Last week, IRS published Revenue Procedure 2017-58, which sets out 2018 inflation adjustments for various tax provisions, including the Low Income Housing Tax Credit (Housing Credit) volume cap and the private-activity tax-exempt bond volume cap. In 2018, each state’s Housing Credit authority will be $2.40 per capita or $2,765,000 for the small state minimum. This is an increase over 2017, during which each state received $2.35 per capita or the small state minimum of $2,710,000.
The 2018 private activity bond volume cap provides $105 per capita or the small state minimum of $311,375,000. In 2017, the private activity bond volume cap was set at $100 per capita with a small state allowance of $305,315,000.