II 112th CONGRESS 1st Session S. 1989 IN THE SENATE OF THE UNITED STATES December 14, 2011 Ms. Cantwell (for herself, Ms. Snowe, Mr. Bingaman, Mr. Kerry, Mr. Nelson of Florida, Mr. Menendez, Mr. Cardin, Mr. Sanders, Mr. Crapo, Mr. Brown of Massachusetts, and Ms. Collins) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to make permanent the minimum low-income housing tax credit rate for unsubsidized buildings and to provide a minimum 4 percent credit rate for existing buildings.

1.

Extension and modification of minimum low-income housing tax credit rate for certain buildings

(a)

Permanent extension

Paragraph (2) of section 42(b) of the Internal Revenue Code of 1986 is amended— (1)by striking Temporary minimum credit rate in the heading and inserting Minimum credit rate, and (2)by striking and before December 31, 2013 in subparagraph (A). (b)

Minimum 4 percent credit rate for certain existing buildings

Subsection (b) of section 42 of the Internal Revenue Code of 1986 is amended— (1)by redesignating paragraph (3) as paragraph (4), and (2)by inserting after paragraph (2) the following new paragraph: (3)

Minimum credit rate for non-federally subsidized existing buildings

In the case of any existing building— (A)which is placed in service by the taxpayer after the date of the enactment of this paragraph, and (B)which is not federally subsidized for the taxable year, the applicable percentage shall be not less than 4 percent.. (c)

Effective date

The amendments made by this section shall apply to buildings placed in service after the date of the enactment of this Act.