house passes tax bill with housing provisions

This week the House of Representatives passed a large tax package that contains several priorities of the Trump Administration’s agenda. CHFA is glad to see that important provisions from the Affordable Housing Credit Improvement Act (AHCIA) that expands and strengthens the federal Housing Tax Credit and Private Activity Bond programs are included in the package. These provisions would:

Increase the Housing Credit volume cap for 9 percent properties by 12.5 percent for four years: calendar years 2026, 2027, 2028, and 2029;
Lower the bond financing threshold to 25 percent for 4 percent Housing Credit properties placed in service after December 31, 2025, so long as the bonds financing the project have an issue date between December 31, 2025, and January 1, 2030; and
Allow state Housing Credit agencies to provide a basis boost of up to 30 percent for properties located in rural and Native American areas placed in service after December 31, 2025, and before January 1, 2030.

CHFA is proud of the work from affordable housing advocates who voiced their support for housing to be included in the tax package and garnered support for the AHCIA. The tax package will now be considered by the Senate and is expected to advance before the July 4th holiday. View additional information about the tax bill from our national trade association.