Us Congress 2023-2024 Regular Session

Us Congress House Bill HR1553

Introduced
10/25/24  

Caption

Expressing the sense that the House of Representatives must take responsible and timely action to address the Federal tax loophole that allows Act 22 decree holders to legally evade Federal taxes.

Impact

The bill's passage could instruct Congress to reevaluate existing tax legislation related to Puerto Rico, aiming to minimize revenue losses for both state and territorial governments. Major implications include heightened scrutiny on tax incentives that may favor wealthy individuals over supporting local economic development. If effective, this could lead to more equitable taxation policies that benefit residents rather than encourage speculative investments that drive up living costs.

Summary

HR1553 expresses the House of Representatives' need to take prompt action regarding the federal tax loophole that permits holders of Act 22 exemptions to legally avoid federal taxes. The bill addresses a growing concern over the effects of such exemptions on the local economy and housing market in Puerto Rico, particularly as wealthy individuals relocate to the island to benefit from these tax incentives. This influx has contributed to significant displacement of local communities, increased housing prices, and exacerbated the already critical housing affordability crisis faced by residents.

Contention

A primary point of contention surrounding HR1553 involves the ongoing debate regarding Act 22, which provides substantial tax breaks for newcomers to Puerto Rico who meet certain criteria. Critics argue that these provisions have resulted in detrimental economic ramifications for the local population, including rising rents and insufficient affordable housing. Moreover, proponents of the exemptions believe they attract investment to a struggling economy. Thus, the bill seeks to balance these contrasting viewpoints by addressing the potential negative consequences of such tax policies on the wealth disparity and housing market in Puerto Rico.

Companion Bills

No companion bills found.

Previously Filed As

US HR493

Expressing the sense of the House of Representatives that the United States must take urgent, coordinated action to address the national housing crisis through preservation and production of affordable housing.

US HR1617

Expressing the sense of the House of Representatives that it is the duty of the Federal Government to dramatically expand and strengthen the care economy.

US HR460

Expressing the sense of the House of Representatives that the Congress should enact the Older Americans Bill of Rights to establish that older Americans should have the right to live with dignity and with independence.

US HR817

Expressing the sense of the House of Representatives that the African Americans who duly won election to the House during the post-Civil War Reconstruction Era but were wrongly denied the right to take their seats should be recognized as former Members of the House.

US HR378

Expressing the sense of the House of Representatives supporting the Federal workforce.

US HR670

Expressing the sense of the House of Representatives that all 50 States should include the events of the September 11th terrorist attacks in the curriculum of elementary and secondary schools so that people in the United States may never forget that fateful day.

US HR738

Expressing the sense of the House of Representatives that the goal of the education system shall be that virtually every American student be able to read at grade level or better.

US HR1087

Expressing the sense of the House of Representatives that any attempt by the President of the Russian Federation Vladimir Putin to remain in office beyond May 7, 2024, shall warrant nonrecognition on the part of the United States.

US HR309

Expressing the sense of the House of Representatives that the Food and Drug Administration has the authority to approve drugs for abortion care.

US HR1395

Expressing the sense of the House of Representatives that it is unacceptable that the People's Republic of China and the Russian Federation are outpacing the United States in expanding nuclear energy production and global nuclear market share.

Similar Bills

No similar bills found.