District Of Columbia § 47-3505 - Nonprofit housing organizations — Qualifications; exemptions.

A return under oath, certifying the organization’s intent to transfer the property, within 36 months, to a household (or to households in at least 35% of the units in a multifamily property) subject to the income limitations and conditions of transfer described in or to a cooperative housing association exempt from the deed recordation tax pursuant to , accompanies the deed at the time of its offer for recordation; and

The purchaser receives a credit against the purchase price of the property in an amount equal to the total tax that would have been due without regard to this subsection.

Deeds of property transferred to a qualifying nonprofit housing organization shall be exempt from the deed recordation tax pursuant to , if a return under oath, certifying the organization’s intent to transfer the property within 36 months to a household (or to households in at least 35% of the units in a multifamily property) subject to the income limitations and conditions of transfer described in or to a cooperative housing association exempt from the deed recordation tax pursuant to , accompanies the deed at the time of its offer for recordation.

Recordation of a construction loan deed of trust or mortgage, as that term is defined in , or a permanent loan deed of trust or mortgage, as that term is defined in , shall be exempt from the deed recordation tax pursuant to , if the property securing the deed of trust or mortgage is owned by or is being simultaneously transferred to a qualifying nonprofit housing organization.

Subject to the requirements of paragraphs (2) and (3) of this subsection, any nonprofit organization that has been denied exemption from District of Columbia real property taxes pursuant to and has acquired property to develop more than 10 units of housing for affordable or lower income homeownership households in the District of Columbia and subdivides the acquired property into more than 10 units shall have 2 years from the date of the subdivision of the property to hold the property as exempt from the recordation, transfer, and real property taxes associated with the acquisition and development of the property for low-income or affordable housing.

Recordation, transfer, and real property tax assessments associated with the acquisition of a property under paragraph (1) of this subsection shall not be assessed against a nonprofit organization that acquires property and subdivides it for resale into more than 10 units to low-income home owners when the first low-income home owner purchases a home within 2 years of the subdivision of the real property into lots on the records and cadastral maps of the Office of Tax and Revenue.

Real property owned or acquired by a nonprofit organization shall be exempt from recordation, transfer and real property taxes if the nonprofit organization subdivides the property into more than 10 units of low-income housing and completes the sale of all units of low-income housing on the property within 4 years from the date of acquisition.