(Updated Information July 20, 2010) The Senate is now on the verge of passing H.R. 4213, which among its many provisions had once included $1B in funding for the National Housing Trust Fund (NHTF) and the extension of the 9 percent Low Income Housing Tax Credit (LIHTC) exchange program.

Both provisions are now NOT part of the final legislation being voted upon today in the Senate. According to our advocates in Washington DC, we are hoping to see the Senate reconsider adding these provisions within another bill next week.

(from A.C.T.I.O.N) The Senate failed in its efforts to advance H.R. 4213, which among its many provisions included the extension of the 9 percent Low Income Housing Tax Credit (LIHTC) exchange program, the GO Zone LIHTC placed in service deadline, the LIHTC exchange program to apply to disaster LIHTC, and the New Markets Tax Credit (NMTC) program and allowing the NMTC to be taken against alternative minimum tax.

(UPDATE) Senate leaders introduced another pared-down version of H.R. 4213, the American Jobs and Closing Tax Loopholes Act of 2010 (the extender bill), on Thursday, June 24. Funding for the National Housing Trust Fund and the several Low Income Housing Tax Credit provisions remained in the bill. Unfortunately, another cloture vote on June 24 failed 57-41, signaling that even the new version would not attract the 60 votes required to move the bill forward. Most likely the bill will not be taken up again until after the July 4 recess.

SCANPH now provides the following new Policy Briefs on Low Income Housing Tax Credits (LIHTC) Fact Sheet and Federal Policy Snapshot for June 3, 2010.

LOW INCOME HOUSING TAX CREDITS (LIHTC)
The Low Income Housing Tax Credits (LIHTC) Program is based on Section 42 of the Internal Revenue Code, which was enacted by Congress in 1986 to provide the private market with an incentive to invest in affordable rental housing. The program is an indirect Federal subsidy used to finance the development of affordable rental housing for low-income households.