Bipartisan Tax Bill Containing Top Housing Credit Provisions Passes House and Awaiting Consideration in Senate -

The Tax Relief for American Families and Workers Act of 2024, bipartisan tax legislation containing two top Housing Credit production priorities—restoring the 12.5 percent Housing Credit allocation increase for 2023-2025, and lowering the 50 percent bond financing threshold to 30 percent for 2024-2025—passed the House by an overwhelming majority (357-70, with 188 Democrats and 169 Republicans) in early February.

The Senate is now in recess, and they are scheduled to return on Monday, February 26. The chamber could take up tax legislation later this month upon their return, but Senate Republican leadership and members of their caucus have not yet indicated willingness to move forward on the legislation.

TAAHP recently signed a letter, alongside 120 national and state affordable housing organizations, urging the Senate to enact the housing provisions included in the tax bill.

“America has been in the midst of a housing crisis for a long time, but never has it been more acute than it is now, particularly for low-income families, seniors on fixed incomes, people with disabilities, and other vulnerable populations,” says the letter to Sens. Chuck Schumer (D-N.Y.), the majority leader, and Mitch McConnell (R-Ky.), the minority leader.

Inclusion of these Housing Credit provisions reflects the widespread bipartisan support for the Affordable Housing Credit Improvement Act (H.R. 3238 / S. 1557), which currently has 218 supporters in the House and 30 co-sponsors in the Senate. These AHCIA co-sponsors include over three-fourths of the House Ways and Means Committee (which has jurisdiction over the Housing Credit), over half of the House Financial Services Committee (which has jurisdiction over many housing issues), and nine House committee chairs.