August 14, 2002




Securities and Exchange Commission
450 Fifth Street, NW
Washington, DC  20549

Re:    Boston Financial Tax Credit Fund VII, A Limited Partnership
       Report on Form 10-QSB for the Quarter Ended June 30, 2002
       File Number 0-24584


Dear Sir/Madam:

Pursuant to the requirements of Section 15(d) of the Securities Exchange Act of
1934, filed herewith one copy of subject report.


Very truly yours,


/s/Stephen Guilmette
Stephen Guilmette
Assistant Controller





TC7-Q1.DOC


<PAGE>


                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                   FORM 10-QSB


(Mark One)

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

For the quarterly period ended    June 30, 2002
                               -------------------------------------------------

                                                         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 0-24584

           Boston Financial Tax Credit Fund VII, A Limited Partnership
-------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)


                   Massachusetts                     04-3166203
-------------------------------------     --------------------------------------
(State or other jurisdiction of            (I.R.S. Employer Identification No.)
 incorporation or organization)



   101 Arch Street, Boston, Massachusetts            02110-1106
---------------------------------------------        ---------------------------
  (Address of principal executive offices)            (Zip Code)


Registrant's telephone number, including area code       (617) 439-3911
                                                   -----------------------------

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


<PAGE>


                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                                TABLE OF CONTENTS




PART I - FINANCIAL INFORMATION                                         Page No.
------------------------------                                         --------

Item 1.   Financial Statements

          Balance Sheet (Unaudited) - June 30, 2002                        1

          Statements of Operations (Unaudited) -
               For the Three Months Ended June 30, 2002 and 2001           2

          Statement of Changes in Partners' Equity (Deficiency)
               (Unaudited) - For the Three Months Ended June 30, 2002      3

          Statements of Cash Flows (Unaudited) -
               For the Three Months Ended June 30, 2002 and 2001           4

          Notes to the Financial Statements (Unaudited)                    5

Item 2.   Management's Discussion and Analysis of
               Financial Condition and Results of Operations               7

PART II - OTHER INFORMATION

Items 1-6                                                                 10

SIGNATURE                                                                 11



<PAGE>


                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)


                                  BALANCE SHEET
                                  June 30, 2002
                                   (Unaudited)

<TABLE>
<CAPTION>
<S>                                                                                             <C>
Assets

Cash and cash equivalents                                                                        $     1,289,161
Marketable securities, at fair value                                                                   1,148,285
Restricted cash                                                                                          240,212
Investments in Local Limited Partnerships (Note 1)                                                    17,260,275
Other assets                                                                                              17,004
                                                                                                 ---------------
     Total Assets                                                                                $    19,954,937
                                                                                                 ===============


Liabilities and Partners' Equity

Accounts payable to affiliates                                                                   $       112,538
Accrued expenses                                                                                          27,605
                                                                                                 ---------------
     Total Liabilities                                                                                   140,143
                                                                                                 ---------------
Commitments (Note 2)

General, Initial and Investor Limited Partners' Equity                                                19,787,400
Net unrealized gains on marketable securities                                                             27,394
                                                                                                 ---------------
     Total Partners' Equity                                                                           19,814,794
                                                                                                 ---------------
     Total Liabilities and Partners' Equity                                                      $    19,954,937
                                                                                                 ===============

</TABLE>

                 The accompanying notes are an integral part of
                          these financial statements.
<PAGE>


                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                            STATEMENTS OF OPERATIONS
                For the Three Months Ended June 30, 2002 and 2001
                                   (Unaudited)


<TABLE>
<CAPTION>
<S>                                                                              <C>              <C>
                                                                                       2002             2001
                                                                                  -------------    -------------
Revenue:
   Investment                                                                     $      20,915    $      34,903
   Other                                                                                 32,570            2,673
                                                                                  -------------    -------------
     Total Revenue                                                                       53,485           37,576
                                                                                  -------------    -------------

Expenses:
   General and administrative expenses (includes reimbursements
     to an affiliate in the amounts of $37,916 and $26,914, in 2002
     and 2001, respectively)                                                             64,961           46,237
   Asset management fee, related party                                                   79,280           78,032
   Amortization                                                                           7,656            7,656
   Provision for valuation of advances to Local Limited Partnerships                    123,436                -
                                                                                  -------------    -------------
     Total Expenses                                                                     275,333          131,925
                                                                                  -------------    -------------

Loss before equity in losses of Local Limited Partnerships                             (221,848)         (94,349)

Equity in losses of Local Limited Partnerships (Note 1)                                (668,982)        (509,491)
                                                                                  -------------    -------------

Net Loss                                                                          $    (890,830)   $    (603,840)
                                                                                  =============    =============

Net Loss allocated:
   General Partners                                                               $      (8,908)   $      (6,038)
   Limited Partners                                                                    (881,922)        (597,802)
                                                                                  -------------    -------------
                                                                                  $    (890,830)   $    (603,840)
                                                                                     ===========    =============
Net Loss per Limited Partner Unit
   (50,930 Units)                                                                 $      (17.32)   $       (11.74)
                                                                                  =============    ==============

</TABLE>

                 The accompanying notes are an integral part of
                          these financial statements.
<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

              STATEMENT OF CHANGES IN PARTNERS' EQUITY (DEFICIENCY)
                    For the Three Months Ended June 30, 2002
                                   (Unaudited)


<TABLE>
<CAPTION>
<S>                                  <C>            <C>          <C>               <C>            <C>
                                                       Initial       Investor           Net
                                       General         Limited        Limited       Unrealized
                                       Partners        Partner       Partners         Gains            Total
                                      -----------    -------------  -----------     ----------       ---------

Balance at March 31, 2002             $  (237,539)   $   5,000    $   20,910,769    $    20,452    $  20,698,682
                                      -----------    ---------    --------------    -----------    -------------

Comprehensive Income (Loss):
   Change in net unrealized gains
     on marketable securities
     available for sale                         -            -                 -          6,942            6,942
   Net Loss                                (8,908)           -          (881,922)             -         (890,830)
                                      -----------    ---------    --------------    -----------    -------------
Comprehensive Income (Loss)                (8,908)           -          (881,922)         6,942         (883,888)
                                      -----------    ---------    --------------    -----------    -------------

Balance at June 30, 2002              $  (246,447)   $   5,000    $   20,028,847    $    27,394    $  19,814,794
                                      ===========    =========    ==============    ===========    =============
</TABLE>


                 The accompanying notes are an integral part of
                          these financial statements.
<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                            STATEMENTS OF CASH FLOWS
                For the Three Months Ended June 30, 2002 and 2001
                                   (Unaudited)

<TABLE>
<CAPTION>
<S>                                                                              <C>              <C>
                                                                                      2002               2001
                                                                                  -------------    -------------

Net cash used for operating activities                                            $    (176,874)   $    (217,302)

Net cash provided by investing activities                                               272,732          420,720
                                                                                  -------------    -------------
Net increase in cash and cash equivalents                                                95,858          203,418

Cash and cash equivalents, beginning                                                  1,193,303          607,092
                                                                                  -------------    -------------

Cash and cash equivalents, ending                                                 $   1,289,161    $     810,510
                                                                                  =============    =============

</TABLE>



                 The accompanying notes are an integral part of
                          these financial statements.
<PAGE>


                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)


                        NOTES TO THE FINANCIAL STATEMENTS
                                   (Unaudited)


The unaudited financial statements presented herein have been prepared in
accordance with the instructions to Form 10-QSB and do not include all of the
information and note disclosures required by accounting principles generally
accepted in the United States of America. These statements should be read in
conjunction with the financial statements and notes thereto included with the
Fund's Form 10-KSB for the year ended March 31, 2002. In the opinion of
management, these financial statements include all adjustments, consisting only
of normal recurring adjustments, necessary to present fairly the Fund's
financial position and results of operations. The results of operations for the
period may not be indicative of the results to be expected for the year.

The Managing General Partner of the Fund has elected to report results of the
Local Limited Partnerships in which the Fund has a limited partnership interest,
on a 90 day lag basis because the Local Limited Partnerships report their
results on a calendar year basis. Accordingly, the financial information about
the Local Limited Partnerships that is included in the accompanying financial
statements is as of March 31, 2002 and 2001.

1.   Investments in Local Limited Partnerships

The Fund has limited partnership interests in nineteen Local Limited
Partnerships which were organized for the purpose of owning and operating
multi-family housing complexes, all of which are government-assisted. Upon
dissolution of the Local Limited Partnerships, proceeds will be distributed
according to the respective Local Limited Partnership agreements.

The following is a summary of investments in Local Limited Partnerships at June
30, 2002:
<TABLE>
<CAPTION>
<S>                                                                                             <C>
Capital contributions and advances paid to Local Limited
   Partnerships and purchase price paid to withdrawing
   partners of Local Limited Partnerships                                                        $  39,902,219

Cumulative equity in losses of Local Limited Partnerships
   (excluding cumulative unrecognized losses of $6,060,773)                                        (21,851,285)

Cumulative cash distributions received from Local Limited
   Partnerships                                                                                     (1,492,099)
                                                                                                 -------------

Investments in Local Limited Partnerships before
   adjustments                                                                                      16,558,835

Excess of investment costs over the underlying net assets acquired:

   Acquisition fees and expenses                                                                     1,252,338

   Cumulative amortization of acquisition fees and expenses                                           (256,549)
                                                                                                 -------------

Investments in Local Limited Partnerships prior to reserve for
    valuation                                                                                       17,554,624

Reserve for valuation of investments in Local Limited Partnerships                                    (294,349)
                                                                                                 -------------

Investments in Local Limited Partnerships                                                        $  17,260,275
                                                                                                 =============
</TABLE>

The Fund has provided a reserve for valuation for its investments in certain
Local Limited Partnerships because there is evidence of non-temporary declines
in the recoverable amount of these investments.



<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                  NOTES TO THE FINANCIAL STATEMENTS (continued)
                                   (Unaudited)



1.   Investments in Local Limited Partnerships (continued)
     ----------------------------------------------------

The Fund's share of the net losses of the Local Limited Partnerships for the
three months ended June 30, 2002 is $886,968. For the three months ended June
30, 2002, the Partnership has not recognized $217,986 of equity in losses
relating to certain Local Limited Partnerships in which cumulative equity in
losses and distributions exceeded its total investments in these Local Limited
Partnerships.

2.   Commitments

At June 30, 2002, the Fund has committed to make future capital contributions
and pay future purchase price installments on its investments in Local Limited
Partnerships. These future payments are contingent upon the achievement of
certain criteria as set forth in the Local Limited Partnership agreements and
total approximately $556,000. Of this amount, the Fund has set aside
approximately $148,000 in escrow for future capital contributions to one Local
Limited Partnership.


<PAGE>


                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)


                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS


Certain matters discussed herein constitute forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995. The Fund
intends such forward-looking statements to be covered by the safe harbor
provisions for forward-looking statements and is including this statement for
purposes of complying with these safe harbor provisions. Although the Fund
believes the forward-looking statements are based on reasonable assumptions, the
Fund can give no assurance that its expectations will be attained. Actual
results and timing of certain events could differ materially from those
projected in or contemplated by the forward-looking statements due to a number
of factors, including, without limitation, general economic and real estate
conditions and interest rates.

Accounting Policies

The Fund's accounting polices include those that relate to its recognition of
investments in Local Limited Partnerships using the equity method of accounting.
The Fund's policy is as follows:

The Fund accounts for its investments in Local Limited Partnerships using the
equity method of accounting because the Fund does not have control over the
major operating and financial policies of the Local Limited Partnerships in
which it invests. Under the equity method, the investment is carried at cost,
adjusted for the Fund's share of net income or loss and for cash distributions
from the Local Limited Partnerships; equity in income or loss of the Local
Limited Partnerships is included currently in the Fund's operations. Under the
equity method, a Local Limited Partnership investment will not be carried below
zero. To the extent that equity in losses are incurred when the Fund's carrying
value of the respective Local Limited Partnership has been reduced to a zero
balance, the losses will be suspended and offset against future income. Income
from Fund investments where cumulative equity in losses plus cumulative
distributions have exceeded the total investment in Local Limited Partnerships
will not be recorded until all of the related unrecorded losses have been
offset. To the extent that a Local Limited Partnership with a carrying value of
zero distributes cash to the Fund, that distribution is recorded as income on
the books of the Fund and is included in "Other Revenue" in the accompanying
financial statements.

Liquidity and Capital Resources

At June 30, 2002, the Fund had cash and cash equivalents of $1,289,161 compared
with $1,193,303 at March 31, 2002. This increase is primarily due to proceeds
from sales and maturities of marketable securities in excess of purchases of
marketable securities and cash distributions received from Local Limited
Partnerships. These increases are partially offset by cash used for operations
and advances to Local Limited Partnerships.

The Managing General Partner initially designated 5% of the Gross Proceeds as
Reserves as defined in the Partnership Agreement. The Reserves were established
to be used for working capital of the Fund and contingencies related to the
ownership of Local Limited Partnership interests. The Managing General Partner
may increase or decrease such Reserves from time to time, as it deems
appropriate. At June 30, 2002, approximately $2,030,000 of cash, cash
equivalents and marketable securities has been designated as Reserves.

To date, professional fees relating to various Property issues totaling
approximately $107,000 have been paid from Reserves. In the event a Local
Limited Partnership encounters operating difficulties requiring additional
funds, the Fund's management might deem it in its best interest to voluntarily
provide such funds in order to protect its investment. As of June 30, 2002, the
Fund has advanced approximately $294,000 to Local Limited Partnerships to fund
operating deficits.


<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
            FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)


Liquidity and Capital Resources (continued)
------------------------------------------

The Managing General Partner believes that the investment income earned on the
Reserves, along with cash distributions received from Local Limited
Partnerships, to the extent available, will be sufficient to fund the Fund's
ongoing operations. Reserves may be used to fund operating deficits, if the
Managing General Partner deems funding appropriate. To date, the Fund has used
approximately $115,000 of Reserves to fund operations. If Reserves are not
adequate to cover the Fund's operations, the Fund will seek other financing
sources including, but not limited to, the deferral of Asset Management Fees
paid to an affiliate of the Managing General Partner or working with Local
Limited Partnerships to increase cash distributions.

At June 30, 2002, the Fund has committed to make future capital contributions
and to pay future purchase price installments on its investments in Local
Limited Partnerships. These future payments are contingent upon the achievement
of certain criteria as set forth in the Local Limited Partnership Agreements and
total approximately $408,000.

Since the Fund invests as a limited partner, the Fund has no contractual duty to
provide additional funds to Local Limited Partnerships beyond its specified
investment. Thus, as of June 30, 2002, the Fund had no contractual or other
obligation to any Local Limited Partnership which had not been paid or provided
for, except as described above.

Cash Distributions

No cash distributions were made during the three months ended June 30, 2002.

Results of Operations

The Fund's results of operations for the three months ended June 30, 2002
resulted in a net loss of $890,830, as compared to a net loss of $603,840 for
the same period in 2001. The decrease in net loss is primary attributable to
increases in equity in losses of Local Limited Partnerships and provision for
valuation of advances to Local Limited Partnerships due to certain properties
requiring additional operating funds. These decreases are partially offset by an
increase in other income.

Property Discussions

The Fund's investment portfolio consists of limited partnership interests in
nineteen Local Limited Partnerships, each of which own and operate a
multi-family apartment complex. A majority of the Properties have stabilized
operations and operate above break-even. However, some Properties have
persistent operating difficulties that could result in their foreclosure or in
the Managing General Partner deeming it appropriate for the Fund to dispose of
its interest in the Property. Also, the Managing General Partner, in the normal
course of the Fund's business, may desire to dispose of certain Properties. The
following Property discussion focuses only on such Properties.

As previously reported, Grand Boulevard Renaissance, located in Chicago,
Illinois, has been experiencing operating difficulties and has difficulties in
achieving debt service coverage. As a result, the Local General Partner
negotiated with the lender to reduce the interest rate on the current mortgage.
During 2001, the Property successfully restructured its debt. However, the
Property still struggles with a generally low quality tenant base and, as a
result, rent collection and eviction issues continue to hamper operations. The
Managing General Partner will continue to work closely with the Local General
Partner to monitor Property operations.

<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
            FINANCIAL CONDITION AND RESULTS OF OPERATIONS (continued)



Property Discussions (continued)
-------------------------------

Los Claveles II, located in Trujillo Alto, Puerto Rico, continues to perform
poorly. The Property requires significant capital for maintenance and repair,
and faces crime and security issues. Also, occupancy is extremely low. The
sister property to the subject (not owned by the Fund) sat vacant for 18 months
due to subsidy issues, making it very difficult to repair and occupy units at
the subject. In March 2002, the subsidy issue was resolved after a long
negotiating period with the United States Department of Housing and Urban
Development. Effective December 30, 1999, the Property restructured its existing
mortgage loan balance, in the approximate amount of $9 million, into a $4
million first mortgage with an interest rate of 6% amortized over a 30-year term
and a $5 million second mortgage with no interest and principal payable from
cash flow. No debt service payments were required until November 2000. The
reduction in debt service payments made cash available for use towards the
necessary maintenance and repairs required at the Property. The Property is in
default on the loan agreement because it has been unable to make any payments
since debt service payments were supposed to begin in November 2000. Although
the loan is technically in default, the workout agreement contains a clause that
obligates the lender to renegotiate the terms of the workout agreement in the
event that the terms of the agreement are not met. Unfortunately, the
negotiations have not provided any resolution to the issues that face the
property. The operating deficits are being funded by not paying accrued
management fees and from the capital improvement reserve set up as part of the
1999 workout of the property. This means that there is less money to conduct
capital repairs as had been contemplated in the 1999 workout agreement. The
Managing General Partner is concerned about the Property's long-term viability
and is reviewing the Partnership's options with respect to its interest in the
Property.

Operations at Oak Ridge, located in Macon, Georgia, continue to suffer primarily
due to low occupancy and rental rates. The low occupancy is generally
attributable to lack of public transportation near the site. The site manager
has diligently worked to attract more tenants and decrease expenses. These
efforts positively impacted Property operations as net operating income
increased significantly during the past 12-18 months. However, the Property's
net operating income is insufficient to meet debt service payments. The Managing
General Partner will continue to work closely with the management agent and
Local General Partner to monitor Property operations and marketing efforts as
well as to explore a potential loan workout with the lender.

Although operations at Palo Verde remain strong, the Local General Partner filed
for bankruptcy protection and refused to send the Partnership its priority cash
distributions, representing a default under the terms of the Local Limited
Partnership Agreement. An affiliate of the Managing General Partner has assumed
the Local General Partner interest and is seeking an acceptable replacement
Local General Partner.

The Fund has implemented policies and practices for assessing potential
impairment of its investments in Local Limited Partnerships. Real estate experts
analyze the investments to determine if impairment indicators exist. If so, the
carrying value is compared to the undiscounted future cash flows expected to be
derived from the asset. If a significant impairment in carrying value exists, a
provision to write down the asset to fair value will be recorded in the Fund's
financial statements.



<PAGE>

                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)




PART II       OTHER INFORMATION

Items 1-5     Not applicable

Item 6        Exhibits and reports on Form 8-K

                (a) Exhibits - None

                (b) Reports on Form 8-K - No reports on Form 8-K were filed
                    during the quarter ended June 30, 2002.



<PAGE>
                      BOSTON FINANCIAL TAX CREDIT FUND VII
                             (A Limited Partnership)

                                    SIGNATURE


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


DATED:  August 14,  2002               BOSTON FINANCIAL TAX CREDIT FUND VII,
                                       A LIMITED PARTNERSHIP


                                        By:   Arch Street VII, Inc.,
                                              its Managing General Partner


                                              /s/Jenny Netzer
                                              ---------------------------------
                                              Jenny Netzer
                                              Principal, Head of Housing and
                                              Community Investment



<PAGE>