Podcasts about novogradac

On this episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Novogradac partner Charles Rhuda III, CPA, discuss several challenges that may arise while developing an affordable housing property with multiple buildings financed by private activity bonds (PABs) in combination with 4% low-income housing tax credits (LIHTCs), including when those buildings are placed in service across multiple years. Novogradac and Rhuda highlight several issues that developers, syndicators and investors should be aware of, including satisfying 25% financed-by test requirements and challenges that may come up during the lease-up period. They also discuss potential complications when using recycled PABs and other sources of financing to close the gap.

Tax credit equity pricing is determined by various important supply-and-demand factors. On this episode of Tax Credit Tuesday, Michael Novogradac, CPA, sits down with Novogradac partners and CPAs Tony Grappone, Michael Kressig, Brad Elphick and Dirk Wallace to discuss the factors affecting demand for tax credit equity in 2026 and in the future. The speakers discuss the investor market and pressing issues for low-income housing tax credits (LIHTCs), new markets tax credits (NMTCs), historic tax credits (HTCs) and renewable energy tax credits (RETCs). The five then discuss potential legislative and regulatory changes on the horizon. This episode is the second part of a two-part series, with Part 1 released June 2.

Tax credit equity pricing is determined by a variety of critical supply-and-demand factors. On this record-breaking episode of Tax Credit Tuesday, Michael Novogradac, CPA, sits down with Novogradac partners and CPAs Tony Grappone, Michael Kressig, Brad Elphick and Dirk Wallace to discuss various factors affecting tax credit equity supply in 2026 and beyond. The speakers give an overview of new markets tax credits (NMTCs), historic tax credits (HTCs), low-income housing tax credits (LIHTCs) and renewable energy tax credits (RETCs), as well as provide their estimates of what the market size will be in 2026, 2027 and 2028. The speakers then briefly discuss equity pricing in each tax credit area. This episode is the first part of a two-part series, with part two slated to release next Tuesday.

With policy changes such as the July 4th start-of-construction-deadline instituted by the One Big Beautiful Bill Act (OBBBA) rapidly approaching and foreign entities of concern (FEOC) requirements forthcoming from the U.S. Department of the Treasury, renewable energy tax credit (RETC) developers are at a critical moment. In this episode of the Renewable Energy Tax Credit Finance Series, Michael Novogradac, CPA, and Novogradac partner Tony Grappone, CPA, discuss five additional topics every RETC developer should know in order to attract investors in a post-OBBBA world.'They cover how to document start of construction, prevailing wage and apprenticeship (PWA) requirements, common FEOC misunderstandings, cost segregation studies and appraisals and due diligence. Grappone also brings up a bonus topic on tax insurance. This episode is the second part of a two-part series, with part one having released in April.

The U.S. Department of Housing and Urban Development (HUD) released income limits May 1 for fiscal year (FY) 2026. On this week's episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Thomas Stagg, CPA, discuss the new income limits and how they are used to determine eligibility and calculate rent limits for HUD-assisted programs and low-income housing tax credit (LIHTC) properties. Novogradac and Stagg give an overview of the new income limits and review the factors that determine them. The two then discuss the potential impact that income limits will have on year-over-year income growth, as well as factors that various stakeholders should consider. They close the episode with an overview of various Novogradac resources to understand income limits, including the upcoming Novogradac 2026 HUD Rent and Income Limits and Outlook for 2027 Webinar.

Artificial intelligence (AI) and how it can be used safely and efficiently to increase productivity is a hot topic across many industries, and the affordable rental housing world is no exception to the rule. On this week's episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Brad Weinberg, MAI, CVA, CRE, discuss the use of AI in the affordable housing sector. They first discuss the different types of AI, including chatbots, agentic AI and invisible AI. Novogradac and Weinberg then explain Novogradac's AI strategy and explore how Novogradac clients are integrating AI. They conclude the episode by discussing best practices with AI and share their thoughts about the future of the technology.

Unwinding a new markets tax credit (NMTC) transaction is often complex, requiring thorough knowledge and a careful approach. On this week's episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Nicolo Pinoli, CPA, discuss the exit strategies available to parties of an NMTC investment after the compliance period ends, and the tax issues associated with unwinding. Novogradac and Pinoli discuss the basics of the NMTC and review common NMTC investment structures. The pair then discuss the implications of exit strategies from the perspective of the qualified active low-income community business (QALICB) and the investor, including executing the put-call option, distributing qualified low-income community investment (QLICI) loans and more. The two also highlight the upcoming Novogradac NMTC Exit Strategies Webinar and the Novogradac 2026 Spring Renewable Energy Tax Credits Conference.

Developers in the renewable energy tax credit (RETC) sector are at a pivotal moment, with policy changes such as the July 4th start of construction deadline instituted by the One Big Beautiful Bill Act (OBBBA) rapidly approaching. In this episode of the Renewable Energy Tax Credit Finance Series, Michael Novogradac, CPA, and Novogradac partner Tony Grappone, CPA, discuss five key topics every renewable energy developer should know in order to attract investors in a post-OBBBA world. They discuss start of construction rules, common errors and oversights in developer financial models, the expectations gap between newer RETC developers and the reality of the investor market, the timing of investor capital contributions and co-mingled investment opportunities. This episode is the first part of a two-part series, with part two slated to come out in May.

Legislative changes and policy updates have continued to shape the tax credit world over the course of the first quarter of 2026. On the inaugural episode of Tax Credit Tuesday's new Washington Watch series, Michael Novogradac, CPA, and Novogradac Chief Public Policy Officer Peter Lawrence discuss the latest policy updates in the tax credit world from Capitol Hill. The two discuss recent developments regarding the low-income housing tax credit (LIHTC), the opportunity zones (OZ) incentive, as well as the proposed budget for the U.S. Department of Housing and Urban Development (HUD). Novogradac and Lawrence also discuss a variety of resources Novogradac provides to help navigate these developments, including the Novogradac news pages and the various Novogradac working groups.

When the Community Development Financial Institutions (CDFI) Fund announced the $10 billion calendar year 2024-2025 new markets tax credit (NMTC) awards, it also announced four areas of emphasis for NMTC awards going forward. In this week's episode of Tax Credit Tuesday, Michael Novogradac, CPA, discusses those areas with Novogradac partner Gregory Clements, CPA. They look at affordable housing development, small business growth and expansion, domestic manufacturing and reliable job-producing projects, and rural hospitals and essential community health care. They also look at the new anti-discrimination provisions of the NMTC allocation agreement.

The renewable energy tax credit (RETC) market is emerging from "wait and see" mode following major policy updates in 2025, including the approval of the One Big Beautiful Bill Act (OBBBA) on July 4, 2025. In this episode of the Renewable Energy Tax Credit Finance Series, Michael Novogradac, CPA, and Novogradac partner Tony Grappone, CPA, take a forward-looking view of the RETC marketplace as the first quarter of 2026 comes to a close. Novogradac and Grappone discuss the current state of the developer's side of the market, highlighting increased demand for energy across the board fueled by data centers and artificial intelligence (AI). The pair also discuss the recent changes in restrictions regarding foreign entities of concern (FEOC) implemented by the OBBBA. Finally, Novogradac and Grappone turn to the investor's side of the market and discuss the state of transfer buyers, traditional tax equity investors and cash equity investors.

Affordable housing has become a significant focus of President Donald Trump, his administration and the current Congress. Efforts to tackle the affordability crisis and improve housing accessibility for all Americans have ramped up since the beginning of 2026. On this episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Novogradac Chief Public Policy Officer Peter Lawrence discuss various recent developments in housing policy. The two first review three recent executive orders from Trump and how they might affect the development and preservation of affordable housing, as well as their potential impact on several tax credits. Novogradac and Lawrence also discuss the 21st Century ROAD to Housing Act, a bipartisan bill designed to address the housing shortage in America by expanding federal housing programs and streamlining housing development. The bill was recently passed by the Senate.

With Opportunity Zones now permanent and OZ 2.0 launching January 1, 2027, should you invest in a QOF now or wait? Recorded live at OZ Pitch Day, Jimmy Atkinson is joined by Catherine Lyons of the Economic Innovation Group, Blake Christian of HCVT, and Jason Watkins of Novogradac & Company to break down the trade-offs between OZ 1.0 and OZ 2.0 — including valuation discounts, the 5-year deferral, basis step-ups, rural zone benefits, and the latest on the OZ 2.0 designation timeline. Show notes & summary: https://opportunityzones.com/2026/03/ozpd-panel-377/

When it comes to the low-income housing tax credit (LIHTC) allocation and underwriting, it's critical to have a thorough understanding of the basics. With the Spring 2026 Novogradac LIHTC Allocation and Underwriting Basics Course on the horizon (every Thursday from March 26 to April 30), Michael Novogradac, CPA, and course instructor'Mark Shelburne dive into LIHTC basics. Novogradac and Shelburne discuss the course and the topics it will cover, including eligible basis and boost, applicable fraction and tax credit rate, equity investment and qualified allocation plans on a week-by week basis. The pair also shout out the various instructors that will lead the training alongside Shelburne. The episode concludes with a discussion of Novogradac LIHTC services and the upcoming Novogradac 2026 Affordable Housing Conference, May 7-8 in San Deigo.

The One Big Beautiful Bill Act (OBBBA), approved July 4, 2025, implemented a number of restrictions regarding foreign entities of concern (FEOC). In this episode of the Renewable Energy Tax Credit Finance Series, Novogradac partners Tony Grappone, CPA, and Joshua Morris, CPA, discuss those changes and their implications for various stakeholders in the clean energy space. They discuss the similarities and differences of the new FEOC restrictions to domestic content. Grappone and Morris then give a detailed review of the restrictions and the issues surrounding them, such as safe harbor provisions. The episode concludes with a series of rapid-fire questions developers, manufacturers and investors in the clean energy sector may have.

The One Big Beautiful Bill Act (OBBBA), approved July 4, 2025, made the opportunity zone (OZ) incentive permanent and made several significant changes to the program. One key change is that, effective Jan. 1, 2027, each state will designate new OZs. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Jason Watkins, CPA, discuss these changes and how they will impact tax incentives and eligibility criteria for qualified OZ investors. Novogradac and Watkins explain where the program stands and discuss a variety of issues that require guidance or clarification from the U.S. Department of the Treasury, including the designation of new census tracts. The pair also discuss how Treasury will implement the transition from OZ 1.0 to OZ 2.0. Finally, Novogradac and Watkins discuss the various efforts of the Novogradac OZ Working Group to highlight potential issues and offer recommendations for implementation guidance in the form of three letters to Treasury.

The Historic Tax Credit (HTC) is a significant resource for developers hoping to rehabilitate historic properties, but nuances of the incentive, such as eligibility requirements and the closing process, can be intimidating for first-time developers. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner John DeJovine, CPA, provide listeners a crash course in HTCs. The pair discuss gating issues developers may encounter in deciding whether to use HTCs. Novogradac and DeJovine also discuss various factors to consider throughout an HTC transaction, including how much equity might come from federal HTCs, subordination and non-disturbance agreements (SNDAs) and what counts as qualified rehabilitation expenditures (QREs). Fittingly, the two close the episode by reviewing the process of closing an HTC deal, from deal structuring to the developer's eventual exit.

The census data that will likely inform Opportunity Zones 2.0 eligibility is now out. But how Treasury uses that data is still undecided. In this episode, Jimmy Atkinson is joined by Jason Watkins of Novogradac to discuss why a mechanical, spreadsheet-driven approach to census tract eligibility would be a mistake, how margins of error and unreliable income estimates complicate the analysis, and what a commonsense framework could look like as Treasury prepares to define the OZ 2.0 eligibility universe. Show notes & summary: https://opportunityzones.com/2026/02/jason-watkins-374/

The One Big Beautiful Bill Act (OBBBA), approved July 4, 2025, made various significant changes to the low-income housing tax credit (LIHTC) incentive. Among key changes, the OBBBA lowered the threshold for private activity bond (PAB) financing required to qualify for 4% LIHTCs from 50% of a development's land and building costs to 25%. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Dirk Wallace, CPA, explore how this change is affecting financing for affordable housing development. Novogradac and Wallace provide an overview of the 25% test and PABs, including recycled PABs. The pair also discuss how states are implementing the 25% financed-by test, as well as the ways developers are overcoming the financing gap the new test created. Finally, Novogradac and Wallace conclude by discussing how to maximize net operating income (NOI) by approaching operating expenses as efficiently as possible.

Rental income and operating expenses for low-income housing tax credit (LIHTC) properties have seen significant increases over recent years. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Kelly Gorman review the 2025 Novogradac Low-Income Housing Tax Credit Income and Operating Expenses Report, which provides an in-depth look at 2024 rental income, operating expenses and net operating income for LIHTC properties tracked by Novogradac. Novogradac and Gorman provide their perspective on the relationship between rental income and operating expenses, as well as annual and compound annual growth rates. The two then discuss the two largest operating income expenses, which were property insurance and repairs and maintenance, and how to handle those expenses in the underwriting and budgeting process.

Several major legislative changes rocked the tax credit world, last year. Key developments such as the One Big Beautiful Bill Act (OBBBA) will shape the tax credit landscape in 2026 and beyond. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac's Chief Public Policy Officer Peter Lawrence explore the current state of tax credit legislation and what may be on the horizon for 2026. Novogradac and Lawrence discuss various tax incentives, including the historic tax credit, the Neighborhood Homes Investment Act and the HOPE Act. The pair also discuss two "bonus" tax incentives that potentially may be on the horizon, the workforce housing tax credit and the Downtown Revitalization and Main Streets Act. Finally, the two discuss banking-related bills such as the ROAD to Housing Bill and the Housing for the 21st Century Act, which may grant banks the ability to invest more in new construction and preservation developments.

The Community Development Financial Institutions (CDFI) Fund announced the awarding of $10 billion in new markets tax credit (NMTC) allocation authority Dec. 23, 2025, 'for the combined 2024-2025 allocation round, a record-breaking amount of aggregate issuance authority that led to a record-breaking number of awardees. On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partners Brad Elphick, CPA, and Rebecca Darling, CPA, discuss the key aspects of this round that made it significant and theorize what changes might come to NMTC allocation in the future. The three also discuss the reasons why the CDFI Fund's announcement was delayed, and how that might impact the timeline of the 2026 application round.

Public housing authorities (PHAs) are increasingly finding that common funding opportunities such as U.S. Department of Housing and Urban Development (HUD) financing is not meeting their operational or capital needs. With recent policy changes on the horizon that will further drain PHA resources, many are turning to programs such as Rental Assistance Demonstration (RAD). On this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Rich Larsen, CPA, give a crash course on the RAD program and discuss how PHAs can utilize RAD to support their public housing developments. The pair also discuss how to most effectively utilize tax credit equity, such as low-income housing tax credit (LIHTC) equity, in RAD transactions.

Developers of affordable rental housing using low-income housing tax credits (LIHTCs) want to know what they can include in eligible basis calculations. In the latest installment in the "So You Want to Be a LIHTC Developer" series of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Christina Apostolidis, CPA, discuss three issues around eligible basis. First, they discuss the treatment of community service areas in the calculation for eligible basis. Next, Novogradac and Apostolidis cover enhancements made that are not physically part of the main development site, better known as off-site improvements. Finally, the pair discuss the issues around impact fees.'

The largest Opportunity Zones conference in years just wrapped — and we're bringing you the key takeaways straight from Las Vegas. Jimmy Atkinson sits down with Jason Watkins, chair of the Novogradac 2025 Opportunity Zones Summit, to break down the energy, announcements, and insights shaping the OZ industry as OZ 2.0 takes hold. Show notes & summary: https://opportunityzones.com/2025/12/jason-watkins-368/

The new markets tax credit (NMTC) incentive commonly is used to subsidize community development projects such as small businesses, day care centers, schools and public transportation, but the credit can also serve as a way to incentivize the development of for-sale housing in distressed neighborhoods. In this episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Novogradac partner Nicolo Pinoli, CPA, discuss how developers and investors can best leverage NMTCs to support initiatives aimed at increasing homeownership among low-income households. Novogradac and Pinoli review what community development entities, investors and the various qualified businesses that are eligible to receive the NMTC subsidy should know about the requirements and process.

In this episode, Michael Novogradac—Managing Partner at Novogradac & Company and a leading expert on Opportunity Zones—breaks down how OZs work, why they were created, and how they're shaping investment in low-income communities. We cover where capital is flowing, the growth in housing development, challenges around affordability, and how tools like Novogradac's OZ Mapping Tool 2.0 can guide future projects. A clear, accessible look at what's happening in the OZ landscape today.Episode Insights

The Opportunity Zones industry just witnessed its biggest conference in six years — and the energy was unmistakable. Recorded on-site at the Novogradac 2025 Opportunity Zones Summit in Las Vegas, Jimmy Atkinson and Ashley Tison break down the program's resurgence, the new data validating OZ impact, and why both OZ 1.0 and OZ 2.0 are driving a surge of investor activity heading into 2026 and beyond. Show notes & summary: https://opportunityzones.com/2025/12/ashley-tison-367/

The complicated world of renewable energy tax credits (RETCs) can be challenging for even experienced investors to navigate. In this episode of the Renewable Energy Tax Credit Finance Series, Novogradac partners Tony Grappone, CPA, and Tom Boman, CPA, discuss the issues individuals and closely held corporations should be aware of when considering investing in RETC partnerships or buying transferable tax credits. Grappone and Boman discuss at-risk and passive activity rules and how they relate to renewable energy developments. The pair then dive into several hypothetical scenarios for each rule to help listeners better understand how the rules affect investors.

While changes to the low-income housing tax credit (LIHTC) will help address America's affordable housing shortage, there remains a significant gap to help renovate and preserve affordable rental housing'a gap that could be addressed by a proposed tax incentive that would allow nonprofit developers and property managers to raise capital from individual investors to finance those improvements. In this week's podcast, Michael Novogradac, CPA, Novogradac partner Kevin Wilson, CPA, and Peter Lawrence, Novogradac's chief public policy officer, discuss the proposal, including why there's a need, how it would work, where it is in the legislative process and how a new Novogradac working group is addressing the issue.

The Opportunity Zones (OZ) incentive has seen a number of exciting developments in 2025, in large part due to the One Big Beautiful Bill Act (OBBBA), which made the incentive permanent when the legislation was signed into law July 4. In this episode of Tax Credit Tuesday, Michael Novogradac, CPA, sits down with Novogradac partner Jason Watkins, CPA, to discuss the latest policy updates in the OZ incentive and the transition from OZ 1.0 tracts to OZ 2.0 tracts. Novogradac and Watkins discuss issues the Novogradac OZ Working Group has identified as requiring guidance from the Treasury, including dual OZ designations for 2027 and 2028, legacy business eligibility, and compliance with qualified OZ business (QOZB) tests. Finally, the pair discuss the process for designating the next round of OZs, as well as when and how best to begin preparing.

The Opportunity Zone industry's top professionals will gather in Las Vegas on December 3, 2025, for the Novogradac 2025 Opportunity Zones Summit, a one-day event at the Four Seasons dedicated to unpacking the next chapter of Opportunity Zones 2.0. Novogradac partners Jason Watkins and Kevin Wilson join the show to preview the summit, share the latest fundraising and compliance trends, and discuss what Treasury guidance may look like as the industry transitions from OZ 1.0 to OZ 2.0. Show notes: https://opportunityzones.com/2025/10/novogradac-363/

The One Big Beautiful Bill Act (OBBBA), signed into law July 4, expanded restrictions on Foreign Entity of Concern (FEOC) rules established by the Inflation Reduction Act in 2022. In this latest installment of the Renewable Energy Tax Credit Finance Series, Novogradac partners Tony Grappone, CPA, and Nicolo Pinoli, CPA, dive into the evolution of FEOC rules and how they affect a project's eligibility for renewable energy tax credits (RETCs). They then clarify the difference between types of prohibited foreign entities and identify key FEOC compliance issues of which developers and investors should be aware. Finally, they review the timeline of effective dates, as well as the penalties and recapture risks for non-compliance.

The One Big Beautiful Bill Act, approved July 4, introduced sweeping changes to various community development tax credits. In this episode of Tax Credit Tuesday, Michael Novogradac, CPA, sits down with Novogradac partners Brad Elphick, CPA, Tony Grappone, CPA and Dirk Wallace, CPA, to discuss what those changes are and how they are shaping the present and future of the tax credit equity market. The group reviews the various changes to the low-income housing tax credit (LIHTC), the new markets tax credit (NMTC) and the renewable energy tax credit (RETC) and their impact on tax credit supply and equity prices. Then, they discuss the ways in which these policies may impact the market in 2026 and 2027. Finally, the group dives into how developers can increase the equity pricing for their transactions.

Last month, the U.S. Census Bureau released the American Community Survey (ACS) data for 2024. In this episode of Tax Credit Tuesday, Michael Novogradac, CPA, and Novogradac partner Thomas Stagg, CPA, discuss the significance of the data. Stagg uses ACS data to create robust estimates as to what income and rent limits are likely to be in most areas when the U.S. Department of Housing and Urban Development (HUD) announces them next April. The pair start off by reviewing the various data points that affect the estimates, and Stagg shares his view as to what the 2026 year-over-year increases in rent and income limits will likely be for various areas. Finally, Novogradac and Stagg talk about the upcoming data releases that will help refine his estimates.

Navigating the process of raising tax credit equity can be a challenge even for experienced renewable energy developers, but it is a critical part of ensuring a project's success. In this latest installment of the Renewable Energy Tax Credit Finance Series, Michael Novogradac, CPA, and Novogradac partner Tony Grappone, CPA, walk through the process of raising tax credit equity for renewable energy projects, from making a good first impression on investors and negotiating term sheets to managing the closing process and managing the assets after closing.

With the new markets tax credit (NMTC) made permanent in the One Big Beautiful Bill Act (OBBBA) and a record-breaking $10 billion allocation round nearing, these are heady times in the NMTC world. But administrative actions and the threat of a government shutdown have also led to trepidation. In this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Brad Elphick, CPA, discuss the latest updates regarding the NMTC, the potential impacts of a shutdown and future legislation, as well as the recent successes of the Novogradac NMTC Working Group.

The One Big Beautiful Bill Act (OBBBA), signed into law July 4, lowered the tax-exempt bond financed- test for low-income housing tax credit properties from 50% to 25%, giving states the ability to potentially double the amount of bond-financed tax credit transactions that they can finance with the same amount of bond cap. In this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, Novogradac partner Charlie Rhuda, CPA, and Novogradac principal Julie Lawrence, CPA, discuss Internal Revenue Code Section 42 and Section 142(d) key compliance areas, including minimum set-aside tests, rent limit rules, handling over-income tenants and compliance monitoring. The episode provides valuable insights for developers and investors on navigating the complexities of combining LIHTC with private-activity bonds.

Join Opportunity Zone Office Hours and get your own OZ questions answered live. Today's topics include: OZ Insiders updates (our upcoming dinner in Fort Worth and Masterclass on minimizing your 2026 OZ tax bill); a new 2027 OZ 2.0 eligibility map from Novogradac; the 10 counties with the most OZ-eligible tracts; plus your OZ questions answered live. Show notes & summary: https://opportunityzones.com/2025/09/ozoh-357/

The One Big Beautiful Bill Act (OBBBA), signed into law July 4, made the opportunity zone (OZ) incentive a permanent part of the Internal Revenue Code. In this episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Jason Watkins, CPA, review the changes to OZs instituted by the OBBBA. They explore the Opportunity Zones (OZ) 2.0 Mapping Tool, which Novogradac launched Aug. 19. Novogradac and Watkins also discuss the emphasis on investing in rural areas for the next set of OZs, nominations which begin July 1, 2026. Finally, the pair the new reporting requirements for OZs and the upcoming "dead zone" for investments, which is projected by some to occur next year.

Partnerships provide a mutually beneficial legal structure for developers and investors to create and rehabilitate affordable rental housing with low-income housing tax credits (LIHTC). In the second installment of a two-episode set on LIHTC partnerships, Michael Novogradac, CPA, and Novogradac partner Nicolo Pinoli, CPA, discuss the importance of having partnership allocations of tax attributes be respected, as well as the requirements to have allocations of tax attributes be respected. They discuss the set of regulations that create a safe harbor, and what it means when developers and investors do not qualify for the safe harbor. Finally, Novogradac and Pinoli discuss exit taxes and the fact that many affordable housing developments will have notable residual value at the end of Year 15.

The One Big Beautiful Bill Act (OB3) signed into law in July has sweeping implications for the clean energy tax credits sector. In this latest installment of the Renewable Energy Tax Credit Finance Series, Michael Novogradac, CPA, and Novogradac partner Tony Grappone, CPA, dive into OB3 and what it means for the rollback of various tax incentives, project finance implications, foreign entities of concern (FEOC) restrictions and strategic steps for developers and investors to consider in the coming months and years. Tune in for essential planning tips and anticipated guidance from Treasury, all crucial for staying ahead in the renewable energy sector.

Partnerships provide a mutually beneficial legal structure for developers and investors to create and rehabilitate affordable rental housing with low-income housing tax credits (LIHTC). In the first installment of a two-episode set on LIHTC partnerships, Michael Novogradac, CPA, and Nicolo Pinoli, CPA, discuss some of the details about these legal structures in this week's episode of the Tax Credit Tuesday podcast. Novogradac and Pinoli discuss why developers and investors might choose partnerships over other legal structures, the value of partnerships to deliver economic benefits, how the economic substance doctrine applies to partnerships, how partnership requirements deliver some potential benefits to the investor and the power of partnerships to deliver on public policy goals.

Is the “Big Beautiful Bill” about to choke the life out of solar & wind? Can energy storage be solar's savior? Isn't Solar inevitable? We don't need no stinking subsidies, right? Right?If you haven't had a chance to catch up yet on all that the bill implies, keep reading (seriously at the bottom I've linked a ton of recommended reading!) In this episode, policy analyst, Christian Roselund, returns to SunCast to unpack the real implications of the recently passed Megabill—a sweeping piece of legislation that redefines how the solar (and wind) industry can operate in the U.S. From shifting timelines to aggressive FEOC (foreign entity of concern) ownership rules, the bill undoes decades of positive momentum, but could hasten the inevitable - that solar + batteries will be at or below grid-parity with or without incentives.With residential solar already faltering and manufacturers scrambling to comply with 45X and FEOC rules, this episode delivers an unfiltered look at the legislative changes that could derail billions in investment.Christian—known for making complex policy digestible—breaks down what the new rules actually say (well, what was known at the time at least!), what's still misunderstood, and how companies should prepare for a volatile few years ahead. Note to Listener: Since this conversation was recorded, the final version of the OBBB was passed with some significant updates: most notably, the 25D and 48E residential solar tax credits were retained, as was transferability (a huge collective sigh!), and the 45X manufacturing credit remains in place, though compliance with FEOC rules will continue to challenge supply chains. The ITC/PTC windows under 45Y and 48E are now expected to run at full value through the early 2030s, providing much-needed policy certainty. Below, we're providing you with PLENTY of links to the latest reading Nico and the team have been doing wrt this huge megabill and it's impact to the solar industry. Recommended reading:https://www.congress.gov/bill/119th-congress/house-bill/1/text -> The ACTUAL Bill text - have fun!But if you want to save some time…https://zenodo.org/records/15801701 - Princeton professor Jesse Jenkins and his REPEAT Project analysis team's takehttps://www.cruxclimate.com/insights/one-big-beautiful-bill-act-passes-senate - Crux Climate summary - they are also hosting a webinar on the 9th that you still have time to sign up for Energy Changemakers' blog is predicting more grid defection: https://energychangemakers.com/big-beautiful-bill-distributed-energy-trends/ https://www.mwe.com/insights/the-one-big-beautiful-bill-act-navigating-clean-energy-tax-credits-in-a-new-era/ - MWE gives one of the better legal reviews I've seenAs does Novogradac:

When President Donald Trump signed multi-trillion-dollar reconciliation legislation July 4, it included provisions to expand the low-income housing tax credit (LIHTC), make permanent the opportunity zones (OZ) incentive and new markets tax credit (NMTC) and sharply pare back clean energy tax incentives. On this week's episode of Tax Credit Tuesday, Michael Novogradac, CPA, discusses the bill's provisions with Peter Lawrence, Novogradac's chief public policy officer; Jason Watkins, CPA; and Tony Grappone, CPA. They begin by looking at how the legislation was passed in Congress, then dive into the specific provisions for the LIHTC, OZs and NMTCs before taking a deeper dive into how clean energy tax credits were cut back. They then look at some cross-cutting provisions that will affect community development tax credits and what provisions failed to make it into the final reconciliation bill.

One of the most crucial elements of any property financed by clean energy tax incentives is the begin-construction date. That date'which must be proven through one of two tests'sets the standard for the amount of tax credits and their value. It may also determine eligibility for certain incentives. In this week's podcast, guest host Tony Grappone, CPA, and guest Josh Morris, CPA, discuss the begin-construction tests, including why they are important and how to prove you've met at least one of the tests. They also discuss issues that can arise while proving either the physical work test or the 5% test and share what services Novogradac provides to assist clients in meeting these crucial tests.

Technical expertise, experience and mentorship are among the reasons a nonprofit affordable housing developer might form a joint venture with a for-profit developer. In this week's episode of the Tax Credit Tuesday podcast, Michael Novogradac, CPA, and Novogradac partner Lance Smith, CPA, discuss these advantages, opportunities, risks and challenges faced by nonprofit housing developers when they partner with for-profit developers. Smith and Novogradac discuss access to greater resources and working capital, issues around material participation and tax-exempt use property complexities, among other topics. The episode is a companion to the May 6, 2025, episode, which explored the inverse: When for-profit developers partner with nonprofit developers. Learn more about the relationship between the partners with the Novogradac Nonprofit Housing Developers Handbook released earlier this year.

Proposed changes to federal tax law are in the political discussion as Congress works to advance President Donald Trump's One Big, Beautiful Bill, which includes provisions that touch on low-income housing tax credits (LIHTCs), opportunity zones (OZ) and renewable energy tax credits (RETCs). In this week's episode of the Tax Credit Tuesday podcast, host Michael Novogradac, CPA, and guest Dirk Wallace, CPA, discuss four possible changes to tax law that could increase demand for existing affordable housing and community development tax credits, thereby expanding the pool of investors. Wallace and Novogradac discuss allowing investors to exceed the 75% limit to reduce their tax liability, expanding carryback for up to five years, removing passive-activity limits and allowing the new markets tax credit (NMTC) to offset the alternative minimum tax. Finally, the two discuss an additional potential tax law covering bonus depreciation.

Congress has officially unveiled its draft legislation for Opportunity Zones 2.0—what's in it, and what's missing? In this episode, Jimmy Atkinson is joined by Jason Watkins of Novogradac to break down the brand new OZ provisions released by the House Ways and Means Committee as part of a larger tax package. They discuss how the proposal would reshape Opportunity Zone designations, introduce rural incentives, and impact timelines for investors and developers. They also highlight key omissions—like interim gains relief and fund-of-funds eligibility—and raise concerns about a potential 2026 “capital freeze” unless major changes are made. Show notes & summary: https://opportunityzones.com/2025/05/oz-legislation-343/

OZ NewsHour episode for April 2025: Budget reconciliation is underway, and new Opportunity Zone legislation now officially has a green light to move forward. Plus, Novogradac has released new QOF survey data, and OZ Insiders is gearing up to host a networking dinner in Los Angeles. Show notes & summary: https://opportunityzones.com/2025/04/oznh-apr-2025/