This bill proposes a refundable gross income tax credit for resident taxpayers who are members of homeowners associations and maintain their primary residence within common interest communities. The credit is specifically for a portion of homeowners association assessments that are used to fund infrastructure improvements. The amount of the credit is defined as 18 percent of the total homeowners association assessments paid by the taxpayer during the taxable year. Importantly, taxpayers can claim this credit regardless of whether their primary residence is subject to property taxes or payments in lieu of taxes.

To claim the credit, taxpayers must submit a certification from their homeowners association that details the amount of assessments constituting infrastructure improvements paid during the taxable year. The homeowners association is required to issue this certification within 30 days of receiving a completed application from the member. The bill aims to support infrastructure development within common interest communities while providing financial relief to residents through tax credits.