ARIZONA HOUSE OF REPRESENTATIVES Fifty-sixth Legislature First Regular Session
	Senate: APPROP DP 5-4-1-0 | MAPS DPA 7-0-0-0 | 3^rd Read 16-12-2-0 House: APPROP DPA/SE 14-1-0-0

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SB 1244: appropriations; crime victim notification fund

S/E: tax credit extension; affordable housing

Sponsor: Senator Kavanagh, LD 3

Caucus & COW

Summary of the Strike-Everything Amendment to SB 1244

Overview

Increases the Affordable Housing Tax Credit (AHTC) allocation to $10,000,000 and extends the repeal deadline to December 31, 2036.

History

The Arizona Department of Housing (ADOH) is required to procedurally evaluate affordable housing projects that comply under Section 42 of the Internal Revenue Code to qualify for the Tax Credit. ADOH allocates $4,000,000 of tax credits to taxpayers owning investments on qualifying affordable housing projects. The Department of Revenue, the Department of Insurance and Financial Institutions and ADOH may adopt rules and procedures to administer the Tax Credit. (A.R.S. § 41-3954). According to Laws 2021, Chapter 430, the AHTC is to be repealed from statute on December 31, 2025.

Provisions

1. Increases the AHTC cap to $10,000,000 beginning tax year 2024. (Sec. 1)

2. Extends the repeal deadline, through December 31, 2036, for the following AHTC sections of law:

a) Premium tax; reports;

b) Affordable housing tax credit; limit; eligibility statement; rules; public hearings; annual report; definitions;

c) Affordable housing tax credit review committees; reports; and

d) AHTC for individual and corporate income tax. (Sec. 3, 4, 5, 6)

3. Makes technical and conforming changes. (Sec. 3, 4, 5, 6, 7)

Amendments

Committee on Appropriations

1. Adopted the strike-everything amendment.

2. Allows projects that receive an AHTC to qualify for property tax abatements, except for the Government Property Lease Excise Tax.

3. Modifies the maximum statewide AHTC limit from $10,000,000 to $6,000,000.

4. Changes the delayed repeal date from 2036 to 2028.

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8.                   SB 1244

9. Initials AF/LV        Page 0 Caucus & COW

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