Title: Affordable Housing Incentives Act of 2019
Policy area: Taxation

Summary:
Affordable Housing Incentives Act of 2019
This bill allows nonrecognition of gain, for income tax purposes, from the sale of property to public housing agencies for use as affordable housing.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4239 Introduced in House (IH)]

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116th CONGRESS
  1st Session
                                H. R. 4239

To amend the Internal Revenue Code of 1986 to allow for nonrecognition 
      of gain on real property sold for use as affordable housing.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 6, 2019

  Mr. Schiff 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 allow for nonrecognition 
      of gain on real property sold for use as affordable housing.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Affordable Housing Incentives Act of 
2019''.

SEC. 2. NONRECOGNITION OF GAIN ON PROPERTY SOLD TO PUBLIC HOUSING 
              AGENCIES FOR USE AS AFFORDABLE HOUSING.

    (a) In General.--Section 1033 of the Internal Revenue Code of 1986 
is amended by redesignating subsection (k) as subsection (l) and by 
inserting after subsection (j) the following new subsection:
    ``(k) Sales to Public Housing Agencies for Use as Affordable 
Housing.--
            ``(1) In general.--For purposes of this subtitle, if real 
        property is sold or otherwise transferred to a public housing 
        agency (as such term is defined in section 3(b)(6) of the 
        United States Housing Act of 1937) for use or development by 
        such agency as affordable housing to carry out the mandate 
        (relating to affordable housing) of such agency, such sale or 
        transfer shall be treated as an involuntary conversion to which 
        this section applies.
            ``(2) Special rule with respect to period within which 
        property must be replaced.--In the case of a sale or transfer 
        described in paragraph (1), subsection (a)(2)(B)(i) shall be 
        applied by substituting `3 years' for `2 years'.
            ``(3) Special rule for real property held for productive 
        use in trade or business.--For purposes of subsection (a), if 
        the real property described in paragraph (1) is held for 
        productive use in a trade or business or for investment, 
        property of a like kind to be held either for productive use in 
        a trade or business or for investment shall be treated as 
        property similar or related in service or use to the property 
        so described.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to sales and transfers made after the date of the enactment of this 
Act.
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