Expansion of Favorable Accounting to More Tax Credit Structures?
In 2014, FASB created an accounting election for entities to apply the proportional amortization method to low-income housing tax credit (LIHTC) structures. On August 22, 2022, FASB issued a proposal that would expand this accounting election—under certain conditions—to other existing programs, such as the new markets tax credit (NMTC), historic rehabilitation tax credit (HTC), and renewable energy tax credit (RETC), as well as any expansion of federal and state programs. Additional disclosures also would be required. Comments are due by October 2, 2022. Download the PDF to learn more.
