This bill increases tax credits for rehabilitating historic buildings in rural areas. It creates a new "applicable rural project" category: affordable housing projects get a 40% credit on rehabilitation costs (up to $5 million total), while other rural projects get a 30% credit. The credit can now be transferred to other taxpayers, unlike previous rules. It specifically targets buildings in areas outside cities over 50,000 people or adjacent urban zones, and requires affordable housing projects to maintain housing affordability standards. The changes apply to property placed in service after December 31, 2025.
HR 137, the TCJA Permanency Act, makes permanent many tax provisions from the 2017 Tax Cuts and Jobs Act. It permanently increases the standard deduction for individual taxpayers, modifies income tax brackets, and makes permanent the child tax credit increase. The bill also permanently limits deductions for state and local taxes, mortgage interest, and miscellaneous itemized deductions. These changes affect most individual taxpayers who file federal income tax returns.
This bill extends the federal tax deduction for film and television productions through 2030, replacing the previous 2025 expiration date. It increases the standard deduction limit from $15 million to $30 million per production and raises the special limit for projects in designated areas from $20 million to $40 million. The deduction amounts will automatically adjust for inflation after 2026 based on the Consumer Price Index. The policy directly affects producers of eligible U.S. film and television projects by providing extended tax benefits for qualifying productions commencing after enactment.
This bill creates two new federal tax credits to support U.S. port crane manufacturing. It offers a 25% tax credit for businesses investing in new port crane manufacturing facilities (e.g., buildings, equipment) and a production credit of 40% or 60% of the sale price for port cranes sold domestically, with the higher rate requiring 90% U.S.-made component materials. The credits apply to facilities and production through 2035, directly affecting manufacturers of port cranes, their components, or related equipment located in the U.S. The legislation specifies exact definitions for "port crane" (e.g., gantry cranes at ports) and "component materials" to determine eligibility.
HR 823, the Heroes’ Tax Exemption Act of 2025, would exempt active duty members of the U.S. Armed Forces from federal income tax on their military earnings. The bill adds a new section (139J) to the Internal Revenue Code, removing active duty pay from taxable income for service members. This change directly affects current active duty personnel, not veterans or reservists, and applies to income earned after the second October following the bill's enactment. The provision modifies the tax code without altering other tax rules or creating new administrative requirements. The bill focuses solely on removing income tax liability for active duty military compensation.
This bill creates a new tax-exempt status ("public interest drug or medical device health care organization") for nonprofit organizations that manufacture or distribute affordable drugs and medical devices. To qualify, organizations must primarily focus on making eligible drugs/devices affordable (addressing shortages, unmet health needs, or public health emergencies), avoid conflicts with for-profit manufacturers, and meet strict board composition rules. Key provisions require organizations to agree to prioritize supplying designated drugs/devices to the federal strategic stockpile at cost during emergencies. The bill directly affects qualifying nonprofits seeking tax exemption, not patients or healthcare providers.
This bill permanently extends the New Markets Tax Credit (NMTC) program, which incentivizes private investment in low-income communities. It modifies the tax code to keep the credit available beyond 2025 (replacing "2020 through 2025" with "2020 and each calendar year thereafter") and adds automatic annual inflation adjustments to the credit amount starting in 2026. The bill also provides tax relief by allowing NMTC credits to offset the alternative minimum tax, specifically for investments made after December 2024. This directly affects community development financial institutions (CDFIs) and investors who fund projects in designated low-income areas.
S 2664, the Skilled Workforce Act, creates a 30% federal tax credit for businesses investing in training facilities that address workforce shortages in high-demand industries like high-tech manufacturing, clean energy, construction, and advanced transportation. The credit applies to eligible institutions (such as community colleges, career schools, and public secondary schools) partnering with businesses to build or upgrade facilities for skills-based training programs. Projects must be certified by Treasury and Commerce, with a total funding cap of $500 million, prioritizing rural schools and those serving underserved communities. The credit cannot be combined with other tax benefits for the same investment and applies to property placed in service after the bill's enactment.
This bill modifies tax incentives to increase affordable housing near military installations. It excludes military housing allowances (payments under 37 U.S.C. § 403) from income calculations when determining eligibility for low-income housing tax credits, directly helping service members and their families qualify for affordable housing. It also designates buildings within 15 miles of large military installations (valued over $2.833 billion) as "difficult development areas" for tax credit purposes, encouraging developers to build in these areas. The bill does not require such housing to be occupied solely by military members. These changes apply to tax credit determinations made after the bill's enactment.
HR 2410 creates a 20% federal tax credit for developers converting older non-residential buildings (at least 20 years old) into affordable housing. The credit applies to qualified conversion costs, requiring that 20% of units be rent-restricted for residents earning 80% or less of the area median income for 30 years. It establishes a $12 billion national credit limit, with $3 billion reserved for conversions in economically distressed areas, and mandates state-level allocation plans prioritizing projects near transit and employment. The bill directly affects developers seeking tax incentives for downtown revitalization, not tenants or local governments.
