Attached files
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 September 30, 2020
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: 333-124115
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
California
|
20-2355224
|
(State
or other jurisdiction of
|
(I.R.S.
Employer
|
incorporation
or organization)
|
Identification
No.)
|
|
|
17782
Sky Park Circle
|
|
Irvine,
CA
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92614-6404
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(Address
of principal executive offices)
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(Zip
Code)
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(714)
662-5565
(Telephone
number)
Securities
registered pursuant to Section 12(b) of the Act:
Title
of each class
|
Trading
Symbol(s)
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Name of
each exchange on which registered
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No
|
|
|
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 X No ___
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 (232.405 of this chapter) during the preceding 12
months (or for such shorter period that the registrant was required
to submit and post such files).
Yes X 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 the definitions of "large accelerated
filer," "accelerated filer" and "smaller reporting company" in Rule
12b-2 of the Exchange Act. (Check one):
Large
accelerated filer___ Accelerated filer___ Non-accelerated
filer___X__ Smaller
reporting company___
Indicate
by check mark whether the registrant is a shell company (as defined
in Rule 12b-2 of the Exchange Act).
Yes ___
No _X__
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
INDEX TO FORM 10-Q
For the Quarterly Period Ended September 30, 2020
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21
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2
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
CONDENSED BALANCE SHEETS
(Unaudited)
|
September
30,
2020
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March
31,
2020
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ASSETS
|
||
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|
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Cash
and cash equivalents
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$128,576
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$228,845
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Investments
in Local Limited Partnerships, net
(Notes
2 and 3)
|
-
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51,621
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Other
assets
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4,375
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-
|
|
|
|
Total
Assets
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$132,951
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$280,466
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LIABILITIES AND PARTNERS' EQUITY (DEFICIT)
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||
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Liabilities:
|
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Payables
to Local Limited Partnerships (Note 5)
|
$-
|
$245,113
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Accrued
fees and expenses due to
|
|
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General
Partner and affiliates (Note 3)
|
1,493,355
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1,525,166
|
|
|
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Total Liabilities
|
1,493,355
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1,770,279
|
|
|
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Partners’
Equity (Deficit):
|
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General
Partner
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571,970
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571,841
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Limited
Partners (25,000 Partnership Units authorized;
|
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20,707 Partnership Units issued and
outstanding)
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(1,932,374)
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(2,061,654)
|
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Total Partners’ Equity (Deficit)
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(1,360,404)
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(1,489,813)
|
|
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Total Liabilities and Partners’ Equity (Deficit)
|
$132,951
|
$280,466
|
See
accompanying notes to condensed financial statements
3
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
CONDENSED STATEMENTS OF OPERATIONS
For the Three and Six Months Ended September 30, 2020 and
2019
(Unaudited)
|
2020
|
2019
|
||
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Three Months
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Six Months
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Three Months
|
Six Months
|
Operating income:
|
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|
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Reporting
fees
|
$-
|
$1,384
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$1,344
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$2,728
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Total
operating income
|
-
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1,384
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1,344
|
2,728
|
|
|
|
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Operating
expenses and loss:
|
|
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Asset
management fees (Note 3)
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3,548
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11,660
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10,394
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20,788
|
Legal
and accounting fees
|
30,340
|
53,190
|
20,650
|
26,220
|
Impairment
loss (Note 2)
|
-
|
-
|
-
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439,109
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Asset
management expenses
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-
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-
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657
|
932
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Other
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16,463
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19,340
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5,552
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9,701
|
|
|
|
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Total
operating expenses and loss
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50,351
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84,190
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37,253
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496,750
|
|
|
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Loss
from operations
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(50,351)
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(82,806)
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(35,909)
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(494,022)
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Equity
in losses of Local
|
|
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Limited
Partnerships (Note 2)
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-
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-
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(41,004)
|
(86,438)
|
Gain
(loss) on sale of Local Limited Partnership
|
(196)
|
206,046
|
-
|
-
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Other
income
|
-
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5,543
|
-
|
-
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Interest
income
|
356
|
626
|
117
|
229
|
|
|
|
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Net
income (loss)
|
$(50,191)
|
$129,409
|
$(76,796)
|
$(580,231)
|
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Net
income (loss) allocated to:
|
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General
Partner
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$(51)
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$129
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$(77)
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$(580)
|
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Limited
Partners
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$(50,140)
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$129,280
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$(76,719)
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$(579,651)
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Net
income (loss) per Partnership Unit
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$(2)
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$6
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$(4)
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$(28)
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Outstanding
weighted Partnership Units
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20,707
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20,707
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20,727
|
20,727
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See
accompanying notes to condensed financial statements
4
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
CONDENSED STATEMENTS OF PARTNERS’ EQUITY
(DEFICIT)
For the Six Months Ended September 30, 2020 and
2019(Unaudited)
|
2020
|
||
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General
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Limited
|
|
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Partner
|
Partners
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Total
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Partners’ equity (deficit) at March 31,
2020
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$571,841
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$(2,061,654)
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$(1,489,813)
|
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Net
income
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180
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179,420
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179,600
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Partners’
equity (deficit) at June 30, 2020
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572,021
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(1,882,234)
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(1,310,213)
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Net
loss
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(51)
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(50,140)
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(50,191)
|
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Partners’
equity (deficit) at September 30, 2020
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$571,970
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$(1,932,374)
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$(1,360,404)
|
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2019
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||
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General
|
Limited
|
|
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Partner
|
Partners
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Total
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Partners’
equity (deficit) at March 31, 2019
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$572,544
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$(1,358,956)
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$(786,412)
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Net
loss
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(503)
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(502,932)
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(503,435)
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Partners’
equity (deficit) at June 30, 2019
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572,041
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(1,861,888)
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(1,289,847)
|
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Net
loss
|
(77)
|
(76,719)
|
(76,796)
|
|
|
|
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Partners’
equity (deficit) at September 30, 2019
|
$571,964
|
$(1,938,607)
|
$(1,366,643)
|
See
accompanying notes to condensed financial statements
5
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
CONDENSED STATEMENTS OF CASH FLOWS
For the Six Months Ended September 30, 2020 and 2019
(Unaudited)
|
2020
|
2019
|
|
|
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Cash flows from operating activities:
|
|
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Net
income (loss)
|
$129,409
|
$(580,231)
|
Adjustments
to reconcile net income (loss) to net
|
|
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cash
provided by (used in) operating activities:
|
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Equity
in losses of Local Limited Partnerships
|
-
|
86,438
|
Impairment
loss
|
-
|
439,109
|
Increase in other assets
|
(4,375)
|
-
|
Gain
on sale of Local Limited Partnerships
|
(206,046)
|
-
|
Increase
(decrease) in accrued fees and expenses due to
|
|
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General
Partner and affiliates
|
(31,811)
|
57,641
|
|
|
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Net
cash provided by (used in) operating activities
|
(112,823)
|
2,957
|
|
|
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Cash
flows from investing activities:
|
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Net
proceeds from sale of Local Limited Partnerships
|
12,554
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-
|
|
|
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Net
cash provided by investing activities
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12,554
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-
|
|
|
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Net
increase (decrease) in cash and cash equivalents
|
(100,269)
|
2,957
|
Cash
and cash equivalents, beginning of period
|
228,845
|
224,898
|
|
|
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Cash
and cash equivalents, end of period
|
$128,576
|
$227,855
|
|
|
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SUPPLEMENTAL
DISCLOSURE OF CASH FLOW INFORMATION
|
|
|
|
|
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Taxes
paid
|
$-
|
$-
|
|
|
|
See
accompanying notes to condensed financial statements
6
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
General
The accompanying condensed unaudited financial statements have been
prepared in accordance with accounting principles generally
accepted in the United States of America for interim financial
information and with the instructions to Form 10-Q for quarterly
reports under Section 13 or 15(d) of the Securities Exchange Act of
1934. Accordingly, they do not include all of the information and
footnotes required by accounting principles generally accepted in
the United States of America for complete financial statements. In
the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for a fair presentation
have been included. Operating results for the six months ended
September 30, 2020 are not necessarily indicative of the results
that may be expected for the fiscal year ending March 31, 2021. For
further information, refer to the financial statements and
footnotes thereto included in the Partnership's annual report on
Form 10-K for the fiscal year ended March 31, 2020.
Organization
WNC Housing Tax Credit Fund VI, L.P., Series 13, a California
Limited Partnership (the “Partnership”), was formed on
February 7, 2005 under the laws of the State of California, and
commenced operations on December 14, 2005. The Partnership was
formed to invest primarily in other limited partnerships and
limited liability companies (the “Local Limited
Partnerships”) which own and operate multi-family housing
complexes (the “Housing Complexes”) that are eligible
for Low Income Housing Tax Credits. The local general partners (the
“Local General Partners”) of each Local Limited
Partnership retain responsibility for maintaining, operating and
managing the Housing Complex. Each Local Limited Partnership is
governed by its agreement of limited partnership (the “Local
Limited Partnership Agreement”).
The General Partner of the Partnership is WNC National Partners,
LLC (the “General Partner”). The general partner of the
General Partner is WNC & Associates, Inc.
(“Associates”). The chairman and the president of
Associates owns all of the outstanding stock of Associates. The
business of the Partnership is conducted primarily through
Associates, as the Partnership and General Partner have no
employees of their own.
The Partnership shall continue in full force and effect until
December 31, 2070, unless terminated prior to that date, pursuant
to the partnership agreement or law.
The financial statements include only activity relating to the
business of the Partnership and do not give effect to any assets
that the partners may have outside of their interests in the
Partnership, or to any obligations, including income taxes of the
partners.
Pursuant to a registration statement filed with the U.S. Securities
and Exchange Commission (the “SEC”) on April 18, 2005,
the Partnership commenced a public offering of 25,000 units of
limited partnership interest (“Partnership Units”) at a
price of $1,000 per Partnership Unit. The required minimum offering
amount of $1,400,000 was achieved by December 14, 2005. Total
subscriptions for 20,981 Partnership Units had been accepted,
representing $20,965,400, which is net of volume discounts of
$4,540 and dealer discounts of $11,060. Holders of Partnership
Units are referred to herein as “Limited Partners.” As
of September 30, 2020 and March 31, 2020, a total of 20,707
Partnership Units remain outstanding.
The General Partner has a 0.1% interest in operating profits and
losses, taxable income and losses, cash available for distribution
from the Partnership and tax credits. The Limited Partners will be
allocated the remaining 99.9% interest in proportion to their
respective investments.
The proceeds from the disposition of any of the Housing Complexes
will be used first to pay debts and other obligations per the
respective Local Limited Partnership Agreement. Any remaining
proceeds will then be paid to the partners of the Local Limited
Partnership, including the Partnership, in accordance with the
terms of the particular Local Limited Partnership Agreement. The
sale of a Housing Complex may be subject to other restrictions and
obligations.
7
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
Accordingly, there can be no assurance that a Local Limited
Partnership will be able to sell its Housing Complex. Even if it
does so, there can be no assurance that any significant amounts of
cash will be distributed to the Partnership. Should such
distributions occur, the Limited Partners will be entitled to
receive distributions from the proceeds remaining after payment of
Partnership obligations and funding reserves, equal to their
capital contributions and their return on investment (as defined in
the Partnership Agreement). The General Partner would then be
entitled to receive proceeds equal to its capital contributions
from the remainder. Any additional sale or refinancing proceeds
will be distributed 90% to the Limited Partners (in proportion to
their respective investments) and 10% to the General
Partner.
Risks and Uncertainties
An investment in the Partnership and the Partnership’s
investments in Local Limited Partnerships and their Housing
Complexes are subject to risks. These risks may impact the tax
benefits of an investment in the Partnership, and the amount of
proceeds available for distribution to the Limited Partners, if
any, on liquidation of the Partnership’s investments. Some of
those risks include the following:
The Low Income Housing Tax Credits rules are extremely complicated.
Noncompliance with these rules results in the loss of future Low
Income Housing Tax Credits and the fractional recapture of Low
Income Housing Tax Credits already taken. In most cases the annual
amount of Low Income Housing Tax Credits that an individual can use
is limited to the tax liability due on the person’s last
$25,000 of taxable income. The Local Limited Partnerships may be
unable to sell the Housing Complexes at a price which would result
in the Partnership realizing cash distributions or proceeds from
the transaction. Accordingly, the Partnership may be unable to
distribute any cash to its Limited Partners. Low Income Housing Tax
Credits may be the only benefit from an investment in the
Partnership.
The Partnership has invested in a limited number of Local Limited
Partnerships. Such limited diversity means that the results of
operation of each single Housing Complex will have a greater impact
on the Partnership. With limited diversity, poor performance of one
Housing Complex could impair the Partnership’s ability to
satisfy its investment objectives. Each Housing Complex is subject
to mortgage indebtedness. If a Local Limited Partnership failed to
pay its mortgage, it could lose its Housing Complex in foreclosure.
If foreclosure were to occur during the first 15 years (the
“Compliance Period”), the loss of any remaining future
Low Income Housing Tax Credits, a fractional recapture of prior Low
Income Housing Tax Credits, and a loss of the Partnership’s
investment in the Housing Complex would occur. The Partnership is a
limited partner or a non-managing member of each Local Limited
Partnership. Accordingly, the Partnership will have very limited
rights with respect to management of the Local Limited
Partnerships. The Partnership will rely totally on the Local
General Partners. Neither the Partnership’s investments in
Local Limited Partnerships, nor the Local Limited
Partnerships’ investments in Housing Complexes, are readily
marketable. To the extent the Housing Complexes receive government
financing or operating subsidies, they may be subject to one or
more of the following risks: difficulties in obtaining tenants for
the Housing Complexes; difficulties in obtaining rent increases;
limitations on cash distributions; limitations on sales or
refinancing of Housing Complexes; limitations on transfers of
interests in Local Limited Partnerships; limitations on removal of
Local General Partners; limitations on subsidy programs; and
possible changes in applicable regulations. Uninsured casualties
could result in loss of property and Low Income Housing Tax Credits
and recapture of Low Income Housing Tax Credits previously taken.
The value of real estate is subject to risks from fluctuating
economic conditions, including employment rates, inflation, tax,
environmental, land use and zoning policies, supply and demand of
similar Housing Complexes, and neighborhood conditions, among
others.
The ability of Limited Partners to claim tax losses from the
Partnership is limited. The IRS may audit the Partnership or a
Local Limited Partnership and challenge the tax treatment of tax
items. The amount of Low Income Housing Tax Credits and tax losses
allocable to Limited Partners could be reduced if the IRS were
successful in such a challenge. The alternative minimum tax could
reduce tax benefits from an investment in the Partnership. Changes
in tax laws could also impact the tax benefits from an investment
in the Partnership and/or the value of the Housing
Complexes.
8
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
The Partnership currently has insufficient working capital to fund
its operations. Associates has agreed to continue providing
advances sufficient enough to fund the operations and working
capital requirements of the Partnership through November 30,
2021.
Anticipated future and existing cash resources of the Partnership
are not sufficient to pay existing liabilities of the Partnership.
A portion of the existing liabilities are the payables to Local
Limited Partnerships and those payables are the first priority to
be paid. If the Partnership does not have enough cash to pay those
liabilities the General Partner or an affiliate will fund the
necessary cash to pay the liabilities. The remaining portion of the
payables are due to the General Partner or an affiliate. Though the
amounts payable to the General Partner and/or its affiliates are
contractually currently payable, the Partnership anticipates that
the General Partner and/or its affiliates will not require the
payment of these contractual obligations until capital reserves are
in excess of the aggregate of then existing contractual obligations
and then anticipated future foreseeable obligations of the
Partnership. The Partnership would be adversely affected should the
General Partner and/or its affiliates demand current payment of the
existing contractual obligations and/or suspend services for this
or any other reason.
No trading market for the Partnership Units exists or is expected
to develop. Limited Partners may be unable to sell their
Partnership Units except at a discount and should consider their
Partnership Units to be a long-term investment. Individual Limited
Partners will have no recourse if they disagree with actions
authorized by a vote of the majority of Limited
Partners.
Exit Strategy
The Compliance Period for a Housing Complex is generally 15 years
following construction or rehabilitation completion. Associates was
one of the first in the industry to offer syndicated investments in
Low Income Housing Tax Credits. The initial programs have completed
their Compliance Periods.
Upon the sale of a Local Limited Partnership interest or Housing
Complex after the end of the Compliance Period, there would be no
recapture of Low Income Housing Tax Credits. A sale prior to the
end of the Compliance Period must satisfy the reasonable belief
test outlined above to avoid recapture. None of the remaining
Housing Complexes have completed their 15-year Compliance
Period.
With that in mind, the General Partner is continuing its review of
the Housing Complexes. The review considers many factors, including
extended use requirements (such as those due to mortgage
restrictions or state compliance agreements), the condition of the
Housing Complexes, and the tax consequences to the Limited Partners
from the sale of the Housing Complexes.
Upon identifying those Housing Complexes with the highest potential
for a successful sale, refinancing or re-syndication, the
Partnership expects to proceed with efforts to liquidate them. The
objective is to maximize the Limited Partners’ return
wherever possible and, ultimately, to wind down the Partnership as
Low Income Housing Tax Credits are no longer available. Local
Limited Partnership interests may be disposed of any time by the
General Partner in its discretion. While liquidation of the Housing
Complexes continues to be evaluated, the dissolution of the
Partnership was not imminent as of September 30, 2020.
During
the year ended March 31, 2011, the Partnership sold two Local
Limited Partnerships, Fernwood Meadows, L.P.
(“Fernwood”) and Sierra’s Run, L.P.,
(“Sierra’s Run”), in order to generate sufficient
equity to complete the purchase of additional Low Income Housing
Tax Credits for Davenport VII, L.P.
(“Davenport”).
9
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
Fernwood
and Sierra’s Run will complete their Compliance Periods in
2022; therefore there is a risk of tax credit recapture. The
maximum exposure of recapture (excluding the interest and penalties
related to the recapture) is $177,508 and $170,246, respectively,
for Fernwood and Sierra’s Run, which equates to $16.75 per
Partnership Unit in the aggregate. Under the circumstances,
the General Partner believes there is a reasonable expectation that
each Local Limited Partnership will continue to be operated as
qualified low income housing for the balance of its Compliance
Period, and, accordingly, does not anticipate that there will be
any recapture.
As of March 31, 2020, the underlying Housing complexes of Pleasant
Village Limited Partnership (“Pleasant Village”) and
Grove Village Limited Partnership (“Grove Village”) had
been sold, resulting in the termination of the Partnership’s
Local Limited Partnership interest. The Partnership had also gifted
its Local Limited Partnership interest in 909 4th YMCA Limited
Partnership to an unrelated nonprofit corporation. In addition, the
Partnership sold its Local Limited Partnership interest in Head
Circle, L.P. (“Head Circle”), FDI-Country
Square, LTD (“FDI-Country Square”) and FDI-Park Place,
LTD (“FDI-Park Place”).
The Compliance Period for Head Circle has been completed,
therefore, there is no risk of recapture to the investors of the
Partnership. The Compliance Periods for FDI-Country Square
and FDI-Park Place expire in 2021. A guaranty agreement was
executed with the General Partner to guarantee the repayment of any
recaptured tax credits and/or interest arising from any
non-compliance as provided in Section 42 of the Internal Revenue
Code arising after the date of the sale.
During the period ended September 30, 2020, the Partnership entered
into a purchase agreement with an unrelated party to sell its Local
Limited Partnership interest in Davenport Housing VII, L.P.
(“Davenport VII”). Davenport VII was appraised for
$125,000 and had a mortgage note balance of $470,274 as of December
31, 2019. The Partnership received $15,000 in cash proceeds, which
was placed in the Partnership’s reserves for future operating
expenses. The Partnership incurred $2,446 in sales related
expenses which were netted against the sale proceeds to calculate
the gain on sale. The Partnership had an investment balance of
$51,621, and a remaining capital contribution payable to Davenport
VII of $245,113; therefore, a gain of $206,046 was recorded during
the period. The Compliance Period for Davenport VII expires in
2024. A guaranty agreement was executed with the General Partner to
guarantee the repayment of any recaptured tax credits and/or
interest arising from any non-compliance as provided in Section 42
of the Internal Revenue Code arising after the date of the
sale.
The
proceeds from the disposition of any of the Housing Complexes will
be used first to pay debts and other obligations per the respective
Local Limited Partnership Agreement. Any remaining proceeds will
then be paid to the partners of the Local Limited Partnership,
including the Partnership, in accordance with the terms of the
particular Local Limited Partnership Agreement. The sale of a
Housing Complex may be subject to other restrictions and
obligations. Accordingly, there can be no assurance that a Local
Limited Partnership will be able to sell its Housing Complex. Even
if it does so, there can be no assurance that any significant
amounts of cash will be distributed to the Partnership, as the
proceeds first would be used to pay Partnership obligations and
funding of reserves.
10
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
Method of Accounting for Investments in Local Limited
Partnerships
The Partnership accounts for its investments in Local Limited
Partnerships using the equity method of accounting, whereby the
Partnership adjusts its investment balance for its share of the
Local Limited Partnerships’ results of operations and for any
contributions made and distributions received. The Partnership
reviews the carrying amount of an individual investment in a Local
Limited Partnership for possible impairment at least annually or
whenever events or changes in circumstances indicate that the
carrying amount of such investment may not be recoverable.
Recoverability of such investment is measured by the estimated
value derived by management, generally consisting of the sum of the
remaining future Low Income Housing Tax Credits estimated to be
allocable to the Partnership and the estimated residual value to
the Partnership. If an investment is considered to be impaired, the
Partnership reduces the carrying value of its investment in any
such Local Limited Partnership. The accounting policies of the
Local Limited Partnerships, generally, are expected to be
consistent with those of the Partnership. Costs incurred by the
Partnership in acquiring the investments are capitalized as part of
the investment account and were being amortized over 27.5 years
(see Notes 2 and 3).
“Equity in losses of Local Limited Partnerships” for
the periods ended September 30, 2020 and 2019 has been recorded by
the Partnership. Management’s estimate for the six-month
periods is based on either actual unaudited results reported by the
Local Limited Partnerships or historical trends in the operations
of the Local Limited Partnerships. Equity in losses of Local
Limited Partnerships allocated to the Partnership is not recognized
to the extent that the investment balance would be adjusted below
zero. If the Local Limited Partnerships report net income in future
years, the Partnership will resume applying the equity method only
after its share of such net income equals the share of net losses
not recognized during the period(s) the equity method was
suspended.
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 Local Limited 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 Local Limited
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 Local Limited Partnerships, plus the risk
of recapture of tax credits previously recognized on these
investments, represents its maximum exposure to loss. The
Partnership's exposure to loss on these Local Limited Partnerships
is mitigated by the condition and financial performance of the
underlying Housing Complexes as well as the strength of the Local
General Partners and their guarantee against credit recapture to
the investors in the Partnership.
Distributions received by the Partnership are accounted for as a
reduction of the investment balance. Distributions received after
the investment has reached zero are recognized as income. As of
September 30, 2020, the remaining investment balance had reached
zero.
11
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
Use of Estimates
The
preparation of financial statements in conformity with accounting
principles generally accepted in the United States of America
requires management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial
statements, and the reported amounts of revenues and expenses
during the reporting period. Actual results could materially differ
from those estimates.
Cash and Cash Equivalents
The
Partnership considers all highly liquid investments with original
maturities of three months or less when purchased to be cash
equivalents. As of September 30, 2020 and March 31, 2020, the
Partnership had $128,576 and $228,845 of cash equivalents,
respectively.
Reporting Comprehensive Income
The Partnership had no items of other comprehensive income for all
periods presented.
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. Income tax
returns filed by the Partnership are subject to examination by the
Internal Revenue Service for a period of three years. While no
income tax returns are currently being examined by the Internal
Revenue Service, tax years since 2017 remain open.
Net Income (Loss) Per Partnership Unit
Net
income (loss) per Partnership Unit includes no dilution and is
computed by dividing net income (loss) available to Limited
Partners by the weighted average number of Partnership Units
outstanding during the period. Calculation of diluted net income
(loss) per Partnership Unit is not required.
Revenue Recognition
The
Partnership is entitled to receive reporting fees from the Local
Limited Partnerships. The intent of the reporting fees is to offset
(in part) administrative costs incurred by the Partnership in
corresponding with the Local Limited Partnerships. The fees are consideration from the Local Limited
Partnerships in exchange for a single performance obligation
satisfied at a point in time for assistance with preparation of tax
returns and annual reports. The amount of fees the
Partnership is entitled to collect is based on the Local Limited
Partnerships’ cash flow. Accordingly, the variable
consideration is constrained until the uncertainty about the amount
that will be collected is known. There were no contract assets
or contract liabilities at the beginning or the end of the
reporting period.
12
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES,
continued
Impairment
The Partnership reviews its investments in Local Limited
Partnership for impairment at least annually or whenever events or
changes in circumstances indicate that the carrying value of such
investments may not be recoverable. Recoverability is measured by a
comparison of the carrying amount of the investment to the sum of
the total amount of the remaining Low Income Housing Tax Credits
allocated to the Partnership and any estimated residual value of
the investment. For the six months ended September 30, 2020 and
2019, impairment loss related to investments in Local Limited
Partnerships was $0 and $439,109, respectively.
Impact of Recent Accounting Pronouncements
In May 2014, the Financial Accounting Standards Board (the
“FASB”) issued Accounting Standards Update
2014-09, Revenue from Contracts with
Customers (Topic 606) (“ASU 2014-09”), as amended by
subsequent Accounting Standards Updates (collectively, “ASC
606”). The Partnership adopted ASC 606 during 2019 and
applied the guidance on a retrospective basis. There was no impact
as a result of the adoption of ASU 2014-09 to recognize revenue on
the financial statements of the Partnership as the reporting fee
income is immaterial.
In August 2016, the FASB issued Accounting Standards Update
2016-15, Statement of Cash
Flows (Topic 230), Classification of
Certain Cash Receipts and Cash Payments. The Partnership adopted the update during the
year ended March 31, 2020 on a retrospective basis. The effect of
the adoption was the application of an accounting policy election
to classify distributions received from investees using the nature
of the distribution approach. The Partnership classifies
distributions from tax credit investments as returns on investment
because the design of the local limited partnership is to generate
tax credits and losses rather than income from operations.
Application of the accounting policy election had no impact on the
presentation in the statements of cash flows in the current or
prior reporting periods.
NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS
As of
September 30, 2020 and March 31, 2020, the Partnership owned Local
Limited Partnership interests in 1 and 2 Local Limited
Partnerships, each of which owns one Housing Complex consisting of
an aggregate of 24 and 44 apartment units, respectively. The
respective Local General Partners of the Local Limited Partnerships
manage the day to day operations of the entities. Significant Local
Limited Partnership business decisions require approval from the
Partnership. The Partnership, as a limited partner, is generally
entitled to 99.98%, as specified in the Local Limited Partnership
Agreements, of the operating profits and losses, taxable income and
losses, and Low Income Housing Tax Credits of the Local Limited
Partnerships.
The
following is a summary of the equity method activity of the
investments in Local Limited Partnerships for the periods presented
below:
|
For the Six Months Ended
September 30, 2020
|
For the Year
Ended
March 31, 2020
|
Investments per
balance sheet, beginning of period
|
$51,621
|
$666,713
|
Equity
in losses of Local Limited Partnerships
|
-
|
(175,983)
|
Sale of Local
Limited Partnerships
|
(51,621)
|
-
|
Impairment
loss
|
-
|
(439,109)
|
Investments
per balance sheet, end of period
|
$-
|
$51,621
|
13
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 2 - INVESTMENTS IN LOCAL LIMITED PARTNERSHIPS,
continued
Selected
financial information for the six months ended September 30, 2020
and 2019 from the unaudited combined condensed financial statements
of the Local Limited Partnerships in which the Partnership has
invested is as follows:
COMBINED
CONDENSED STATEMENTS OF OPERATIONS
|
||
|
2020
|
2019
|
|
|
|
Revenues
|
$74,000
|
$140,000
|
|
|
|
Expenses:
|
|
|
Interest
expense
|
10,000
|
16,000
|
Depreciation
and amortization
|
40,000
|
126,000
|
Operating
expenses
|
60,000
|
112,000
|
Total
expenses
|
110,000
|
254,000
|
|
|
|
Net
loss
|
$(36,000)
|
$(114,000)
|
Net
loss allocable to the Partnership
|
$(36,000)
|
$(114,000)
|
Net
loss recorded by the Partnership
|
$-
|
$(86,000)
|
Certain
Local Limited Partnerships have incurred significant operating
losses and/or have working capital deficiencies. In the event these
Local Limited Partnerships continue to incur significant operating
losses, additional capital contributions by the Partnership may be
required to sustain operations of such Local Limited Partnerships.
If additional capital contributions are not made when they are
required, the Partnership's investments in certain of such Local
Limited Partnerships could be impaired, and the loss and recapture
of the related Low Income Housing Tax Credits could
occur.
14
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 3 - RELATED
PARTY TRANSACTIONS
Under
the terms of the Partnership Agreement, the Partnership has paid or
is obligated to the General Partner or its affiliates for the
following fees:
(a)
An annual asset
management fee accrues in an amount equal to 0.5% of the Invested
Assets of the Partnership. “Invested Assets” is defined
as the sum of the Partnership’s Investment in Local Limited
Partnerships, plus the reserves of the Partnership of up to 5% of
gross Partnership Unit sales proceeds, and the Partnership’s
allocable share of the amount of the mortgage loans and other debts
related to the Housing Complexes owned by such Local Limited
Partnerships. Asset management fees of $11,660 and $20,788 were
incurred during the six months ended September 30, 2020 and 2019,
respectively.
(b)
The Partnership
reimburses the General Partner or its affiliates for operating
expenses incurred by the Partnership and paid for by the General
Partner or its affiliates on behalf of the Partnership. Operating
expense reimbursements of $122,780 and $0 were made during the six
months ended September 30, 2020 and 2019,
respectively.
(c)
A subordinated
disposition fee will be paid in an amount equal to 1% of the sales
price of real estate sold. Payment of this fee is subordinated to
the Limited Partners receiving a return on investment (as defined
in the Partnership Agreement) and is payable only if the General
Partner or its affiliates render services in the sales effort. No
disposition fees have been incurred for all periods
presented.
The
accrued fees and expenses due to the General Partner and affiliates
consist of the following at:
|
September
30,
2020
|
March
31,
2020
|
|
|
|
Asset management
fee payable
|
$1,445,796
|
$1,434,136
|
Expense paid by the
General Partner or an affiliate on behalf of the
Partnership
|
47,559
|
91,030
|
|
|
|
Total
|
$1,493,355
|
$1,525,166
|
The General Partner and/or its affiliates do not anticipate that
these accrued fees will be paid until such time as capital reserves
are in excess of future foreseeable working capital requirements of
the Partnership.
The Partnership currently has insufficient working capital to fund
its operations. Associates has agreed to continue providing
advances sufficient enough to fund the operations and working
capital requirements of the Partnership through November 30,
2021.
NOTE 4 – DUE FROM AFFILIATES, NET
The Partnership is not obligated to fund advances to the Local
Limited Partnerships. Occasionally, when Local Limited Partnerships
encounter operational issues the Partnership may decide to advance
funds to assist the Local Limited Partnerships.
As of September 30, 2020 and March 31, 2020, the Partnership
advanced $0 and $763,336 to Davenport Housing VII, L.P., in which
the Partnership is a limited partner. All advances were reserved in
full in the year they were advanced. During the six months ended
September 30, 2020, all advances and reserves were written off due
to the disposition of the Local Limited Partnership.
15
WNC HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
(A
California Limited Partnership)
NOTES TO CONDENSED FINANCIAL STATEMENTS - CONTINUED
For the Quarterly Period Ended September 30, 2020
(Unaudited)
NOTE 5 – PAYABLES TO LOCAL LIMITED PARTNERSHIPS
Payables to Local Limited Partnerships amounting to $0 and $245,113
at September 30, 2020 and March 31, 2020, respectively, represent
amounts which are due at various times based on conditions
specified in the Local Limited Partnership agreements. These
contributions are payable in installments and are generally due
upon the Local Limited Partnerships achieving certain operating and
development benchmarks (generally within two years of the
Partnership’s initial investment). The outstanding
payable amount of $245,113 was written off and included in the gain
on sale during the period ended September 30, 2020, as the
Partnership sold its interest in the related Local Limited
Partnership.
NOTE 6 - CONTINGENCY
The spread of a novel strain of coronavirus (COVID-19) has caused
significant business disruptions in the United States beginning in
the first quarter of 2020. The economic impact of the business
disruptions caused by COVID-19 is uncertain. The extent of any
effects these disruptions may have on the operations and financial
performance of the Partnership will depend on future developments,
including possible impacts on the operations of the underlying real
estate of its investments, which cannot be determined.
16
Item 2. Management's Discussion and
Analysis of Financial Condition and Results of
Operations
Forward Looking Statements
With
the exception of the discussion regarding historical information,
this “Management’s Discussion and Analysis of Financial
Condition and Results of Operations” and other discussions
elsewhere in this Form 10-Q contain forward looking statements.
Such statements are based on current expectations subject to
uncertainties and other factors which may involve known and unknown
risks that could cause actual results of operations to differ
materially from those projected or implied. Further, certain
forward-looking statements are based upon assumptions about future
events which may not prove to be accurate.
Risks
and uncertainties inherent in forward looking statements include,
but are not limited to, the Partnership’s future cash flows
and ability to obtain sufficient financing, level of operating
expenses, conditions in the Low Income Housing Tax Credit property
market and the economy in general, as well as legal proceedings.
Historical results are not necessarily indicative of the operating
results for any future period.
Subsequent
written and oral forward looking statements attributable to the
Partnership or persons acting on its behalf are expressly qualified
in their entirety by cautionary statements in this Form 10-Q and in
other reports filed with the SEC.
The
following discussion and analysis compares the results of
operations for the three and six months ended September 30, 2020
and 2019, and should be read in conjunction with the condensed
financial statements and accompanying notes included within this
report.
Financial Condition
The
Partnership’s assets at September 30, 2020 consisted of
$129,000 in cash and cash equivalents and other assets of $4,000.
Liabilities at September 30, 2020 consisted of $1,493,000 in
accrued fees and expenses due to the General Partner and
affiliates.
Results of Operations
Three Months Ended September 30, 2020 Compared to Three Months
Ended September 30, 2019 The Partnership’s net loss
for the three months ended September 30, 2020 was $50,000,
reflecting a decrease of $27,000 from the $77,000 net loss
experienced for the three months ended September 30, 2019.
Asset management fees decreased by
$7,000 during the three months ended September 30, 2020. The fees
are calculated based on the value of invested assets, which
decreased due to the sales of Local Limited Partnerships.
Legal and accounting fees increased by $10,000 during the three
months ended September 30, 2020 due to timing of services and
payments. Other expenses increased by $11,000 during the three
months ended September 30, 2020 compared to the three months ended
September 30, 2019, mainly due to printing cost incurred for proxy
statements. The equity in losses of Local Limited Partnerships
decreased by $41,000 for the three months ended September 30, 2020.
Equity in losses can vary based on the operations of the underlying
Housing Complexes of the Local Limited Partnerships. Reporting fees
decreased by $1,000 during the three months ended September 30,
2020. Reporting fees vary depending on when the Local Limited
Partnerships’ cash flows will allow for the
payment.
17
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations, continued
Six Months Ended September 30, 2020 Compared to Six Months Ended
September 30, 2019 The Partnership’s net income
for the six months ended September 30, 2020 was $129,000,
reflecting an increase of $709,000 from the $580,000 net loss
experienced for the six months ended September 30, 2019. Impairment
loss decreased by $439,000 for the six months ended September 30,
2020 compared to the six months ended September 30, 2019.
Impairment loss can vary from year to year depending on the
operations of the Local Limited Partnerships and the amount of Low
Income Housing Tax Credits that are allocated each year to the
Partnership. Legal and accounting fees increased by $27,000 during
the six months ended September 30, 2020 due to the timing of
accounting work performed. Asset
management fees decreased by $9,000 during the six months ended
September 30, 2020. The fees are calculated based on the value of
invested assets, which decreased due to the sales of Local Limited
Partnerships. Other expenses increased by $9,000 due
mainly to printing cost incurred
during the six months ended September 30, 2020. The equity
in losses of Local Limited Partnerships decreased by $86,000 for
the six months ended September 30, 2020. Equity in losses can vary
based on the operations of the underlying Housing Complexes of the
Local Limited Partnerships. Gain on
sale of Local Limited Partnerships during the six months ended
September 30, 2020 was $206,000 compared to no gain on sale of
Local Limited Partnerships during the six months ended September
30, 2019. The gains recorded vary from period to period depending
on sale prices and values of Local Limited Partnerships
sold. Other income increased by $6,000 during the six months
ended September 30, 2020 due to remaining cash reserves received
after the sale of the related Local Limited Partnership.
Reporting fees decreased by $1,000 during the six months ended
September 30, 2020 compared to the six months ended September 30,
2019. Reporting fees vary depending on when the Local Limited
Partnerships’ cash flows will allow for the
payment.
Liquidity and Capital Resources
Six Months Ended September 30, 2020 Compared to Six Months Ended
September 30, 2019 The decrease in cash and cash equivalents
during the six months ended September 30, 2020 was $100,000
compared to a $3,000 increase in cash and cash equivalents during
the six months ended September 30, 2019. During the six months
ended September 30, 2020, the Partnership paid $123,000 in
operating expenses to the General Partner or affiliates compared to
$0 paid during the six months ended September 30, 2019. Each
quarter the Partnership evaluates its cash position and determines
how much of operating expense reimbursements will be paid to the
General Partner or affiliates. In addition, the Partnership
received $1,000 less in reporting fees during the six months ended
September 30, 2020 compared to the six months ended September 30,
2019. Reporting fees vary depending on when the Local Limited
Partnerships’ cash flows will allow for the payment.
The Partnership received $13,000 of
net disposition proceeds and $6,000 from cash reserves from the
sale of a Local Limited Partnerships during the six months ended
September 30, 2020 compared to no disposition proceeds or other
income received during the six months ended September 30,
2019.
During
the six months ended September 30, 2020, accrued payables, which
consist primarily of related party asset management fees and
advances due to the General Partner and affiliates, decreased by
$32,000. The General Partner does not anticipate that these accrued
fees and advances will be paid until such time as capital reserves
are in excess of foreseeable working capital requirements of the
Partnership.
The
Partnership expects its future cash flows, together with its net
available assets as of September 30, 2020, to be insufficient to
meet all currently foreseeable future cash requirements. Associates
has agreed to continue providing advances sufficient enough to fund
the operations and working capital requirements of the Partnership
through November 30, 2021.
18
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations, continued
Recent Accounting Changes
In May 2014, the Financial Accounting Standards Board (the
“FASB”) issued Accounting Standards Update
2014-09, Revenue from Contracts with
Customers (Topic 606) (“ASU 2014-09”), as amended by
subsequent Accounting Standards Updates (collectively, “ASC
606”). The Partnership adopted ASC 606 during 2019 and
applied the guidance on a retrospective basis. There was no impact
as a result of the adoption of ASU 2014-09 to recognize revenue on
the financial statements of the Partnership as the reporting fee
income is immaterial.
In August 2016, the FASB issued Accounting Standards Update
2016-15, Statement of Cash
Flows (Topic 230), Classification of
Certain Cash Receipts and Cash Payments. The Partnership adopted the update during the
year ended March 31, 2020 on a retrospective basis. The effect of
the adoption was the application of an accounting policy election
to classify distributions received from investees using the nature
of the distribution approach. The Partnership classifies
distributions from tax credit investments as returns on investment
because the design of the local limited partnership is to generate
tax credits and losses rather than income from operations.
Application of the accounting policy election had no impact on the
presentation in the statements of cash flows in the current or
prior reporting periods.
Item 3. Quantitative and Qualitative
Disclosures About Market Risks
NOT
APPLICABLE
Item 4. Controls and
Procedures
(a)
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 Chief Executive Officer and Chief
Financial Officer of Associates, carried out an evaluation of the
effectiveness of the Partnership’s “disclosure controls
and procedures” as defined in Securities Exchange Act of 1934
Rule 13a-15 and 15d-15. Based on that evaluation, the Chief
Executive Officer and Chief Financial Officer have concluded that,
as of the end of the period covered by this report, the
Partnership’s disclosure controls and procedures were not
effective to ensure that material information required to be
disclosed in the Partnership’s periodic report filings with
SEC is recorded, processed, summarized and reported within the time
period specified by the SEC’s rules and forms, consistent
with the definition of “disclosure controls and
procedures” under the Securities Exchange Act of
1934.
The
Partnership must rely on the Local Limited Partnerships to provide
the Partnership with certain information necessary to the timely
filing of the Partnership’s periodic reports. Factors in the
accounting at the Local Limited Partnerships have caused delays in
the provision of such information during past reporting periods,
and resulted in the Partnership’s inability to file its
periodic reports in a timely manner.
Once
the Partnership has received the necessary information from the
Local Limited Partnerships, the Chief Executive Officer and the
Chief Financial Officer of Associates believe that the material
information required to be disclosed in the Partnership’s
periodic report filings with SEC is effectively recorded,
processed, summarized and reported, albeit not in a timely manner.
Going forward, the Partnership will use the means reasonably within
its power to impose procedures designed to obtain from the Local
Limited Partnerships the information necessary to the timely filing
of the Partnership’s periodic reports.
(b)
Changes in internal controls
There
were no changes in the Partnership’s internal control over
financial reporting that occurred during the quarter ended
September 30, 2020 that materially affected, or are reasonably
likely to materially affect, the Partnership’s internal
control over financial reporting.
19
Part II.
|
Other Information
|
|
|
Item 1.
|
Legal Proceedings
NONE
|
Item 1A.
|
Risk Factors
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No
material changes in risk factors as previously disclosed in the
Partnership’s Form 10-K.
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Item 2.
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Unregistered Sales of Equity
Securities and Use of Proceeds
|
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|
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NONE
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Item 3.
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Defaults Upon Senior
Securities
|
|
|
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NONE
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Item 4.
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Mine Safety Disclosures
NOT
APPLICABLE
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Item 5.
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Other Information
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NONE
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Item 6.
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Exhibits
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Certification of
the Principal Executive Officer pursuant to Rule 13a-14 and 15d-14,
as adopted pursuant to section 302 of the Sarbanes-Oxley Act of
2002. (filed herewith)
Certification of
the Principal Financial Officer pursuant to Rule 13a-14 and 15d-14,
as adopted pursuant to section 302 of the Sarbanes-Oxley Act of
2002. (filed herewith)
Section 1350
Certification of the Chief Executive Officer. (filed
herewith)
Section 1350
Certification of the Chief Financial Officer. (filed
herewith)
101
Interactive data
files pursuant to Rule 405 of Regulation S-T: (i) the Condensed
Balance Sheets at September 30, 2020 and March 31, 2020, (ii) the
Condensed Statements of Operations for the three and six months
ended September 30, 2020 and September 30, 2019, (iii) the
Condensed Statements of Partners’ Equity (Deficit) for the
six months ended September 30, 2020 and 2019, (iv) the Condensed
Statements of Cash Flows for the six months ended September 30,
2020 and September 30, 2019 and (v) the Notes to Condensed
Financial Statements.
Exhibits 32.1,
32.2 and 101 shall not be deemed “filed” for purposes
of Section 18 of the Securities Exchange Act of 1934, or
otherwise subject to the liability of that Section. Such exhibits
shall not be deemed incorporated by reference into any filing under
the Securities Act of 1933 or Securities Exchange Act of
1934.
20
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to
be signed on its behalf by the undersigned, thereunto duly
authorized.
WNC
HOUSING TAX CREDIT FUND VI, L.P., SERIES 13
By: WNC National
Partners,
LLC
General
Partner
By:
/s/ Wilfred N. Cooper,
Jr.
Wilfred
N. Cooper, Jr.
President and Chief Executive Officer of WNC & Associates,
Inc.
Date:
November 10, 2020
By:
/s/ Camille
Longino
Camille
Longino
Senior
Vice President – Chief Financial Officer of WNC &
Associates, Inc.
Date:
November 10, 2020
21