TAX CREDIT SPECIALIST EXAM WITH
QUESTIONS AND CORRECT ANSWERS
GRADED A+
When conducting physical inspections for LIHTC, most state
agencies use: Correct Answer HUD's Uniform Physical Condition
Standards (UPCS)
The two most important line items for management purposes
under Part ll of IRS form 8609 are: Correct Answer 8B and 10C
IRS form 8823 is used to: Correct Answer Report non-compliance
to the IRS by the state agency
A Tax credit disallowance prevents credits from being claimed by
the owner Correct Answer For the current year
LIHTC resyndication means that: Correct Answer Owners receive
a second allocation of tax credits for an existing LIHTC property
For LIHTC, an individual's income is determined in a manner
consistent with: Correct Answer Determination of income under
Section 8 of the US housing act of 1937
,IRS Notice 88-80 (Course manual pg. 447)
Income for foster children under the age of 18 is counted except
for: Correct Answer Employment Income
Figure 5-2, Page 5-8 (Course Manual pg. 86)
When Section 8 assistance is provided for a LIHTC tenant and
they are receiving educational scholarships or grants, then:
Correct Answer All financial assistance in excess of tuition and
mandatory fees is included in annual income, with two exceptions:
1. Over age 23 with dependent child
2. Living with parents who are receiving assistance
Paragraph 5-6E, Pg. 5-11 (Course Manual pg. 89)
Students not receiving section 8 assistance: Correct Answer Don't
include student financial assistance in annual income
Paragraph 5-6E, Pg. 5-11 (Course Manual pg. 89)
Annualizing Anticipated Annual Full-time employment income
Correct Answer Hourly: Wages x 40 hours x 52 weeks
, Weekly: Wages x 52
Bi-weekly: Wages x 26
Semi-monthly: Wages x 24
Monthly: Wages x 12
Paragraph 5-5B3 Page 5-6 (Course Manual pg. 84)
Income verification for LIHTC must be conducted according to:
Correct Answer A standard pf sufficiency as determined by the
state housing finance agency
LIHTC Newsletter #54 (Course Manual pg. 473)
According to HUD, assets and asset income should NOT be
counted for: Correct Answer Live-in aids
Figure 5-2, Pg. 5-8 (Course manual pg. 86)
The current HUD-approved passbook savings rate for use with
imputing income from assets is: Correct Answer 0.06%
Notice H2016-01 (Course Manual pg. 213)
QUESTIONS AND CORRECT ANSWERS
GRADED A+
When conducting physical inspections for LIHTC, most state
agencies use: Correct Answer HUD's Uniform Physical Condition
Standards (UPCS)
The two most important line items for management purposes
under Part ll of IRS form 8609 are: Correct Answer 8B and 10C
IRS form 8823 is used to: Correct Answer Report non-compliance
to the IRS by the state agency
A Tax credit disallowance prevents credits from being claimed by
the owner Correct Answer For the current year
LIHTC resyndication means that: Correct Answer Owners receive
a second allocation of tax credits for an existing LIHTC property
For LIHTC, an individual's income is determined in a manner
consistent with: Correct Answer Determination of income under
Section 8 of the US housing act of 1937
,IRS Notice 88-80 (Course manual pg. 447)
Income for foster children under the age of 18 is counted except
for: Correct Answer Employment Income
Figure 5-2, Page 5-8 (Course Manual pg. 86)
When Section 8 assistance is provided for a LIHTC tenant and
they are receiving educational scholarships or grants, then:
Correct Answer All financial assistance in excess of tuition and
mandatory fees is included in annual income, with two exceptions:
1. Over age 23 with dependent child
2. Living with parents who are receiving assistance
Paragraph 5-6E, Pg. 5-11 (Course Manual pg. 89)
Students not receiving section 8 assistance: Correct Answer Don't
include student financial assistance in annual income
Paragraph 5-6E, Pg. 5-11 (Course Manual pg. 89)
Annualizing Anticipated Annual Full-time employment income
Correct Answer Hourly: Wages x 40 hours x 52 weeks
, Weekly: Wages x 52
Bi-weekly: Wages x 26
Semi-monthly: Wages x 24
Monthly: Wages x 12
Paragraph 5-5B3 Page 5-6 (Course Manual pg. 84)
Income verification for LIHTC must be conducted according to:
Correct Answer A standard pf sufficiency as determined by the
state housing finance agency
LIHTC Newsletter #54 (Course Manual pg. 473)
According to HUD, assets and asset income should NOT be
counted for: Correct Answer Live-in aids
Figure 5-2, Pg. 5-8 (Course manual pg. 86)
The current HUD-approved passbook savings rate for use with
imputing income from assets is: Correct Answer 0.06%
Notice H2016-01 (Course Manual pg. 213)
