How Congress's Tax Plans Could Kill a Million Affordable Homes in a Decade

December 4, 2017                            By: Kriston Capps

Early on Saturday morning, the Senate passed a $1.5 trillion tax overhaul by a razor-thin margin. Draft pages of the tax bill were still being added to the legislation even as senators were debating taking the weekend to read the bill.

New housing construction in St. Louis. The Development is receiving federal low-income housing tax credits.//Jeff Roberson/AP

Looking at the Senate bill in the bright light of day, it’s hard to see any evidence that congressional Republicans see the tax code as a way to solve the housing affordability crisis. That’s one difference between the tax reform today and the last push in 1986, which used tax incentives to spur developers to build safe, affordable housing.

Tax reform in 2017 doesn’t include any ideas for making homes more affordable. Instead, Congress can only make the problem worse by transferring wealth to the very wealthy and sharpening income inequality. Instead of designing brand new credits to draw even more investment (profitably!) to poorer communities, the GOP is writing a tax bill to kill or curb the programs that work and funnel investment in the other direction...................Read More