H.R.893 - Working Families Housing Tax Credit Act (119th Congress)
Summary
H.R. 893, the Working Families Housing Tax Credit Act, introduces a new tax credit designed to encourage the development of housing for working families. The bill amends the Internal Revenue Code of 1986 to create this credit, which aims to support teachers, firefighters, police officers, veterans, and other hard-working Americans by incentivizing the production of quality housing. The Act also includes provisions for loans and grants to local governments in rural and exurban areas for infrastructure projects related to these housing developments.
Expected Effects
The bill's passage would likely increase the supply of affordable housing for working families through tax incentives and direct financial support. It could also stimulate local economies in rural and exurban areas by funding infrastructure improvements. The new tax credit could reduce federal tax revenue, requiring adjustments in other areas of the budget.
Potential Benefits
- Increased availability of affordable housing for working families.
- Stimulation of economic activity in rural and exurban areas through infrastructure development.
- Support for essential workers such as teachers, firefighters, and police officers.
- Potential for improved community well-being and social cohesion.
- Encouragement of private sector investment in affordable housing.
Potential Disadvantages
- Potential strain on federal budget due to the new tax credit.
- Risk of inefficient allocation of resources if projects are not carefully vetted.
- Complexity of the tax credit could create administrative burdens.
- Possible displacement of existing residents in areas undergoing development.
- Potential for unintended consequences if the credit is not properly targeted.
Most Disadvantaged Areas:
Constitutional Alignment
The bill aligns with the Constitution's general welfare clause (Article I, Section 8), which empowers Congress to provide for the well-being of the nation. The tax credit and infrastructure grants are intended to promote housing and community development, which can be seen as contributing to the general welfare. The bill does not appear to infringe on any specific individual rights or liberties protected by the Bill of Rights.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).