The bill amends the Kansas affordable housing tax credit act by discontinuing the tax credit for qualified developments that receive a 4% federal tax credit. Specifically, it removes the provision that allowed the credit to be effective until July 1, 2025, and instead stipulates that no allocations of this credit will be awarded after November 15, 2025. The bill also clarifies that the Kansas Housing Resources Corporation (KHRC) will continue to award credits to qualified developments receiving 9% federal tax credits, while limiting the maximum amount of Kansas affordable housing tax credits awarded in each allocation plan year to 100% of the state housing credit ceiling for 9% federal tax credits.

Additionally, the bill outlines the process for the KHRC to issue allocation certificates for qualified developments and specifies that no credit shall be allocated unless the development is subject to a recorded restrictive covenant. It also details the eligibility criteria for the credits, the allocation process for pass-through entities, and the requirements for filing tax returns related to the credits. The existing section of K.S.A. 2024 Supp. 79-32,306 is repealed, and the act will take effect upon publication in the statute book.

Statutes affected:
As introduced: 79-32
As Amended by House Committee: 79-32
As Amended by Senate Committee: 79-32