New York Codes, Rules and Regulations › Title 9 - EXECUTIVE DEPARTMENT › Subtitle S - Division of Housing and Community Renewal › Chapter VI - Neighborhood Park Land Acquisition Program › Subchapter B - Low-income Housing Tax Credit Program › Part 2040 - Low-income Housing Tax Credit Program › Section 2040.14 - New York State low-income Housing Tax Credit Program

Current through Register Vol. 46, No. 28, July 10, 2024
(a)
Purpose and background.
Article 2 -A of the Public Housing Law (the law),
						established a State tax credit to be administered by DHCR for owners of housing
						for persons of low-income. The law authorizes the commissioner to allocate the
						State low-income housing tax credit (SLIHC) to eligible buildings in the State.
						The law provides that the SLIHC program be administered in the same manner as
						the Federal Low-Income Housing Credit Program (LIHTC) authorized by section 42
						of the code and administered by the commissioner pursuant to this Part and
						authorizes the commissioner to promulgate rules and regulations necessary to
						administer the provisions of the law. All determinations by the commissioner
						regarding eligibility shall be final. All the processes and procedures
						applicable to the LIHTC Program shall apply to the SLIHC Program except as
						modified below.
(b)
Additional definitions.
(1)
Eligibility statement
shall mean a statement issued by the
					 commissioner certifying that a building that has been placed in service is an
					 eligible low- income building with a certain amount of SLIHC allowable. For
					 purposes of SLIHC, all references to the IRS form 8609 shall be deemed to be
					 references to an eligibility statement for the SLIHC.
(2)
Eligible low-income
					 building
shall mean any building located in New York which either is a
					 qualified low-income building as defined in section 42 of the code, or would be
					 a qualified low-income building under such section if the 20-50 test specified
					 in section 42(g)(1) of the code were disregarded and the 40-60 test specified
					 in such section (requiring that at least 40 percent of the residential units be
					 both rent-restricted and occupied by individuals whose income is 60 percent or
					 less of area median gross income) were a 40-90 test.
(3)
Qualified basis of an eligible
					 low-income building
shall mean the qualified basis of such building as
					 determined under section 42 of the code or which would be determined under such
					 section if the 40-90 test specified above applied under such section 42 to
					 determine if such building were part of a qualified low-income housing
					 project.
(4)
De minimis
					 determination.
The Commissioner of Taxation and Finance in
					 consultation with the commissioner may exempt from recapture any SLIHC which
					 are allocated to a project or unit which is otherwise eligible but is not an
					 eligible low-income building due to an error by the owner in calculating the
					 low-income eligibility test.
(5)
Notice of noncompliance
shall mean a statement issued by the
					 commissioner and sent to the project owner notifying the project owner that the
					 project is not in compliance with the provisions of this section. For the
					 purposes of SLIHC, all references to IRS form 8823 shall be deemed references
					 to the notice of noncompliance.