Senate Bill 1323, also known as House Bill 1327, aims to amend Tennessee Code Annotated, Section 13-23-134, and Chapter 971 of the Public Acts of 2024, focusing on tax credits for low-income and affordable housing. The bill emphasizes the importance of providing mechanisms for building, developing, and rehabilitating such housing in Tennessee. It highlights the federal income tax liability credit for low-income housing and the allocation of Tennessee rural and workforce housing tax credits by the Tennessee Housing Development Agency, which must adhere to a qualified allocation plan in accordance with federal regulations.

The bill proposes to delete subsection (f) from Section 13-23-134 and to remove the second sentence from Section 6 of Chapter 971 of the Public Acts of 2024. These changes are intended to streamline the allocation process for tax credits and ensure that at least fifty percent of the credits are directed towards qualified projects in eligible rural areas. The act is set to take effect on July 1, 2025, promoting the ongoing development of affordable housing in Tennessee.

Statutes affected:
Introduced: 13-23-134