SECTION 5. Information Reporting of

Subprime Refinancing Loans

Issuers who issue bonds under § 143 of the Code and expect to use the proceeds for the refinancing of qualified subprime loans under § 143(k)(12), as added by § 3021 of the 2008 Housing Act, should attach a schedule to the IRS Form 8038 filed with respect to the issue that indicates the amount of proceeds that are rea

period” each place it appears in § 143(a)(2)(D)(i)), enter the following description: “2008 Housing Act Qualified Housing Issue under 143”; 4. Issuers of qualified housing issues that use a carryforward of 2008 Housing Act Volume Cap should complete line 44b by attaching a copy of the IRS Carryforward Election of Unused Private Activity Bond Volume Cap on Form 8328 filed in accordance with the procedures described in this notice for the carryforward of such unused 2008 Housing Act Volume Cap. Subject to updated IRS information reporting forms or procedures, an issuer that has unused 2008 Housing Act Volume Cap at the end of calendar year 2008 should elect this carryforward amount by filing a separate IRS Form 8328, Carryforward Election of Unused Private Activity Bond Volume Cap, on Form 8328 for such carryforward as modified by the following instructions:

1. Write across the top of the IRS Form 8328 the following: “Carryforward of 2008 Housing Act Volume Cap”;
2. Complete Part I in accordance with the instructions on the form, except that, on line 9, under Report Number, enter “99” after the preprinted “9”;
3. Complete Part II by entering the following amounts: a. Line 1: Indicate total 2008 Housing Act Volume Cap of the issuer as provided in this notice. b. Line 2: Enter the aggregate amount of qualified housing issues issued in 2008 that were taken into account for purposes of the 2008 Housing Act Volume Cap. c. Line 3: Enter the total amount of 2008 Housing Act Volume Cap exchanged for authority to issue mortgage credit certificates. d. Line 4: Skip this line. e. Line 5: Add lines 2 and 3. f. Line 6: Enter unused 2008 Housing Act Volume Cap (line 1 minus line 5). g. Skip lines 7 through 10j. h. Line 11: Enter the total carryforward amount of 2008 Housing Act Volume Cap (not to exceed line 6).

i. Under “Purpose of Form” in the instructions, ignore references to the use of the carryforward for three calendar years. Carryforwards of 2008 Housing Act Volume Cap may only be used for bonds issued by December 31, 2010. j. File the IRS Form 8328 by the due date provided in the instructions. Issuers who have both unused General Volume Cap and 2008 Housing Act Volume Cap should file separate carryforward elections for each of those carryforwards. A carryforward election for General Volume Cap should follow the instructions on IRS Form 8328 and a carryforward election for 2008 Housing Act Volume Cap should follow the instructions on IRS Form 8328 with the modifications provided in this notice.