As used in this chapter, the following terms have the following meanings:
(a) “Certificate credit rate” means the rate of the credit allowed by this chapter which is specified in the mortgage credit certificate.
(b) “Certified indebtedness amount” means the amount of indebtedness which meets both of the following criteria:
(1) Is incurred by the taxpayer for any of the following purposes:
(A) To acquire the principal residence of the taxpayer.
(B) As a qualified home improvement loan, as defined by Section 103A( l)(6) of Title 26 of the United States Code, on that residence.
(C) As a qualified rehabilitation loan, as defined by Section 103A( l)(7) of Title 26 of the United States Code.
(2) Is specified in the mortgage credit certificate.
(c) “Committee” means the California Debt Limit Allocation Committee established pursuant to Section 50199.8.
(d) “Federal act” means, for purposes of mortgage credit certificates, Section 612 of the Tax Reform Act of 1984 (Public Law 98-369).
(e) “Issuer” means a state agency or local agency and includes a redevelopment agency, housing authority or other local entity, authorized by state law to issue qualified mortgage bonds, to which the committee has assigned an allocation under this chapter.
(f) “Mortgage credit certificate” means any certificate which does all of the following:
(1) Is issued under a qualified mortgage credit certificate program by a state or local agency that has authority to issue qualified mortgage bonds to provide financing on the principal residence of a taxpayer.
(2) Is issued to a taxpayer by a state or local agency in connection with the acquisition, qualified rehabilitation, or qualified home improvement of the taxpayer’s principal residence.
(3) Specifies the certificate credit rate and the certified indebtedness amount.
(g) “Mortgage credit certificate program” means any program established by the state or a local agency for any calendar year in which the state or a local agency is authorized to issue qualified mortgage bonds and under which the issuing agency elects not to issue an amount of qualified mortgage bonds it may otherwise issue during the calendar year.
(Added by renumbering Section 50176 by Stats. 1994, Ch. 1164, Sec. 3. Effective January 1, 1995.)
Last modified: October 25, 2018