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LIHTC (Tax Credits)
Program Description
As part of the Tax Reform Act of 1986, the United States Congress created the Low-Income Housing Tax Credit (LIHTC) (IRC Section 42) to promote development of affordable rental housing for low-income individuals and families. To date, it has been the most successful rental housing production program in Nebraska, creating thousands of residences with very affordable rents. The Low-Income Housing Tax Credit, rather than a direct subsidy, encourages investment of private capital in the development of rental housing by providing a credit to offset an investor's federal income tax liability. The amount of credit a developer or investor may claim is directly related to the amount of qualified development costs incurred and the number of low-income units developed that meet the applicable federal requirements for both tenant income and rents.
The Nebraska Investment Finance Authority (NIFA) is designated as Nebraska's housing credit allocation agency. NIFA's mission includes providing a broad range of financial resources for the development of affordable housing. NIFA also provides technical assistance for such activities. Because NIFA is self-funding, no Nebraska tax dollars are used to accomplish this mission.
To download forms see Application/Allocation Info & Forms
Search for an affordable rental housing development
NIFA Contact:
Robin Ambroz
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1230 'O' Street