The U.S. Treasury Department and IRS today released a notice of proposed rulemaking (REG-123027-19) concerning the compliance-monitoring duties of state or local housing credit agencies for purposes of the low-income housing credit under section 42.
The proposed regulations [PDF 138 KB] would relax the minimum compliance-monitoring sampling requirement for purposes of physical inspections and low-income certification review provided in previously issued final regulations (2019) concerning the low-income housing credit compliance monitoring rules. According to an IRS transmittal message, the proposed regulations relax the minimum compliance-monitoring sampling requirement for purposes of physical inspections and low-income certification review, and provide flexibility as well as reduced burdens with respect to the requirements set forth in the 2019 final regulations.
Today’s proposed regulations were issued in advance of being released to the Federal Register and include this statement:
This document will be submitted to the Office of the Federal Register (OFR) for publication. The version of the final rule [sic] released today may vary slightly from the published document if minor editorial changes are made during the OFR review process. The document published in the Federal Register will be the official document.
The U.S. Treasury Department and IRS on July 2, 2020, officially released the proposed regulations [PDF 260 KB] for publication in the Federal Register. These regulations were published in the Federal Register on July 7, 2020.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.