FORM 10-Q

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 September 30, 2006

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        0-21718



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 [   ]			No  [ X ]

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

Large accelerated filer[  ]  Accelerated filer[  ]  Non-accelerated filer[ X ]



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

Yes [   ]			No  [ X ]



BOSTON CAPITAL TAX CREDIT FUND II LIMITED PARTNERSHIP



QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED SEPTEMBER 30, 2006



TABLE OF CONTENTS

FOR THE QUARTER ENDED SEPTEMBER 30, 2006

BALANCE SHEETS















Three Months Ended SEPTEMBER 30,

Statement_of_Operations_Series_07Page 12

Statement_of_Operations_Series_09Page 13

Statement_of_Operations_Series_10Page 14

Statement_of_Operations_Series_11Page 15

Statement_of_Operations_Series_12Page 16

Statement_of_Operations_Series_14Page 17

SIX Months Ended SEPTEMBER 30,

Statement_of_Operations_Series_07Page 19

Statement_of_Operations_Series_09Page 20

Statement_of_Operations_Series_10Page 21

Statement_of_Operations_Series_11Page 22

Statement_of_Operations_Series_12Page 23

Statement_of_Operations_Series_14Page 24

SIX MONTHS Ended SEPTEMBER 30,

Partners_Capital_Series_7page 26

Partners_Capital_Series_9page 26

Partners_Capital_Series_10page 27

Partners_Capital_Series_11Page 27

Partners_Capital_Series_12Page 28

Partners_Capital_Series_14Page 28

Statement_of_Cash_Flows

SIX MONTHS Ended SEPTEMBER 30,

Cash_Flows_Series_7page 31

Cash_Flows_Series_9Page 33

Cash_Flows_Series_10Page 35

Cash_Flows_Series_11page 37

Cash_Flows_Series_12page 39

Cash_Flows_Series_14Page 41





























BOSTON CAPITAL TAX CREDIT FUND II LIMITED PARTNERSHIP

QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED SEPTEMBER 30, 2006



Notes_to_Financial_Statements









Combined_Statements_of_Operations

























Part_II_Other_Information











































































Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS



|                                                 | September 30,
2006
(Unaudited)                                                                                                  | March 31,
2006
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------- | ------------------------
|ASSETS                                           |                                                                                                                                 |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $   3,353,339                                                                                                                   | $   3,696,857           
|                                                 |                                                                                                                                
|OTHER ASSETS                                     |                                                                                                                                
|                                                 | Cash and cash equivalents                                                                                                       | 3,411,473               
|                                                 | Deferred acquisition costs (Note B)                                                                                             | 556,660                 
|                                                 | Other assets                                                                                                                    | 25,613                  
|                                                 | $7,347,085                                                                                                                      | $8,597,063              
|                                                 |                                                                                                                                 |                         
|LIABILITIES                                      |                                                                                                                                 |                         
|                                                 | Accounts payable                                                                                                                | $      38,562           
|                                                 | Accounts payable affiliates (Note C)                                                                                            | 28,986,549              
|                                                 | Capital contributions payable (Note D)                                                                                          | 236,345                 
|                                                 | 29,261,456                                                                                                                      | 29,550,925              
|PARTNERS' CAPITAL                                |                                                                                                                                 |                         
|                                                 |                                                                                                                                 |                         
|Limited Partners                                 |                                                                                                                                 |                         
|                                                 | Units of limited partnership 
interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
18,679,738 issued and outstanding | (20,126,758)            
|                                                 |                                                                                                                                 |                         
|General Partner                                  | (1,787,613)                                                                                                                     | (1,778,009)             
|                                                 | (21,914,371)                                                                                                                    | (20,953,862)            
|                                                 | $7,347,085                                                                                                                      | $8,597,063              







The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS

Series7



|                                                 | September 30,
2006
(Unaudited)                                                                                                 | March 31,
2006
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                           |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $         -                                                                                                                    | $         -             
|                                                 |                                                                                                                               
|OTHER ASSETS                                     |                                                                                                                               
|                                                 | Cash and cash equivalents                                                                                                      | 430,449                 
|                                                 | Deferred acquisition costs (Note B)                                                                                            | -                       
|                                                 | Other assets                                                                                                                   | -                       
|                                                 | $430,449                                                                                                                       | $1,170,888              
|                                                 |                                                                                                                                |                         
|LIABILITIES                                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Accounts payable                                                                                                               | $         -             
|                                                 | Accounts payable affiliates (Note C)                                                                                           | 857,736                 
|                                                 | Capital contributions payable (Note D)                                                                                         | -                       
|                                                 | 857,736                                                                                                                        | 1,562,165               
|                                                 |                                                                                                                                |                         
|PARTNERS' CAPITAL                                |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|Limited Partners                                 |                                                                                                                                |                         
|                                                 | Units of limited partnership 
interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
1,036,100 issued and outstanding | (333,087)               
|                                                 |                                                                                                                                |                         
|General Partner                                  | (94,200)                                                                                                                       | (93,840)                
|                                                 | (427,287)                                                                                                                      | (391,277)               
|                                                 | $430,449                                                                                                                       | $1,170,888              



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETS

Series9



|                                                 | September 30,
2006
(Unaudited)                                                                                                 | March 31,
2006
(Audited)
|------------------------------------------------ | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                           |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS(Note D) | $         -                                                                                                                    | $         -             
|                                                 |                                                                                                                                |                         
|OTHER ASSETS                                     |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Cash and cash equivalents                                                                                                      | 160,570                 
|                                                 | Deferred acquisition costs (Note B)                                                                                            | 6,185                   
|                                                 | Other assets                                                                                                                   | 20,313                  
|                                                 | $187,068                                                                                                                       | $226,620                
|                                                 |                                                                                                                                |                         
|LIABILITIES                                      |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|                                                 | Accounts payable                                                                                                               | $          -            
|                                                 | Accounts payable affiliates (Note C)                                                                                           | 5,990,616               
|                                                 | Capital contributions payable (NoteD)                                                                                          | -                       
|                                                 | 5,990,616                                                                                                                      | 5,840,728               
|                                                 |                                                                                                                                |                         
|PARTNERS' CAPITAL                                |                                                                                                                                |                         
|                                                 |                                                                                                                                |                         
|Limited Partners                                 |                                                                                                                                |                         
|                                                 | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
4,178,029 issued and outstanding | (5,410,675)             
|                                                 |                                                                                                                                |                         
|General Partner                                  | (392,873)                                                                                                                      | (390,979)               
|                                                 |                                                                                                                                |                         
|                                                 | (5,803,548)                                                                                                                    | (5,614,108)             
|                                                 | $187,068                                                                                                                       | $226,620                



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 10



|                                                   | September 30,
2006
(Unaudited)                                                                                                  | March 31,
2006
(Audited)
|-------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------- | ------------------------
|ASSETS                                             |                                                                                                                                 |                         
|INVESTMENTS IN OPERATING 
   PARTNERSHIPS (Note D) | $    337,339                                                                                                                    | $    369,953            
|                                                   |                                                                                                                                 |                         
|OTHER ASSETS                                       |                                                                                                                                 |                         
|                                                   | Cash and cash equivalents                                                                                                       | 267,522                 
|                                                   | Deferred acquisition costs (Note B)                                                                                             | 32,963                  
|                                                   | Other assets                                                                                                                    | -                       
|                                                   | $637,824                                                                                                                        | $755,245                
|                                                   |                                                                                                                                 |                         
|LIABILITIES                                        |                                                                                                                                 |                         
|                                                   |                                                                                                                                 |                         
|                                                   | Accounts payable                                                                                                                | $          -            
|                                                   | Accounts payable affiliates (Note C)                                                                                            | 3,871,137               
|                                                   | Capital contributions payable (Note D)                                                                                          | -                       
|                                                   | 3,871,137                                                                                                                       | 3,828,026               
|                                                   |                                                                                                                                 |                         
|PARTNERS' CAPITAL                                  |                                                                                                                                 |                         
|                                                   |                                                                                                                                 |                         
|Limited Partners                                   |                                                                                                                                 |                         
|                                                   | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,428,925  issued and outstanding | (3,006,067)             
|                                                   |                                                                                                                                 |                         
|General Partner                                    | (227,246)                                                                                                                       | (225,641)               
|                                                   | (3,233,313)                                                                                                                     | (3,072,781)             
|                                                   | $637,824                                                                                                                        | $755,245                



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 11



|                                                     | September 30,
2006
(Unaudited)                                                                                                 | March 31,
2006
(Audited)
|---------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                               |                                                                                                                                |                         
|INVESTMENTS IN OPERATING   
   PARTNERSHIPS (NOTE D) | $ 1,933,570                                                                                                                    | $  2,056,230            
|                                                     |                                                                                                                                |                         
|OTHER ASSETS                                         |                                                                                                                                |                         
|                                                     | Cash and cash equivalents                                                                                                      | 468,094                 
|                                                     | Deferred acquisition costs (Note B)                                                                                            | 24,237                  
|                                                     | Other assets                                                                                                                   | 2,600                   
|                                                     | $2,428,501                                                                                                                     | $2,342,203              
|                                                     |                                                                                                                                |                         
|LIABILITIES                                          |                                                                                                                                |                         
|                                                     | Accounts payable                                                                                                               | $     7,500             
|                                                     | Accounts payable affiliates (Note C)                                                                                           | 4,324,879               
|                                                     | Capital contributions payable (Note D)                                                                                         | 22,528                  
|                                                     | 4,354,907                                                                                                                      | 4,269,538               
|                                                     |                                                                                                                                |                         
|PARTNERS' CAPITAL                                    |                                                                                                                                |                         
|                                                     |                                                                                                                                |                         
|Limited Partners                                     |                                                                                                                                |                         
|                                                     | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,489,599 issued and outstanding | (1,692,456)             
|                                                     |                                                                                                                                |                         
|General Partner                                      | (233,950)                                                                                                                      | (233,959)               
|                                                     | (1,926,406)                                                                                                                    | (1,927,335)             
|                                                     | $2,428,501                                                                                                                     | $2,342,203              



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 12



|                                                  | September 30,
2006
(Unaudited)                                                                                                 | March 31,
2006
(Audited)
|------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                            |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS (NOTE D) | $    37,762                                                                                                                    | $    138,176            
|                                                  |                                                                                                                                |                         
|OTHER ASSETS                                      |                                                                                                                                |                         
|                                                  | Cash and cash equivalents                                                                                                      | 968,639                 
|                                                  | Deferred acquisition costs (Note B)                                                                                            | 149,179                 
|                                                  | Other assets                                                                                                                   | 2,700                   
|                                                  | $1,158,280                                                                                                                     | $ 1,291,522             
|                                                  |                                                                                                                                |                         
|LIABILITIES                                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|                                                  | Accounts payable                                                                                                               | $     31,062            
|                                                  | Accounts payable affiliates (Note C)                                                                                           | 5,246,987               
|                                                  | Capital contributions payable (Note D)                                                                                         | 11,405                  
|                                                  | 5,289,454                                                                                                                      | 5,226,046               
|                                                  |                                                                                                                                |                         
|PARTNERS' CAPITAL                                 |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|Limited Partners                                  |                                                                                                                                |                         
|                                                  | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
2,972,795 issued and outstanding | (3,832,604)             
|                                                  |                                                                                                                                |                         
|General Partner                                   | (298,570)                                                                                                                      | (297,004)               
|                                                  | (4,131,174)                                                                                                                    | (3,974,524)             
|                                                  | $1,158,280                                                                                                                     | $1,291,522              



The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
BALANCE SHEETSSeries 14



|                                                  | September 30,
2006
(Unaudited)                                                                                                 | March 31,
2006
(Audited)
|------------------------------------------------- | ------------------------------------------------------------------------------------------------------------------------------ | ------------------------
|ASSETS                                            |                                                                                                                                |                         
|INVESTMENTS IN OPERATING
   PARTNERSHIPS (NOTE D) | $  1,044,668                                                                                                                   | $ 1,132,498             
|                                                  |                                                                                                                                |                         
|OTHER ASSETS                                      |                                                                                                                                |                         
|                                                  | Cash and cash equivalents                                                                                                      | 1,116,199               
|                                                  | Deferred acquisition costs (Note B)                                                                                            | 344,096                 
|                                                  | Other assets                                                                                                                   | -                       
|                                                  | $2,504,963                                                                                                                     | $2,810,585              
|                                                  |                                                                                                                                |                         
|LIABILITIES                                       |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|                                                  | Accounts payable                                                                                                               | $          -            
|                                                  | Accounts payable affiliates (Note C)                                                                                           | 8,695,194               
|                                                  | Capital contributions payable (Note D)                                                                                         | 202,412                 
|                                                  | 8,897,606                                                                                                                      | 8,784,422               
|                                                  |                                                                                                                                |                         
|PARTNERS' CAPITAL                                 |                                                                                                                                |                         
|                                                  |                                                                                                                                |                         
|Limited Partners                                  |                                                                                                                                |                         
|                                                  | Units of limited partnership 
Interest, $10 stated value per
BAC; 20,000,000 authorized BACs;
5,574,290 issued and outstanding | (5,851,869)             
|                                                  |                                                                                                                                |                         
|General Partner                                   | (540,774)                                                                                                                      | (536,586)               
|                                                  | (6,392,643)                                                                                                                    | (5,973,837)             
|                                                  | $2,504,963                                                                                                                     | $2,810,585              



The accompanying notes are an integral part of this statement









Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF OPERATIONS Three Months Ended September 30,
(Unaudited)





|                                                             | 2006                                           | 2005        
|------------------------------------------------------------ | ---------------------------------------------- | ------------
|                                                             |                                                |             
|Income                                                       |                                                |             
|                                                             | Interest income                                | $     13,390
|                                                             | Other income                                   | 294,593     
|                                                             | 307,983                                        | 23,394      
|                                                             |                                                |             
|Share of income(loss) from Operating 
  Partnerships(Note D) | (86,798)                                       | 612,334     
|                                                             |                                                |             
|Expenses                                                     |                                                |             
|                                                             |                                                |             
|                                                             | Partnership management fee (Note C)            | 353,956     
|                                                             | Amortization                                   | 8,576       
|                                                             | General and administrative expenses            | 164,529     
|                                                             | 527,061                                        | 747,704     
|                                                             |                                                |             
|NET INCOME (LOSS)                                            | $(305,876)                                     | $(111,976)  
|                                                             |                                                |             
|                                                             | Net income(loss) allocated to limited
partners | $(302,818)  
|                                                             |                                                |             
|                                                             | Net income(loss) allocated general partner     | $(3,058)    
|                                                             |                                                |             
|                                                             | 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 September 30,

(Unaudited)

Series7



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     1,896
|                                                             | Other income                                   | 600        
|                                                             | 2,496                                          | 382        
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | -                                              | (2,362)    
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 15,065     
|                                                             | Amortization                                   | -          
|                                                             | General and administrative expenses            | 9,749      
|                                                             | 24,814                                         | 29,017     
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(22,318)                                      | $(30,997)  
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(22,095)  
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(223)     
|                                                             |                                                |            
|                                                             | 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 September 30,
(Unaudited)

Series9



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $       725
|                                                             | Other income                                   | 1,577      
|                                                             | 2,302                                          | 9,530      
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | -                                              | 16,031     
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 77,361     
|                                                             | Amortization                                   | 97         
|                                                             | General and administrative expenses            | 27,382     
|                                                             | 104,840                                        | 152,417    
|                                                             |                                                |            
|NET INCOME (LOSS)                                            | $(102,538)                                     | $(126,856) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(101,513) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general partner     | $(1,025)   
|                                                             |                                                |            
|                                                             | 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 September 30,
(Unaudited)Series 10



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     1,032
|                                                             | Other income                                   | -          
|                                                             | 1,032                                          | 922        
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (11,755)                                       | 992,305    
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 47,034     
|                                                             | Amortization                                   | 515        
|                                                             | General and administrative expenses            | 24,472     
|                                                             | 72,021                                         | 104,041    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(82,744)                                      | $889,186   
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(81,917)  
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(827)     
|                                                             |                                                |            
|                                                             | 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
Three Months Ended September 30,
(Unaudited)Series 11



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     1,750
|                                                             | Other income                                   | 287,830    
|                                                             | 289,580                                        | 269        
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (59,133)                                       | (202,861)  
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 72,384     
|                                                             | Amortization                                   | 365        
|                                                             | General and administrative expenses            | 23,458     
|                                                             | 96,207                                         | 106,773    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $134,240                                       | $(309,365) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $132,898   
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $1,342     
|                                                             |                                                |            
|                                                             | 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 September 30,
(Unaudited)Series 12



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     3,395
|                                                             | Other income                                   | 2,046      
|                                                             | 5,441                                          | 776        
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | 41,794                                         | (117,538)  
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 4,045      
|                                                             | Amortization                                   | 2,223      
|                                                             | General and administrative expenses            | 27,566     
|                                                             | 33,834                                         | 128,499    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $13,401                                        | $(245,261) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $13,267    
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $134       
|                                                             |                                                |            
|                                                             | Net income(loss) per BAC                       | $.00       
|                                                             |                                                |            

The accompanying notes are an integral part of this statement





















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Three Months Ended September 30,
(Unaudited)Series 14



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     4,592
|                                                             | Other income                                   | 2,540      
|                                                             | 7,132                                          | 11,515     
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (57,704)                                       | (73,241)   
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 138,067    
|                                                             | Amortization                                   | 5,376      
|                                                             | General and administrative expenses            | 51,902     
|                                                             | 195,345                                        | 226,957    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(245,917)                                     | $(288,683) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(243,458) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(2,459)   
|                                                             |                                                |            
|                                                             | Net income(loss) per BAC                       | $(.04)     
|                                                             |                                                |            









The accompanying notes are an integral part of this statement

























Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS 
Six Months Ended September 30, 
(Unaudited)





|                                                             | 2006                                           | 2005                
|------------------------------------------------------------ | ---------------------------------------------- | --------------------
|                                                             |                                                |                     
|Income                                                       |                                                |                     
|                                                             | Interest income                                | $     17,742        
|                                                             | Other income                                   | 299,523             
|                                                             | 317,265                                        | 35,872              
|                                                             |                                                |                     
|Share of income(loss) from Operating 
  Partnerships(Note D) | (276,205)                                      | 739,938             
|                                                             |                                                |                     
|Expenses                                                     |                                                |                     
|                                                             |                                                |                     
|                                                             | Partnership management fee (Note C)            | 799,588             
|                                                             | Amortization                                   | 17,395              
|                                                             | General and administrative expenses            | 184,586             
|                                                             | 1,001,569                                      | 1,343,348  1,351,620
|                                                             |                                                |                     
|NET INCOME (LOSS)                                            | $(960,509)                                     | $(567,538)          
|                                                             |                                                |                     
|                                                             | Net income(loss) allocated to limited
partners | $(950,905)          
|                                                             |                                                |                     
|                                                             | Net income(loss) allocated general partner     | $(9,604)            
|                                                             |                                                |                     
|                                                             | 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
Six Months Ended September 30,

(Unaudited)

Series 7



|                                                             | 2006                                           | 2005      
|------------------------------------------------------------ | ---------------------------------------------- | ----------
|                                                             |                                                |           
|Income                                                       |                                                |           
|                                                             | Interest income                                | $    2,687
|                                                             | Other income                                   | 600       
|                                                             | 3,287                                          | 671       
|                                                             |                                                |           
|Share of income(loss) from Operating 
  Partnerships(Note D) | -                                              | 309,846   
|                                                             |                                                |           
|Expenses                                                     |                                                |           
|                                                             |                                                |           
|                                                             | Partnership management fee (Note C)            | 27,747    
|                                                             | Amortization                                   | -         
|                                                             | General and administrative expenses            | 11,550    
|                                                             | 39,297                                         | 56,611    
|                                                             |                                                |           
|NET INCOME(LOSS)                                             | $(36,010)                                      | $253,906  
|                                                             |                                                |           
|                                                             | Net income(loss) allocated to limited
partners | $(35,650) 
|                                                             |                                                |           
|                                                             | Net income(loss) allocated general
partner     | $(360)    
|                                                             |                                                |           
|                                                             | 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
Six Months Ended September 30,
(Unaudited)

Series 9



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     1,031
|                                                             | Other income                                   | 1,577      
|                                                             | 2,608                                          | 11,940     
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | -                                              | 16,031     
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 162,746    
|                                                             | Amortization                                   | 193        
|                                                             | General and administrative expenses            | 29,109     
|                                                             | 192,048                                        | (276,273)  
|                                                             |                                                |            
|NET INCOME (LOSS)                                            | $(189,440)                                     | $(248,302) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(187,546) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general partner     | $(1,894)   
|                                                             |                                                |            
|                                                             | 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
Six Months Ended September 30,
(Unaudited)Series 10



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     1,365
|                                                             | Other income                                   | -          
|                                                             | 1,365                                          | 2,051      
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (32,614)                                       | 933,440    
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 100,404    
|                                                             | Amortization                                   | 1,030      
|                                                             | General and administrative expenses            | 27,849     
|                                                             | 129,283                                        | 179,652    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(160,532)                                     | $   755,839
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(158,927) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(1,605)   
|                                                             |                                                |            
|                                                             | Net income(loss) per BAC                       | $(.07)     
|                                                             |                                                |            



The accompanying notes are an integral part of this statement







Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Six Months Ended September 30,
(Unaudited)Series 11



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     2,059
|                                                             | Other income                                   | 289,712    
|                                                             | 291,771                                        | 597        
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (122,660)                                      | (257,372)  
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 142,025    
|                                                             | Amortization                                   | 757        
|                                                             | General and administrative expenses            | 25,400     
|                                                             | 168,182                                        | 190,704    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $929                                           | $(447,479) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $920       
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $9         
|                                                             |                                                |            
|                                                             | Net income(loss) per BAC                       | $.00       
|                                                             |                                                |            

The accompanying notes are an integral part of this statement















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF OPERATIONS
Six Months Ended September 30,
(Unaudited)Series 12



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     4,435
|                                                             | Other income                                   | 2,046      
|                                                             | 6,481                                          | 2,734      
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (38,027)                                       | (232,795)  
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 85,459     
|                                                             | Amortization                                   | 4,662      
|                                                             | General and administrative expenses            | 34,983     
|                                                             | 125,104                                        | 222,982    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(156,650)                                     | $(453,043) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(155,084) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(1,566)   
|                                                             |                                                |            
|                                                             | 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
Six Months Ended September 30,
(Unaudited)Series 14



|                                                             | 2006                                           | 2005       
|------------------------------------------------------------ | ---------------------------------------------- | -----------
|                                                             |                                                |            
|Income                                                       |                                                |            
|                                                             | Interest income                                | $     6,165
|                                                             | Other income                                   | 5,588      
|                                                             | 11,753                                         | 17,879     
|                                                             |                                                |            
|Share of income(loss) from Operating 
  Partnerships(Note D) | (82,904)                                       | (29,212)   
|                                                             |                                                |            
|Expenses                                                     |                                                |            
|                                                             |                                                |            
|                                                             | Partnership management fee (Note C)            | 281,207    
|                                                             | Amortization                                   | 10,753     
|                                                             | General and administrative expenses            | 55,695     
|                                                             | 347,655                                        | 417,126    
|                                                             |                                                |            
|NET INCOME(LOSS)                                             | $(418,806)                                     | $(428,459) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated to limited
partners | $(414,618) 
|                                                             |                                                |            
|                                                             | Net income(loss) allocated general
partner     | $(4,188)   
|                                                             |                                                |            
|                                                             | Net income(loss) per BAC                       | $(.08)     
|                                                             |                                                |            

The accompanying notes are an integral part of this statement









Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL
Six Months Ended September 30, 
(Unaudited)



|                                                    | Assignees     | GeneralPartner | Total         
|--------------------------------------------------- | ------------- | -------------- | --------------
|                                                    |               |                |               
|Partners' capital 
 (deficit)
  April 1, 2006       | $(19,175,853) | $ (1,778,009)  | $ (20,953,862)
|                                                    |               |                |               
|Distributions to
Investors                          | -             | -              | -             
|                                                    |               |                |               
|Net income (loss)                                   | (950,905)     | (9,604)        | (960,509)     
|                                                    |               |                |               
|Partners' capital 
 (deficit),
  September 30, 2006 | $(20,126,758) | $(1,787,613)   | $(21,914,371) 
|                                                    |               |                |               

The accompanying notes are an integral part of this statement







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

Six Months Ended September 30,
(Unaudited)



|                                                   | Assignees    | GeneralPartner | Total       
|-------------------------------------------------- | ------------ | -------------- | ------------
|Series7                                            |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2006      | $(297,437)   | $ (93,840)     | $(391,277)  
|                                                  
|Distribution to
Investors                          | -            | -              | -           
|                                                   |              |                |             
|Net income (loss)                                  | (35,650)     | (360)          | (36,010)    
|                                                   |              |                |             
|Partners' capital 
 (deficit)
  September 30, 2006 | $(333,087)   | $(94,200)      | $(427,287)  
|                                                   |             
|Series9                                            |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2006      | $(5,223,129) | $ (390,979)    | $(5,614,108)
|                                                  
|Distributions to
Investors                         | -            | -              | -           
|                                                   |              |                |             
|Net income (loss)                                  | (187,546)    | (1,894)        | (189,440)   
|                                                   |              |                |             
|Partners' capital 
 (deficit)
  September 30, 2006 | $(5,410,675) | $(392,873)     | $(5,803,548)
|                                                   |              |                |             















The accompanying notes are an integral part of these statements.



























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

Six Months Ended September 30,
(Unaudited)



|                                                   | Assignees     | GeneralPartner | Total        
|-------------------------------------------------- | ------------- | -------------- | -------------
|Series 10                                          |               |                |              
|Partners' capital 
 (deficit)
  April 1, 2006      | $ (2,847,140) | $ (225,641)    | $ (3,072,781)
|                                                  
|Distributions to
Investors                         | -             | -              | -            
|                                                   |               |                |              
|Net income (loss)                                  | (158,927)     | (1,605)        | (160,532)    
|                                                   |               |                |              
|Partners' capital 
 (deficit)
  September 30, 2006 | $(3,006,067)  | $(227,246)     | $(3,233,313) 
|                                                  
|Series 11                                          |               |                |              
|Partners' capital 
 (deficit)
  April 1, 2006      | $ (1,693,376) | $ (233,959)    | $ (1,927,335)
|                                                  
|Distributions to
Investors                         | -             | -              | -            
|                                                   |               |                |              
|Net income (loss)                                  | 920           | 9              | 929          
|                                                   |               |                |              
|Partners' capital 
 (deficit)
  September 30, 2006 | $(1,692,456)  | $(233,950)     | $(1,926,406) 
|                                                   |               |                |              

The accompanying notes are an integral part of this statement















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CHANGES IN PARTNERS' CAPITAL 
Six Months Ended September 30,
(Unaudited)



|                                                   | Assignees    | GeneralPartner | Total       
|-------------------------------------------------- | ------------ | -------------- | ------------
|Series 12                                          |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2006      | $(3,677,520) | $  (297,004)   | $(3,974,524)
|                                                  
|Distributions to
Investors                         | -            | -              | -           
|                                                   |              |                |             
|Net income (loss)                                  | (155,084)    | (1,566)        | (156,650)   
|                                                   |              |                |             
|Partners' capital 
 (deficit)
  September 30, 2006 | $(3,832,604) | $(298,570)     | $(4,131,174)
|                                                   |              |                |             
|Series 14                                          |              |                |             
|Partners' capital 
 (deficit)
  April 1, 2006      | $(5,437,251) | $  (536,586)   | $(5,973,837)
|                                                  
|Distributions to
Investors                         | -            | -              | -           
|                                                   |              |                |             
|Net income (loss)                                  | (414,618)    | (4,188)        | (418,806)   
|                                                   |              |                |             
|Partners' capital 
 (deficit)
  September 30, 2006 | $(5,851,869) | $(540,774)     | $(6,392,643)
|                                                   |              |                |             

The accompanying notes are an integral part of this statement







Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWSSix Months Ended September 30,
(Unaudited)



|                                                                     | 2006         | 2005        
|-------------------------------------------------------------------- | ------------ | ------------
|Cash flows from operating activities:                                |              |             
|                                                                     |              |             
|Net Income(Loss)                                                     | $  (960,509) | $  (567,538)
|Adjustments                                                          |              |             
|Distributions from Operating
        Partnerships                    | 3,817        | 3,805       
|Amortization                                                         | 17,395       | 18,528      
|Share of (Income)Loss from Operating
        Partnerships            | 276,205      | (739,938)   
|Changes in assets and liabilities                                    |              |             
|(Decrease) Increase in accounts
        payable and accrued expenses | (30,056)     | 19,799      
|Decrease (Increase) in other assets                                  | 799,797      | 244,136     
|(Decrease) Increase in accounts
        payable affiliates           | (259,413)    | (602,656)   
|                                                                     |              |             
|Net cash (used in) provided by 
        operating activities         | (152,764)    | (1,623,864) 
|                                                                     |              |             
|                                                                     |              |             
|Cash flows from investing activities:                                |              |             
|                                                                     |              |             
|Capital contributions paid to 
     Operating Partnerships           | -            | -           
|Advances to Operating Partnerships                                   | -            | 180,000     
|Proceeds from sale of operating
Limited Partnerships:                | 63,496       | 1,689,252   
|Investments                                                          | -            | -           
|                                                                     |              |             
|Net cash (used in) provided by
     investing activities             | 63,496       | 1,869,252   

The accompanying notes are an integral part of this statement



Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)



|                                                          | 2006       | 2005       
|--------------------------------------------------------- | ---------- | -----------
|                                                          |            |            
|Continued                                                 |            |            
|                                                          |            |            
|Cash flows from financing activity:                       |            |            
|                                                          |            |            
|Distributions to Investors                                | -          | (1,580,198)
|                                                          |            |            
|Net cash (used in) provided by
        financing activity | -          | (1,580,198)
|                                                          |            |            
|                                                          |            |            
|                                                          |            |            
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (89,268)   | (1,334,810)
|                                                          |            |            
|Cash and cash equivalents, beginning                      | 3,500,741  | 4,885,997  
|                                                          |            |            
|Cash and cash equivalents, ending                         | $3,411,473 | $3,551,187 
|                                                          |            |            

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 7





|                                                                     | 2006          | 2005        
|-------------------------------------------------------------------- | ------------- | ------------
|Cash flows from operating activities:                                |               |             
|                                                                     |               |             
|Net Income(Loss)                                                     | $    (36,010) | $    253,906
|Adjustments                                                          |               |             
|Distributions from Operating
        Partnerships                    | -             | -           
|Amortization                                                         | -             | -           
|Share of (Income)Loss from Operating
        Partnerships            | -             | (309,846)   
|Changes in assets and liabilities                                    |               |             
|(Decrease) Increase in accounts
        payable and accrued expenses | (9,000)       | 25,093      
|Decrease (Increase) in other assets                                  | 808,572       | -           
|(Decrease) Increase in accounts
        payable affiliates           | (695,429)     | (130,539)   
|                                                                     |               |             
|Net cash (used in) provided by 
        operating activities         | 68,133        | (161,386)   
|                                                                     |               |             
|                                                                     |               |             
|Cash flows from investing activities:                                |               |             
|                                                                     |               |             
|Capital contributions paid to 
     Operating Partnerships           | -             | -           
|Advances to Operating Partnerships                                   | -             | -           
|Proceeds from sale of operating
Limited Partnerships:                | -             | 340,117     
|Investments                                                          | -             | -           
|                                                                     |               |             
|Net cash (used in) provided by
     investing activities             | -             | 340,117     

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 7



|                                                          | 2006     | 2005    
|--------------------------------------------------------- | -------- | --------
|                                                          |          |         
|Continued                                                 |          |         
|                                                          |          |         
|Cash flows from financing activity:                       |          |         
|                                                          |          |         
|Distributions to Investors                                | -        | -       
|                                                          |          |         
|Net cash (used in) provided by
        financing activity | -        | -       
|                                                          |          |         
|                                                          |          |         
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | 68,133   | 178,731 
|                                                          |          |         
|Cash and cash equivalents, beginning                      | 362,316  | 237,457 
|                                                          |          |         
|Cash and cash equivalents, ending                         | $430,449 | $416,188
|                                                          |          |         

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 9



|                                                                     | 2006        | 2005       
|-------------------------------------------------------------------- | ----------- | -----------
|Cash flows from operating activities:                                |             |            
|                                                                     |             |            
|Net Income(Loss)                                                     | $ (189,440) | $ (248,302)
|Adjustments                                                          |             |            
|Distributions from Operating
        Partnerships                    | -           | -          
|Amortization                                                         | 193         | 229        
|Share of (Income) Loss from Operating
        Partnerships           | -           | (16,031)   
|Changes in assets and liabilities                                    |             |            
|(Decrease) Increase in accounts
        payable and accrued expenses | (2,000)     | 2,233      
|Decrease (Increase) in accounts
        receivable                   | (6,175)     | 325,463    
|(Decrease) Increase in accounts
        payable affiliates           | 151,888     | (219,426)  
|                                                                     |             |            
|Net cash (used in) provided by 
        operating activities         | (45,534)    | (155,834)  
|                                                                     |             |            
|                                                                     |             |            
|Cash flows from investing activities:                                |             |            
|                                                                     |             |            
|Capital contributions paid to 
     Operating Partnerships           | -           | -          
|Advances to Operating Partnerships                                   | -           | -          
|Proceeds from sale of operating
Limited Partnerships:                | -           | 16,031     
|Investments                                                          | -           | -          
|                                                                     |             |            
|Net cash (used in) provided by
     investing activities             | -           | 16,031     

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 9



|                                                          | 2006     | 2005     
|--------------------------------------------------------- | -------- | ---------
|                                                          |          |          
|Continued                                                 |          |          
|                                                          |          |          
|Cash flows from financing activity:                       |          |          
|                                                          |          |          
|Distributions to Investors                                | -        | (598,125)
|                                                          |          |          
|Net cash (used in) provided by
        financing activity | -        | (598,125)
|                                                          |          |          
|                                                          |          |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (45,534) | (737,928)
|                                                          |          |          
|Cash and cash equivalents, beginning                      | 206,104  | 1,056,510
|                                                          |          |          
|Cash and cash equivalents, ending                         | $160,570 | $318,582 
|                                                          |          |          

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)

Series 10



|                                                                     | 2006         | 2005       
|-------------------------------------------------------------------- | ------------ | -----------
|Cash flows from operating activities:                                |              |            
|                                                                     |              |            
|Net Income(Loss)                                                     | $  (160,532) | $   755,839
|Adjustments                                                          |              |            
|Distributions from Operating
        Partnerships                    | -            | -          
|Amortization                                                         | 1,030        | 1,547      
|Share of (Income)Loss from Operating
        Partnerships            | 32,614       | (933,440)  
|Changes in assets and liabilities                                    |              |            
|(Decrease) Increase in accounts
        payable and accrued expenses | (12,000)     | -          
|Decrease (Increase) in other assets                                  | -            | -          
|(Decrease) Increase in accounts
        payable affiliates           | 55,111       | (388,684)  
|                                                                     |              |            
|Net cash (used in) provided by 
        operating activities         | (83,777)     | (564,738)  
|                                                                     |              |            
|                                                                     |              |            
|Cash flows from investing activities:                                |              |            
|                                                                     |              |            
|Capital contributions paid to 
     Operating Partnerships           | -            | -          
|Advances to Operating Partnerships                                   | -            | -          
|Proceeds from sale of operating
Limited Partnerships:                | -            | 1,204,109  
|Investments                                                          | -            | -          
|                                                                     |              |            
|Net cash (used in) provided by
     investing activities             | -            | 1,204,109  

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 10



|                                                          | 2006     | 2005     
|--------------------------------------------------------- | -------- | ---------
|                                                          |          |          
|Continued                                                 |          |          
|                                                          |          |          
|Cash flows from financing activity:                       |          |          
|                                                          |          |          
|Distributions to Investors                                | -        | (820,590)
|                                                          |          |          
|Net cash (used in) provided by
        financing activity | -        | (820,590)
|                                                          |          |          
|                                                          |          |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (83,777) | (181,219)
|                                                          |          |          
|Cash and cash equivalents, beginning                      | 351,299  | 382,010  
|                                                          |          |          
|Cash and cash equivalents, ending                         | $267,522 | $200,791 
|                                                          |          |          

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Six Months Ended September 30, 
(Unaudited)Series 11



|                                                                     | 2006         | 2005       
|-------------------------------------------------------------------- | ------------ | -----------
|Cash flows from operating activities:                                |              |            
|                                                                     |              |            
|Net Income(Loss)                                                     | $        929 | $ (447,479)
|Adjustments                                                          |              |            
|Distributions from Operating
        Partnerships                    | -            | -          
|Amortization                                                         | 757          | 786        
|Share of Income(Loss) from Operating
        Partnerships            | 122,660      | 257,372    
|Changes in assets and liabilities                                    |              |            
|(Decrease) Increase in accounts
        payable and accrued expenses | (7,210)      | -          
|Decrease (Increase) in accounts
        receivable                   | (2,600)      | (29,080)   
|(Decrease) Increase in accounts
        payable affiliates           | 92,579       | 191,919    
|                                                                     |              |            
|Net cash (used in) provided by 
        operating activities         | 207,115      | (26,482)   
|                                                                     |              |            
|                                                                     |              |            
|Cash flows from investing activities:                                |              |            
|                                                                     |              |            
|Capital contributions paid to 
     Operating Partnerships           | -            | -          
|Advances to Operating Partnerships                                   | -            | -          
|Proceeds from sale of operating
Limited Partnerships:                | -            | -          
|Investments                                                          | -            | -          
|                                                                     |              |            
|Net cash (used in) provided by
     investing activities             | -            | -          

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership

STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 11



|                                                          | 2006     | 2005    
|--------------------------------------------------------- | -------- | --------
|                                                          |          |         
|Continued                                                 |          |         
|                                                          |          |         
|Cash flows from financing activity:                       |          |         
|                                                          |          |         
|Distributions to Investors                                | -        | -       
|                                                          |          |         
|Net cash (used in) provided by
        financing activity | -        | -       
|                                                          |          |         
|                                                          |          |         
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | 207,115  | (26,482)
|                                                          |          |         
|Cash and cash equivalents, beginning                      | 260,979  | 285,164 
|                                                          |          |         
|Cash and cash equivalents, ending                         | $468,094 | $258,682
|                                                          |          |         

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited PartnershipSTATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 12



|                                                                     | 2006        | 2005       
|-------------------------------------------------------------------- | ----------- | -----------
|Cash flows from operating activities:                                |             |            
|                                                                     |             |            
|Net Income(Loss)                                                     | $ (156,650) | $ (453,043)
|Adjustments                                                          |             |            
|Distributions from Operating
        Partnerships                    | -           | -          
|Amortization                                                         | 4,662       | 4,878      
|Share of (Income) Loss from Operating
        Partnerships           | 38,027      | 232,795    
|Changes in assets and liabilities                                    |             |            
|(Decrease) Increase in accounts
        payable and accrued expenses | -           | -          
|Decrease (Increase) in accounts
        receivable                   | 7,534       | (90,508)   
|(Decrease) Increase in accounts
        payable affiliates           | 15,874      | 94,912     
|                                                                     |             |            
|Net cash (used in) provided by 
        operating activities         | (90,553)    | (210,966)  
|                                                                     |             |            
|                                                                     |             |            
|Cash flows from investing activities:                                |             |            
|                                                                     |             |            
|Capital contributions paid to 
     Operating Partnerships           | -           | -          
|Advances to Operating Partnerships                                   | -           | -          
|Proceeds from sale of operating
Limited Partnerships:                | 62,387      | 19,460     
|Investments                                                          | -           | -          
|                                                                     |             |            
|Net cash (used in) provided by
     investing activities             | 62,387      | 19,460     

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 12



|                                                          | 2006     | 2005     
|--------------------------------------------------------- | -------- | ---------
|                                                          |          |          
|Continued                                                 |          |          
|                                                          |          |          
|Cash flows from financing activity:                       |          |          
|                                                          |          |          
|Distributions to Investors                                | -        | -        
|                                                          |          |          
|Net cash (used in) provided by
        financing activity | -        | -        
|                                                          |          |          
|                                                          |          |          
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (28,166) | (191,506)
|                                                          |          |          
|Cash and cash equivalents, beginning                      | 996,805  | 945,602  
|                                                          |          |          
|Cash and cash equivalents, ending                         | $968,639 | $754,096 
|                                                          |          |          

The accompanying notes are an integral part of this statement

















Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 14



|                                                                     | 2006        | 2005       
|-------------------------------------------------------------------- | ----------- | -----------
|Cash flows from operating activities:                                |             |            
|                                                                     |             |            
|Net Income(Loss)                                                     | $ (418,806) | $ (428,459)
|Adjustments                                                          |             |            
|Distributions from Operating
        Partnerships                    | 3,817       | 3,805      
|Amortization                                                         | 10,753      | 11,088     
|Share of (Income)Loss from Operating
        Partnerships            | 82,904      | 29,212     
|Changes in assets and liabilities                                    |             |            
|(Decrease) Increase in accounts
        payable and accrued expenses | (7,380)     | (7,527)    
|Decrease (Increase) in accounts
        receivable                   | -           | 38,261     
|(Decrease) Increase in accounts
        payable affiliates           | 120,564     | (150,838)  
|                                                                     |             |            
|Net cash (used in) provided by 
        operating activities         | (208,148)   | (504,458)  
|                                                                     |             |            
|                                                                     |             |            
|Cash flows from investing activities:                                |             |            
|                                                                     |             |            
|Capital contributions paid to 
     Operating Partnerships           | -           | -          
|Advances to Operating Partnerships                                   | -           | 180,000    
|Proceeds from sale of operating
Limited Partnerships:                | 1,109       | 109,535    
|Investments                                                          | -           | -          
|                                                                     |             |            
|Net cash (used in) provided by
     investing activities             | 1,109       | 289,535    

The accompanying notes are an integral part of this statement





Boston Capital Tax Credit Fund II Limited Partnership
STATEMENTS OF CASH FLOWS
Six Months Ended September 30,
(Unaudited)Series 14



|                                                          | 2006       | 2005      
|--------------------------------------------------------- | ---------- | ----------
|                                                          |            |           
|Continued                                                 |            |           
|                                                          |            |           
|Cash flows from financing activity:                       |            |           
|                                                          |            |           
|Distributions to Investors                                | -          | (161,483) 
|                                                          |            |           
|Net cash (used in) provided by
        financing activity | -          | (161,483) 
|                                                          |            |           
|                                                          |            |           
|INCREASE (DECREASE) IN CASH AND
        CASH EQUIVALENTS  | (207,039)  | (376,406) 
|                                                          |            |           
|Cash and cash equivalents, beginning                      | 1,323,238  | 1,979,254 
|                                                          |            |           
|Cash and cash equivalents, ending                         | $1,116,199 | $1,602,848
|                                                          |            |           

The accompanying notes are an integral part of this statement















Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS

September 30, 2006

(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 Limited 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 Partnerships 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 September 30, 2006
and for the six 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)



September 30, 2006

(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 September 30, 2006, the
Partnership has accumulated unallocated acquisition amortization totaling
$556,666. The breakdown of accumulated unallocated acquisition amortization
within the Partnership as of September 30, 2006 for Series 9, Series 10,
Series 11, Series 12, and Series 14 is $6,186, $32,963, $24,237, $149,182, and
$344,098, respectively.



NOTE C - RELATED PARTY TRANSACTIONS

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

Accounts payable - affiliates at September 30, 2006 and 2005 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, LP., 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 LP, the amounts accrued are not net of reporting fees received.











Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)

September 30, 2006

(Unaudited)

The partnership management fee accrued for the quarters ended September 30, 2006 and 2005 are as follows:



|          | 2006        | 2005       
|--------- | ----------- | -----------
|Series 7  | $    15,365 | $    19,704
|Series 9  | 86,040      | 109,235    
|Series 10 | 55,968      | 78,571     
|Series 11 | 77,726      | 81,420     
|Series 12 | 82,614      | 94,734     
|Series 14 | 166,665     | 60,900     
|          |             |            
|          | $   484,378 | $   444,564



As of September 30, 2006, an affiliate of the general partner advanced a
total of $903,646 to the Partnership to pay certain operating expenses and to 
make advances and/or loans to Operating Partnerships. These advances are included in Accounts payable-affiliates. A total of $1,389 was advanced during the quarter ended September 30, 2006.  Below is a table that breaks down the total advances, by series as of September 30, 2006.



|          | 2006    
|--------- | --------
|Series 7  | $318,393
|Series 11 | 76,895  
|Series 12 | 324,888 
|Series 14 | 183,470 
|          |         
|          | $903,646

Payables to affiliates will be repaid, without interest, from available cash flow or the proceeds of sales or refinancing of the Partnership's interests in Operating Partnerships.









Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS (CONTINUED)  
September 30, 2006

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING LIMITED PARTNERSHIPS

At September 30, 2006 and 2005 the Partnership had limited partnership
interests in 252 and 273 Operating Partnerships, respectively, which own apartment complexes. The number of Operating Partnerships in which the Partnership had limited partnership interests at September 30, 2006 and 2005 by series is as follows:



|          | 2006 | 2005
|--------- | ---- | ----
|Series 7  | 8    | 9   
|Series 9  | 40   | 40  
|Series 10 | 35   | 40  
|Series 11 | 37   | 40  
|Series 12 | 44   | 51  
|Series 14 | 88   | 93  
|          |      |     
|          | 252  | 273 
|          |      |     



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 September 30, 2006 and 2005 by series are as
follows:



|          | 2006     | 2005    
|--------- | -------- | --------
|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 L.P.
NOTES TO FINANCIAL STATEMENTS - CONTINUED
September 30, 2006

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

During the six months ended September 30, 2006 the partnership disposed of five of the operating limited partnerships.  A summary of the dispositions by Series for September 30, 2006 is as follows:



|          | Operating Partnership Interest Transferred |  | Sale of Underlying Operating Partnership |  | Partnership Proceeds from Disposition |        | Gain/(Loss) on Disposition
|--------- | ------------------------------------------ |  | ---------------------------------------- |  | ------------------------------------- | ------ | --------------------------
|Series 7  | -                                          |  | -                                        |  | $                                     | -      |                           
|Series 9  | -                                          |  | -                                        |  |                                       | -      |                           
|Series 10 | -                                          |  | -                                        |  |                                       | -      |                           
|Series 11 | -                                          |  | -                                        |  |                                       | -      |                           
|Series 12 | -                                          |  | 4                                        |  |                                       | 62,387 |                           
|Series 14 | -                                          |  | 1                                        |  |                                       | 1,109  |                           
|Total     | -                                          |  | 5                                        |  | $                                     | 63,496 |                           

During the six months ended September 30, 2005 the partnership disposed of three of the operating limited partnerships and received additional proceeds from a operating limited partnership which was disposed of in the prior year.  A summary of the dispositions by Series for September 30, 2005 is as follows:



|          | Operating Partnership Interest Transferred |  | Sale of Underlying Operating Partnership |  | Partnership Proceeds from Disposition * |           | Gain/(Loss) on Disposition
|--------- | ------------------------------------------ |  | ---------------------------------------- |  | --------------------------------------- | --------- | --------------------------
|Series 7  | -                                          |  | 1                                        |  | $                                       | 340,117   |                           
|Series 9  | -                                          |  | 1                                        |  |                                         | 16,031    |                           
|Series 10 | -                                          |  | 1                                        |  |                                         | 1,204,109 |                           
|Series 11 | -                                          |  | -                                        |  |                                         | -         |                           
|Series 12 | -                                          |  | -                                        |  |                                         | 19,460    |                           
|Series 14 | -                                          |  | -                                        |  |                                         | 109,535   |                           
|Total     | -                                          |  | 3                                        |  | $                                       | 1,689,252 |                           

* Partnership proceeds from disposition includes additional proceeds received for a sale of an operating partnership recorded as of March 31, 2005, of $30,271 for Series 7, $133,701 for Series 10, $19,460 for Series 12, and $109,535 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 six months ended June 30, 2006.







Boston Capital Tax Credit Fund II Limited Partnership

NOTES TO FINANCIAL STATEMENTS

September 30, 2006

(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,

(Unaudited)

Series7



|         | 2006                                                                         | 2005         
|-------- | ---------------------------------------------------------------------------- | -------------
|         |                                                                              |              
|Revenues |                                                                              |              
|         | Rental                                                                       | $     594,709
|         | Interest and other                                                           | 95,331       
|         | 690,040                                                                      | 815,588      
|         |                                                                              |              
|Expenses |                                                                              |              
|         | Interest                                                                     | 247,783      
|         | Depreciation and amortization                                                | 169,212      
|         | Operating expenses                                                           | 511,991      
|         | 928,986                                                                      | 1,057,695    
|         |                                                                              |              
|NET LOSS | $(238,946)                                                                   | $(242,107)   
|         |                                                                              |              
|         | Net loss allocated to Boston Capital Tax Credit Fund II Limited
Partnership* | $(236,557)   
|         |                                                                              |              
|         |                                                                              |              
|         | Net loss allocated to other partners                                         | $(2,389)     
|         |                                                                              |              

*Amounts include $236,557 and $239,686 for 2006 and 2005, 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 Partnerships 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
September 30, 2006
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,
(Unaudited)

Series9



|         | 2006                                                                         | 2005        
|-------- | ---------------------------------------------------------------------------- | ------------
|         |                                                                              |             
|Revenues |                                                                              |             
|         | Rental                                                                       | $  3,775,964
|         | Interest and other                                                           | 177,091     
|         | 3,953,055                                                                    | 3,828,518   
|         |                                                                              |             
|Expenses |                                                                              |             
|         | Interest                                                                     | 951,514     
|         | Depreciation and amortization                                                | 1,090,562   
|         | Operating expenses                                                           | 2,658,485   
|         | 4,700,561                                                                    | 4,360,639   
|         |                                                                              |             
|NET LOSS | $(747,506)                                                                   | $(532,121)  
|         |                                                                              |             
|         | Net loss allocated to Boston Capital Tax Credit Fund
II Limited Partnership* | $(740,031)  
|         |                                                                              |             
|         |                                                                              |             
|         | Net loss allocated to other partners                                         | $(7,475)    
|         |                                                                              |             

*Amounts include $740,031 and $528,167 for 2006 and 2005, 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 Partnerships 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
September 30, 2006
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,
(Unaudited)

Series 10

|         | 2006                                                                          | 2005        
|-------- | ----------------------------------------------------------------------------- | ------------
|         |                                                                               |             
|Revenues |                                                                               |             
|         | Rental                                                                        | $  2,628,555
|         | Interest and other                                                            | 194,606     
|         | 2,823,161                                                                     | 3,477,712   
|         |                                                                               |             
|Expenses |                                                                               |             
|         | Interest                                                                      | 656,282     
|         | Depreciation and amortization                                                 | 710,028     
|         | Operating expenses                                                            | 1,759,041   
|         | 3,125,351                                                                     | 3,910,708   
|         |                                                                               |             
|NET LOSS | $(302,190)                                                                    | $(432,996)  
|         |                                                                               |             
|         | Net loss allocated to Boston Capital Tax Credit Fund 
II Limited Partnership* | $(299,168)  
|         |                                                                               |             
|         |                                                                               |             
|         | Net loss allocated to other partners                                          | $(3,022)    
|         |                                                                               |             

*Amounts include $266,554 and $291,698 for 2006 and 2005, 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 Partnerships 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
September 30, 2006
(Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,
(Unaudited)

Series 11



|                 | 2006                                                                                  | 2005        
|---------------- | ------------------------------------------------------------------------------------- | ------------
|                 |                                                                                       |             
|Revenues         |                                                                                       |             
|                 | Rental                                                                                | $  3,543,177
|                 | Interest and other                                                                    | 783,416     
|                 | 4,326,593                                                                             | 6,163,330   
|                 |                                                                                       |             
|Expenses         |                                                                                       |             
|                 | Interest                                                                              | 865,222     
|                 | Depreciation and amortization                                                         | 1,087,159   
|                 | Operating expenses                                                                    | 2,378,210   
|                 | 4,330,591                                                                             | 4,772,310   
|                 |                                                                                       |             
|NET INCOME(LOSS) | $(3,998)                                                                              | $1,391,020  
|                 |                                                                                       |             
|                 | Net income(loss) allocated to Boston Capital Tax Credit Fund 
II Limited Partnership* | $(3,958)    
|                 |                                                                                       |             
|                 |                                                                                       |             
|                 | Net income(loss) allocated to other
partners                                          | $(40)       
|                 |                                                                                       |             

*Amounts include $118,702 and $1,634,482 for 2006 and 2005, respectively, of gains 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 Partnerships 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
September 30, 2006
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,
(Unaudited)

Series 12

|         | 2006                                                                          | 2005        
|-------- | ----------------------------------------------------------------------------- | ------------
|         |                                                                               |             
|Revenues |                                                                               |             
|         | Rental                                                                        | $  3,809,703
|         | Interest and other                                                            | 241,876     
|         | 4,051,579                                                                     | 4,353,614   
|         |                                                                               |             
|Expenses |                                                                               |             
|         | Interest                                                                      | 860,333     
|         | Depreciation and amortization                                                 | 1,078,424   
|         | Operating expenses                                                            | 2,827,621   
|         | 4,766,378                                                                     | 5,145,454   
|         |                                                                               |             
|NET LOSS | $(714,799)                                                                    | $(791,840)  
|         |                                                                               |             
|         | Net loss allocated to Boston Capital Tax Credit Fund 
II Limited Partnership* | $(707,651)  
|         |                                                                               |             
|         |                                                                               |             
|         | Net loss allocated to other partners                                          | $(7,148)    
|         |                                                                               |             

*Amounts include $607,237 and $531,667 for 2006 and 2005, 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 Partnerships 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
September 30, 2006
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
Six Months Ended June 30,
(Unaudited)

Series 14

|         | 2006                                                                          | 2005        
|-------- | ----------------------------------------------------------------------------- | ------------
|         |                                                                               |             
|Revenues |                                                                               |             
|         | Rental                                                                        | $  8,257,740
|         | Interest and other                                                            | 463,357     
|         | 8,721,097                                                                     | 8,650,645   
|         |                                                                               |             
|Expenses |                                                                               |             
|         | Interest                                                                      | 1,670,082   
|         | Depreciation and amortization                                                 | 2,402,184   
|         | Operating expenses                                                            | 5,647,282   
|         | 9,719,548                                                                     | 10,293,939  
|         |                                                                               |             
|NET LOSS | $(998,451)                                                                    | $(1,643,294)
|         |                                                                               |             
|         | Net loss allocated to Boston Capital Tax Credit Fund 
II Limited Partnership* | $(988,466)  
|         |                                                                               |             
|         |                                                                               |             
|         | Net loss allocated to other partners                                          | $(9,985)    
|         |                                                                               |             

*Amounts include $904,453 and $1,488,115 for 2006 and 2005, 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 Partnerships 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)
September 30, 2006
(Unaudited)

NOTE E - TAXABLE LOSS

The taxable loss for the year ended December 31, 2006 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.























































































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

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 as of September 30, 2006 or on working capital reserves and (ii) cash distributions from operations of the Operating Partnerships in which the Partnership has invested in.  These sources of liquidity, along with the Partnerships 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 as of September 30, 2006 in the amount of $294,593. 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 annual partnership management fee to enable each series to meet current and future third party obligations. During the quarter ended September 30, 2006 the Partnership accrued $484,378 in annual partnership management fees, and paid $721,340 in accrued outstanding partnership management fees to BCAMLP. As of September 30, 2006 the accrued partnership management fees totaled $28,082,903.  Pursuant to the Partnership Agreement, such liabilities will be deferred until the Partnership receives sale or refinancing proceeds from Operating Partnerships, and at that time proceeds from such sales or refinancing will be used to satisfy such liabilities.  The Partnership anticipates that there will be sufficient cash to meet future third party obligations.  The Partnership does not anticipate significant cash distributions in the long or short term from operations of the Operating Partnerships.

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.









Capital Resources (continued)

As of September 30, 2006 the Partnership had $3,411,469 remaining in cash and cash equivalents.  Below is a table, which provides, by series, the equity raised, number of BAC's sold, final date BAC's were offered, number of properties acquired, and cash and cash equivalents.

|Series | Equity       | BAC's      | Final Close Date | Number of
Properties | Cash and Cash Equivalents
|------ | ------------ | ---------- | ---------------- | -------------------- | -------------------------
|7      | $ 10,361,000 | 1,036,100  | 12/29/89         | 8                    | $   430,449              
|9      | 41,574,018   | 4,178,029  | 05/04/90         | 40                   | 160,569                  
|10     | 24,288,997   | 2,428,925  | 08/24/90         | 35                   | 267,522                  
|11     | 24,735,002   | 2,489,599  | 12/27/90         | 37                   | 468,094                  
|12     | 29,710,003   | 2,972,795  | 04/30/91         | 44                   | 968,636                  
|14     | 55,728,997   | 5,574,290  | 01/27/92         | 88                   | 1,116,199                
|       |              |            |                  |                      |                          
|       | $186,398,017 | 18,679,738 |                  | 252                  | $3,411,469               
|       |              |            |                  |                      |                          

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 7,11,12 and 14 as of September 30, 2006 are $233,186, $22,528, $624,163 and $899,492, respectively.

(Series 8)  No BAC's with respect to Series 8 were offered.

(Series 13)  No BAC's with respect to Series 13 were offered.













































Results of Operations

As of September 30, 2006 and 2005 the Partnership held limited partnership interests in 252 and 273 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 hereinafter 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 a partnership management fee to Boston Capital Asset Management Limited Partnership in an amount equal to 0.5% of the aggregate cost of the apartment complexes owned by the Operating Partnerships, less the amount of certain asset management and reporting fees paid by the Operating Partnerships. The annual partnership management fee is currently being accrued.  It is anticipated that all outstanding fees will be repaid from sale or refinancing proceeds. The partnership management fees incurred, net of reporting fees received, for the quarters ended September 30, 2006 and 2005 were $353,956 and $545,569, respectively.

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 General Partner and its affiliate, Boston Capital Asset Management Limited Partnership, monitor the operations of all the properties in the Partnership.  The Operating Partnerships that are mentioned in the following discussion of each series' results of operations are being closely monitored so as to improve the overall results of each series' operations.

(Series 7)



As of September 30, 2006 and 2005, the average Qualified Occupancy for the series was 100%.  The series had a total of 8 properties at September 30, 2006 all of which were 100% Qualified Occupancy.

For the period ended September 30, 2006 and 2005, Series 7 reflects net loss from Operating Partnerships of $(238,946) and $(242,107), respectively, which includes depreciation and amortization of $169,212 and $219,336, respectively.

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 BCTC Fund II - Series 7 was $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 represent 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 BCTC Fund II LP 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 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 but was not limited to salary reimbursements and third party legal; $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 current year $182 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

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: The breakdown of the amounts to be 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 but was not limited to salary reimbursements and third party legal; $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 current year $180 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

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, BCTC I Series 4 and Series 6 and BCTC II 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 47.  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 January 2005, Boston Capital Tax Credit Fund I - Series 3 and Series 4 and Boston Capital Tax Credit Fund II - Series 7 (the "Investment Limited Partner") sold its Investment Limited Partner interest in Bowditch School L.P. (The Bowditch School Lodging House) to the Operating General Partner for his assumption of the outstanding mortgage balance of $3,053,108 and proceeds to the Investment Limited Partner of $1. The Investment Limited Partner proceeds actually represented a partial payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner and as such 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 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 sale of the Investment Limited Partner Interest has been recorded.



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 BCTC II - 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 most recent 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, $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 ILP.  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.

Hillandale Park (Hillandale Commons Limited Partnership) is a 132-unit family development in Lithonia, Georgia, approximately 20 miles from downtown Atlanta.  Occupancy suffered in the competitive Georgia market, hitting a low of 79% in July 2005. Consequently, the property expended ($76,141) in 2005 as revenue fell and the property increased spending on turnover and marketing. The related-party management company hired a Vice President of Marketing and added this property as one of six on a high priority list. Marketing efforts included outreach at job fairs and visitations with local employers. The company also targeted evacuees from Hurricane Katrina. Since executing this plan, occupancy rose, averaging 94% in the first three quarters of 2006 and is presently at 95% as of September 2006. The compliance period expired at the end of 2004 and the Operating General Partner is exploring its options to re-syndicate or refinance; either option would include purchasing the Investment Limited Partner's interest.

(Series 9)



As of September 30, 2006 and 2005, the average Qualified Occupancy for the series was 99.9%.  The series had a total of 40 properties at September 30, 2006. Out of the total, 38 were at 100% Qualified Occupancy.

For the period ended September 30, 2006 and 2005, Series 9 reflects loss from Operating Partnerships of $(747,506) and $(532,121), respectively, which includes depreciation and amortization of $1,090,562 and $1,074,739, respectively.

Series 9 has invested in 3 Operating Partnerships (the "Calhoun Partnerships") in which the Operating General Partner initially was Riemer Calhoun, Jr. or an entity, which was affiliated with or controlled by Riemer Calhoun (the "Riemer Calhoun group").  The Operating Partnerships are Big Lake Seniors Apts., Blanco Seniors Apts. Ltd. and Pleasanton, Ltd.  The affordable housing properties owned by the Calhoun Partnerships are located in Texas and consist of approximately 64 apartment units in total.  The low income housing tax credit available annually to Series 9 from the Calhoun Partnerships is approximately $75,331, which is approximately 9% of the total annual tax credit available to investors in Series 9.

In the summer of 2002, the US Attorney for the Western District of Louisiana notified the Investment General Partner that the Reimer Calhoun group was under investigation by several federal agencies for the alleged manipulation of property cost certifications.  In early 2003, the Investment General Partner learned that the US Attorney intended to bring criminal charges against certain members of the Reimer Calhoun group for falsifying the certified cost basis upon which the Louisiana Housing Finance Agency determined the tax credit calculation with respect to approximately 40 Operating Partnerships in which Series 18 is not an investor.  The Investment General Partner used these certifications in determining the tax credits investors would receive through their investment in the Calhoun Partnerships. In effect, it appears that the contractor that built the apartment properties (an affiliate of Mr. Calhoun's) overbilled the respective Operating Partnerships, thereby improperly inflating the cost certification and the amount of tax credit generated.

In late March 2003, Reimer Calhoun, Jr. pleaded guilty to charges of wire fraud and conspiracy to commit equity skimming.  At that time, the Investment General Partner obtained $1,282,202 from Reimer Calhoun for the purpose of offsetting any potential losses to tax credits caused by Mr. Calhoun's fraud.

On September 25, 2003, judgment in a criminal case was entered against Reimer Calhoun, Jr. and TF Management, Inc.  On Count 1, alleging wire fraud, Reimer Calhoun, Jr. was sentenced to 60 months in the custody of the United States Bureau of Prisons.  On Count 2, Mr. Calhoun received a concurrent 60 month sentence.  Mr. Calhoun's prison sentence began on October 13, 2003.  Mr. Calhoun was further fined $500,000 and ordered to pay restitution of $4,363,683 to various parties.  The amount of restitution ordered paid to the Investment General Partner was $1,559,723.  This amount includes the monies previously paid by Mr. Calhoun. The additional $277,521 was received in December 2003.  All monies received from the Calhoun settlement have been allocated back to the Operating Partnerships as of August 2005.

The Investment General Partner has cooperated fully with the US Attorney in the investigation, and there has been no suggestion of any wrongdoing on the part of it or any of its affiliates.

In 2003, the Internal Revenue Service commenced an audit of the Calhoun partnerships in order to finally determine the amount of overstated tax credits.  The Investment General Partner has reached a resolution with the IRS whereby the adjustments to tax credits will be made only for the tax years 2004 and thereafter in order to avoid amending tax returns already filed for the years 2001, 2002 and 2003. Final Closing Agreements were entered into with the IRS for each of the partnerships on May 25, 2005. At

this point, the Investment Partnerships have incurred substantial legal and accounting costs based upon Mr. Calhoun's fraud. It is further anticipated that the $1,559,723 will be sufficient to fully protect the investors and provide restitution to the Investment Partnerships affected.

With respect to each of the Calhoun Partnerships either (a) Reimer Calhoun's controlling interest in the Operating General has been assigned to Murray Calhoun, the son of Reimer Calhoun or (b) in some cases the Operating General Partner entity itself has been replaced with a new entity controlled by Murray Calhoun and in which Reimer Calhoun has no interest.  Murray Calhoun is the principal of Calhoun Property Management, L.L.C., which has provided property level management services for the apartment properties owned by the Calhoun Partnerships.  Murray Calhoun also cooperated fully with the criminal investigation of his father, and the Investment General Partner and its affiliates have confirmed directly with the US Attorney that no evidence was found of any wrongdoing on the part of Murray Calhoun.

Murray Calhoun and the Investment General Partner and its affiliates have all undertaken discussions with the Rural Housing Service of the U.S.  Department of Agriculture, in its capacity as first mortgage lender for each of the Calhoun Partnerships, to make sure that all of the mortgage loans are and will continue to be in good standing notwithstanding the overstated credit and the criminal prosecution resulting therefrom.  RHS has also indicated that it will consent to the replacement of general partners noted above.

In addition, Murray Calhoun and the Investment General Partner and its affiliates have entered into agreements which (a) cause Murray Calhoun to guarantee performance of all of the obligations to limited partners previously guaranteed by Reimer Calhoun, (b) tighten up the consent rights of the Investment General Partner in connection with changing general partners,

management agents and partnership accountants, and (c) clarify the rights of the Investment General Partner to remove a general partner in the future in the event of certain specified events.

School Street II Limited Partnership (School Street Apts. II) is a 24-unit complex located in Marshall, Wisconsin.  The property has struggled with low occupancy for several years.  Throughout 2005, management took numerous steps to increase occupancy, including: decreasing the rent levels, eliminating water and sewer surcharges, initiating a resident referral program, replacing the site manager and advertising in local publications.  Management is currently placing flyers at local malls and other public facilities and is offering incentives of two months free rent plus an additional $100 off if a flyer is returned.  Although the property is still operating below breakeven, Management's leasing efforts have started to take effect, with improved cash flow and increased occupancy over the first three quarters of 2006. Average occupancy for the third quarter of 2006 was up to 79% from 71% in the first quarter and average 2006 year to date occupancy is 75%, as compared to 61% in 2005.  The mortgage, taxes, insurance, and accounts payables are current.  The current mortgage for this property matured in December 2004. The Operating General Partner was able to refinance the original mortgage with a four year loan with the first two years requiring monthly interest payments only.

In April 2005, the Special Limited Partner agreed that the Investment General Partner would supplement the General Partner's funding of operating deficits by advancing necessary funds at quarterly intervals through the end of the 2007 compliance period.  The Investment General Partners' advances are limited to 25% of the General Partner's documented operating deficit funding advances and will not exceed $25,000 in aggregate.  The Investment General Partner has advanced $7,175 to the property during the first and second quarter of 2006, bringing the total advances made by the Investment General Partner to $175,756.

Fountain Green Apartments, Limited (Fountain Green Apartments) is a 24 unit property located in Crestview, FL.  The property expended $3,000 in 2005.  Although 2005 occupancy averaged 98%, the property operated below break even because expenses related to damage repair from Hurricane Ivan exceeded

insurance proceeds by $15,000 and were recognized as an expense in 2005. The property's operations have been strong in 2006. Through the third quarter of 2006, occupancy has averaged 96% and the property has been able to generate cash for three consecutive quarters.

Glenwood Hotel Investors (Glenwood Hotel) is 36-unit single room occupancy (SRO) development, located in Porterville, CA. The average occupancy during 2004 was 70% and has improved to an average occupancy of 96% through the fourth quarter of 2005. As of March of 2006, this property was operating with a physical occupancy of 94% and the property continues to operate with 97% through the third quarter.  The Operating General Partner is interested in purchasing the Investment Limited Partnership interest at the end of the compliance period.  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. According to the 2005 Audit, the Operating General Partner funded operating deficit of $26,992 in 2005.  The mortgage, insurance and payables are current. The tax credit compliance period for this partnership ended on December 31, 2005.

Surry Village II Limited Partnership, (Surry Village II) is a 24-unit development located in Spring Grove, Virginia.  The property operated below breakeven in 2005 and through the third quarter of 2006.  The property is currently under a workout plan resulting from an under funded replacement reserve that allows for reduced debt service.  In general, the property struggles with tenant retention and low rental rates.  Management felt that it was due to the lack of cable providers in the area and poor television reception. The property also is located in a very isolated rural area with little local employment.  The property does not have rental assistance and has difficulty finding qualified residents.  Management was able to find a satellite cable provider who deals directly with the residents.  This new amenity has helped attract new residents, which resulted in an increase in occupancy in the first quarter of 2006.  The on-site manager continues to organize resident functions and "block parties" in an effort to improve retention.  Occupancy has steadily improved through 2006 and the property was 96% occupied at the end of the third quarter of 2006.  A rent increase of $15 per unit went into effect January 1, 2006 and helped reduce the property's negative cash flow.  The Investment General Partner will continue to monitor the Operating Partnership on a monthly basis until it is able to consistently operate above breakeven.

Springfield Housing Associates, Limited Partnership (Pine Woods Apartments) is a 168-unit property located in Springfield, Illinois. The property suffered from low occupancy and operated below breakeven in 2005, but showed a significant improvement in 2006.  The property is operating with an average occupancy of 93% through September 2006.  Management improved their marketing effort through the use of billboards, bus-boards, newspaper ads, and flyers.  The Operating General Partner reported that a tornado struck the property in April 2006, causing damage to roofs, siding, gutters, window screens and trees.  No residential units were made uninhabitable by the storm.  All damage was covered by insurance with the exception of some downed trees.  The majority of repairs are complete and insurance claims have been submitted.  A put option for the sale of the Investment Limited Partner's interest will be exercised upon the end of the compliance period in January, 2007.  The mortgage, real estate taxes and insurance are all current.

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 ("Warrensburg Estates") 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 are anticipated to be 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 but was not limited to salary reimbursements and third party legal; $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, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") 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 distributions 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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.  In the current year $9,060 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.  In the prior year 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $59,750 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

The Operating General Partner of Corinth Housing Redevelopment Company (Adams Lawrence Apts.) negotiated a sale of its General Partner interest, which was completed in August 2003.  In addition to the transfer of Operating General Partner interest, an exit strategy has been put in place that will allow for the sale of the Investment Limited Partner interest to the new Operating General Partner at the end of the 15-year tax credit compliance period, which expires in December 2004.  In January of 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its interest in Corinth Housing Redevelopment Company, to the new Operating General Partner for his assumption of the outstanding mortgage balance of $1,459,113 and proceeds of $23,864.  Of this amount, the net distribution to the investors was $10,000.  This represents a per BAC distribution of $0.002. The total return to the investor was distributed based on the number of BACs held by each investor.   The remaining proceeds of $13,864 were paid to BCAMLP or other related entities for partial reimbursement of amounts payable to affiliates.  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 has been recorded in the amount of $23,864 as of March 31, 2005.

The Operating General Partner of the Partnership Greenwich Housing Redevelopment Company (Cynthia Meadows) negotiated a sale of its General Partner interest, which was completed in August 2003.  In addition to the transfer of Operating General Partner interest, an exit strategy has been put in place that will allow for the sale of the Investment Limited Partner interest to the new Operating General Partner at the end of the 15-year tax credit compliance period, which expires in December 2004.   In January of 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its interest in Greenwich Housing Redevelopment Company, to the new Operating General Partner for his assumption of the outstanding mortgage balance of $1,058,354 and proceeds of $21,477.  Of this amount, the net distribution to the investors was $10,000.  This represents a per BAC distribution of $0.002. The total return to the investor was distributed based on the number of BACs held by each investor.  The remaining proceeds of $11,477 were paid to BCAMLP or other related entities for partial reimbursement of amounts payable to affiliates.  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 has been recorded in the amount of $21,477 as of March 31, 2005.

The Operating General Partner of the Partnership Wilmington Housing Redevelopment Company (Bonnieview Terrace) negotiated a sale of its General Partner interest, which was completed in August 2003.  In addition to the transfer of Operating General Partner interest, an exit strategy has been put in place that will allow for the sale of the Investment Limited Partner interest to the new Operating General Partner at the end of the 15-year tax credit compliance period, which expires in December 2004.  In January of 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its interest in Wilmington Housing Redevelopment Company, to the new Operating General Partner for his assumption of the outstanding mortgage balance of $1,023,368 and proceeds of $14,318.  Of this amount, the

net distribution to the investors was $10,000.  This represents a per BAC distribution of $0.002. The total return to the investor was distributed based on the number of BACs held by each investor.  The remaining proceeds of $4,318 were paid to BCAMLP or other related entities for partial reimbursement of amounts payable to affiliates.  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 has been recorded in the amount of $14,318 as of March 31, 2005.

In January 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its Investment Limited Partner interest in Maywood Associates Limited (Maywood Apartments) to the Operating General Partner for his assumption of the outstanding mortgage balance of approximately $1,472,922 and proceeds to Series 9 of $56,200.  Proceeds from the sale were received in the first quarter 2005.  Of the total proceeds received $13,000 represents payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner.  Of the total remaining proceeds $10,000 was returned to the investors.  The investor per BAC distribution was $0.002.  The total return to the investors was distributed based on the number of BACs held by each investor.  The remaining proceeds of $33,200 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: $28,200 represents partial reimbursement for outstanding advances and asset management fees; and $5,000 represent reimbursement for expenses incurred related to the sale, which includes but is not limited to legal and mailing costs.  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 has been recorded in the amount of $38,200 as of March 31, 2005.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its interest in Breezewood RRH, Ltd., (Breezewood Village II) 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

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 $16,196.  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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited 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 investor 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited 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 investor 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited 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 investor 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited 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 investor 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 year $3,350 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.

In March 2005, Boston Capital Tax Credit Fund II - Series 9 (the "Investment Limited Partner") sold its Investment Limited Partner interest in 438 Warren Street LP (Warren Street Lodging House) to the Operating General Partner for his assumption of the outstanding mortgage balance of $1,143,101 and proceeds to the Investment Limited Partner of $1. The Investment Limited Partner proceeds actually represented a partial payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner and as such 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 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 sale of the Investment Limited Partner Interest has been recorded.

(Series 10)



As of September 30, 2006 and 2005, the average Qualified Occupancy for the series was 100%.  The series had a total of 35 properties at September 30, 2006, all of which were at 100% Qualified Occupancy.

For the period ended September 30, 2006 and 2005, Series 10 reflects net loss from Operating Partnerships of $(302,190) and $(432,996), respectively, which includes depreciation and amortization of $710,028 and $960,893, respectively.

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 have not been reported by the Operating General Partner due to the impending foreclosure that was scheduled for August 25, 2005. Low occupancy is 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 is needed to address deferred maintenance repairs.  The Operating General Partner did not fund any capital improvements.  Because of the declining financial and physical conditions of this property, the operating reserve, replacement reserve, and tax and insurance escrow have 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.  Therefore, 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; therefore, 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.

Centreville Apartments Company Limited (Wood Hollow Apartments) is a 24-unit, family property located in Centreville, MI. This property had historically suffered from low occupancy.  The property also suffered from deferred maintenance. To make the necessary repairs, the management company had estimated that approximately $80,000 would be needed. Because of the declining financial and physical conditions of this property, the operating reserve, replacement reserve, and tax and insurance escrows were not been properly funded.  The Operating Partnership had also been unable to support debt payments, and the mortgage was in default.  In May of 2003, Rural Development sent a letter to the Operating General Partner citing the mortgage delinquencies and initiated foreclosure proceedings. The Operating Partnership has gone through two court appeals to stop the foreclosure process and both were denied. In November 2004, the Operating Partnership filed a suit with the Federal District court to contest the foreclosure proceedings but it was denied in April 2005.  While the property was in the redemption period of foreclosure, the Operating General Partner provided a deed in lieu of foreclosure to Rural Development to avoid any liability with the property during the redemption period.  A disposition analysis performed by the Investment General Partner had indicated that the property's current value was less than the mortgage balance at the time of analysis.  The Operating Partnership's compliance period ended December 31, 2004; therefore, there will be no loss of credit or recapture of credits previously taken. 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.

Dallas Apartments II, LP (Campbell Creek Apartments) is an 80-unit property located in Dallas, Georgia.  In the third quarter of 2006, the partnership had an average occupancy of 97% and operated above breakeven.  This is a significant improvement over the 2005 performance when break-even operations were not achieved and average occupancy was 79%.  This improvement was due to better marketing and improved collections.  As of December 2005, Dallas Apartments began advertising in ForRent.com, a website that is very effective in increasing traffic in other properties in the area.  Management continues to focus on improving rent collections.  The site manager sets up payment plans with residents, and aggressively files notices on those who are consistently delinquent.  In September 2006, they were able to collect 100% of the rental income, an improvement over the $1,870 average monthly delinquency in 2005.  The mortgage, taxes and insurance payments are all current.  The Investment General Partner will continue to monitor the property's performance.  While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

Newnan Apartments II, LP (Pines by the Creek Apartments II) is a 96-unit property located in Newnan, Georgia.  The property was having occupancy and collection problems in the first quarter of 2006, with delinquencies of 26% of the rental income and occupancies in the low 80's.  In June 2006, a new site manager with experience in turning around troubled properties was hired.  The new manager aggressively pursued evictions, but also increased marketing to lease the vacated units.  Flyers are being distributed to surrounding apartment communities, referral fees of $50 are being offered, and the property is now advertising in Forrent.com.  Due to the above, occupancy increased to 92% at the end of September 2006.  Although delinquencies have been reduced to 9% of the total revenues, it remains a challenge.  The site manager continues to make personal visits to the delinquent residents on a daily basis and file evictions when necessary.  The Investment General Partner continues to monitor the operations.  The mortgage, taxes, and insurance are all current. While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

Great Falls Properties Limited Partnership(Melrose Lane Apartments) is a 24-unit family development located in Great Falls, SC.  The property continues to compete with rental assistance properties and is suffering due to a loss of industry in the area.  As a result, the property persistently struggles to remain occupied.  Throughout the third quarter 2006, occupancy averaged 90%.  In the past, Management has made several attempts to obtain real estate tax abatements for the property and has been unsuccessful.  In addition, management has worked with the State to apply for project-based Section 8; however, to date no awards have been given. An approved work-out plan is in effect to re-establish reserves.  All insurance, real estate tax and mortgage payments are current.  To date the Operating General Partner has funded the cash deficit by accruing payables and has funded an advance in the amount of ($18,268).  The compliance period ended in 2005 and the Investment Limited Partner is discussing potential disposition strategies with the Operating General Partner.  The sale of Great Falls was approved by the Dispositions Committee in October 2006 and is expected to close in March 2007.



In December 2004, Boston Capital Tax Credit Fund II - Series 10 (the "Investment Limited 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 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 distributions 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 March 2005, Boston Capital Tax Credit Fund II - Series 10 (the "Investment Limited Partner") sold its Investment Limited Partner interest in Freedom Apartments LP (Freedom Apt.) to the Operating General Partner for his assumption of the outstanding mortgage balance of $1,030,844 and proceeds to the Investment Limited Partner of $1. The Investment Limited Partner proceeds actually represented a partial payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner and as such 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 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 sale of the Investment Limited Partner Interest has been recorded.

In March 2005, Boston Capital Tax Credit Fund II - Series 10 (the "Investment Limited Partner") sold its Investment Limited Partner interest in Mercer Manor Apartments LP (Mercer Manor) to the Operating General Partner for his assumption of the outstanding mortgage balance of $891,825 and proceeds to the Investment Limited Partner of $1. The Investment Limited Partner proceeds actually represented a partial payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner and as such 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 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 sale of the Investment Limited Partner Interest has been recorded.

In June 2005, the Operating General Partner of West Des Moines Associates LP entered into 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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 $1,107,408 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, BCTC Fund II - Series 10 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 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 but is not limited to third party legal costs.  The remaining proceeds of $37,387 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 10 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 but is not limited to third party legal costs.  The remaining proceeds of $37,041 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 10 (the "Investment Limited 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 ILP proceeds actually represented a partial payment of reporting fees due to an affiliate of the ILP and as such 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.

Briarwood of Middleburg (Briarwood Apartments)has entered into an agreement to sell the property to an entity affiliated with the current Operating General Partner. The transaction is anticipated to close in the fourth quarter of 2006.  The sales price for Briarwood Apartments is $1,524,779 which includes the outstanding mortgage balance of approximately $1,448,443 and proceeds to the Investment Partnership of $22,387.  Of the total Investment Partnership proceeds anticipated to be received,$13,387 will represent payment of outstanding reporting fees due to an affiliate of the Investment Partnership and the balance of $9,000 represents proceeds from the sale.  Of the remaining proceeds of $9,000, it is anticipated to be paid to BCAMLP for expenses incurred, which includes third party legal costs.  No proceeds are anticipated to be returned to cash reserves held by BCTC Fund II LP - Series 10.

Morgantown Properties (Sunmark Apartments) received an offer from an entity related to the Operating General Partner.  The transaction is anticipated to close in the fourth quarter of 2006.  The sales price is $908,695 which includes the outstanding mortgage balance of approximately $748,195 and proceeds to the Investment Partnership of $160,500.  Of the total Investment Partnership proceeds anticipated to be received, $11,250 will represent payment of outstanding reporting fees due to an affiliate of the Investment Partnership and the balance of $149,250 represents proceeds from the sale.  Of the remaining proceeds, $7,500 is anticipated to be paid to BCAMLP for expenses incurred, which includes third party legal costs.  Proceeds from the sale of assets of $141,750 will be returned to cash reserves held by BCTC Fund II - 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 September 30, 2006 and 2005 the average Qualified Occupancy for the series was 100%.  The series had a total of 37 properties, all of which were 100% at September 30, 2006.

For the period ended September 30, 2006 and 2005, Series 11 reflects net loss from Operating Partnerships of $(3,998) and net income from Operating Partnerships of $1,391,020, respectively, which includes depreciation and amortization of $1,087,159 and $1,159,364, respectively.

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 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 by 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 who received some of the misappropriated funds, and the former, and current management companies.  On May 24, 2004, a Settlement Agreement (the "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 such sale will occur at the conclusion of the 15 year tax credit compliance periods.

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.  Through 2005 occupancy averaged 88%. Average occupancy for the three quarters of 2006 was 88%.  The management company continues to fill vacancies with referrals from the local housing agency.  Due to the property being 15 years old, it requires significant capital improvements.  These repairs are being funded out of cash flow, resulting in below breakeven operations. However, in December 2005, the permanent mortgage was fully paid off, and cash flow will increase by $7,466 a month, allowing the property to start operating above breakeven.  Through March of 2006, the property is operating at breakeven.  The Investment General Partner will continue monitoring the property's performance on a quarterly basis.  The mortgage, taxes, and insurance are current.  The Operating General Partner guarantee is unlimited in time and amount.  The compliance period expired December 31, 2005.  The Operating General Partner has been contacted regarding exit options for the Investment General Partner.

Dallas Apartments II, LP (Campbell Creek Apartments) is an 80-unit property located in Dallas, Georgia.  In the third quarter of 2006, the partnership had an average occupancy of 97% and operated above breakeven.  This is a significant improvement over the 2005 performance when breakeven operations were not achieved and average occupancy was 79%.  This improvement was due to better marketing and improved collections.  As of December 2005, Dallas Apartments began advertising in ForRent.com, a website that is very effective in increasing traffic in other properties in the area.  Management continues to focus on improving rent collections.  The site manager sets up payment plans with residents, and aggressively files notices on those who are consistently delinquent.  In September 2006, they were able to collect 100% of the rental income, an improvement of the $1,870 average monthly delinquency in 2005.  Mortgage, taxes and insurance payments are current.  The Investment General Partner will continue to monitor the property's performance.  While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

Denmark Limited Partnership L.P. II (Fairridge Lane Apartments) is a 24-unit property located in Denmark, SC.  Industrial decline in the area has led to a dwindling population base from which to draw qualified residents.  The reasons for the cash flow deficit include declining occupancy, insufficient rental rates, and additional replacement reserve funding per the Rural Housing workout plan.  Throughout the third quarter of 2006, the property has further declined to 83% average occupancy from 92% during the second quarter.  Management will continue to market through local media and civic organizations.  Mortgage, taxes, insurance and payables to non-related entities are current. The Operating General Partner's Guarantee is unlimited in time and amount, with the compliance period for this property ending in 2009.



Franklin School Associates (Franklin School Apartments) performance has suffered from two factors: seasonally variable occupancy because the tenants have multiple residential alternatives during the non-winter months; and landlord payment of 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 Investment General Partner asked the lender, Midland Loan Services, to consider restructuring the loan. The request was denied by Midland. In the first quarter of 2006, due to insufficient cash flow, the Partnership started making partial monthly payments (excluding insurance and tax escrows) on its first mortgage and ceased to make payments on the Montana Board of Housing's (BOH) second mortgage. In July of 2006, the first mortgage lender issued a demand and acceleration letter and on August 14, 2006 notified the Partnership that it had scheduled a Trustee Sale for December 29, 2006.



In August 2006, the Montana Board of Housing conducted an inspection where it found numerous physical and files deficiencies and issued several 8823s.  The management company resigned.  The Partnership engaged the local Section 8 administrator, Opportunities Inc., to manage the property, but the BOH perceived a potential conflict and demanded that Opportunities Inc resign.  Negotiations are under way to engage another management company acceptable to the BOH.

The Investment General Partner has identified a broker who will market Franklin School in order to satisfy the debt.  There is a high probability that the property will be disposed of either through sale or a consensual transfer of the property to the lender soon after the end of the compliance period, which is December 31, 2006.



Newnan Apartments II, LP (Pines by the Creek Apartments II) is a 96-unit property located in Newnan, Georgia.  The property was having occupancy and collection problems in the first quarter of 2006, with delinquencies of 26% of the rental income and occupancies in the low 80's.  In June 2006, a new site manager with experience in turning around troubled properties was hired.  The new manager aggressively pursued evictions, but also improved marketing to lease the vacated units.  Flyers are being distributed to surrounding apartment communities, referral fees of $50 are being offered, and the property is now advertising in Forrent.com.  Due to the above, occupancy increased to 92% at the end of September 2006.  Although delinquencies have been reduced to 9% of the total revenues, it remains a challenge.  The site manager continues to file evictions and make personal visits to the delinquent residents on a daily basis.  The Investment General Partner continues to monitor the operations.  The mortgage, taxes, and insurance are all current. While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

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 compliance ending in 2006. 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. In 2005 the property averaged 73% occupancy, and lost cash of ($11,919).  Average occupancy through the second quarter of 2006 is 74% and the property has lost cash of ($19,564).  The town recently approved the development of a golf course and single family homes nearby.  The Operating General Partner is optimistic that these businesses may bring in much needed service people that would income qualify for the apartments.  The Operating General Partner continues to fund all operating deficits.

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 ("RD"). On June 15, 2006, RD notified the Operating General Partner the agency would accept prepayment of the mortgage. The Partnership consummated the prepayment of the RD mortgage on June 30, 2006. Subsequently, the Partnership distributed $287,830 to the Investment Partnership, which represents the insurance proceeds exceeding the payoff of the outstanding mortgage balance.

On March 30, 2006, the Partnership entered into a Purchase and Sale agreement with a non-affiliated entity to purchase the land owned by the property. The sale is expected to occur in the first quarter of 2007. The purchase price for the land is $1,405,041. In addition, the buyer will reimburse the Partnership $161,037 for debris removal as a result of the hurricanes. The Investment Partnership has received a $7,500 non-refundable deposit from the buyer. The anticipated proceeds from the sale of the asset and distribution of the insurance proceeds are expected to return proceeds to the Investment Partnership of approximately $1,050,518. Of the total Investment Partnership proceeds anticipated to be received, $7,500 will be paid to BCAMLP for expenses related to the sale which include but is not limited to third party legal costs. The anticipated remaining proceeds of $1,043,018 will be returned to cash reserves held by BCTC Fund II LP - 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.

In February 2006, BCTC Fund II - Series 11 transferred 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 represent reporting fees due to an affiliate of the Investment Partnership and the balance represent proceeds from the sale. Of the remaining proceeds $3,854 was paid to BCAMLP for expenses related to the sale, which includes but is not limited to third party legal costs.  The remaining proceeds of $8,191 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 11 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $7,550 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 11 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $42,952 will be returned to cash reserves held by BCTC Fund II LP - 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.

(Series 12)

As of September 30, 2006 and 2005 the average Qualified Occupancy for the series was 99.9%.  The series had a total of 44 properties at September 30, 2006, all of which were at 100% Qualified Occupancy.

For the period ended September 30, 2006 and 2005, Series 12 reflects net loss from Operating Partnerships of $(714,799) and $(791,840), respectively, which includes depreciation and amortization of $1,078,424 and $1,250,836, respectively.

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 by 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 who received some of the misappropriated funds, and the former, and current management companies.  On May 24, 2004, a Settlement Agreement (the "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.

Union Baptist Plaza Apartments (Union Baptist Plaza, Limited Partnership), located in Springfield, Illinois consists of 24 units. The Co-Operating General Partner of the Partnership entered into an agreement to assume the outstanding mortgage of the property and redeem the interests of the Investment Limited Partner, the Special Limited Partner, and the other 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 was $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 but are not limited to third party legal costs.  The remaining proceeds of $42,500 will be returned to cash reserves held by BCTC Fund II - 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.

Dallas Apartments II, LP (Campbell Creek Apartments) is an 80-unit property located in Dallas, Georgia.  In the third quarter of 2006, the partnership had an average occupancy of 97% and operated above breakeven.  This is a significant improvement over its 2005 performance when break-even operations were not achieved and average occupancy was 79%.  This improvement was due to better marketing and improved collections.  As of December 2005, Dallas Apartments began advertising in ForRent.com, a website that is very effective in increasing traffic in other properties in the area.  Management continues to focus on improving rent collections.  The site manager sets up payment plans with residents and aggressively files notices on those who are consistently delinquent.  In September 2006, they were able to collect 100% of the rental income, an improvement of the $1,870 average monthly delinquency in 2005.  Mortgage, taxes and insurance payments are current.  The Investment General Partner will continue to monitor the property's performance.  The compliance period expired on December 31, 2005. While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

Newnan Apartments II, LP (Pines by the Creek Apartments II) is a 96-unit property located in Newnan, Georgia.  The property was having occupancy and collection problems in the first quarter of 2006, with occupancies in the low 80's and delinquencies of 26% of the rental income.  In June 2006, a new site manager with experience in turning around troubled properties was hired.  The new manager aggressively pursued evictions, but also improved marketing to lease the vacated units.  Flyers are being distributed to surrounding apartment communities, referral fees of $50 are being offered, and the property is now advertising in Forrent.com.  Due to the above, occupancy increased to 92% at the end of September 2006.  Although delinquencies decreased to 9% of the total revenues rent, it remains a challenge.  The site manager continues to file evictions and make personal visits to the delinquent residents on a daily basis.  The Investment General Partner continues to monitor the operations.  The mortgage, taxes, and insurance are all current.   While the compliance period expired on December 31, 2005, the Operating General Partner was recently awarded tax credits for resyndication of the property and is pursuing a sale which would take the Investment Limited Partner out of the deal.

Lakeridge Apartments of Eufala, Ltd. (Lakeridge Apts.) is a 30 unit development located in Eufala, AL. The property location is rural with a stagnant economy. The local housing authority closed the Section 8 Program in 2005 due to state cutbacks.  The lack of rental assistance has severely affected the project's occupancy, as without it none of the prospective residents can afford the rents.  The project's occupancy averaged 65% through the third quarter.  Management continues to market and offer rental concessions and is working with the local housing authority and other civic organizations. In the fourth quarter of 2006, the Operating General Partner will again petition Rural Development with the hope of receiving relief in the form of rental assistance.  The Operating General Partner's operating deficit guarantee expired in 2001 of which he had funded $67,586 toward the partnership.  Current deficits have been subsidized by under funding the required replacement reserve.  An approved work-out plan is in effect and the property is not in danger of default. All insurance, real estate tax and mortgage payments are current. Credit delivery ended in 2001 and the community's compliance period expires in 2006.



Springfield Housing Associates, Limited Partnership (Pine Woods Apartments) is a 168-unit property located in Springfield, Illinois. The property suffered from low occupancy and operated below breakeven in 2005, but showed a significant improvement in 2006.  The property is operating above breakeven in 2006 with an average occupancy of 93% through September 2006.  Management improved their marketing effort through the use of billboards, bus-boards, newspaper ads, and flyers.  The Operating General Partner reported that a tornado struck the property in April, causing damage to roofs, siding, gutters, window screens and trees.  No residential units were made uninhabitable by the storm.  All damage was covered by insurance with the exception of some downed trees.  The majority of repairs are complete and insurance claims have been submitted.  A put option for the sale of the Investment Limited Partner's interest will be exercised upon the end of the compliance period in January, 2007.  The mortgage, real estate taxes and insurance are all current.

Fort Smith Housing Associates (Yorkshire Townhomes) is a 50 unit property located in Fort Smith, AR.  Average occupancy in 2005 was 83%.  Due to the low occupancy the property operated below breakeven.  Displaced Hurricane Katrina victims started to move into the property in the late summer of 2005 increasing occupancy.   Through the third quarter of 2006 the property had an average occupancy of 93%.  Occupancy began to drop in July 2006 and has been averaging in the low 80's during the third quarter.  The drop in occupancy has caused the property to expend cash during the third quarter of 2006.    Management is working to increase occupancy with increased advertising, outreach to local businesses, and the local housing authority.  Management is confident that occupancy will improve within the next few months.  The Operating General Partner funds the development for any shortfalls.  The property mortgage, taxes and insurance are all current.

Brandywood Apartments (Brandywood Limited Partnership) is a 54-unit complex located in Oak Creek, Wisconsin.  In an effort to improve operations, the Operating General Partner transferred management to Affiliated Management Group ("Affiliated") in April 2005.  Affiliated was able to lower property taxes and administrative expenses and decrease utility expenses as a result of the installation of more energy efficient fixtures. In addition, Affiliated implemented an outreach program to area businesses and offered a rental incentive in the fourth quarter of 2005 of one month free. Although the property expended cash of approximately $80,000 in 2005 and the Investment Limited Partner advanced over $105,000 to fund operating deficits, Affiliated's efforts proved successful.  Occupancy rose significantly in the fourth quarter of 2005 and the property was able to maintain an average occupancy of 98% for the first half of 2006. In addition, the property began generating cash in the second quarter of 2006. Due to a number of lease expirations and another change in management, the 2006 third quarter occupancy dropped to 86% while the average year to date for 2006 occupancy was at 94%.

The Operating Partnership of Brandywood Apartments entered into a Purchase and Sale Agreement with a third party buyer to purchase the property for a purchase price of $2,500,000. A sale is anticipated to occur in the first quarter of 2007, when the mortgage is eligible for prepayment. In June 2006, Affiliated notified the Investment General Partner they would be terminating their management agreement effective July 31, 2006, due to the impending sale. On August 1, 2006, the buyer assumed management of the property and will continue to manage the property until the sale in 2007.

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 Boston Capital Tax Credit Fund II-Series 12 and Series 14 (BCTC II) and Boston Capital Tax Credit Fund III-Series 15 and Series 17 (BCTC III), 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 of $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 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, unreimbursed advances to the Operating Partnership and their share of the overhead and expense reimbursement. In the prior year, 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, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $42,829 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $8,080 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $27,481 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 12 transferred 50% of its interest in Nye County Associates to an affiliate of 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 represent reporting fees due to an affiliate of the Investment Partnership and the balance represent proceeds from the sale.

Of the remaining proceeds $5,000 was paid to BCAMLP for expenses related to the sale, including third party legal costs.  The remaining proceeds of $5,000 will be returned to cash reserves held by BCTC Fund II LP - 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 $5,000 as of March 31, 2006.  It is anticipated that the remaining interest held by the Investment Partnership in Nye County Associates will be transferred in 2007.



In August 2006, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $8,068 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $7,766 will be returned to cash reserves held by BCTC Fund II LP - 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, BCTC Fund II - Series 12 transferred 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 but is not limited to third party legal costs.  The remaining proceeds of $4,053 will be returned to cash reserves held by BCTC Fund II LP - 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.  The development first delivered credits in 1991 and the LIHTC compliance period expires in 2006.  Through September of 2006 the partnership's prorated operations are projected to generate an annualized cash expenditure of approximately $25,000, due to high operating expenses, which exceed the prior year's state average by 12%, and low occupancy, which has averaged 88% through the third quarter of 2006.  Operating expenses are primarily driven by high administrative expenses, which are the result of high maintenance payroll expenses, and high maintenance expenses which are driven by unit turnover expenses.  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 more amenities.  In the coming months management believes that it may be necessary to transfer unused rental assistance payments from other properties under its management umbrella to Briarwick in order to preserve the benefit.  Investment General Partner will monitor this possibility closely as it would greatly benefit operations at Briarwick.  The Investment General Partner will work with the Operating General Partner to reduce administrative expenses and maximize resident retention.  In the coming months the Investment Limited Partner will explore the possibility that its interest in the partnership could be sold to the Operating General Partner or a third party.  The mortgage, real estate taxes 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) is a 24 unit, family complex located in Hatch, New Mexico.  Flash floods on August 14, 2006 caused significant damage to the property.  The county building inspector has been to the property and is in the process of determining if the property is a complete loss. The Operating General Partner was waiting for Rural Development (RD) to approve rebuilding the property on the existing site before expending any time or money to determine the loss.  The Operating General Partner received approval to rebuild the property on the existing site from RD on October 6, 2006.  The Operating General Partner is now seeking bids for removal of the dirt around the structures so the insurance adjusters can make a final determination about losses.  The Operating General Partner did have flood insurance of $250,000 per building for 3 buildings, which will not be sufficient to rebuild if it is determined to be a total loss.  The Operating General Partner has indicated they will apply for FEMA funds, which could cover up to 75% of the difference between the insurance proceeds and the cost to re-build.  The Operating General Partner has also indicated that RD has agreed to suspend all mortgage payments until the property has been reconstructed. The Operating General Partner is estimating it will take 18 months to rebuild the property if it is determined to be a complete loss.

(Series 14)



As of September 30, 2006 and 2005 the average Qualified Occupancy for the series was 99.9%.  The series had a total of 88 properties at September 30, 2006, all of which were at 100% Qualified Occupancy.

For the period ended September 30, 2006 and 2005, Series 14 reflects net loss from Operating Partnerships of $(998,451) and $(1,643,294), respectively, which includes depreciation and amortization of $2,402,184 and $2,598,599 respectively.

Series 14 has invested in 4 Operating Partnerships (the "Calhoun Partnerships") in which the Operating General Partner initially was Riemer Calhoun, Jr. or an entity, which was affiliated with or controlled by Riemer Calhoun (the "Riemer Calhoun Group").  The Operating Partnerships are Blanchard Senior Apartments, Colorado City Seniors, Cottonwood Apts. II, A LP and Hughes Springs Seniors Apts., A LP.   Cottonwood Apts II sustained minor water damage as a result of Hurricane Rita. All repairs were completed before the end of the first quarter of 2006 and were paid for out of operations. The affordable housing properties owned by the Calhoun Partnerships are located in Louisiana or Texas and consist of approximately 104 apartment units in total.  The low income housing tax credit available annually to Series 14 from the Calhoun Partnerships is approximately $117,109, which is approximately 4% of the total annual tax credit available to investors in Series 14.In the summer of 2002, the US Attorney for the Western District of Louisiana notified the Investment General Partner that the Reimer Calhoun group was under investigation by several federal agencies for the alleged manipulation of property cost certifications.  In early 2003, the Investment General Partner learned that the US Attorney intended to bring criminal charges against certain members of the Reimer Calhoun group for falsifying the certified cost basis upon which the Louisiana Housing Finance Agency determined the tax credit calculation with respect to approximately 40 Operating Partnerships in which Series 18 is not an investor.  The Investment General Partner used these certifications in determining the tax credits investors would receive through their investment in the Calhoun Partnerships.

In effect, it appears that the contractor that built the apartment properties (an affiliate of Mr. Calhoun's) overbilled the respective Operating Partnerships, thereby improperly inflating the cost certification and the amount of tax credit generated.

In late March 2003, Reimer Calhoun, Jr. pleaded guilty to charges of wire fraud and conspiracy to commit equity skimming.  At that time, the Investment General Partner obtained $1,282,202 from Reimer Calhoun for the purpose of offsetting any potential losses to tax credits caused by Mr. Calhoun's fraud.



On September 25, 2003, judgment in a criminal case was entered against Reimer Calhoun, Jr. and TF Management, Inc.  On Count 1, alleging wire fraud, Reimer Calhoun, Jr. was sentenced to 60 months in the custody of the United States Bureau of Prisons.  On Count 2, Mr. Calhoun received a concurrent 60 month

sentence.  Mr. Calhoun's prison sentence began on October 13, 2003.  Mr. Calhoun was further fined $500,000 and ordered to pay restitution of $4,363,683 to various parties.  The amount of restitution ordered paid to the Investment General Partner was $1,559,723.  This amount includes the monies previously paid by Mr. Calhoun. The additional $277,521 was received in December 2003.  All monies received from the Calhoun settlement have been allocated back to the Operating Partnerships as of August 2005.



The Investment General Partner has cooperated fully with the US Attorney in the investigation, and there has been no suggestion of any wrongdoing on the part of it or any of its affiliates.

In 2003, the Internal Revenue Service commenced an audit of the Calhoun partnerships in order to finally determine the amount of overstated tax credits.  The Investment General Partner has reached a resolution with the IRS whereby the adjustments to tax credits will be made only for the tax years 2004 and thereafter in order to avoid amending tax returns already filed for the years 2001, 2002 and 2003. Final Closing Agreements were entered into with the IRS for each of the partnerships on May 25, 2005. At this point, the Investment Partnerships have incurred substantial legal and accounting costs based upon Mr. Calhoun's fraud. It is further anticipated that the $1,559,723 will be sufficient to fully protect the investors and provide restitution to the Investment Partnerships affected.

With respect to each of the Calhoun Partnerships either (a) Reimer Calhoun's controlling interest in the Operating General has been assigned to Murray Calhoun, the son of Reimer Calhoun or (b) in some cases the Operating General Partner entity itself has been replaced with a new entity controlled by Murray Calhoun and in which Reimer Calhoun has no interest.  Murray Calhoun is the principal of Calhoun Property Management, L.L.C., which has provided property level management services for the apartment properties owned by the Calhoun Partnerships.  Murray Calhoun also cooperated fully with the criminal

investigation of his father, and the Investment General Partner and its affiliates have confirmed directly with the US Attorney that no evidence was found of any wrongdoing on the part of Murray Calhoun.



Murray Calhoun and the Investment General Partner and its affiliates have all undertaken discussions with the Rural Housing Service of the U.S.  Department of Agriculture, in its capacity as first mortgage lender for each of the Calhoun Partnerships, to make sure that all of the mortgage loans are and will continue to be in good standing notwithstanding the overstated credit and the criminal prosecution resulting therefrom.  RHS has also indicated that it will consent to the replacement of general partners noted above.

In addition, Murray Calhoun and the Investment General Partner and its affiliates have entered into agreements which (a) cause Murray Calhoun to guarantee performance of all of the obligations to limited partners previously guaranteed by Reimer Calhoun, (b) tighten up the consent rights of the Investment General Partner in connection with changing general partners,

management agents and partnership accountants, and (c) clarify the rights of the Investment General Partner to remove a general partner in the future in the event of certain specified events.

The Operating General Partner of Briarwood II, Limited has entered into an agreement to sell the property to an entity affiliated with the current Operating General Partner. The transaction is anticipated to close in the first quarter of 2007.  The sales price for Briarwood Apartments is $1,529,726, which includes the outstanding mortgage balance of approximately $1,456,326 and proceeds to the Investment Partnership of $36,700.  Of the total Investment Partnership proceeds anticipated to be received,$17,700 will represent payment of outstanding reporting fees due to an affiliate of the Investment Partnership and the balance of $19,000 represents proceeds from the sale.  Of the remaining proceeds $9,000 is anticipated to be paid to BCAMLP for expenses incurred, which includes third party legal costs.  The remaining proceeds of $10,000 will be returned to cash reserves held by BCTC Fund II LP - 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 willbe distributed based on the number of BACs held by each investor at the time of distribution.

Summer Lane Limited Partnership (Summer Lane Apartments) is a 24 unit, family complex located in Santee, SC.  Occupancy continues to maintain an average occupancy of 96% throughout third quarter 2006.   The re-amortization of the loan in 2005 has allowed the partnership to reduce the mortgage payment amount and has enabled the property to work towards the goal of bringing the replacement reserve account current through the Rural Housing approved workout plan.  The 2005 year end audit reported that the property generated $21,502 in cash and the first quarter unaudited numbers indicate that the property continues to operate above breakeven.  The short-term payables of $35,793 are due to an affiliated management company.  All insurance, real estate tax and mortgage payments are current.  The Operating General Partner's operating deficit guarantee is unlimited in time and amount.  The final year of Tax Credit delivery was 2001 and the compliance period for the property ends in 2006.  The Investment General Partner will continue to work with management regarding operations and payables, as well as monitor the replacement reserve funding.

Woodfield Commons Limited Partnership (Woodfield Commons Apartments) is a 46 unit development located in Marshfield, WI.  The property operated with an average occupancy of 87% for the year 2005.  Despite operating expenses that are below the state average, the low rental rates in the area combined with the low average occupancy prevented the property from achieving breakeven operations through the fourth quarter of 2005.  The Partnership defaulted on its mortgage in January 2005.  The Lender, GMAC Commercial Mortgage Corporation, agreed to reduce its 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 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, BCTC Fund II LP - Series 14 transferred 49% of its interest in Woodfield Commons Limited Partnership to an affiliate of the Operating General Partner for its assumption of 49% if the outstanding mortgage balance and proceeds to the Investment Limited Partnership of $25,000. Of the proceeds received, $17,500 represent reporting fees due to an affiliate of the Investment Limited Partnership and the remaining proceeds of $7,500 was paid to BCAMLP for expenses related to the sale, which includes but is not limited to third party legal costs. In November 2007, the Investment Limited Partnership will transfer the remaining 51% of its Interest in Woodfield Commons Limited Partnership for the assumption of the 51% of the then outstanding mortgage balance and proceeds of $25,000. Of the proceeds to be received, $3,750 will be paid to an affiliate of the Investment Partnership for reporting fees and the remaining proceeds of $21,250 will be returned to cash reserves held by BCTC Fund II LP - 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.

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.  Occupancy has been a problem the past three years, and to increase occupancy, the Operating Partnership requested additional project-based rental assistance, but this request was denied by USDA-Rural Development.  The management company advertises in local publications and requests referrals from local agencies.  They have also advertised in surrounding towns to increase potential traffic.  As a result, occupancy increased slightly from 79% in the fourth quarter of 2005 to 83% in the third quarter of 2006.  The Operating General Partner funds all operating deficits.  The Investment General Partner continues to monitor the operations of this Operating Partnership.  All taxes, mortgage and insurance payments are current

Okemah Village Apartments (Okemah Village Apartments Limited, Limited Partnership) is a 30-unit property for families, located in Okemah, OK.  The average occupancy for the third quarter of 2006 was 86%, an improvement over the 2005 average of 75%.  As a result of the improved occupancy and a rent increase approved by Rural Development, it operated above breakeven.  The improvement was due to the repair and renovation of the 8 units that were left uninhabitable by the previous site manager in mid-2005.  Since the replacement reserve had been depleted, the Operating General Partner funded these repairs.  On December 15, one of the duplex buildings had a fire, which resulted in both three-bedroom units being damaged.  Due to the extent of the damage, complete demolition and rebuilding is necessary.  An insurance claim was filed and the proceeds of $145,324 were received in March 2006. USDA-RD approved the work in May 2006 and applications for building permits were submitted the same month.  Demolition work commenced in June 2006 and is now complete.   In September 2006, the partnership was notified by USDA-RD that it has been selected to participate in the Multifamily Preservation and Revitalization Restructuring (MPR) Demonstration Program to restructure the first permanent loan.  The proposal includes 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 will expire December 31, 2007, the Investment General Partner estimated recapture and penalties of only $6,800.  Per the Partnership Agreement, this amount should be repaid by the Operating General Partner.  The Investment General Partner is currently reviewing this proposal.  The tax, insurance, and mortgage payments are all current.

Montague Place, LP (Montague Place Apartments) is a 28-unit, family complex located in Caro, MI.  In 2005 occupancy averaged 78% and the property operating below breakeven.  The Operating Partnership suffers from inadequate rental assistance.  Despite diligent efforts to attract new tenants, property management has consistently been unable to rent all eight of the property's non-subsidized units.  Through the third quarter of 2006, occupancy averaged 77%.  Expenses are lower then the state averages for this property and historically the property has been able to generate cash at 83% occupancy.  The mortgage and the taxes are current.  Management has increased local advertising and marketing for this property.  The property is also offering first month rent free as a new promotion.

Kilmarnock Limited Partnership (Indian Creek Apts.) is a 20-unit development located in Kilmarnock, Virginia.  The property operated below breakeven in 2005 even with a workout plan with Rural Development that called for reduced debt service payments.  Average occupancy was 70% in 2005. Occupancy improved by year end and has averaged 80% through the third quarter of 2006.  Despite improving occupancy, the property still operated below breakeven through the third quarter.  Management felt that the on-site manager was not properly leasing the property and replaced her in 2005.  The property is located in a very rural area and the property suffers from lack of qualified applicants and rental assistance.  The property is out of its initial 15-year compliance period and the Operating General Partner is working towards resyndicating and rehabbing the property.

In January 2006, Boston Capital Tax Credit Fund II - Series 14  (the "ILP") sold one half of its interest in Kilmarnock Limited Partnership (the "Operating Partnership") to an entity affiliated with the 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 ILP proceeds received, $0.50 represented payment of outstanding reporting fees due to an affiliate of the Investment Partnership.  The remaining one half interest in the Operating Partnership is expected to be transferred to the same entity for a comparable price in January 2007.  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.

The Operating General Partner of Schroon Lake Housing Redevelopment Company(Lakeside Manor Apts.) has negotiated a sale of its Operating General Partner interest, which was completed in August 2003.  In addition to the transfer of Operating General Partner interest, an exit strategy has been put in place that will allow for the sale of the Investment Limited Partner interest to the new Operating General Partner at the end of the 15-year tax credit compliance period, which expires in December 2006.  The proceeds to the Investment Partnership are anticipated to be approximately $14,318.

In January 2006, Boston Capital Tax Credit Fund II - Series 14 (the "ILP") 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 ILP of $1.  The ILP proceeds actually represented a partial payment of reporting fees due to an affiliate of the ILP and as such 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 12 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, namely 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 USDA 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 there were 12 move-ins into the 12 rebuilt units.  As of January 4, 2006, occupancy for the entire complex was back at 100%.  On January 6, 2006, the general contractor submitted its final pay request.  This request was approved by USDA Rural Development on January 12, 2006 and a check was disbursed on February 1, 2006 to the general contractor and architect.  A check was disbursed to the subcontractor on February 12, 2006.  The general contractor provided a lien waver for the full amount of its contract including lien wavers for all subcontractors prior to receiving the funds from the retainage account.  These funds, including interest on the retainage account, were fully disbursed by March 7, 2006.  The Investment General Partner received copies of this documentation.

Rosewood Manor Limited (Rosewood Manor Apartments) is a 43-unit development for the elderly located in Ellenton, Florida. The property was damaged by two hurricanes in late 2004 resulting in seven residential units coming off line. Insurance proceeds for reconstruction were received. All roofing was replaced and all seven units have been repaired and leased. Due to the depressed occupancy, the property expended ($9,201) in 2005. Financial operations will continue to be monitored through 2006. Occupancy has rebounded and averaged 99% through the third quarter of 2006.  The tax credit compliance period for this property ends on December 31, 2006.

McComb Family LP (Pine Ridge Apartments) is a 32 unit development located in McComb, Mississippi.  This remote property does not receive project based Section 8 or any other form of rental assistance.  The 2005 year end audit reported the property averaged 96% occupancy and generated $4,905 in cash, as a result of the Rural Housing approved workout plan, modifying the reserve funding requirements.  The property's overall performance continues to remain stable throughout the third quarter 2006 at an average occupancy of 91%.  The Investment General Partner will continue to work with management to identify opportunities to improve operations. The Operating General Partner has been funding operating deficits ($20,800 to date) in accord with the operating deficit guarantee, which is unlimited in time and amount. The final year of Tax Credit delivery was 2001 and the compliance period for the property ends in 2006.

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, BCTC I Series 4 and Series 6 and BCTC II 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 47.  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.

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 Boston Capital Tax Credit Fund II-Series 12 and Series 14 (BCTC II) and Boston Capital Tax Credit Fund III-Series 15 and Series 17 (BCTC III), 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 of $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 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, unreimbursed advances to the Operating Partnership and their share of the overhead and expense reimbursement. In the prior year, 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 of 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, Boston Capital Tax Credit Fund I - Series 2 and Boston Capital Tax Credit Fund II - Series 14 (the "Investment Limited Partner's") negotiated the sale of their interest in Haven Park Partners IV to the Operating General Partner.  The transaction closed in March of 2005 for the assumption of the outstanding mortgage balance of approximately $371,700 and estimated proceeds to the Investment Limited Partner's of $780,579 ($298,038 for Series 2 and $482,541 for Series 14).  Of the total proceeds received, $553,362 represents a reimbursement of funds previously advanced to the Operating Partnership by affiliates of the Investment Limited Partner's and $4,000 is for payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner. Of the remaining proceeds, the net distribution to the investors was $156,660 ($117,495 for Series 2 and $39,165 for Series 14).   This represented a per BAC distribution of $.142 and $.007 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 $66,557 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: $30,600 represents the reimbursement of overhead and expenses incurred for overseeing and managing the disposition of the property, which includes but was not limited to salary reimbursements and third party legal for overseeing and managing the disposition of the property; $35,957 for 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 $128,407 and $57,026, respectively, as of March 31, 2005.  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 the current year $14,073 for Series 2 and $5,400 for Series 14 of the sales proceeds were refunded to BCAMLP to pay accrued AMF's.  In the current year a reduction in the amount of $5,864 for Series 2 and $3,136 for Series 14 on the gain recorded in the prior year was recorded for final costs incurred on the disposition of the property.

In December 2004, Boston Capital Tax Credit Fund I - Series 2 and Boston Capital Tax Credit Fund II - Series 14 (the "Investment Limited Partner's") 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 Partner's 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 Partner's and $8,000 is for payment of outstanding reporting fees due to an affiliate of the Investment Limited Partner's. 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 but was not limited to salary reimbursements and third party legal and mailing costs; $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, Boston Capital Tax Credit Fund I - Series 5 and Boston Capital Tax Credit Fund II - Series 14 negotiated a sale of their Investment Limited Partner interests in Glenhaven Park Partners (Glenhaven Estates) to the Operating General Partner. After repayment of the outstanding mortgage balance of approximately $43,040 the proceeds to the Investment Limited Partner's were $28,760.  Of the proceeds $6,000 actually was for payment of outstanding reporting fees and $22,760 were proceeds from the sale of the interests.  The total sale proceeds received were used to repay subordinated loans that had been made by Boston Capital Tax Credit Fund II-Series 14.  Total outstanding subordinated loans and advances made by Series 5 and Series 14 exceeded the repayment by $10,742 and $156,940, respectively.  The unpaid loans and advances were written off and included in the loss on the sale of the Operating Partnership for Series 5 and Series 14 as of March 31, 2004.



In February 2004, Boston Capital Tax Credit Fund I - Series 4 and Boston Capital Tax Credit Fund II-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 Partner of $715,000.  Of the total received, $4,500 was for payment of outstanding reporting fees due to an affiliate of the Investment 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 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, were distributed to the investors.  The investor per BAC distribution was $.002 and $.007, for Series 4 and Series 14, respectively.  The total returned to the investors was distributed based on the number of BACs held by each investor.  The remaining balance of $160,406 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 to be 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 but was not limited to salary reimbursements and third party legal and mailing costs $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 Partner's investment in the Operating Partnership in accordance with the equity method of accounting had previously reduced the Investment Limited Partner'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 5 and Series 14, respectively, was realized in the quarter ended March 31, 2004.  In the current year, March 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 the prior year a reduction in the amount of $1,155 for Series 4 and $7,846 on the gain recorded in 2005 was recorded for final costs incurred on the disposition of the property.

In February 2006, BCTC Fund II - Series 14 transferred 98% of its interest in Plantation IV, Limited to a non-affiliated entity for its assumption of proportionate 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 but is not limited to third party legal costs.  The remaining proceeds of $44,709 will be returned to cash reserves held by BCTC Fund II LP - 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 BCTC Fund II LP - 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.

In January 2006, Boston Capital Tax Credit Fund II - Series 14 (the "ILP") 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 ILP of $1.  The ILP proceeds actually represented a partial payment of reporting fees due to an affiliate of the ILP and as such 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, Boston Capital Tax Credit Fund II - Series 14 (the "ILP") 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 ILP of $1.  The ILP proceeds actually represented a partial payment of reporting fees due to an affiliate of the ILP and as such 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.



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 Fund 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 Fund's financial condition and results of operations.  The Fund 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 Fund is required to assess potential impairments to its long-lived assets, which is primarily investments in limited partnerships.  The Fund 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 Limited Partnerships.

If the book value of the Fund'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 Limited Partnership and includes such reduction in equity in loss of investment of limited partnerships.



As of March 31, 2004, the Fund 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 Limited Partnerships in which the Fund invests meet the definition of a VIE.  However, management does not consolidate the Fund's interests in these VIEs under FIN 46R, as it is not considered to be the primary beneficiary.  The Fund 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 Fund'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 Fund'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.















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

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





Table_of_Contents





PART II - OTHER INFORMATION



|Item 1.  | Legal Proceedings                                          
|-------- | -----------------------------------------------------------
|         |                                                            
|         | None                                                       
|         |                                                            
|Item 1A. | Risk Factors                                               
|         |                                                            
|         | Not Applicable                                             
|         |                                                            
|Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds
|         |                                                            
|         | None                                                       
|         |                                                            
|Item 3.  | Defaults upon Senior Securities                            
|         |                                                            
|         | None                                                       
|         |                                                            
|Item 4.  | Submission of Matters to a Vote of Security 
Holders       
|         |                                                            
|         | None                                                       
|         |                                                            
|Item 5.  | Other Information                                          
|         |                                                            
|         | None                                                       
|         |                                                            
|Item 6.  | Exhibits                                                   
|         |                                                            
|         | (a)Exhibits                                                
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            
|         |                                                            















Table_of_Contents



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: January 23, 2007 | /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:                                                                                                                                          
|---------------- | ----------------------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------
|                 |                                     |                                                                                                                                                 
|January 23, 2007 | /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:                                                                                                                                                                               
|---------------- | ----------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                 |                               |                                                                                                                                                                                      
|January 23, 2007 | /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.