IRS Issues Guidance on Impact of Hurricane Sandy on Low-Income Housing Tax Credit Projects

    November 2012

    On November 5, 2012 the IRS provided early guidance on the impact of Hurricane Sandy on low-income housing tax credit projects in the areas that have been hardest hit. The notice provides that all state housing agencies, regardless of whether the state is within or outside of the area affected by the storm, may allow project owners to provide temporary emergency housing for individuals who resided in areas declared by FEMA to be eligible for Individual Assistance and who’s residence was damaged or destroyed by Hurricane Sandy for a period of time determined by the applicable state housing agency. 

    This publication provides details on the applicable rules and the relief provided by the IRS.