In case of noncompliance with the rental requirement, the maximum rent applicable to housing units, or any other noncompliance of any other obligations and conditions imposed by the qualification certificate, the credit certification, this chapter or by the regulations promulgated thereunder, in which the Executive Director deems meritorious, the owner shall be bound to reimburse the Department of the Treasury that portion of the credit which he/she is not entitled to use according to the year that the noncompliance occurs, according to the following table:IF NONCOMPLIANCE REFUNDABLE OCCURS DURING THE: CREDIT First and Second years 100% Third year 90% Fourth year 80% Fifth year 70% Sixth year 60% Seventh year 50% Eighth year 40% Ninth year 30% Tenth year 20%The reimbursement of the credit provided by this section shall be owed by the owner as taxable income; Provided, further, That it shall include any applicable interest, surcharges or penalties. In the event that the owner has not used any portion of the credit that he/she is bound to reimburse, said portion of the credit shall be cancelled. History —Oct. 4, 2001, No. 140, § 14; Aug. 13, 2008, No. 261, § 11.
Puerto Rico Legal Code