I 111th CONGRESS 2d Session H. R. 5239 IN THE HOUSE OF REPRESENTATIVES May 6, 2010 Mr. Boswell (for himself, Mr. Braley of Iowa, and Mr. Loebsack) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to provide an additional 25 percent allowance for the deduction of qualified residence interest with respect to a principal residence, and to waive recapture of the first-time homebuyer tax credit with respect to residences purchased during 2008.

1.

Short title

This Act may be cited as the Homeowner Tax Assistance Act.

2.

Special allowance for deductible mortgage interest

(a)

In general

Paragraph (3) of section 163(h) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph: (F)

Temporary 25 percent allowance for qualified residence interest deduction

(i)

In general

Any deduction allowed under this section (determined without regard to this subparagraph) that is attributable to qualified residence interest with respect to the principal residence (within the meaning of section 121) of the taxpayer shall include an allowance equal to 25 percent of such amount. (ii)

Termination

This subparagraph shall not apply to amounts paid or accrued after December 31, 2013. . (b)

Effective date

The amendment made by this section shall apply to amounts paid or incurred after the date of the enactment of this Act.

3.

Waiver of first-time homebuyer recapture for purchases in 2008

(a)

In general

Subparagraph (D) of section 36(f)(4)(D) of the Internal Revenue Code of 1986 is amended— (1)by striking after December 31, 2008 and inserting on or after April 9, 2008, and (2)by striking 2009 and and inserting 2008, 2009,. (b)

Effective date

The amendments made by this section shall apply to residences purchased on or after April 9, 2008.