Sponsor
Mike Carey
Representative · R-OH
Representative · R-OH
The bill trades federal revenue (and risks mainly benefiting owners) for tax breaks intended to spur additional rental housing investment, potentially increasing supply but not guaranteeing improved affordability for low-income renters.
Renters and local housing markets may benefit from increased rental housing supply because the incentives encourage investment and development of qualifying residential rental properties.
Owners of qualifying residential rental property (including small landlords and real-estate businesses) can reduce their federal tax liability through the new tax incentives, improving cash flow and returns on investment.
Low-income renters may see little direct benefit because the financial gains from the incentives are likely to flow primarily to property owners and developers, so affordability and lower rents are not guaranteed.
Taxpayers generally could face larger federal deficits or reduced funding for other programs because the tax incentives will lower federal revenue unless offsets are provided.
Based on analysis of 2 sections of legislative text.
Adds a new Internal Revenue Code subchapter creating tax incentives for qualifying residential rental property, effective for taxable years after enactment.
Creates a new subchapter in the Internal Revenue Code to establish tax incentives for certain residential rental property. The change is added to the statutory table of subchapters and applies to taxable years beginning after the date of enactment. The law is limited in scope: it inserts a new tax-code subchapter that authorizes unspecified tax incentives for qualifying residential rental properties and makes the effective-date rule clear; operational details (eligibility criteria, credit amounts, or certification rules) would be in the text of that new subchapter.
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