LIHTC compliance and 8823 corrective action
An 8823 is not the end of the credits, but a slow or sloppy response can be. We respond to state agency findings, build corrective action plans, and manage recapture risk so one finding stays one finding.
Protecting the credits
- 8823 findings analysis: what the state agency found, what it actually means, and how serious the credit exposure is
- Corrective action plans with documentation packages that support a finding being reported as corrected
- Tenant file remediation, income certification fixes, and HOTMA-aligned documentation standards
- Recapture and disallowance risk assessment for owners, investors, and syndicator asset managers
- Ongoing compliance monitoring calendars so next year's audit is quieter than this year's
IRS guidance: the IRS's Guide for Completing Form 8823 (Publication 5913), governing noncompliance reporting under IRC §42 and Treas. Reg. §1.42-5.
Three simple steps
Assess
We review the findings, the files, and the property's compliance history to size the real risk, not the feared one.
Correct
A corrective action plan with the documentation the agency needs, executed on the timeline the 8823 process demands.
Prevent
We fix the process that produced the finding, so the correction holds and the pattern does not repeat.
Fluent in both languages
LIHTC problems rarely travel alone; they arrive layered with HAP contracts, RAD conversions, and HOME funds. We speak both HUD and tax credit fluently, so the fix for one program never creates a finding in another.
Holding an 8823, or trying to avoid one?
Findings have clocks attached. Send us what you received and we will help you understand the exposure and the path to corrected status.
Email Kari LaLonde