,i #aacth ,,congress #b;d ,session ,h4 ,r4 #ddgi ,,in ,,the ,,house ,,of ,,representatives ,april #aj1 #bjad ,mr4 ,rangel introduced the following bill2 which was referred to the ,committee on ,ways and ,means ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to provide a renter's credit4 #a4 ,short title ,this ,act may be cited as the ,renters ,tax ,credit ,act of #bjad4 #b4 ,renters tax credit 7a7 ,in general ,subpart ,d of part ,,iv of subchapter ,a of chapter #a of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new section3 #de,s4 ,renters credit 7a7 ,in general ,for purposes of section #ch1 in the case of a qualified credit recipient1 the renters credit for any taxable year is an amount equal to the sum of the renter's credit amounts allocated to such qualified credit recipient under this section for months ending during the taxable year4 7b7 ,renter's credit amount 7#a7 ,in general ,for purposes of this section1 the term renters credit amount means the rent reduction amount with respect to each rental unit which is occupied by a qualified renter4 7#b7 ,qualified renter ,for purposes of this section1 the term qualified renter means a family unit with income not greater than the higher of-- 7,a7 #fj percent of local median income1 or 7,b7 #aej percent of the ,federal poverty line1 in each case as determined by the ,secretary of ,housing and ,urban ,development for a family of the size involved4 7#c7 ,rent reduction amount ,for purposes of this section-- 7,a7 ,in general ,the term rent reduction amount is the amount by which the fair market rent for the unit involved exceeds the rent charged to the qualified renter4 7,b7 ,limitation ,the rent reduction amount taken into account under this section shall not exceed the excess of-- 7i7 the rent charged to the qualified renter 7or1 if lower1 specified modest rent71 over 7ii7 #cj percent of the qualified renter's income 7prorated monthly7 as determined by the renters credit agency of the ,state4 7,c7 ,specified modest rent ,the term specified modest rent means-- 7i7 the ,fair ,market ,rent determined by the ,secretary of ,housing and ,urban ,development for the zip code 7if the unit is located in a metropolitan area7 or non-metropolitan county1 or 7ii7 such amount as may be determined by the ,state with respect to the area in which the unit is located if such amount is within #be percent of the amount determined under clause 7i7 with respect to such unit4 7,d7 ,utilities ,the renters credit agency of the ,state may determine whether and how to take into account the cost of utilities in determining the rent reduction amount4 7,e7 ,credit adjustment ,the renters credit agency of the ,state may elect to increase the rent reduction amount such that such amount does not exceed #aaj percent of such amount as determined without regard to this subparagraph4 7c7 ,qualified credit recipient ,for purposes of this section1 the term qualified credit recipient means1 with respect to any rental unit occupied by a qualified renter1 the owner of such unit but only to the extent of the renters credit amounts which have been allocated to such person by the renters credit agency4 ,in lieu of the owner of the unit1 the renters credit agency may treat the lender of any loan to such owner as the qualified credit recipient if such unit secures such loan4 7d7 ,allocations by renters credit agency to credit recipients 7#a7 ,in general ,the renters credit agency may make allocations of renters credit amounts to qualified credit recipients under this section on the basis of-- 7,a7 the identity of the qualified renter1 such that the renters credit amount is allowed to the owner of any rental unit which such qualified renter occupies 7or the lender referred to in subsection 7c77 for any month1 or 7,b7 one or more rental units1 such that the renters credit amount is allowed to the owner of such units 7or the lender referred to in subsection 7c77 for such months as such units are occupied by a qualified renter4 7#b7 ,restrictions on unit based allocations ,a renters credit agency may make allocations of renters credit as described in paragraph 7#a77;,b7 only if-- 7,a7 such units are part of a project or building in which not more than #dj percent of the units receive allocations under this section 7the ,secretary may provide such exceptions to the requirement of this subparagraph as the ,secretary determines appropriate for small buildings or buildings with respect to which more than #dj percent of the units were previously subsidized under other ,federal programs71 and 7,b7 the ,secretary has approved a mobility plan submitted by such renters credit agency which provides for an adequate method to ensure that qualified renters have the ability to move from a unit which is eligible for credit under this section without losing the rent subsidy provided by this section4 7e7 ,allocations of credit authority to ,state agencies 7#a7 ,renters credit dollar amount for agencies 7,a7 ,state limitation ,the aggregate credit amounts which a renters credit agency may allocate for any calendar year is the portion of the ,state renters credit ceiling allocated under this paragraph for such calendar year to such agency4 7,b7 ,state ceiling initially allocated to ,state housing credit agencies ,except as provided in subparagraphs 7,d7 and 7,e71 the ,state renters credit ceiling for each calendar year shall be allocated to the renters credit agency of such ,state4 ,if there is more than #a renters credit agency of a ,state1 all such agencies shall be treated as a single agency4 7,c7 ,state renters credit ceiling ,the ,state renters credit ceiling applicable to any ,state and any calendar year shall be an amount equal to the sum of-- 7i7 the unused ,state renters credit ceiling 7if any7 of such ,state for the preceding calendar year1 7ii7 the greater of-- 7,i7 #ag4ej multiplied by the ,state population1 or 7,,ii7 #bj1jjj1jjj1 7iii7 the amount of ,state renters credit ceiling returned in the calendar year1 plus 7iv7 the amount 7if any7 allocated under subparagraph 7,d7 to such ,state by the ,secretary4 ,for purposes of clause 7i71 the unused ,state renters credit ceiling for any calendar year is the excess 7if any7 of the sum of the amounts described in clauses 7ii7 through 7iv7 over the aggregate renters credit dollar amount allocated for such year4 7,d7 ,unused renters credit carryovers allocated among certain ,states 7i7 ,in general ,the unused renters credit carryover of a ,state for any calendar year shall be assigned to the ,secretary for allocation among qualified ,states for the succeeding calendar year4 7ii7 ,unused renters credit carryover ,for purposes of this subparagraph1 the unused renters credit carryover of a ,state for any calendar year is the excess 7if any7 of-- 7,i7 the unused ,state renters credit ceiling for the year preceding such year1 over 7,,ii7 the aggregate renters credit dollar amount allocated for such year4 7iii7 ,formula for allocation of unused housing credit carryovers among qualified ,states ,the amount allocated under this subparagraph to a qualified ,state for any calendar year shall be the amount determined by the ,secretary to bear the same ratio to the aggregate unused renters credit carryovers of all ,states for the preceding calendar year as such ,state's population for the calendar year bears to the population of all qualified ,states for the calendar year4 ,for purposes of the preceding sentence1 population shall be determined in accordance with section #adf7;j74 7iv7 ,qualified ,state ,for purposes of this subparagraph1 the term qualified ,state means1 with respect to a calendar year1 any ,state-- 7,i7 which allocated its entire ,state renters credit ceiling for the preceding calendar year1 and 7,,ii7 for which a request is made 7not later than ,may #a of the calendar year7 to receive an allocation under clause 7iii74 7,e7 ,application of certain rules ,for purposes of this paragraph1 rules similar to the rules of subparagraphs 7,e71 7,f71 and 7,g7 of section #db7;h77#c7 shall apply4 7,f7 ,inflation adjustment 7i7 ,in general ,in the case of a calendar year after #bjac1 the #bj1jjj1jjj and #ag4ej amounts in subparagraph 7,c7 shall each be increased by an amount equal to-- 7,i7 such dollar amount1 multiplied by 7,,ii7 the cost-of-living adjustment determined under section #a7;f77#c7 for such calendar year by substituting calendar year #bjja for calendar year #aiib in subparagraph 7,b7 thereof4 7ii7 ,rounding 7,i7 ,in the case of the #bj1jjj1jjj amount1 any increase under clause 7i7 which is not a multiple of #ej1jjj shall be rounded to the next lowest multiple of #ej1jjj4 7,,ii7 ,in the case of the #ag4ej amount1 any increase under clause 7i7 which is not a multiple of #ej cents shall be rounded to the next lowest multiple of #ej cents4 7f7 ,other definitions ,for purposes of this section-- 7#a7 ,renters credit agency ,the term renters credit agency means1 with respect to any ,state1 the housing credit agency of such ,state 7as defined in section #db7;h77#h77;,a77 or such other agency as is authorized to carry out the activities of the renters credit agency under this section4 7#b7 ,possessions treated as ,states ,the term ,state includes a possession of the ,united ,states4 7g7 ,regulations ,the ,secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section4 4 7b7 ,credit ,to be part of general business credit 7#a7 ,in general ,subsection 7b7 of section #ch of such ,code is amended by striking plus at the end of paragraph 7#ce71 by striking the period at the end of paragraph 7#cf7 and inserting 1 plus1 and by adding at the end the following new paragraph3 7#cg7 the renters credit determined under section #de,s7a74 4 7#b7 ,credit allowable against alternative minimum tax ,subparagraph 7,b7 of section #ch7;c77#d7 of such ,code is amended by redesignating clauses 7vii7 through 7ix7 as clauses 7viii7 through 7x71 respectively1 and by inserting after clause 7vi7 the following new clause3 7vii7 the credit determined under section #de,s1 4 7c7 ,clerical amendment ,the table of sections for subpart ,d of part ,,iv of subchapter ,a of chapter #a of such ,code is amended by adding at the end the following new item3 ,sec4 #de,s4 ,renters credit4 4 7d7 ,effective date ,the amendments made by this section shall apply to allocations made for calendar years after #bjad and to taxable years ending after ,december #ca1 #bjad4