LIHTC Front and Center at Senate Finance Committee Hearing

August 1, 2017                          By:  Donna Kimura & Christine Serlin

Key legislators discuss housing crisis, credit program, and tax reform

The low-income housing tax credit (LIHTC), an essential tool in addressing the nation’s housing crisis, must be considered as Congress begins its tax reform efforts, stressed a key lawmaker.

The LIHTC program is a key part of the tax reform puzzle, said Ron Wyden (D-Ore.), ranking member of the Senate Finance Committee, who called the lack of affordable housing a “five-alarm fire across the country.”

Maria Cantwell

During an Aug. 1 committee hearing on affordable housing, Wyden discussed how the longtime LIHTC can remain whole amid the upcoming efforts to overhaul the tax system.

“Reducing the corporate tax rate could reduce the value of the low-income housing tax credit and thus investor demand,” he said. “We’ve heard some talk about the credit declining by up to 17%.”....................Read More