In the latest issue of NH Bar News, attorney Matthew Snyder discusses Revenue Procedure 2014-12, which the IRS issued in response to the decision of the US Court of Appeals (for the 3rd Circuit) in Historic Boardwalk Hall, LLC v. Commissioner:
More than a year after a Court of Appeals rocked the historic tax credit world with its decision in Historic Boardwalk Hall LLC v. Commissioner, the IRS recently issued guidance intended to provide “predictability” to investors in historic tax credit projects by establishing structural parameters for such transactions.
If met, these parameters act as a “safe harbor,” and the IRS will not challenge the allocation of federal historic tax credits to investors. This safe harbor only applies to federal historic tax credits. It does not apply to other federal tax credit programs (or to state credits), and only applies to projects “placed in service” on or after Dec. 30, 2013.
The full article is available here.