IRS Extends COVID-19 Relief Following NAHB Request
Last summer, NAHB and other groups requested the IRS extend some of the COVID-19 relief granted one year ago. Today, the agency released Notice 2022-05, which grants the extensions we specifically requested, along with other additional relief because of ongoing issues involving COVID-19.
The relief announced by the IRS includes extended compliance deadlines, as well as a number of temporary waivers and alterations to compliance inspection requirements.
The relief included in IRS Notice 2022-05 applies to:
- 10% Test for Carryover Allocations
- 24-Month Minimum Rehabilitation Expenditure Period
- Place in Service Deadline
- 2-Year Rehabilitation Period for Bonds
- Restoration or Replacement Period for Casualty Loss
- Common Areas and Amenities
- 12-Month Transition Period to Meet Set-Asides for Qualified Residential Rental Projects
- Occupancy Obligations
In addition, the notice addresses a number of compliance monitoring issues disrupted by the ongoing pandemic, including correction periods, review of tenant files and physical inspections. Finally, the IRS notice continues to allow property owners to provide temporary emergency housing to medical personnel and other essential workers as if they were displaced individuals.
NAHB is providing this information for general information only. This information does not constitute the provision of legal advice, tax advice, accounting services, investment advice or professional consulting of any kind, nor should it be construed as such.
Latest from NAHBNow
Sep 04, 2025
Open Construction Jobs Rise in JulyRunning counter to the national trend, the number of open construction sector jobs increased from a revised 242,000 level in June to 306,000 in July.
Sep 03, 2025
Project Funding Crisis: How Top Builders Secure Money When Others Can'tRelying solely on a traditional lender is risky in today’s environment. Smart builders line up more than one source of funding. That way, projects stay on track, crews keep working, and reputations stay solid.
Latest Economic News
Sep 04, 2025
Lots Still in Relatively Short SupplyAlthough shortages are not quite as widespread as they were in 2021, obtaining lots remains a challenge for many builders, according to recent results from the NAHB/Wells Fargo Housing Market Index (HMI) survey.
Sep 04, 2025
HVAC in New Construction in 2024Almost all of new single-family homes started in 2024 used either an air/ground source heat pump or a forced air system for the primary heating equipment (97%), according to the Census’s Survey of Construction. Additionally, 20% percent of homes also used a secondary type of heating equipment.
Sep 03, 2025
Open Construction Jobs Rise in JulyThe count of open, unfilled positions in the construction industry increased in July, per the June Bureau of Labor Statistics Job Openings and Labor Turnover Survey (JOLTS) as the national labor market cooled.