I 
113TH CONGRESS 
2D SESSION 
H. R. 4479 
To amend the Internal Revenue Code of 1986 to provide a renter’s credit. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 10, 2014 
Mr. RANGEL 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 
a renter’s credit. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Renters Tax Credit 
Act of 2014’’. 
SEC. 2. RENTERS TAX CREDIT. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new 
section: 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00001
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘SEC. 45S. RENTERS CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 38, in 
the case of a qualified credit recipient, the renters credit 
for any taxable year is an amount equal to the sum of 
the renter’s credit amounts allocated to such qualified 
credit recipient under this section for months ending dur-
ing the taxable year. 
‘‘(b) RENTER’S CREDIT AMOUNT.— 
‘‘(1) IN GENERAL.—For purposes of this sec-
tion, the term ‘renters credit amount’ means the 
rent reduction amount with respect to each rental 
unit which is occupied by a qualified renter. 
‘‘(2) QUALIFIED
RENTER.—For purposes of 
this section, the term ‘qualified renter’ means a fam-
ily unit with income not greater than the higher of— 
‘‘(A) 60 percent of local median income, or 
‘‘(B) 150 percent of the Federal poverty 
line, 
in each case as determined by the Secretary of 
Housing and Urban Development for a family of the 
size involved. 
‘‘(3) RENT
REDUCTION
AMOUNT.—For pur-
poses of this section— 
‘‘(A) IN GENERAL.—The term ‘rent reduc-
tion amount’ is the amount by which the fair 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00002
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
market rent for the unit involved exceeds the 
rent charged to the qualified renter. 
‘‘(B) LIMITATION.—The rent reduction 
amount taken into account under this section 
shall not exceed the excess of— 
‘‘(i) the rent charged to the qualified 
renter (or, if lower, specified modest rent), 
over 
‘‘(ii) 30 percent of the qualified rent-
er’s income (prorated monthly) as deter-
mined by the renters credit agency of the 
State. 
‘‘(C) 
SPECIFIED
MODEST
RENT.—The 
term ‘specified modest rent’ means— 
‘‘(i) the Fair Market Rent determined 
by the Secretary of Housing and Urban 
Development for the zip code (if the unit 
is located in a metropolitan area) or non- 
metropolitan county, or 
‘‘(ii) such amount as may be deter-
mined by the State with respect to the 
area in which the unit is located if such 
amount is within 25 percent of the amount 
determined under clause (i) with respect to 
such unit. 
VerDate Mar 15 2010 
02:00 Apr 17, 2014
Jkt 039200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘(D) UTILITIES.—The renters credit agen-
cy of the State may determine whether and how 
to take into account the cost of utilities in de-
termining the rent reduction amount. 
‘‘(E) CREDIT ADJUSTMENT.—The renters 
credit agency of the State may elect to increase 
the rent reduction amount such that such 
amount does not exceed 110 percent of such 
amount as determined without regard to this 
subparagraph. 
‘‘(c) QUALIFIED CREDIT RECIPIENT.—For purposes 
of this section, the term ‘qualified credit recipient’ means, 
with respect to any rental unit occupied by a qualified 
renter, the owner of such unit but only to the extent of 
the renters credit amounts which have been allocated to 
such person by the renters credit agency. In lieu of the 
owner of the unit, the renters credit agency may treat the 
lender of any loan to such owner as the qualified credit 
recipient if such unit secures such loan. 
‘‘(d) ALLOCATIONS BY RENTERS CREDIT AGENCY TO 
CREDIT RECIPIENTS.— 
‘‘(1) IN GENERAL.—The renters credit agency 
may make allocations of renters credit amounts to 
qualified credit recipients under this section on the 
basis of— 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘(A) the identity of the qualified renter, 
such that the renters credit amount is allowed 
to the owner of any rental unit which such 
qualified renter occupies (or the lender referred 
to in subsection (c)) for any month, or 
‘‘(B) one or more rental units, such that 
the renters credit amount is allowed to the 
owner of such units (or the lender referred to 
in subsection (c)) for such months as such units 
are occupied by a qualified renter. 
‘‘(2) RESTRICTIONS ON UNIT BASED ALLOCA-
TIONS.—A renters credit agency may make alloca-
tions of renters credit as described in paragraph 
(1)(B) only if— 
‘‘(A) such units are part of a project or 
building in which not more than 40 percent of 
the units receive allocations under this section 
(the Secretary may provide such exceptions to 
the requirement of this subparagraph as the 
Secretary determines appropriate for small 
buildings or buildings with respect to which 
more than 40 percent of the units were pre-
viously subsidized under other Federal pro-
grams), and 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘(B) the Secretary has approved a mobility 
plan submitted by such renters credit agency 
which provides for an adequate method to en-
sure that qualified renters have the ability to 
move from a unit which is eligible for credit 
under this section without losing the rent sub-
sidy provided by this section. 
‘‘(e) ALLOCATIONS
OF
CREDIT
AUTHORITY
TO 
STATE AGENCIES.— 
‘‘(1) RENTERS CREDIT DOLLAR AMOUNT FOR 
AGENCIES.— 
‘‘(A) STATE LIMITATION.—The aggregate 
credit amounts which a renters credit agency 
may allocate for any calendar year is the por-
tion of the State renters credit ceiling allocated 
under this paragraph for such calendar year to 
such agency. 
‘‘(B) STATE
CEILING
INITIALLY
ALLO-
CATED
TO
STATE
HOUSING
CREDIT
AGEN-
CIES.—Except as provided in subparagraphs 
(D) and (E), the State renters credit ceiling for 
each calendar year shall be allocated to the 
renters credit agency of such State. If there is 
more than 1 renters credit agency of a State, 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
used renters credit carryovers of all States 
for the preceding calendar year as such 
State’s population for the calendar year 
bears to the population of all qualified 
States for the calendar year. For purposes 
of the preceding sentence, population shall 
be determined in accordance with section 
146(j). 
‘‘(iv) QUALIFIED
STATE.—For pur-
poses of this subparagraph, the term 
‘qualified State’ means, with respect to a 
calendar year, any State— 
‘‘(I) which allocated its entire 
State renters credit ceiling for the 
preceding calendar year, and 
‘‘(II) for which a request is made 
(not later than May 1 of the calendar 
year) to receive an allocation under 
clause (iii). 
‘‘(E) APPLICATION OF CERTAIN RULES.— 
For purposes of this paragraph, rules similar to 
the rules of subparagraphs (E), (F), and (G) of 
section 42(h)(3) shall apply. 
‘‘(F) INFLATION ADJUSTMENT.— 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘(i) IN GENERAL.—In the case of a 
calendar year after 2013, the $20,000,000 
and $17.50 amounts in subparagraph (C) 
shall each be increased by an amount equal 
to— 
‘‘(I) such dollar amount, multi-
plied by 
‘‘(II) the cost-of-living adjust-
ment determined under section 1(f)(3) 
for such calendar year by substituting 
‘calendar year 2001’ for ‘calendar 
year 1992’ in subparagraph (B) there-
of. 
‘‘(ii) ROUNDING.— 
‘‘(I) 
In 
the 
case 
of 
the 
$20,000,000 amount, any increase 
under clause (i) which is not a mul-
tiple of $50,000 shall be rounded to 
the next lowest multiple of $50,000. 
‘‘(II) In the case of the $17.50 
amount, any increase under clause (i) 
which is not a multiple of 50 cents 
shall be rounded to the next lowest 
multiple of 50 cents. 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
‘‘(f) OTHER DEFINITIONS.—For purposes of this sec-
tion— 
‘‘(1) RENTERS
CREDIT
AGENCY.—The term 
‘renters credit agency’ means, with respect to any 
State, the housing credit agency of such State (as 
defined in section 42(h)(8)(A)) or such other agency 
as is authorized to carry out the activities of the 
renters credit agency under this section. 
‘‘(2) POSSESSIONS TREATED AS STATES.—The 
term ‘State’ includes a possession of the United 
States. 
‘‘(g) REGULATIONS.—The Secretary shall prescribe 
such regulations as may be necessary or appropriate to 
carry out the purposes of this section.’’. 
(b) CREDIT TO BE PART OF GENERAL BUSINESS 
CREDIT.— 
(1) IN GENERAL.—Subsection (b) of section 38 
of such Code is amended by striking ‘‘plus’’ at the 
end of paragraph (35), by striking the period at the 
end of paragraph (36) and inserting ‘‘, plus’’, and 
by adding at the end the following new paragraph: 
‘‘(37) the renters credit determined under sec-
tion 45S(a).’’. 
(2) CREDIT ALLOWABLE AGAINST ALTERNATIVE 
MINIMUM
TAX.—Subparagraph 
(B) 
of 
section 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS
38(c)(4) of such Code is amended by redesignating 
clauses (vii) through (ix) as clauses (viii) through 
(x), respectively, and by inserting after clause (vi) 
the following new clause: 
‘‘(vii) the credit determined under sec-
tion 45S,’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
of such Code is amended by adding at the end the fol-
lowing new item: 
‘‘Sec. 45S. Renters credit.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to allocations made for calendar 
years after 2014 and to taxable years ending after Decem-
ber 31, 2014. 
Æ 
VerDate Mar 15 2010 
00:23 Apr 16, 2014
Jkt 039200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6301
E:\BILLS\H4479.IH
H4479
jbell on DSK7SPTVN1PROD with BILLS