A bill to amend the Internal Revenue Code of 1986 to reform the low-income housing credit, and for other purposes.

Introduced in Senate
Affordable Housing Credit Improvement Act of 2017

This bill amends the Internal Revenue Code, with respect to the low-income
housing credit, to rename the credit "the affordable housing credit" and make
several modifications to the credit. 

The bill increases state allocations for the credit and modifies the
cost-of-living adjustments. It also revises tenant eligibility requirements,
with respect to: 

 *  the average income test, 
 * income eligibility for rural projects, 
 *  increased tenant income, 
 *  student occupancy rules, and
 * tenant voucher payments that are taken into account as rent. 

The bill revises various requirements to:

 *  establish a 4% minimum credit rate for certain projects, 
 * permit relocation costs to be taken into account as rehabilitation
 *  repeal the qualified census tract population cap, 
 * require housing credit agencies to make certain determinations regarding
   community revitalization plans, 
 *  prohibit local approval and contribution requirements, 
 *  increase the credit for certain projects designated to serve extremely
   low-income households, 
 *  increase the credit for certain bond-financed projects designated by state
 * increase the population cap for difficult development areas, and
 *  eliminate the basis reduction for affordable housing properties that are
   allowed the credit and receive certain energy-related tax credits and

The bill also modifies requirements regarding the reconstruction or replacement
period after a casualty loss, rights related to building purchases, the
prohibition on claiming acquisition credits for properties placed in service in
the previous 10 years, foreclosures, and projects that assist Native Americans.



  • Read twice and referred to the Committee on Finance.

    Mar 7th, 2017
  • Introduced in Senate

    Mar 7th, 2017