Watson & McDonell, PLLC Specializes In Non-Profits And Low Income Housing Tax Credits
Working with nonprofit organizations is one of our core practice areas. In the past year, we provided audit, review and tax services to over 120 organizations. Through our many engagements, we have fine-tuned our processes and procedures to provide the highest quality service with the least amount of interruption to our clients’ daily operations.
Our team’s expertise includes conducting audits in accordance with the standards for financial audits contained in Government Auditing Standards (the “Yellow Book”) issued by the Comptroller General of the United States, the requirements of the Single Audit Act Amendments of 1996 (“Single Audit Act”), and the provisions of U.S. Office of Management and Budget Circular A-133 (“OMB A-133”).
We have audited many federal programs including: Emergency Shelter Grants, Supportive Housing, Housing Opportunities for Persons with AIDS, Community Development Block Grants, Community Services Block Grants, Mental Health Services, Substance Abuse, Home Investment Partnership Programs, Shelter Plus Care, Promoting Safe and Stable Families, Adoption Assistance, FEMA Funds, Department of Justice, and Special Programs for the Aging.
Low-Income Housing Tax Credits
Affordable housing and the Low-Income Housing Tax Credit Program is another one of our core practice areas. The LIHTC program is very complicated and competitive, with many rules and regulations imposed by the IRS, the state housing finance agencies, and often other agencies, if additional soft debt or grants are utilized. Misinterpretations of the rules and regulations can become very costly, which makes the alliance with an accounting firm who understands the program an invaluable asset.
We stay current on the trends and risk areas of the LIHTC program by attending conferences and seminars, as well as corresponding regularly with other professionals in the industry. Multiple members of our staff are actively involved in housing organizations and committees. As a result, they have developed excellent relationships with the Washington State Housing Finance Commission and many of the nationally recognized syndication groups.
We work with our clients to complete the state agency requirements for carryover allocations and cost certifications. We perform annual audits that are required by the many syndicators and limited partners that provide equity for the development of the low-income apartment communities. We prepare the required tax returns that include the 8609s and the calculations of tax credit basis and the LIHTC available for each year. During this entire process, we work with each client and their syndicator to ensure that there are no surprises that would jeopardize the integrity of the LIHTCs.