Rental Housing: Observations on the Low-Income Housing Tax Credit Program

Pursuant to a congressional request, GAO reviewed the Low-Income Housing Tax Credit Program, focusing on: (1) the estimated cost to the Treasury of low income housing tax credits awarded from 1987 through 1989; (2) whether the awarded tax credits resulted in reduced rents in credit-assisted units; (3) whether tenants were selected from waiting lists maintained by public housing authorities; (4) the adequacy of existing compliance monitoring requirements; (5) the adequacy of current statutory provisions designed to prevent noncompliance; and (6) alternative tax credit allocation formulas.