Title 48, Chapter 7, Section 29.6
(a) As used in this Code section, the term:
(1) "Federal housing tax credit" means the federal tax credit as
provided in Section 42 of the Internal Revenue Code of 1986, as
(2) "Median income" means those incomes that are determined by the
federal Department of Housing and Urban Development guidelines and
adjusted for family size.
(3) "Project" means a housing project that has restricted rents
that do not exceed 30 percent of median income for at least 40
percent of its units occupied by persons or families having
incomes of 60 percent or less of the median income, or at least 20
percent of the units occupied by persons or families having
incomes of 50 percent or less of the median income.
(4) "Qualified basis" means that portion of the tax basis of a
qualified Georgia project eligible for the federal housing tax
credit, as that term is defined in Section 42 of the Internal
Revenue Code of 1986, as amended.
(5) "Qualified Georgia project" means a qualified low-income
building as that term is defined in Section 42 of the Internal
Revenue Code of 1986, as amended, that is located in Georgia.
(b)(1) A state tax credit against the tax imposed by this article, to be termed the Georgia housing tax credit, shall be allowed with respect to each qualified Georgia project placed in service after January 1, 2001. The amount of such credit shall, when combined with the total amount of credits authorized under Code Section 33-1-18, in no event exceed an amount equal to the federal housing tax credit allowed with respect to such qualified Georgia project.
(2)(A) If under Section 42 of the Internal Revenue Code of 1986,
as amended, a portion of any federal housing tax credit taken on
a project is required to be recaptured as a result of a
reduction in the qualified basis of such project, the taxpayer
claiming any state tax credit with respect to such project shall
also be required to recapture a portion of any state tax credit
authorized by this Code section. The state recapture amount
shall be equal to the proportion of the state tax credit claimed
by the taxpayer that equals the proportion the federal recapture
amount bears to the original federal housing tax credit amount
subject to recapture. The tax credit under this Code section
shall not be subject to recapture if such recapture is due
solely to the sale or transfer of any direct or indirect
interest in such qualified Georgia project.
(B) In the event that recapture of any Georgia housing tax
credit is required, any amended return submitted to the
commissioner as provided in this Code section shall include the
proportion of the state tax credit required to be recaptured,
the identity of each taxpayer subject to the recapture, and the
amount of tax credit previously allocated to such taxpayer.
(3) In no event shall the total amount of the tax credit under
this Code section for a taxable year exceed the taxpayer's income
tax liability. Any unused tax credit shall be allowed to be
carried forward to apply to the taxpayer's next three succeeding
years' tax liability. No such tax credit shall be allowed the
taxpayer against prior years' tax liability.
(4) The tax credit allowed under this Code section, and any
recaptured tax credit, shall be allocated among some or all of the
partners, members, or shareholders of the entity owning the
project in any manner agreed to by such persons, whether or not
such persons are allocated or allowed any portion of the federal
housing tax credit with respect to the project.
(c) The commissioner and the state department designated by the
Governor as the state housing credit agency for purposes of Section
42(h) of the Internal Revenue Code of 1986, as amended, shall each
be authorized to promulgate any rules and regulations necessary to
implement and administer this Code section.