Under the terms of the residual agreement if the property owned by the Operating Partnership is refinanced or sold, on or before December 18, 2013, there would be a residual payment of the capital transaction proceeds distributable to the investment limited partnership in accordance with the Operating Partnership Agreement in effect at the date the investment limited partnership transferred its interest.  Annual losses generated by the Operating Partnership, which were applied against the investment limited partner's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment in the Operating Partnership to zero.  Accordingly, no gain on the transfer of the Operating Partnership has been recorded as of December 31, 2007.



Principal Critical Accounting Policies and Estimates

The financial statements are prepared in accordance with accounting principles generally accepted in the United States of America, which requires the Partnership to make certain estimates and assumptions.  A summary of significant accounting policies is provided in Note 1 to the financial statements.  The following section is a summary of certain aspects of those accounting policies that may require subjective or complex judgments and are most important to the portrayal of the Partnership's financial condition and results of operations.  The Partnership believes that there is a low probability that the use of different estimates or assumptions in making these judgments would result in materially different amounts being reported in the financial statements.

The Partnership is required to assess potential impairments to its long-lived assets, which are primarily investments in limited partnerships.  The Partnership accounts for its investment in limited partnerships in accordance with the equity method of accounting since the Partnership does not control the operations of the Operating Partnerships.

If the book value of the Partnership's investment in an Operating Partnership exceeds the estimated value derived by management, which generally consists of the remaining future low-income housing credits allocable to the Partnership and the estimated residual value to the Partnership, the Partnership reduces its investment in any such Operating Partnership and includes such reduction in equity in loss of investment of limited partnerships.



As of March 31, 2004, the Partnership adopted FASB Interpretation No. 46 - Revised ("FIN46R"), "Consolidation of Variable Interest Entities." FIN 46R provides guidance on when a company should include the assets, liabilities, and activities of a variable interest entity ("VIE") in its financial statements and when it should disclose information about its relationship with a VIE. A VIE is a legal structure used to conduct activities or hold assets, which must be consolidated by a company if it is the primary beneficiary because it absorbs the majority of the entity's expected losses, the majority of the expected returns, or both.



Based on the guidance of FIN 46R, the Operating Partnerships in which the Partnership invests meet the definition of a VIE.  However, management does not consolidate the Partnership's interests in these VIEs under FIN 46R, as it is not considered to be the primary beneficiary.  The Partnership currently records the amount of its investment in these partnerships as an asset on its balance sheet, recognizes its share of partnership income or losses in the statements of operations, and discloses how it accounts for material types of these investments in its financial statements.



The Partnership's balance in investment in operating limited partnerships, plus the risk of recapture of tax credits previously recognized on these investments, represents its maximum exposure to loss.  The Partnership's exposure to loss on these partnerships is mitigated by the condition and financial performance of the underlying properties as well as the strength of the local general partners and their guarantee against credit recapture.







Principal Critical Accounting Policies and Estimates - continued

In September 2006, the Financial Accounting Standards Board ("FASB") issued Statement of Financial Accounting Standards (SFAS) No. 157, "Fair Value Measurements," (SFAS 157), which defines fair value, establishes a framework for measuring fair value in generally accepted accounting principles and expands disclosure about fair value measurements. SFAS 157 is effective for financial statements issued for fiscal years beginning after November 15, 2007 and shall be applied prospectively except for very limited transactions, which for the Fund is April 1, 2008.  In December 2007, the FASB delayed the implementation of SFAS 157 as it pertains to non-financial assets and liabilities until November 15, 2008, which for the Fund is April 1, 2009. The Fund is currently evaluating the potential impact of the adoption of SFAS 157 on its financial statements.

|Item 3 | Quantitative and Qualitative Disclosure About Market Risk
|------ | ---------------------------------------------------------
|       |                                                          
|       | Not Applicable                                           

|Item 4 | Controls & Procedures
|------ | ---------------------
|       |                      
|       | (a)                  
|       |                      
|       |                      
|       | (b)                  
|       |                      















PART II - OTHER INFORMATION



|Item 1.  | Legal Proceedings                                                                                                                                                   
|-------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|         | None                                                                                                                                                                
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|Item 1A. | Risk Factors                                                                                                                                                        
|         |                                                                                                                                                                     
|         | There have been no material changes from the risk factors set forth under Part I, Item 1A. "Risk Factors" in our Form 10-K for the fiscal year ended March 31, 2007.
|         |                                                                                                                                                                     
|Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds                                                                                                         
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|         | None                                                                                                                                                                
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|Item 3.  | Defaults upon Senior Securities                                                                                                                                     
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|         | None                                                                                                                                                                
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|Item 4.  | Submission of Matters to a Vote of Security 
Holders                                                                                                                
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|         | None                                                                                                                                                                
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|Item 5.  | Other Information                                                                                                                                                   
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|         | None                                                                                                                                                                
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|Item 6.  | Exhibits                                                                                                                                                            
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|         | (a)Exhibits                                                                                                                                                         
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SIGNATURES

Pursuant to the requirements of Section 13 of the Securities
Exchange Act of 1934, the Partnership has duly caused this Report to be
signed on its behalf by the undersigned, thereunto duly authorized.

|                        |                                                       |                                                                  
|----------------------- | ----------------------------------------------------- | -----------------------------------------------------------------
|                        | Boston Capital Tax Credit Fund II Limited Partnership
|                        |                                                       |                                                                  
|                        | By:                                                   | Boston Capital Associates II Limited
Partnership, General Partner
|                       
|                        |                                                       |                                                                  
|                        | By:                                                   | BCA Associates Limited Partnership,
General Partner              
|                       
|                        |                                                       |                                                                  
|                        | By:                                                   | C&M Management, Inc.,
General Partner                            
|                       
|                        |                                                       |                                                                  
|Date: February 14, 2008 | /s/ John P. Manning                                  
|                        | John P. Manning                                      
|                        |                                                       |                                                                  

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

|DATE:             | SIGNATURE:                          | TITLE:                                                                                                                                          
|----------------- | ----------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------
|                  |                                     |                                                                                                                                                 
|February 14, 2008 | /s/ John P. Manning
John P. Manning | Director, President
(Principal Executive
Officer), C&M Management
Inc.; Director, President
(Principal Executive
Officer) BCTC II Assignor Corp.



|DATE:             | SIGNATURE:                    | TITLE:                                                                                                                                                                               
|----------------- | ----------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                  |                               |                                                                                                                                                                                      
|February 14, 2008 | /s/ Marc N. Teal
Marc N. Teal | Chief Financial Officer
(Principal Financial and
Accounting Officer), C&M Management Inc; Chief
Financial Officer (Principal
Financial and Accounting
Officer) BCTC II Assignor Corp.