“To amend the Internal Revenue Code of 1986 to allow a refundable credit for qualified home acquisition expenses, and for other purposes.”
No CRS summary available for this bill.
This section establishes a new refundable tax credit under section 36C of the Internal Revenue Code for individuals who sell their principal residence to a first-time homebuyer. The credit equals the lesser of the seller’s payments for the buyer’s qualified home acquisition expenses (i.e., down payment, inspection costs, and closing costs) or the reduction in the seller’s tax liability that would result from excluding gain on the residence from gross income. A first-time homebuyer is defined as an individual (and spouse, if married) with no ownership interest in a principal residence during the two-year period ending on the sale date. The credit applies to taxable years beginning after December 31, 2026.