Sponsor
Mike Carey
Representative · R-OH
Representative · R-OH
The bill trades federal revenue for tax incentives aimed at spurring rental housing investment—benefiting property owners and possibly increasing supply, but offering uncertain affordability gains for low-income renters and raising deficit risks.
Owners of qualifying residential rental property (including small landlords and property-developers) can reduce their federal tax liability through new tax incentives.
Potential investors and developers may be encouraged to add or preserve rental housing, which could increase the supply of rental units and ease availability for renters.
All taxpayers could face reduced federal revenue because the tax incentives lower government receipts, potentially increasing the deficit or forcing cuts to other programs unless offsets are provided.
Lower-income renters and those needing more affordable housing may see little benefit because the financial gains from the incentives are likely to flow mainly to property owners and developers rather than directly reducing rents.
Based on analysis of 2 sections of legislative text.
Adds a new subchapter to the Internal Revenue Code creating tax incentives for certain residential rental property, effective for taxable years after enactment.
Official title: To amend the Internal Revenue Code of 1986 to provide incentives for certain residential rental property.
Introduced July 2, 2026 by Mike Carey · Last progress July 2, 2026
Creates a new subchapter in the Internal Revenue Code that establishes tax incentives for certain residential rental property. The change is written into the tax code and applies to taxable years beginning after the date of enactment. The legislation only amends the Internal Revenue Code by inserting the new subchapter and updating the table of subchapters; it does not include programmatic implementation language, appropriations, or detailed eligibility rules in the text provided here.