1. You are working as a consultant for a small local bank that is considering investing as an equity partner in a local affordable housing development . Answer each of the following questions in a way that will make your client think you deserve the fee she is paying you.

a.Briefly explain how the Low Income Housing Tax Credit Program works to provide:

1)financing for worthy projects,

b.Briefly explain the concept of an Opportunity Zone. Do you think Opportunity Zones offer more potentially profitable investment opportunities than Tax Credit developments today? Briefly Why of Why Not?

c.U. S. income tax law gives tax benefits to specific real estate investment forms.Identify and explain a tax benefit for one specific type of real estate investment form.

d.Tax credits offered by the Tax Credit Program are not the same as tax deductions. Briefly explain the difference between these two items. Which is better for a taxpayer? Why?

e.The change in the tax law that occurred at the end of 2017 lowered the demand for tax credit developments. Briefly, why?