Attached files
| file | filename |
|---|---|
| EX-31 - BCTC I DECEMBER 2010 CERTIFICATION 302 - BOSTON CAPITAL TAX CREDIT FUND LTD PARTNERSHIP | b11210cert302jpm.htm |
| EX-31 - BCTC I DECEMBER 2010 CERTIFICATION 302 - BOSTON CAPITAL TAX CREDIT FUND LTD PARTNERSHIP | b11210cert302mnt.htm |
| EX-32 - BCTC I DECEMBER 2010 CERTIFICATION 906 - BOSTON CAPITAL TAX CREDIT FUND LTD PARTNERSHIP | b11210cert906mnt.htm |
| EX-32 - BCTC I DECEMBER 2010 CERTIFICATION 906 - BOSTON CAPITAL TAX CREDIT FUND LTD PARTNERSHIP | b11210cert906jpm.htm |
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
(Mark One)
(X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934.
For the quarterly period ended December 31, 2010
or
( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _______ to _______
Commission file number 0-17679
BOSTON CAPITAL TAX CREDIT FUND LIMITED PARTNERSHIP.
(Exact name of registrant as specified in its charter)
|
Delaware |
04-3006542 |
|
(State or other jurisdiction |
(I.R.S. Employer |
|
of incorporation or organization) |
Identification No.) |
One Boston Place, Suite 2100, Boston, Massachusetts 02108
(617) 624-8900
(Registrant's telephone number, including area code)
(Former name, former address and former fiscal year, if changed since last report)
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
|
Yes ý |
No o |
Indicate by check mark whether the registrant has submitted electronically and
posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
|
Yes |
No |
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definition of "large accelerated filer," "accelerated filer," and "smaller reporting company" in Rule 12b-2 of the Exchange Act (check one):
|
Large accelerated filer o |
Accelerated filer o |
|
Non-accelerated filer o |
Smaller reporting company ý |
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
|
Yes o |
No ý |
BOSTON CAPITAL TAX CREDIT FUND LIMITED PARTNERSHIP
QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED DECEMBER 31, 2010
TABLE OF CONTENTS
FOR THE QUARTER ENDED DECEMBER 31, 2010
Part I. Financial information
Item 1. CONDENSED FINANCIAL STATEMENTS
CONDENSED Balance Sheets 4
Condensed Balance Sheets Series 1 5
Condensed Balance Sheets Series 2 6
Condensed Balance Sheets Series 3 7
Condensed Balance Sheets Series 4 8
Condensed Balance Sheets Series 5 9
Condensed Balance Sheets Series 6 10
CONDENSED Statements of Operations three months 11
Condensed Three Months Operations Series 1 *
Condensed Three Months Operations Series 2
*Condensed Three Months Operations Series 3
*Condensed Three Months Operations Series 4 15
Condensed Three Months Operations Series 5 16
Condensed Three Months Operations Series 6 17
CONDENSED Statements of Operations NINE months 18
Condensed Nine Months Operations Series 1 19
Condensed Nine Months Operations Series 2 20
Condensed Nine Months Operations Series 3 21
Condensed Nine Months Operations Series 4 22
Condensed Nine Months Operations Series 5 23
Condensed Nine Months Operations Series 6 24
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DeFICIT) 25
Condensed Partners' Capital (Deficit) Series 1 26
Condensed Partners' Capital (Deficit) Series 2 26
Condensed Partners' Capital (Deficit) Series 3 27
Condensed Partners' Capital (Deficit) Series 4 27
Condensed Partners' Capital (Deficit) Series 5 28
Condensed Partners' Capital (Deficit) Series 6 28
CONDENSED Statements of Cash Flows 29
Condensed Cash Flows Series 1
*Condensed Cash Flows Series 2 31
Condensed Cash Flows Series 3 32
Condensed Cash Flows Series 4 33
Condensed Cash Flows Series 5 34
Condensed Cash Flows Series 6 35
BOSTON CAPITAL TAX CREDIT FUND LIMITED PARTNERSHIP
QUARTERLY REPORT ON FORM 10-Q
FOR THE QUARTER ENDED DECEMBER 31, 2010
TABLE OF CONTENTS (CONTINUED)
Notes to CONDENSED Financial Statements 36
Note A Organization 36
Note B Accounting
*Note C Related Party Transactions 37
Note D Investments 39
COMBINED CONDENSED STATEMENTS OF OPERATION 41
Combined Condensed Statements Series 1 42
Combined Condensed Statements Series 2 43
Combined Condensed Statements Series 3 44
Combined Condensed Statements Series 4 45
Combined Condensed Statements Series 5 46
Combined Condensed Statements Series 6 47
Note E Taxable Loss 48
Note F Income Taxes 48
Note G Plan of Liquidation 48
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations 49
Liquidity 49
Capital Resources 50
Results of Operations 51
Principal Accounting Policies 57
Recent Accounting Changes 58
Item 3. Quantitative and Qualitative Disclosures About Market Risk 60
Item 4. Controls and Procedures 60
Part II Other Information 61
Item 1. Legal Proceedings 61
Item 1A. Risk Factors 61
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 61
Item 3. Defaults Upon Senior Securities 61
Item 4. (Removed and Reserved) 61
Item 5. Other Information 61
Item 6. Exhibits 61
Signatures 62
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ 3,066,304 |
$ 3,195,380 |
|
|
|
|
|
|
$ 3,066,304 |
$ 3,195,380 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ 15,000 |
|
Accounts payable affiliates (note C) |
5,444,681 |
5,393,300 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Assignees outstanding |
|
|
|
General Partner |
(801,510) |
(799,857) |
|
|
(2,378,377) |
(2,212,920) |
|
|
$ 3,066,304 |
$ 3,195,380 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 1
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ 35,858 |
$ 44,150 |
|
|
|
|
|
|
$ 35,858 |
$ 44,150 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ - |
|
Accounts payable affiliates (note C) |
2,626,278 |
2,605,542 |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees |
|
|
|
General Partner |
(138,737) |
(138,447) |
|
|
(2,590,420) |
(2,561,392) |
|
|
$ 35,858 |
$ 44,150 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 2
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ 1,082,679 |
$ 1,102,415 |
|
|
|
|
|
|
$ 1,082,679 |
$ 1,102,415 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ - |
|
Accounts payable affiliates (note C) |
- |
- |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees |
|
|
|
General Partner |
(55,385) |
(55,188) |
|
|
1,082,679 |
1,102,415 |
|
|
$ 1,082,679 |
$ 1,102,415 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 3
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
|
|
|
|
|
|
|
|
$ 215,446 |
$ 127,823 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ - |
|
Accounts payable affiliates (note C) |
2,818,403 |
2,787,758 |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees outstanding |
|
|
|
General Partner |
(258,847) |
(259,417) |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 4
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ 1,279,607 |
$ 1,446,635 |
|
|
|
|
|
|
$ 1,279,607 |
$ 1,446,635 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ 15,000 |
|
Accounts payable affiliates (note C) |
- |
- |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees |
|
|
|
General Partner |
(235,366) |
(233,846) |
|
|
1,279,607 |
1,431,635 |
|
|
$ 1,279,607 |
$ 1,446,635 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 5
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ 452,714 |
$ 474,357 |
|
|
|
|
|
|
$ 452,714 |
$ 474,357 |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ - |
|
Accounts payable affiliates (note C) |
- |
- |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees |
|
|
|
General Partner |
(37,186) |
(36,970) |
|
|
452,714 |
474,357 |
|
|
$ 452,714 |
$ 474,357 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED BALANCE SHEETS
Series 6
|
|
December 31, 2010 (Unaudited) |
March 31, 2010 (Audited) |
|
ASSETS |
||
|
Cash and cash equivalents |
$ - |
$ - |
|
|
|
|
|
|
$ - |
$ - |
|
|
|
|
|
LIABILITIES |
|
|
|
|
|
|
|
Accounts payable |
$ - |
$ - |
|
Accounts payable affiliates (note C) |
- |
- |
|
|
|
|
|
PARTNERS' CAPITAL (DEFICIT) |
|
|
|
|
|
|
|
Assignees |
|
|
|
General Partner |
(75,989) |
(75,989) |
|
|
- |
- |
|
|
$ - |
$ - |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 6,455 |
|
$ 2,238 |
|
|
Miscellaneous income |
3,490 |
|
- |
|
|
|
9,945 |
|
2,238 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
894 |
|
9,199 |
|
|
Partnership management fees (Note C) |
23,407 |
|
29,667 |
|
|
General and administrative fees |
17,996 |
|
53,791 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (32,352) |
|
$ 2,045,539 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (32,028) |
|
$ 2,025,083 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.00) |
|
$ .21 |
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 1
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 60 |
|
$ 31 |
|
|
Miscellaneous income |
118 |
|
- |
|
|
178 |
31 |
|||
|
Share of income from Operating |
- |
- |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
118 |
|
1,324 |
|
|
Partnership management fees (Note C) |
5,016 |
|
3,756 |
|
|
General and administrative fees |
3,154 |
|
3,176 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ (8,110) |
|
$ (8,225) |
|
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (8,029) |
|
$ (8,143) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.01) |
|
$ (.01) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 2
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
Interest income |
$ 2,250 |
$ 752 |
|
|
Miscellaneous income |
2,662 |
- |
|
|
|
|
|
|
|
Share of income from Operating |
- |
- |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
Professional fees |
65 |
1,066 |
|
|
Partnership management fees (Note C) |
5,245 |
5,302 |
|
|
General and administrative fees |
2,440 |
2,513 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (2,838) |
$ (8,129) |
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (2,810) |
$ (8,048) |
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.00) |
$ (.01) |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 3
|
|
|
|||||||
|
|
|
|
|
|
||||
|
Income |
|
|
|
|
||||
|
Interest income |
$ 370 |
|
$ 99 |
|
||||
|
Miscellaneous income |
118 |
|
- |
|
||||
|
|
488 |
|
99 |
|
||||
|
Share of income from Operating |
|
|
|
|||||
|
|
|
|
|
|
||||
|
Expenses |
|
|
|
|
||||
|
Professional fees |
296 |
|
2,396 |
|
||||
|
Partnership management fees (Note C) |
4,038 |
|
10,215 |
|
||||
|
General and administrative expenses |
5,618 |
|
5,511 |
|
||||
|
|
|
|
|
|
||||
|
|
|
|
|
|
||||
|
NET INCOME (LOSS) |
$ (9,464) |
|
$ (18,023) |
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) allocated to assignees |
$ (9,369) |
|
$ (17,843) |
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) allocated to general partner |
|
|
|
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) per BAC |
$ (.00) |
|
$ (.01) |
|
||||
|
|
|
|
|
|
||||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 4
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 3,003 |
|
$ 740 |
|
|
Miscellaneous income |
118 |
|
- |
|
|
|
3,121 |
|
740 |
|
|
Share of income from Operating |
- |
2,135,958 |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
378 |
|
2,500 |
|
|
Partnership management fees (Note C) |
5,367 |
|
6,621 |
|
|
General and administrative fees |
4,827 |
|
4,782 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (7,451) |
|
$ 2,122,795 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (7,376) |
|
$ 2,101,567 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.00) |
|
$ .70 |
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 5
|
|
|
|
|
|
|
|
|
Income |
|
|
|
Interest income |
$ 772 |
$ 326 |
|
Miscellaneous income |
474 |
- |
|
|
1,246 |
326 |
|
Share of income from Operating |
- |
- |
|
|
|
|
|
Expenses |
|
|
|
Professional fees |
37 |
780 |
|
Partnership management fees (Note C) |
3,741 |
3,773 |
|
General and administrative fees |
1,957 |
2,062 |
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (4,489) |
$ (6,289) |
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (4,444) |
$ (6,226) |
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
Net income (loss) per BAC |
$ (.01) |
$ (.01) |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Three Months Ended December 31,
(Unaudited)
Series 6
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ - |
|
$ 290 |
|
|
Miscellaneous income |
- |
|
- |
|
|
|
- |
|
290 |
|
|
Share of income from Operating |
- |
- |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
- |
|
1,133 |
|
|
Partnership management fees (Note C) |
- |
|
- |
|
|
General and administrative expenses |
- |
|
35,747 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ - |
|
$ (36,590) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ - |
|
$ (36,224) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
Net income (loss) per BAC |
$ - |
|
$ (.03) |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 19,948 |
|
$ 7,992 |
|
|
Miscellaneous income |
100,594 |
|
23,618 |
|
|
|
120,542 |
|
31,610 |
|
|
Share of income from Operating |
|
|
|
|
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
56,163 |
|
77,892 |
|
|
Partnership management fees (Note C) |
67,603 |
|
77,214 |
|
|
General and administrative fees |
39,493 |
|
95,646 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME (LOSS) |
$ (35,534) |
|
$ 2,012,608 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (35,180) |
|
$ 1,992,482 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.00) |
|
$ .20 |
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 1
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 243 |
|
$ 122 |
|
|
Miscellaneous income |
118 |
|
73 |
|
|
361 |
195 |
|||
|
Share of income from Operating |
- |
- |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
10,455 |
|
11,464 |
|
|
Partnership management fees (Note C) |
11,788 |
|
7,459 |
|
|
General and administrative fees |
7,146 |
|
9,317 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (29,028) |
|
$ (28,045) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (28,738) |
|
$ (27,765) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.02) |
|
$ (.02) |
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 2
|
|
|
||
|
|
|
|
|
|
Income |
|
|
|
|
Interest income |
$ 7,019 |
$ 2,706 |
|
|
Miscellaneous income |
2,662 |
- |
|
|
|
|
|
|
|
Share of income from Operating |
- |
30,203 |
|
|
|
|
|
|
|
Expenses |
|
|
|
|
Professional fees |
8,629 |
11,155 |
|
|
Partnership management fees (Note C) |
14,844 |
13,364 |
|
|
General and administrative fees |
5,944 |
7,641 |
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (19,736) |
$ 749 |
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (19,539) |
$ 742 |
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.02) |
$ .00 |
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 3
|
|
|
|||||||
|
|
|
|
|
|
||||
|
Income |
|
|
|
|
||||
|
Interest income |
$ 1,133 |
|
$ 357 |
|
||||
|
Miscellaneous income |
97,222 |
|
52 |
|
||||
|
|
98,355 |
|
409 |
|
||||
|
Share of income from Operating |
|
|
|
|||||
|
|
|
|
|
|
||||
|
Expenses |
|
|
|
|
||||
|
Professional fees |
16,083 |
|
18,558 |
|
||||
|
Partnership management fees (Note C) |
13,648 |
|
20,677 |
|
||||
|
General and administrative expenses |
11,646 |
|
16,557 |
|
||||
|
|
|
|
|
|
||||
|
|
|
|
|
|
||||
|
NET INCOME(LOSS) |
$ 56,978 |
|
$ 7,558 |
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) allocated to assignees |
$ 56,408 |
|
$ 7,482 |
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) allocated to general partner |
|
|
|
|
||||
|
|
|
|
|
|
||||
|
Net income (loss) per BAC |
$ .02 |
|
$ .00 |
|
||||
|
|
|
|
|
|
||||
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 4
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ 8,789 |
|
$ 972 |
|
|
Miscellaneous income |
118 |
|
23,493 |
|
|
|
8,907 |
|
24,465 |
|
|
Share of income from Operating |
7,183 |
2,135,958 |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
12,614 |
|
14,656 |
|
|
Partnership management fees (Note C) |
16,101 |
|
24,732 |
|
|
General and administrative fees |
9,480 |
|
14,688 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (22,105) |
|
$ 2,106,347 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (21,884) |
|
$ 2,085,284 |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per BAC |
$ (.01) |
|
$ .70 |
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 5
|
|
|
|
|
|
|
|
|
Income |
|
|
|
Interest income |
$ 2,764 |
$ 1,193 |
|
Miscellaneous income |
474 |
- |
|
|
3,238 |
1,193 |
|
Share of income from Operating |
- |
2,648 |
|
|
|
|
|
Expenses |
|
|
|
Professional fees |
8,382 |
9,682 |
|
Partnership management fees (Note C) |
11,222 |
10,982 |
|
General and administrative fees |
5,277 |
6,077 |
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ (21,643) |
$ (22,900) |
|
|
|
|
|
Net income (loss) allocated to assignees |
$ (21,427) |
$ (22,671) |
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
Net income (loss) per BAC |
$ (.04) |
$ (.05) |
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF OPERATIONS
Nine Months Ended December 31,
(Unaudited)
Series 6
|
|
|
|||
|
|
|
|
|
|
|
Income |
|
|
|
|
|
Interest income |
$ - |
|
$ 2,642 |
|
|
Miscellaneous income |
- |
|
- |
|
|
|
- |
|
2,642 |
|
|
Share of income from Operating |
- |
- |
||
|
|
|
|
|
|
|
Expenses |
|
|
|
|
|
Professional fees |
- |
|
12,377 |
|
|
Partnership management fees (Note C) |
- |
|
- |
|
|
General and administrative expenses |
- |
|
41,366 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME(LOSS) |
$ - |
|
$ (51,101) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to assignees |
$ - |
|
$ (50,590) |
|
|
|
|
|
|
|
|
Net income (loss) allocated to general partner |
|
|
|
|
|
Net income (loss) per BAC |
$ - |
|
$ (.04) |
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31, 2010
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
(128,624) |
(1,299) |
(129,923) |
|
|
|
|
|
|
Net income (loss) |
(35,180) |
(354) |
(35,534) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31, 2010
(Unaudited)
|
|
|
General |
Total |
|
Series 1 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income (loss) |
(28,738) |
(290) |
(29,028) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Series 2 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income (loss) |
(19,539) |
(197) |
(19,736) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31, 2010
(Unaudited)
|
|
|
General |
Total |
|
Series 3 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income (loss) |
56,408 |
570 |
56,978 |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Series 4 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
(128,624) |
(1,299) |
(129,923) |
|
|
|
|
|
|
Net income (loss) |
(21,884) |
(221) |
(22,105) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CHANGES IN PARTNERS' CAPITAL (DEFICIT)
Nine Months Ended December 31, 2010
(Unaudited)
|
|
|
General |
Total |
|
Series 5 |
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income (loss) |
(21,427) |
(216) |
(21,643) |
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Partners' capital |
|
|
|
|
|
|
|
|
|
Distributions |
- |
- |
- |
|
|
|
|
|
|
Net income (loss) |
- |
- |
- |
|
|
|
|
|
|
Partners' capital |
|
|
|
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ (35,534) |
$ 2,012,608 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
|
|
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
(15,000) |
13,384 |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
(129,923) |
(1,303,000) |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
3,195,380 |
3,297,198 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 3,066,304 |
$ 3,219,732 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 1
|
2010 |
2009 |
|
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ (29,028) |
$ (28,045) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
- |
- |
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
- |
- |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
(8,292) |
(7,289) |
|
|
|
|
|
Cash and cash equivalents, beginning |
44,150 |
53,723 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 35,858 |
$ 46,434 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 2
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ (19,736) |
$ 749 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
|
|
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
- |
- |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
1,102,415 |
1,108,583 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 1,082,679 |
$ 1,109,332 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ 56,978 |
$ 7,558 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
- |
(62,941) |
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
- |
- |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
87,623 |
(70,422) |
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
- |
62,941 |
|
|
|
|
|
Net cash (used in) provided by |
- |
62,941 |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
127,823 |
140,154 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 215,446 |
$ 132,673 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ (22,105) |
$ 2,106,347 |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
(7,183) |
(2,135,958) |
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
(15,000) |
15,000 |
|
Increase (Decrease) in accounts |
- |
(806,175) |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
7,183 |
2,135,958 |
|
|
|
|
|
Net cash (used in) provided by |
7,183 |
2,135,958 |
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
(129,923) |
- |
|
|
|
|
|
Net cash (used in) provided by |
(129,923) |
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
1,446,635 |
136,149 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 1,279,607 |
$ 1,451,321 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
Series 5
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ (21,643) |
$ (22,900) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
|
|
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
- |
- |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
- |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
|
|
|
|
|
|
|
Cash and cash equivalents, beginning |
474,357 |
502,872 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ 452,714 |
$ 479,972 |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
CONDENSED STATEMENTS OF CASH FLOWS
Nine Months Ended December 31,
(Unaudited)
|
|
2010 |
2009 |
|
Cash flows from operating activities: |
|
|
|
|
|
|
|
Net Income (loss) |
$ - |
$ (51,101) |
|
Adjustments to reconcile net income (loss) to net cash (used in) provided by operating activities |
|
|
|
Share of Income from Operating Partnerships |
|
|
|
Changes in assets and liabilities |
|
|
|
Increase (Decrease) in accounts |
- |
(1,616) |
|
Increase (Decrease) in accounts |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from investing activity: |
|
|
|
|
|
|
|
Proceeds from disposition of operating limited partnerships |
|
|
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
Cash flows from financing activity: |
|
|
|
|
|
|
|
Distributions |
- |
(1,303,000) |
|
|
|
|
|
Net cash (used in) provided by |
|
|
|
|
|
|
|
INCREASE (DECREASE) IN CASH AND CASH |
- |
(1,355,717) |
|
|
|
|
|
Cash and cash equivalents, beginning |
- |
1,355,717 |
|
|
|
|
|
Cash and cash equivalents, ending |
$ - |
$ - |
The accompanying notes are an integral part of this condensed statement
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS
December 31, 2010
(Unaudited)
Boston Capital Tax Credit Fund Limited Partnership (the "Partnership") was formed under the laws of the State of Delaware as of September 1, 1988, for the purpose of acquiring, holding, and disposing of limited partnership interests in operating partnerships which have acquired, developed, rehabilitated, operate and own newly constructed, existing or rehabilitated low-income apartment complexes ("Operating Partnerships"). On August 22, 1988, American Affordable Housing VI Limited Partnership changed its name to Boston Capital Tax Credit Fund Limited Partnership. Effective as of June 1, 2001 there was a restructuring, and as a result, the Partnership's general partner was reorganized as follows. The general partner of the Partnership continues to be Boston Capital Associates Limited Partnership, a Massachusetts limited partnership. The general partner of the general partner of the Partnership is BCA Associates Limited Partnership, a Massachusetts limited partnership whose sole general partner is C&M Management, Inc., a Massachusetts corporation whose limited partners are Herbert F. Collins and John P. Manning. Mr. Manning is the principal of Boston Capital Partners, Inc. The limited partner of the general partner is Capital Investment Holdings, a general partnership whose partners are officers and employees of Boston Capital Partners, Inc. and its affiliates. The assignor limited partner is BCTC Assignor Corp., a Delaware corporation which is now wholly-owned by John P. Manning.
Pursuant to the Securities Act of 1933, the Partnership filed a Form S-11 Registration Statement with the Securities and Exchange Commission, effective August 29, 1988, which covered the offering (the "Public Offering") of the Partnership's beneficial assignee certificates ("BACs") representing assignments of units of the beneficial interest of the limited partnership interest of the assignor limited partner. The Partnership registered 10,000,000 BACs at $10 per BAC for sale to the public in six series. Offers and sales of BACs in Series 1 through Series 6 of the Partnership were completed and the last of the BACs in Series 6 were issued by the Partnership on September 29, 1989. The Partnership sold 1,299,900 of Series 1 BACs, 830,300 of Series 2 BACs, 2,882,200 of Series 3 BACs, 2,995,300 of Series 4 BACs, 489,900 of Series 5 BACs and 1,303,000 of Series 6 BACs. As of December 31, 2010 2,877,200 BACs in Series 3 are outstanding. The Partnership is no longer offering and does not intend to offer any additional BACs.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
December 31, 2010
(Unaudited)
NOTE B - ACCOUNTING AND FINANCIAL REPORTING POLICIES
The condensed financial statements included herein as of December 31, 2010 and for the nine months then ended have been prepared by the Partnership, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. The Partnership accounts for its investments in Operating Partnerships using the equity method, whereby the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. Costs incurred by the Partnership in acquiring the investments in Operating Partnerships are capitalized to the investment account. The Partnership's accounting and financial reporting policies are in conformity with generally accepted accounting principles and include adjustments in interim periods considered necessary for a fair presentation of the results of operations. Such adjustments are of a normal recurring nature. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations. It is suggested that these condensed financial statements be read in conjunction with the financial statements and the notes thereto included in the Partnership's Annual Report on Form 10-K.
NOTE C - RELATED PARTY TRANSACTIONS
The Partnership has entered into several transactions with various affiliates of the general partner of the Partnership, including Boston Capital Holdings LP, Boston Capital Partners, Inc. and Boston Capital Asset Management Limited Partnership.
Accounts payable - affiliates at December 31, 2010 and 2009 represents accrued general and administrative expenses, accrued partnership management fees, and advances from an affiliate of the general partner of the Partnership, which are payable to Boston Capital Holdings LP and Boston Capital Asset Management Limited Partnership.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
December 31, 2010
(Unaudited)
NOTE C - RELATED PARTY TRANSACTIONS (continued)
An annual partnership management fee based on .375 percent of the aggregate cost of all apartment complexes owned by the Operating Partnerships has been accrued to Boston Capital Asset Management Limited Partnership. Since reporting fees collected by the series were added to reserves and not paid to Boston Capital Asset Management Limited Partnership, the amounts accrued are not net of reporting fees received. The partnership management fees accrued for the quarters ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
|
|
|
|
Series 1 |
$ 5,016 |
$ 5,016 |
|
Series 2 |
5,418 |
5,418 |
|
Series 3 |
10,215 |
10,215 |
|
Series 4 |
5,367 |
6,621 |
|
Series 5 |
3,837 |
3,837 |
|
Series 6 |
- |
- |
|
|
$ 29,853 |
$ 31,107 |
|
|
|
|
The partnership management fees paid for the quarters ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
Series 1 |
$ - |
$ - |
|
Series 2 |
5,418 |
5,418 |
|
Series 3 |
- |
50,000 |
|
Series 4 |
5,367 |
626,553 |
|
Series 5 |
3,837 |
3,837 |
|
Series 6 |
- |
- |
|
$ 14,622 |
$ 685,808 |
The partnership management fees paid for the nine months ended December 31, 2010 and 2009 are as follows:
|
|
2010 |
2009 |
|
Series 1 |
$ - |
$ - |
|
Series 2 |
16,254 |
16,254 |
|
Series 3 |
- |
50,000 |
|
Series 4 |
16,101 |
626,553 |
|
Series 5 |
11,511 |
11,511 |
|
Series 6 |
- |
- |
|
$ 43,866 |
$ 704,318 |
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS
At December 31, 2010 and 2009, the Partnership had limited partnership interests in 18 and 19 Operating Partnerships, respectively, which own operating apartment complexes as follows:
|
Series |
2010 |
2009 |
|
1 |
4 |
4 |
|
2 |
1 |
1 |
|
3 |
9 |
10 |
|
4 |
3 |
3 |
|
5 |
1 |
1 |
|
6 |
- |
- |
|
|
18 |
19 |
Under the terms of the Partnership's investment in each Operating Partnership, the Partnership was required to make capital contributions to the Operating Partnerships. These contributions were payable in installments over several years upon each Operating Partnership achieving specified levels of construction and/or operations. At December 31, 2010 and 2009, all capital contributions had been paid.
During the nine months ended December 31, 2010 the Partnership disposed of one Operating Partnership and received additional proceeds from one Operating Partnership disposed of in the prior year. A summary of the dispositions by Series for December 31, 2010 is as follows:
|
|
Operating Partnership Interest Transferred |
|
Sale of Underlying Operating Partnership |
|
Partnership Proceeds from Disposition |
|
Gain/(Loss) on Disposition |
||
|
Series 1 |
- |
|
- |
|
$ |
- |
|
$ |
- |
|
Series 2 |
- |
|
- |
|
|
- |
|
|
- |
|
Series 3 |
1 |
|
- |
|
|
- |
|
|
- |
|
Series 4 |
- |
|
- |
|
|
7,183 |
|
|
7,183 |
|
Series 5 |
- |
|
- |
|
|
- |
|
|
- |
|
Series 6 |
- |
|
- |
|
|
- |
|
|
- |
|
Total |
1 |
|
- |
|
$ |
7,183 |
|
$ |
7,183 |
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (CONTINUED)
During the nine months ended December 31, 2009 the Partnership disposed of three of the Operating Partnerships, and received additional proceeds from two Operating Partnerships disposed of in the prior year. A summary of the dispositions by Series for December 31, 2009 is as follows:
|
|
Operating Partnership Interest Transferred |
|
Sale of Underlying Operating Partnership |
|
Partnership Proceeds from Disposition |
|
Gain/(Loss) on Disposition |
||
|
Series 1 |
- |
|
- |
|
$ |
- |
|
$ |
- |
|
Series 2 |
- |
|
- |
|
|
30,203 |
|
|
30,203 |
|
Series 3 |
2 |
|
- |
|
|
62,941 |
|
|
62,941 |
|
Series 4 |
1 |
|
- |
|
|
2,135,958 |
|
|
2,135,958 |
|
Series 5 |
- |
|
- |
|
|
2,648 |
|
|
2,648 |
|
Series 6 |
- |
|
- |
|
|
- |
|
|
- |
|
Total |
3 |
|
- |
|
$ |
2,231,750 |
|
$ |
2,231,750 |
The gain (loss) described above is for financial statement purposes only. There are significant differences between the equity method of accounting and the tax reporting of income and losses from Operating Partnership investments. The largest difference is the ability, for tax purposes, to deduct losses in excess of the Partnership's investment in the Operating Partnership. As a result, the amount of gain recognized for tax purposes may be significantly higher than the gain recorded in the financial statements.
The Partnership's fiscal year ends March 31st of each year, while all the Operating Partnerships' fiscal years are the calendar year. Pursuant to the provisions of each Operating Partnership Agreement, financial results for each of the Operating Partnerships are provided to the Partnership within 45 days after the close of each Operating Partnership's quarterly period. Accordingly, the current financial results available for the Operating Partnerships are for the nine months ended September 30, 2010.
The combined condensed unaudited summarized statements of operations of the Operating Partnerships for the nine months ended September 30, 2010 and 2009 are as follows:
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 3,060,405 |
$ 3,565,274 |
|
Interest and other |
134,082 |
132,768 |
|
|
|
|
|
|
3,194,487 |
3,698,042 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
755,299 |
825,502 |
|
Depreciation and amortization |
810,345 |
882,185 |
|
Operating expenses |
2,425,982 |
2,740,043 |
|
|
3,991,626 |
4,447,730 |
|
|
|
|
|
NET LOSS |
$ (797,139) |
$ (749,688) |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
|
|
|
|
* Amounts include $789,168 and $742,192 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
Series 1
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 557,739 |
$ 551,851 |
|
Interest and other |
20,642 |
23,784 |
|
|
|
|
|
|
578,381 |
575,635 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
74,500 |
65,332 |
|
Depreciation and amortization |
164,180 |
142,434 |
|
Operating expenses |
434,520 |
414,457 |
|
|
673,200 |
622,223 |
|
|
|
|
|
NET LOSS |
$ (94,819) |
$ (46,588) |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
|
|
|
|
* Amounts include $93,871 and $46,122 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
Series 2
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 537,142 |
$ 555,291 |
|
Interest and other |
38,838 |
29,680 |
|
|
|
|
|
|
575,980 |
584,971 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
267,890 |
257,206 |
|
Depreciation and amortization |
124,403 |
124,350 |
|
Operating expenses |
496,243 |
496,358 |
|
|
888,536 |
877,914 |
|
|
|
|
|
NET LOSS |
$ (312,556) |
$ (292,943) |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
|
|
|
|
* Amounts include $309,430 and $290,014 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
Series 3
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 1,233,913 |
$ 1,399,809 |
|
Interest and other |
35,670 |
43,740 |
|
|
|
|
|
|
1,269,583 |
1,443,549 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
159,352 |
188,868 |
|
Depreciation and amortization |
308,597 |
334,218 |
|
Operating expenses |
960,517 |
1,135,009 |
|
|
1,428,466 |
1,658,095 |
|
|
|
|
|
NET LOSS |
$ (158,883) |
$ (214,546) |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
Net loss allocated to other |
$ (1,589) |
$ (2,145) |
|
|
|
|
|
|
|
|
* Amounts include $157,294 and $212,401 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
Series 4
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 432,863 |
$ 749,482 |
|
Interest and other |
17,331 |
19,056 |
|
|
|
|
|
|
450,194 |
768,538 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
104,562 |
171,043 |
|
Depreciation and amortization |
143,974 |
212,022 |
|
Operating expenses |
258,702 |
418,155 |
|
|
507,238 |
801,220 |
|
|
|
|
|
NET LOSS |
$ (57,044) |
$ (32,682) |
|
|
|
|
|
Net income loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
* Amounts include $56,474 and $32,355 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
Series 5
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ 298,748 |
$ 308,841 |
|
Interest and other |
21,601 |
16,508 |
|
|
|
|
|
|
320,349 |
325,349 |
|
|
|
|
|
Expenses |
|
|
|
Interest |
148,995 |
143,053 |
|
Depreciation and amortization |
69,191 |
69,161 |
|
Operating expenses |
276,000 |
276,064 |
|
|
494,186 |
488,278 |
|
|
|
|
|
NET LOSS |
$ (173,837) |
$ (162,929) |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
* Amounts include $172,099 and $161,300 for 2010 and 2009, respectively, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS (CONTINUED)
December 31, 2010
(Unaudited)
NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)
COMBINED CONDENSED SUMMARIZED STATEMENTS OF OPERATIONS
Nine Months ended September 30,
(Unaudited)
|
|
2010 |
2009 |
|
|
|
|
|
Revenues |
|
|
|
Rental |
$ - |
$ - |
|
Interest and other |
- |
- |
|
|
|
|
|
|
- |
- |
|
|
|
|
|
Expenses |
|
|
|
Interest |
- |
- |
|
Depreciation and amortization |
- |
- |
|
Operating expenses |
- |
- |
|
|
- |
- |
|
|
|
|
|
NET LOSS |
$ - |
$ - |
|
|
|
|
|
Net loss allocated to |
|
|
|
|
|
|
|
|
|
|
|
Net loss allocated to other |
|
|
|
|
|
|
*Amounts include $0, for both 2010 and 2009, of loss not recognized under the equity method of accounting.
The Partnership accounts for its investments using the equity method of accounting. Under the equity method of accounting, the Partnership adjusts its investment cost for its share of each Operating Partnership's results of operations and for any distributions received or accrued. However, the Partnership recognizes individual operating losses only to the extent of capital contributions. Excess losses are suspended for use in future years to offset excess income.
Boston Capital Tax Credit Fund Limited Partnership
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
December 31, 2010
(Unaudited)
The Partnership's taxable loss for the calendar year ended December 31, 2010 is expected to differ from its loss for financial reporting purposes. This is primarily due to accounting differences in depreciation incurred by the Operating Partnerships and also differences between the equity method of accounting and the IRS accounting methods.
NOTE F - INCOME TAXES
The Partnership has elected to be treated as a pass-through entity for income tax purposes and, as such, is not subject to income taxes. Rather, all items of taxable income, deductions and tax credits are passed through to and are reported by its owners on their respective income tax returns. The Partnership's federal tax status as a pass-through entity is based on its legal status as a Partnership. Accordingly, the Partnership is not required to take any tax positions in order to qualify as a pass-through entity. The Partnership is required to file and does file tax returns with the Internal Revenue Service and other taxing authorities. Accordingly, these financial statements do not reflect a provision for income taxes and the Partnership has no other tax positions, which must be considered for disclosure.
NOTE G - PLAN OF LIQUIDATION
On April 27, 2007, BAC holders approved a Plan of Liquidation and Dissolution for the Partnership (the "Plan"). Pursuant to the Plan, the general partner may, without further action by the BAC holders, sell the remaining assets held by the Partnership. It is anticipated that sale of all the apartment complexes will be completed sometime in 2011. However, because of numerous uncertainties, the liquidation may take longer or shorter than expected, and the final liquidating distribution may occur months after all of the apartment complexes have been sold. Because the liquidation of the Partnership was not imminent, as of December 31, 2010, the financial statements are presented assuming the Partnership will continue as a going concern.
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
This Management's Discussion and Analysis of Financial Condition and Results of Operations contains forward-looking statements including our intentions, hopes, beliefs, expectations, strategies and predictions of our future activities, or other future events or conditions. These condensed statements are "forward looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbors created by these acts. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including, for example, the factors identified in Part I, Item 1A. "Risk Factors" of our Annual Report on Form 10-K for the fiscal year ended March 31, 2010. Although we believe that the assumptions underlying these forward-looking statements are reasonable, any of the assumptions could be inaccurate, and there can be no assurance that the forward-looking statements included in this Report will prove to be accurate. In light of the significant uncertainties inherent in these forward-looking statements, the inclusion of this information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved.
The Partnership's primary source of funds was the proceeds of its Public Offering. Other sources of liquidity include (i) interest earned on working capital reserves, and (ii) cash distributions from the Operating Partnerships in which the Partnership has invested. These sources of liquidity are available to meet the obligations of the Partnership.
The Partnership is currently accruing the annual partnership management fee. Partnership management fees accrued during the quarter ended December 31, 2010 were $29,853 and total partnership management fees accrued as of December 31, 2010 were $4,805,200. During the quarter and the nine months ended December 31, 2010, $14,622 and $43,866, respectively, of accrued partnership management fees were paid. Pursuant to the Partnership Agreement, these liabilities will be deferred until the Partnership receives proceeds from sales of the Operating Partnerships, which will be used to satisfy these liabilities. The Partnership's working capital and sources of liquidity coupled with affiliated party liability accruals allow sufficient levels of liquidity to meet the third party obligations of the Partnership. The Partnership is currently unaware of any trends which would create insufficient liquidity to meet future third party obligations of the Partnership.
|
|
Nine Months Ended |
Total |
|
Series 1 |
$ 5,688 |
$165,847 |
|
Series 3 |
- |
473,634 |
|
|
$ 5,688 |
$639,481 |
|
|
|
|
All payables to affiliates will be paid, without interest, from available cash flow or the proceeds of sales or refinancing of the Partnership's interests in Operating Partnerships. During the nine months ended December 31, 2010 there were no payments paid to the affiliates of the general partner.
The Partnership offered BACs in a Public Offering declared effective by the Securities and Exchange Commission on August 29, 1988. The Partnership received and accepted subscriptions for $97,746,940 representing 9,800,600 BACs from investors admitted as BAC Holders in Series 1 through Series 6 of the Partnership. Offers and sales of BACs in Series 1 through Series 6 of the Partnership were completed and the last of the BACs in Series 6 were issued by the Partnership on September 29, 1989. At December 31, 2010 and 2009 the Partnership had limited partnership equity interests in 18 and 19 Operating Partnerships, respectively.
As of December 31, 2010, the Partnership had $3,066,304 remaining in cash and cash equivalents. Below is a table which provides, by series, the equity raised, number of BACs sold, final date BACs were offered, number of properties acquired, and cash and cash equivalents.
|
Series |
Equity |
BACs |
Final Close Date |
Number of Properties |
Proceeds Remaining |
|
1 |
$12,999,000 |
1,299,900 |
12/18/88 |
4 |
$ 35,858 |
|
2 |
8,303,000 |
830,300 |
03/30/89 |
1 |
1,082,679 |
|
3 |
28,822,000 |
2,882,200 |
03/14/89 |
9 |
215,446 |
|
4 |
29,788,160 |
2,995,300 |
07/07/89 |
3 |
1,279,607 |
|
5 |
4,899,000 |
489,900 |
08/22/89 |
1 |
452,714 |
|
6 |
12,935,780 |
1,303,000 |
09/29/89 |
- |
- |
|
|
|
|
|
|
|
|
|
$97,746,940 |
9,800,600 |
|
18 |
$3,066,304 |
Results of Operations
At December 31, 2010 and 2009, the Partnership held limited partnership interests in 18 and 19 Operating Partnerships, respectively. In each instance the apartment complex owned by the applicable Operating Partnership is eligible for the federal housing tax credit. Initial occupancy of a unit in each apartment complex which initially complied with the minimum set-aside test (i.e., initial occupancy by tenants with incomes equal to no more than a certain percentage of area median income) and the rent restriction test (i.e., gross rent charged tenants does not exceed 30% of the applicable income standards) is referred to as "Qualified Occupancy." Each of the Operating Partnerships and each of the respective apartment complexes are described more fully in the Prospectus or applicable report on Form 8-K. The general partner of the Partnership believes that there is adequate casualty insurance on the properties.
The Partnership incurs an annual partnership management fee to the general partner of the Partnership and/or its affiliates in an amount equal to 0.375% of the aggregate cost of the apartment complexes owned by the Operating Partnerships, less the amount of various partnership management and reporting fees paid by the Operating Partnerships. The partnership management fees incurred and the reporting fees paid by the Operating Partnerships for the three and nine months ended December 31, 2010 are as follows:
|
3 Months |
|
9 Months |
|
|
|
Series 1 |
5,016 |
- |
11,788 |
3,260 |
|
Series 2 |
5,245 |
173 |
14,844 |
1,410 |
|
Series 3 |
4,038 |
6,177 |
13,648 |
16,997 |
|
Series 4 |
5,367 |
- |
16,101 |
- |
|
Series 5 |
3,741 |
96 |
11,222 |
289 |
|
Series 6 |
- |
- |
- |
- |
|
|
$23,407 |
$6,446 |
$67,603 |
$21,956 |
The Partnership's investment objectives do not include receipt of significant cash distributions from the Operating Partnerships in which it has invested. The Partnership's investments in Operating Partnerships have been made principally with a view towards realization of federal housing tax credits for allocation to its partners and BAC holders.
Series 1
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had a total of four properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the nine month periods ended December 31, 2010 and 2009, Series 1 reflects a net loss from Operating Partnerships of $(94,819) and $(46,588), respectively, which includes depreciation and amortization of $164,180 and $142,434, respectively. This is an interim period estimate and it is not indicative of the final year end results.
Series 2
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had one property at December 31, 2010, which was at 100% Qualified Occupancy.
For the nine month periods ended December 31, 2010 and 2009, Series 2 reflects a net loss from Operating Partnerships of $(312,556) and $(292,943), respectively, which includes depreciation and amortization of $124,403 and $124,350, respectively. This is an interim period estimate and it is not indicative of the final year end results.
In September 2007, the investment general partner of Calexico Associates approved an agreement to sell the property and the transaction closed on September 25, 2008. The sales price for the property was $2,047,109, which includes the outstanding mortgage balance of approximately $1,507,109, cash proceeds to the operating general partner of $243,395, and cash proceeds to the investment limited partnerships of $177,437 and $48,921 to Series 2 and Series 5, respectively. Of the total proceeds received, $2,477 and $683, respectively, represents reporting fees due to an affiliate of the investment partnerships and the balance represents proceeds from the sale. Of the remaining proceeds, $11,758 and $3,242 from Series 2 and Series 5, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $163,202 and $44,996 were returned to cash reserves held by Series 2 and Series 5, respectively. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnerships. After all outstanding obligations of the investment partnerships are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnerships' investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. In addition, the general partner paid the non-resident withholdings, in the amount of $13,356 and $3,682 for Series 2 and Series 5, respectively. The sale proceeds were received on October 2, 2008, so a receivable in the amount of $165,679 and $45,679 has been recorded for Series 2 and Series 5, respectively, as of September 30, 2008. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement and including the non-resident withholding, has been recorded in the amount of $176,558 and $48,678 for Series 2 and Series 5, respectively, as of September 30, 2008. In June 2009, additional sale proceeds of $9,612 and $2,648 were received and returned to the cash reserves held by Series 2 and Series 5, respectively.
In September 2007, the investment general partner of Heber II Associates approved an agreement to sell the property and the transaction closed on September 25, 2008. The sales price for the property was $1,413,621, which includes the outstanding mortgage balance of approximately $1,053,621, cash proceeds to the operating general partner of $163,999, and cash proceeds to the investment limited partnership of $152,520. Of the total proceeds received, $550 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the sale. Of the remaining proceeds, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $136,970 were returned to cash reserves held by Series 2. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. In addition, the general partner paid the non-resident withholdings, in the amount of $11,480. The sale proceeds were received on October 2, 2008, so a receivable in the amount of $137,520 has been recorded for Series 2 as of September 30, 2008. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement and including the non-resident withholding, has been recorded in the amount of $148,450 as of September 30, 2008. In June 2009, additional sale proceeds of $20,591 were received and returned to the cash reserves held by Series 2.
Series 3
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had a total of nine properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the nine month periods ended December 31, 2010 and 2009, Series 3 reflects a net loss from Operating Partnerships of $(158,883) and $(214,546), respectively, which includes depreciation and amortization of $308,597 and $334,218, respectively. This is an interim period estimate and it is not indicative of the final year end results.
Vassar LDHA LP (Manor Ridge Apartments) is a 32-unit senior property located in Vassar, MI. The property has operated below breakeven since 2007. Because of operating challenges in 2007 the tax and insurance escrows were underfunded and the 2007 real estate taxes were not paid. In an effort to address the delinquencies, management submitted a two-year workout plan to the lender, Rural Development. The workout plan was approved by Rural Development in May 2008. The primary goal of the workout plan was to pay down delinquent real estate taxes. The secondary goal was to properly fund the tax and insurance escrow accounts. According to the workout plan, the replacement reserve funding requirement was waived in 2008 which should have allowed the scheduled deposits to be allocated to the funding of the tax and insurance escrows. However, in the fourth quarter of 2008 there was a significant drop in occupancy and management was unable to honor the approved plan. As a result, Rural Development issued a servicing notice on December 23, 2008, which outlined major concerns such as under-funded reserves, unpaid real estate taxes, and underfunded tax and insurance escrows. The letter also gave the Operating Partnership a 15-day deadline to discuss the outlined concerns. Operations deteriorated further in 2009 as occupancy declined and collections decreased. Physical occupancy dropped to 56% in the fourth quarter 2009. Through the third quarter of 2010, physical occupancy remains at 56% and the property continues to operate below breakeven. Given the operating history and the condition of the local economy, in the fourth quarter 2009, the operating general partner requested the investment partnership's consent to convey the property to Rural Development. On February 11, 2010, the investment general partner consented to the conveyance. Rural Development refused to accept the conveyance and on October 1, 2010 foreclosed on the property. On December 31, 2003, the 15-year low income housing tax credit compliance period expired with respect to Vassar LDHA LP. Because the compliance period has expired, the transfer of the property to Rural Development will not result in the recapture of tax credits. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, no loss or gain on the transfer of the Operating Partnership has been recorded as of December 31, 2010.
In February 2008, the investment general partner of Mound Plaza, Limited approved an agreement to sell the property and the transaction was anticipated to close in July 2010; however, the buyer was unable to consummate the sale and the agreement has expired.
In July 2009, the investment general partner entered into an agreement to transfer its interest in Fylex Housing Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,330,088 and cash proceeds to the investment limited partner of $40,500. Of the total proceeds received, $5,536 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $27,464 were returned to cash reserves held by Series 3. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the transfer of the Operating Partnership of the proceeds from the transfer, net of the overhead and expense reimbursement, has been recorded in the amount of $27,464 as of September 30, 2009.
In July 2009, the investment general partner entered into an agreement to transfer its interest in Willow Street Associates to an entity affiliated with the operating general partner for its assumption of the outstanding mortgage balance of approximately $1,409,733 and cash proceeds to the investment limited partner of $43,000. Of the total proceeds received, $23 represents reporting fees due to an affiliate of the investment partnership and the balance represents proceeds from the transfer. Of the remaining proceeds, $7,500 was paid to BCAMLP for expenses related to the transfer, which includes third party legal costs. The remaining proceeds of $35,477 were returned to cash reserves held by Series 3. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the transfer of the Operating Partnership of the proceeds from the transfer, net of the overhead and expense reimbursement, has been recorded in the amount of $35,477 as of September 30, 2009.
Series 4
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had a total of three properties at December 31, 2010, all of which were at 100% Qualified Occupancy.
For the nine month periods ended December 31, 2010 and 2009, Series 4 reflects a net loss from Operating Partnerships of $(57,044) and $(32,682), respectively, which includes depreciation and amortization of $143,974 and $212,022, respectively. This is an interim period estimate and it is not indicative of the final year end results.
In April 2009, the investment general partner of Wichita West Housing Associates LP approved an agreement to sell the property and the transaction closed on October 30, 2009. The sales price for the property was $3,516,520, which includes the outstanding mortgage balance of approximately $1,355,624 and cash proceeds to the investment limited partnership of $1,920,958. Of the total proceeds received, $15,000 was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale, in the amount of $1,905,958, were returned to cash reserves held by Series 4. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnership. After all outstanding obligations of the investment partnership are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. In December 2009, the investment partnership received additional proceeds for its share of the Operating Partnership's cash and reserves in the amount of $230,000 which was returned to the cash reserves held by Series 4. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnership's investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. Accordingly, a gain on the sale of the Operating Partnership of the proceeds from the sale, net of the overhead and expense reimbursement, has been recorded in the amount of $2,135,958 as of December 31, 2009. In June 2010, additional sale proceeds of $7,183 were received and returned to the cash reserves held by Series 4.
Series 5
As of December 31, 2010 and 2009, the average Qualified Occupancy for the series was 100%. The series had one property at December 31, 2010, which was at 100% Qualified Occupancy.
For the nine month periods ended December 31, 2010 and 2009, Series 5 reflects a net loss from Operating Partnerships of $(173,837) and $(162,929), respectively, which includes depreciation and amortization of $69,191 and $69,161, respectively. This is an interim period estimate and it is not indicative of the final year end results.
In September 2007, the investment general partner of Calexico Associates approved an agreement to sell the property and the transaction closed on September 25, 2008. The sales price for the property was $2,047,109, which includes the outstanding mortgage balance of approximately $1,507,109, cash proceeds to the operating general partner of $243,395, and cash proceeds to the investment limited partnerships of $177,437 and $48,921 to Series 2 and Series 5, respectively. Of the total proceeds received, $2,477 and $683, respectively, represents reporting fees due to an affiliate of the investment partnerships and the balance represents proceeds from the sale. Of the remaining proceeds, $11,758 and $3,242 from Series 2 and Series 5, respectively, was paid to BCAMLP for expenses related to the sale, which includes third party legal costs. The remaining proceeds from the sale of $163,202 and $44,996 were returned to cash reserves held by Series 2 and Series 5, respectively. The monies held in cash reserves will be utilized to pay current operating expenses, accrued but unpaid asset management fees, and accrued but unpaid expenses of the investment partnerships. After all outstanding obligations of the investment partnerships are satisfied, any remaining monies will be distributed based on the number of BACs held by each investor at the time of distribution. Annual losses generated by the Operating Partnership, which were applied against the investment limited partnerships' investment in the Operating Partnership in accordance with the equity method of accounting, had previously reduced the investment limited partnership investment in the Operating Partnership to zero. In addition, the general partner paid the non-resident withholdings, in the amount of $13,356 and $3,682 for Series 2 and Series 5, respectively. The sale proceeds were received on October 2, 2008, so a receivable in the amount of $165,679 and $45,679 had been recorded for Series 2 and Series 5, respectively, as of September 30, 2008. Accordingly, a gain on the sale of the Operating
Partnership of the proceeds from the sale, net of the overhead and expense reimbursement and including the non-resident withholding, has been recorded in the amount of $176,558 and $48,678 for Series 2 and Series 5, respectively, as of September 30, 2008. In June 2009, additional sale proceeds of $9,612 and $2,648, were received and returned to the cash reserves held by Series 2 and Series 5, respectively.
Series 6
The series did not have any properties as of December 31, 2010 and 2009. As a result, net loss from Operating Partnerships, which include depreciation and amortization, is $0 for all periods presented.
Principal Accounting Policies and Estimates
The financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (GAAP), which require the Partnership to make various estimates and assumptions. The following section is a summary of some aspects of those accounting policies that may require subjective or complex judgments and are most important to the portrayal of the Partnership's financial condition and results of operations. The Partnership believes that there is a low probability that the use of different estimates or assumptions in making these judgments would result in materially different amounts being reported in the financial statements.
The Partnership is required to assess potential impairments to its long-lived assets, which are primarily investments in limited partnerships. The Partnership accounts for its investment in limited partnerships in accordance with the equity method of accounting since the Partnership does not control the operations of the Operating Partnerships. The purpose of an impairment analysis is to verify that the real estate investment balance reflected on the balance sheet does not exceed the value of the underlying investments.
If the book value of the Partnership's investment in an Operating Partnership exceeds the estimated value derived by management, which generally consists of the remaining future Low-Income Housing Credits allocable to the Partnership and the estimated residual value to the Partnership, the Partnership reduces its investment in the Operating Partnership and includes this reduction in equity in loss of investment of limited partnerships.
In accordance with the accounting guidance for the consolidation of variable interest entities, the Partnership determines when it should include the assets, liabilities, and activities of a variable interest entity (VIE) in its financial statements, and when it should disclose information about its relationship with a VIE. The analysis that must be performed to determine which entity should consolidate a VIE focuses on control and economic factors. A VIE is a legal structure used to conduct activities or hold assets, which must be consolidated by a company if it is the primary beneficiary because it has (1) the power to direct the activities of the VIE that most significantly impact the VIE's economic performance and (2) the obligation to absorb losses or receive benefits that could potentially be significant to the VIE. If multiple unrelated parties share such power, as defined, no party will be required to consolidate the VIE. Further, the guidance requires continual reconsideration of the primary beneficiary of a VIE.
Based on this guidance, the Operating Partnerships in which the Partnership invests meet the definition of a VIE because the owners of the equity at risk in these entities do not have the power to direct their operations. However, management does not consolidate the Partnership's interests in these VIEs, as it is not considered to be the primary beneficiary since it does not have the power to direct the activities that are considered most significant to the economic performance of these entities. The Partnership currently records the amount of its investment in these partnerships as an asset on its balance sheets, recognizes its share of partnership income or losses in the statements of operations, and discloses how it accounts for material types of these investments in its financial statements. The Partnership's balance in investment in Operating Partnerships represents its maximum exposure to loss. The Partnership's exposure to loss on these partnerships is mitigated by the condition and financial performance of the underlying Housing Complexes as well as the strength of the general partners and their guarantee against credit recapture to the investors of the Partnership.
Recent Accounting Changes
In September 2006, the Financial Accounting Standards Board ("FASB") issued accounting guidance for Fair Value Measurements, which defines fair value, establishes a framework for measuring fair value and expands disclosure about fair value measurements. This guidance is effective for financial statements issued for fiscal years beginning after November 15, 2007 and shall be applied prospectively except for very limited transactions. In February 2008, the FASB delayed for one year implementation of the guidance as it pertains to certain non-financial assets and liabilities. The Partnership adopted GAAP for Fair Value Measurements effective April 1, 2008, except as it applies to those non-financial assets and liabilities, for which the effective date was April 1, 2009. The Partnership has determined that adoption of this guidance has no material impact on the Partnership's financial statements.
In November 2008, the FASB issued accounting guidance on Equity Method Investment Accounting Considerations that addresses how the initial carrying value of an equity method investment should be determined, how an impairment assessment of an underlying indefinite-lived intangible asset of an equity method investment should be performed, how an equity method investee's issuance of shares should be accounted for, and how to account for a change in an investment from the equity method to the cost method. This guidance is effective in fiscal years beginning on or after December 15, 2008, and interim periods within those fiscal years. The Partnership adopted the guidance for the interim quarterly period beginning April 1, 2009. The adoption of this guidance does not have a material impact on the Partnership's financial condition or results of operations.
In April 2009, the FASB issued accounting guidance for Interim Disclosures about Fair Value of Financial Instruments. This requires disclosure about the method and significant assumptions used to establish the fair value of financial instruments for interim reporting periods as well as annual statements. It became effective for Boston Capital Tax Credit Fund L.P. as of and for the interim period ended June 30, 2009 and has no impact on the Partnership's financial condition or results of operations.
In May 2009, the FASB issued guidance regarding subsequent events, which was subsequently updated in February 2010. This guidance established general standards of accounting for and disclosure of events that occur after the balance sheet date but before financial statements are issued or are available to be issued. In particular, this guidance sets forth the period after the balance sheet date during which management of a reporting entity should evaluate events or transactions that may occur for potential recognition or disclosure in the financial statements, the circumstances under which an entity should recognize events or transactions occurring after the balance sheet date in its financial statements, and the disclosures that an entity should make about events or transactions that occurred after the balance sheet date. This guidance was effective for financial statements issued for fiscal years and interim periods ending after June 15, 2009, and was therefore adopted by the Partnership for the quarter ended June 30, 2009. The adoption did not have a significant impact on the subsequent events that the Partnership reports, either through recognition or disclosure, in the financial statements. In February 2010, the FASB amended its guidance on subsequent events to remove the requirement to disclose the date through which an entity has evaluated subsequent events, alleviating conflicts with current SEC guidance. This amendment was effective immediately and therefore the Partnership did not include the disclosure in this Form 10-Q.
Recent Accounting Changes - continued
In June 2009, the FASB issued the Accounting Standards Codification (Codification). Effective July 1, 2009, the Codification is the single source of authoritative accounting principles recognized by the FASB to be applied by non-governmental entities in the preparation of financial statements in conformity with GAAP. The Codification is intended to reorganize, rather than change, existing GAAP. Accordingly, all references to currently existing GAAP have been removed and have been replaced with plain English explanations of the Partnership's accounting policies. The adoption of the Codification did not have a material impact on the Partnership's financial position or results of operations.
|
Item 3. |
|
|
|
|
|
|
Not Applicable |
|
Item 4. |
||
|
|
|
|
|
|
(a) |
Evaluation of Disclosure Controls and Procedures |
|
|
|
As of the end of the period covered by this report, the Partnership's general partner, under the supervision and with the participation of the Principal Executive Officer and Principal Financial Officer of C&M Management Inc., carried out an evaluation of the effectiveness of the Partnership's "disclosure controls and procedures" as defined under the Securities Exchange Act of 1934 Rules 13a-15 and 15d-15. Based on that evaluation, the Partnership's Principal Executive Officer and Principal Financial Officer have concluded that as of the end of the period covered by this report, the Partnership's disclosure controls and procedures were effective to ensure that information required to be disclosed by it in the reports that it files or submits under the Securities Exchange Act of 1934 (i) is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms and (ii) is accumulated and communicated to the Partnership's management, including the Partnership's Principal Executive Officer and Principal Financial Officer, as appropriate, to allow timely decisions regarding required disclosure. |
|
|
|
|
|
|
(b) |
Changes in Internal Controls |
|
|
|
There were no changes in the Partnership's internal control over financial reporting that occurred during the quarter ended December 31, 2010 that materially affected, or are reasonably likely to materially affect, the Partnership's internal control over financial reporting. |
|
Item 1. |
Legal Proceedings |
|
|
|
|
|
|
|
None |
|
|
|
|
|
|
Item 1A. |
Risk Factors |
|
|
|
|
|
|
|
There have been no material changes from the risk factors set forth under Part I, Item 1A. "Risk Factors" in our Form 10-K for the fiscal year ended March 31, 2010. |
|
|
|
|
|
|
Item 2. |
Unregistered Sales of Equity Securities and Use of Proceeds |
|
|
|
|
|
|
|
None |
|
|
|
|
|
|
Item 3. |
Defaults upon Senior Securities |
|
|
|
|
|
|
|
None |
|
|
|
|
|
|
Item 4. |
(Removed and Reserved) |
|
|
|
|
|
|
Item 5. |
Other Information |
|
|
|
|
|
|
|
None |
|
|
|
|
|
|
Item 6. |
Exhibits |
|
|
|
|
|
|
|
(a)Exhibits |
|
|
|
|
|
|
|
|
31.a Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, of John P. Manning, Principal Executive Officer, filed herein |
|
|
|
|
|
|
|
31.b Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, of Marc N. Teal, Principal Financial Officer, filed herein |
|
|
|
|
|
|
|
32.a Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of John P. Manning, Principal Executive Officer, filed herein |
|
|
|
|
|
|
|
32.b Certification pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, of Marc N. Teal, Principal Financial Officer, filed herein |
|
|
|
|
Pursuant to the requirements of Section 13 of the Securities
Exchange Act of 1934, the Partnership has duly caused this Report to be
signed on its behalf by the undersigned, thereunto duly authorized.
|
|
|
|
|
|
|
Boston Capital Tax Credit Fund Limited Partnership |
||
|
|
|
|
|
|
|
By: |
Boston Capital Associates Limited |
|
|
|
|||
|
|
|
|
|
|
|
By: |
BCA Associates Limited Partnership, |
|
|
|
|||
|
|
|
|
|
|
|
By: |
C&M Management, Inc., |
|
|
|
|||
|
|
|
|
|
|
Date: February 14, 2011 |
/s/ John P. Manning |
||
|
|
John P. Manning |
||
|
|
|
|
|
Pursuant to the requirements of the Securities Exchange Act of
1934, this report has been signed below by the following persons on
behalf of the Partnership and in the capacities and on the dates
indicated:
|
DATE: |
SIGNATURE: |
TITLE: |
|
February 14, 2011 |
/s/ John P. Manning John P. Manning |
Director, President |
|
DATE: |
SIGNATURE: |
TITLE: |
|
February 14, 2011 |
/s/ Marc N. Teal Marc N. Teal |
Chief Financial Officer |