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| 2 | 2 | | HOUSE DOCKET, NO. 3988 FILED ON: 1/20/2023 |
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| 3 | 3 | | HOUSE . . . . . . . . . . . . . . . No. 2882 |
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| 4 | 4 | | The Commonwealth of Massachusetts |
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| 5 | 5 | | _________________ |
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| 6 | 6 | | PRESENTED BY: |
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| 7 | 7 | | Adrian C. Madaro |
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| 8 | 8 | | _________________ |
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| 9 | 9 | | To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General |
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| 10 | 10 | | Court assembled: |
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| 11 | 11 | | The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill: |
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| 12 | 12 | | An Act promoting housing affordability through tax relief. |
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| 13 | 13 | | _______________ |
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| 14 | 14 | | PETITION OF: |
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| 15 | 15 | | NAME:DISTRICT/ADDRESS :DATE ADDED:Adrian C. Madaro1st Suffolk1/20/2023 1 of 3 |
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| 16 | 16 | | HOUSE DOCKET, NO. 3988 FILED ON: 1/20/2023 |
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| 17 | 17 | | HOUSE . . . . . . . . . . . . . . . No. 2882 |
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| 18 | 18 | | By Representative Madaro of Boston, a petition (accompanied by bill, House, No. 2882) of |
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| 19 | 19 | | Adrian C. Madaro promoting housing affordability through tax relief. Revenue. |
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| 20 | 20 | | The Commonwealth of Massachusetts |
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| 21 | 21 | | _______________ |
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| 22 | 22 | | In the One Hundred and Ninety-Third General Court |
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| 23 | 23 | | (2023-2024) |
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| 24 | 24 | | _______________ |
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| 25 | 25 | | An Act promoting housing affordability through tax relief. |
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| 26 | 26 | | Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority |
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| 27 | 27 | | of the same, as follows: |
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| 28 | 28 | | 1 SECTION 1. Section 6 of chapter 62 of the General Laws, as amended by chapter 179 of |
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| 29 | 29 | | 2the acts of 2022, is hereby amended by inserting after subsection (bb) the following subsection:- |
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| 30 | 30 | | 3 (cc)(1) As used in this subsection, the following words shall have the following meanings |
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| 31 | 31 | | 4unless the context clearly requires otherwise: |
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| 32 | 32 | | 5 “Department”, the United States Department of Housing and Urban Development. |
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| 33 | 33 | | 6 “Qualified residential rental property”, any unsubsidized 2- to 4-unit residential rental |
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| 34 | 34 | | 7property located in the commonwealth. |
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| 35 | 35 | | 8 “Qualified rental unit”, a tenant-occupied unit in a qualified residential rental property |
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| 36 | 36 | | 9with a rent, including utilities, that does not exceed the maximum HOME rent limits for the |
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| 37 | 37 | | 10participating jurisdiction as defined by the Department; provided, however, that “qualified rental |
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| 38 | 38 | | 11unit” shall not include a unit rented to immediate family members or dependents of the qualified |
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| 39 | 39 | | 12residential rental property owner. 2 of 3 |
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| 40 | 40 | | 13 “Qualified tenant”, a household with an income no greater than 70 per cent of the area |
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| 41 | 41 | | 14median income as defined by the Department, an individual 62 years of age or older or a |
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| 42 | 42 | | 15household with at least 1 member under the age of 18. |
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| 43 | 43 | | 16 (2) Any resident who is an owner of a qualified residential rental property and who is not |
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| 44 | 44 | | 17a dependent of another taxpayer shall be allowed a credit for the difference between the |
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| 45 | 45 | | 18maximum HOME rent limit for the participating jurisdiction as defined by the Department and |
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| 46 | 46 | | 19the amount charged in rent; provided, however, that the credit shall not exceed $2,000 for each |
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| 47 | 47 | | 20qualified rental unit; provided further, that the resident shall not be allowed a credit under this |
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| 48 | 48 | | 21subsection for more than 6 qualified rental units; provided further, that the credit allowed under |
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| 49 | 49 | | 22this subsection may be in addition to any other credits, exemptions or other tax benefits allowed |
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| 50 | 50 | | 23by federal or state law and local ordinances. The credit shall be calculated based on the number |
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| 51 | 51 | | 24of months the qualified rental unit is rented to a qualified tenant; provided, however, that joint |
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| 52 | 52 | | 25owners of a qualified residential rental property shall share any credit available to the property |
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| 53 | 53 | | 26under this subsection in the same proportion as their ownership interest. |
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| 54 | 54 | | 27 Any taxpayer entitled to this credit for any taxable year, the amount of which exceeds the |
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| 55 | 55 | | 28taxpayer’s total tax due for the then current taxable year, may carry over the excess amount, as |
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| 56 | 56 | | 29reduced from year to year, and apply the excess amount to the taxpayer’s tax liability for any 1 |
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| 57 | 57 | | 30or more of the next succeeding 3 taxable years; provided, however, that in no taxable year may |
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| 58 | 58 | | 31the amount of the credit allowed exceed the total tax due of the taxpayer for the relevant taxable |
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| 59 | 59 | | 32year. |
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| 60 | 60 | | 33 (3) The commissioner shall promulgate regulations necessary to carry out this subsection. 3 of 3 |
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| 61 | 61 | | 34 SECTION 2. The second paragraph of section 62A of chapter 60 of the General |
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| 62 | 62 | | 35Laws is hereby amended by striking out the words “25 per cent” and inserting in place thereof |
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| 63 | 63 | | 36the following words: -up to 25 per cent of the amount needed to redeem the parcel or such lesser |
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| 64 | 64 | | 37percentage as the ordinance or bylaw may specify. |
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| 65 | 65 | | 38 SECTION 3. This act shall be effective for tax years beginning on or after |
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| 66 | 66 | | 39January 1, 2023. |
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