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.
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