Assembly Bill 926 Approved by Assembly Committee on Revenue and Taxation
- David Burruto
- District Director
SAN MATEO – Today, Assembly Bill 926, a bill that would provide an income tax credit equal to 25% of the value of land or property donated by employers to a qualified nonprofit organization for the construction of affordable housing was approved by the Assembly Committee on Revenue and Taxation.
“Despite recent layoffs in a few specific sectors, many regions of the state and particularly the Bay Area maintain an imbalance between available jobs of all types and affordable housing,” said Papan. “This incentive is just one potential piece in a larger effort to generate more affordable housing and provide employers with a tool to address this chronic need.”
Assembly Bill 926 will incentivize employers to take an active role in addressing the housing crisis. Under this measure, an employer could claim an income tax credit through assisting a housing insecure work force. Employers could claim a tax credit equal to 25% of any land or property donated to a qualified nonprofit organization for the construction of affordable housing.
This legislation will open the opportunity for employers to donate property to house low and moderate income residents and provide qualifying employees first priority to secure the housing.
“Solving our complex housing crisis demands new and creative solutions. This bill provides a new incentive to create affordable housing as well as a tool to directly address the jobs-housing imbalance.”
The bill will be heard in the Assembly Committee on Appropriations this month.