I
119THCONGRESS
1
STSESSION H. R. 308
To amend the Internal Revenue Code of 1986 to provide tax incentives
for rental housing for members of the Armed Forces.
IN THE HOUSE OF REPRESENTATIVES
JANUARY9, 2025
Mr. M
OOREof Utah (for himself and Ms. STRICKLAND) introduced the
following bill; which was referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to provide
tax incentives for rental housing for members of the
Armed Forces.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE; SENSE OF CONGRESS. 3
(a) S
HORTTITLE.—This Act may be cited as the 4
‘‘Low Income Housing for Defense Communities Act’’. 5
(b) S
ENSE OFCONGRESS.—It is the sense of Con-6
gress that in addition to expanding and strengthening the 7
affordable housing credit for active duty military members 8
through the provisions in the Low Income Housing for De-9
fense Communities Act, further steps should be taken to 10
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•HR 308 IH
drive investment into affordable housing projects in the 1
United States and boost overall housing supply for work-2
ers and families in the United States, such as the Afford-3
able Housing Credit Improvement Act of 2023. 4
SEC. 2. TAX INCENTIVES FOR RENTAL HOUSING FOR MEM-5
BERS OF THE ARMED FORCES. 6
(a) M
ILITARYBASICHOUSINGALLOWANCENOT 7
T
AKENINTOACCOUNT INAPPLYINGCERTAININCOME 8
R
ESTRICTIONS ONRESIDENTIALRENTALPROJECTS.— 9
(1) L
OW-INCOME HOUSING TAX CREDIT .—Sec-10
tion 42(i) of the Internal Revenue Code of 1986 is 11
amended by adding at the end the following new 12
paragraph: 13
‘‘(10) I
NCOME DETERMINED WITHOUT REGARD 14
TO MILITARY BASIC HOUSING ALLOWANCE .—Pay-15
ments under section 403 of title 37, United States 16
Code, as a basic pay allowance for housing shall not 17
be taken into account in determining income for 18
purposes of this section.’’. 19
(2) T
AX-EXEMPT BONDS FOR QUALIFIED RESI -20
DENTIAL RENTAL PROJECTS .— 21
(A) I
N GENERAL.—Section 142(d)(2)(B) 22
of such Code, as amended by subparagraph (B), 23
is amended by inserting after clause (i) the fol-24
lowing new clause: 25
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‘‘(ii) INCOME DETERMINED WITHOUT 1
REGARD TO MILITARY BASIS HOUSING AL -2
LOWANCE.—Payments under section 403 3
of title 37, United States Code, as a basic 4
pay allowance for housing shall not be 5
taken into account in determining income 6
for purposes of clause (i).’’. 7
(B) R
EPEAL OF DEADWOOD .—Section 8
142(d)(2)(B) of such Code is amended by strik-9
ing clauses (ii), (iii), and (iv). 10
(3) E
FFECTIVE DATE.—The amendments made 11
by this subsection shall apply to determinations 12
made after the date of the enactment of this Act. 13
(b) I
NCREASE INLOW-INCOMEHOUSINGCREDIT 14
FORBUILDINGSNEARCERTAINLARGEMILITARYIN-15
STALLATION.— 16
(1) I
N GENERAL.—Section 42(d)(5)(B) of the 17
Internal Revenue Code of 1986 is amended by add-18
ing at the end the following new clause: 19
‘‘(vi) B
UILDINGS NEAR CERTAIN 20
LARGE MILITARY INSTALLATION .— 21
‘‘(I) I
N GENERAL.—Any building 22
which is located within 15 miles of a 23
large military installation shall be 24
treated as located in a difficult devel-25
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opment area which is designated for 1
purposes of this subparagraph. 2
‘‘(II) L
ARGE MILITARY INSTAL -3
LATION.—For purposes of this clause, 4
the term ‘large military installation’ 5
means any military installation with a 6
total plant replacement value (as de-7
termined by the Secretary of the De-8
fense) in excess of $2,833,000,000.’’. 9
(2) E
FFECTIVE DATE.—The amendment made 10
by this subsection shall apply to buildings placed in 11
service after the date of the enactment of this Act. 12
(3) N
O REQUIREMENT THAT BUILDINGS BE OC -13
CUPIED SOLELY BY MEMBERS OF THE ARMED 14
FORCES.—Nothing in the amendment made by this 15
subsection shall be applied or interpreted to require 16
that buildings described in section 42(d)(5)(B)(vi) of 17
the Internal Revenue Code of 1986 (as added by 18
this section) be occupied solely by members of the 19
Armed Forces. 20
Æ
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