Last week the U.S. House of Representatives successfully passed the "The Tax Relief for American Families and Workers Act of 2024" (H.R. 7024) with an overwhelming majority of 357-70.
If enacted, this legislation would:
- Restore the 12.5 percent allocation increase for 2023 – 2025. This allocation increase was initially enacted in 2018 but expired in 2021. The provision in this agreement would not extend the 12.5 percent retroactively for 2022, but would restore it retroactively for 2023 and keep the provision in place for the next two years.
- Lower the 50 percent bond financing threshold to 30 percent for Private Activity Bond (PAB) allocations made in 2024 – 2025.
Together, the approved provisions are estimated to finance the production or preservation of over 200,000 additional affordable homes, according to Novogradac. Enacting these provisions would also position our priorities for potential extension in 2025, when Congress is expected to enact major tax legislation due to the expiration of the individual tax provisions that were included in the Tax Cuts and Jobs Act of 2017 and now this current tax legislation.
The bill will now head to the U.S. Senate for consideration. TAAHP will need your help when the time comes to get this legislation over the finish line. Please stay tuned for a call to action when this important legislation is up for a vote in the Senate. Contact your legislators to urge them to VOTE YES in support of increasing the supply of affordable housing.