The bill would change federal tax rules for certain affordable housing developers. Eligible taxpayers would not include qualifying government or nonprofit grants, or cash received from selling transferable state or local affordable housing tax credits, in gross income. Eligibility depends on a gross receipts test using a $36 million threshold and operating in one of the listed industries. The bill would also provide tax relief for eligible taxpayers whose qualifying affordable housing debt is discharged. A buyer of a transferable affordable housing tax credit could not deduct the amount paid for it. The changes would apply to tax years beginning after enactment.
If you are an eligible taxpayer developing or rehabilitating affordable housing, qualifying grants and cash from selling certain tax credits may be excluded from your taxable income. The bill may also affect the tax treatment of qualifying debt that is discharged. It does not change the rules for everyone receiving housing grants or credits; eligibility requirements apply.
The bill does not state a dollar cost or provide an estimate of its effect on tax revenue. It makes changes to federal tax treatment and does not specify an appropriation.
No publicly available information.
No publicly available information.