In the context of the Low-Income Housing Tax Credit (LIHTC) program, tenant recertification is generally required annually. Here’s a breakdown of how and when recertifications should occur:
- Annual Recertification:
- The household’s income eligibility must be recertified annually. This is typically done around the anniversary of the tenant’s move-in date.
- The recertification must be effective no later than 12 months from the previous certification date.
- Retroactive Recertification:
- If a household wasn’t recertified within 120 days prior to or on the anniversary of their move-in date, a retroactive recertification is necessary.
- This process involves documenting the household’s income and assets as they existed at the time the recertification should have been completed.
- Post-Year 15 Requirements:
- For properties that are 100% low-income restricted and have been approved for post-year 15 monitoring, annual third-party recertifications are not required after year 15. However, households are still required to complete self-certification forms annually.
- Properties with market units, or those not approved for post-year 15 exemptions, still require annual third-party recertifications for all households.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/how-often-do-i-need-to-recertify-for-the-tax-credit/
