Partners for Better Communities
www.dhcd.virginia.gov/LHTC
600 East Main Street, Suite 300
Richmond, VA 23219
(804) 371-7124
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LIVABLE
HOMES
TAX CREDIT
About the Program
The Virginia Livable Home Tax Credit (LHTC) program
is designed to improve accessibility and universal
visitability in Virginia’s residential units by providing
state tax credits for the purchase of new homes or the
retrotting of existing homes. The tax credit provides
for the purchase/construction of a new residence and
50 percent of the cost of retrotting activities not to
exceed $5,000. Any tax credit that exceeds the
eligible individual’s or licensed contractor’s tax liability
may be carried forward for up to seven years. If the
total amount of approved credits exceeds $1 million in
a given year, DHCD will pro rate the amount of credits
among eligible applicants.
Alarms, appliances and controls designed to
assist sensory disabled persons that are
structurally integrated into the residential unit.
(Built-in appliances would meet this denition.)
Accommodations or features that can be
removed and reinstalled in another residential
unit and so reused at another location are not
considered to be sensory modications for the
purposes of this tax credit program. Appliances
or alarms that can be reinstalled in another
residence would not meet this denition.
Sensory Modications include alarms, appliances and
controls designed to assist sensory disabled persons.
These modications must be structurally integrated
into the home and may include such items as built-in
appliances. Universal visitability standards are similar
to accessible housing standards and must:
Applications are to be led and received by DHCD
by Jan. 31 of the year following the year in which
the purchase or retrotting was completed.
Documentation must be submitted with the
application. In the case of the purchase/
construction of a new residential home, a copy
of the oor plans, closing disclosure statement,
certicate of occupancy, building permit, etc. must
be attached. In the case of retrotting, before and
after pictures, copies of the scope of work,
construction contracts documenting the type work
and costs (invoices, bank canceled checks, etc.)
must be attached. Applications can be found online
at dhcd.virginia.gov/LHTC.
Individuals or licensed contractors ling Virginia
individual income tax returns who have incurred
costs for the purchase/construction of new
residential homes with accessibility or universal
visitability features or for the retrotting of
residential homes with these features. In no case
shall any tax credit be issued more than once to
the same or different persons relating to the same
purchase, retrotting, renovation or construction
project.
In order for the purchase/construction of a
new residence to qualify for tax credits, it must
include the three features of universal visitability
or include at least three accessibility features
and meet the requirements of an existing
standard.
Retrotting of an existing residential home must
include at least one accessibility feature (e.g.
sensory modications, chair lifts, elevators, etc.),
must be a permanent part of the structure of
the residential unit and meet the requirements
of an existing standard in order to quality for tax
credits.
All accessibility features and universal
visitability features must be completed in
conformity with the applicable provisions of
the Uniform Statewide Building Code.
Accessibility features that are provided in
order to comply with existing Fair Housing,
Equal Opportunity, American with Disabilities
Act or other local, state or federal
requirements are not eligible for tax credits.
Eligibility
Accessesibility
Accessible housing standards vary depending on
whether the unit is new or if an existing unit is
being retrotted to provide accessibility. Accessibility
features that meet existing standards include:
Application Process
At least one zero-step entrance approached by
an accessible route on a rm surface no steeper
than 1:12 slope proceeding from a driveway or
public sidewalk.
Zero-step entrance
Doors with at least 32 inches of clear width
Hallways and passages with at least 36
inches of clear width
Accessible light switches, electrical outlets and
environmental controls
Accessible bathroom
Accessible and useable kitchen facilities
