Bill
LC 3243
Overview: Bill Number: LC 3243, Title: Provide tax credit to landlords that rent for below market rate, Status: (LC) Draft Delivered to Requester, Introduced: December 14, 2024Purp
Overview: Bill Number: LC 3243, Title: Provide tax credit to landlords that rent for below market rate, Status: (LC) Draft Delivered to Requester, Introduced: December 14, 2024
Purpose and Intent: The main goal of this bill is to incentivize landlords to offer rental units at below-market rates by providing them with a state tax credit. The intent is to increase the availability of affordable housing options for low- and moderate-income individuals and families.
Key Provisions:
- Establishes a state tax credit for landlords who rent at least 20% of their units at 20% or more below the local fair market rent
- The tax credit would be equal to 50% of the difference between the market rent and the reduced rent for each qualifying unit
- Landlords must agree to maintain the reduced rents for at least 5 years to be eligible for the credit
- The total amount of tax credits available would be capped at $10 million per year
Affected Parties and Impacts:
- Landlords who choose to participate would benefit from the tax credit, potentially offsetting some of the reduced rental income
- Low- and moderate-income tenants would have access to more affordable housing options in their communities
- The state would forgo some tax revenue due to the tax credits, but aims to offset this with increased economic activity and reduced demand for other social services
Procedural and Timeline Considerations:
- This bill is currently in the draft stage and has been delivered to the requester
- If enacted, the tax credit program would take effect starting in the 2025 tax year
- The bill would need to pass through the normal legislative process before becoming law
Compiled from official sources — confirm details with the bill’s official record.
Sign in to ask a question.
