Bill > HR4204

This bill, the Affordable HOUSE Act of 2021 or the Affordable Housing Opportunities for Utilization, Sustainment, and Expansion Act of 2021, amends the Internal Revenue Code to modify the low-income housing credit basis limitation rules in the case of the acquisition of an existing building. Specifically, it limits the taxpayer's basis attributable to the acquisition of a building to the lowest amount paid for the building in the 10 years prior, plus the value of any capital improvements made by the previous owner. Additionally, it changes the "placed in service" rule to require that the building was not owned by the taxpayer or a related person during the 5-year period prior to the taxpayer's acquisition. These changes apply to buildings placed in service after December 31, 2020.