Low-income Housing Credit (code 08)
This non-refundable tax credit is determined by the Utah Housing Corporation for owners of a low-income housing project who also received part of the federal low-income housing tax credit. The amount is determined by the Utah Housing Corporation.
When you are entitled to this credit, the project owner will provide you form TC-40TCAC, Utah Low-income Housing Tax Credit Allocation Certification (not available on our website — issued by the Utah Housing Corporation). Complete the form TC-40TCAC, along with form TC-40LI, Summary of Utah Low-income Housing Tax Credit. Do not submit these forms with your tax return. Keep it with your tax records.
Any credit that is more than the tax liability will not be refunded, but may be carried back three years or forward for the next five years. If you are carrying this credit back or forward, you must also complete form TC-40LIC, Utah Low-income Housing Tax Credit Carryback and/or Carryforward. Do not submit this form with your tax return. Keep it with your tax records.
If you are the building project owner, you must also complete form TC-40LIS, Credit Share Summary of Low-income Housing Project and submit this form with your tax return. Keep a copy for your tax records.
Low-income housing project owners (and other taxpayers) who have taken the credit and disposed of the building or an ownership interest, must recapture any credits that reduced their tax liability in a previous year. See form TC-40LIS, Credit Share Summary of Low-income Housing Project for instructions on calculating the low-income housing credit recapture tax.
The credit is claimed by entering the allowable credit on Utah TC-40A, Part 4, using code 08.
For more information, contact:
Utah Housing Corporation
2479 S Lake Park Blvd
West Valley City, UT 84120