I
114th CONGRESS
2d Session
H. R. 5254
IN THE HOUSE OF REPRESENTATIVES
May 16, 2016
Mr. Murphy of Florida (for himself, Mr. Poliquin, and Mr. Conyers) introduced the following bill; which was referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to provide a tax credit to seniors who install modifications on their residences that would enable them to age in place, and for other purposes.
Short title
This Act may be cited as the Senior Accessible Housing Act
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Home Modification Credit for Seniors
In general
Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 (relating to nonrefundable personal credits) is amended by inserting after section 25D the following:
Home Modification Credit for Seniors
Allowance of Credit
In the case of a qualified individual, there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the sum of all qualified expenditures made by the taxpayer with respect to a qualified residence during such year.
Lifetime Limitation
The amount allowed as a credit under subsection (a) with respect to the taxpayer for any taxable year shall not exceed the excess (if any) of—
$30,000, over
the aggregate amount allowed as a credit under subsection (a) to such taxpayer for all prior taxable years.
Definitions
For purposes of this section—
Qualified individual
The term qualified individual means an individual who has attained 60 years of age.
Qualified expenditure
The term qualified expenditure means an expenditure for any of the following modifications installed on a qualified residence:
The installation of entrance and exit ramps.
The widening of doorways.
The installation of handrails or grab bars.
The installation of non-slip flooring.
A modification that is included in a list established and maintained in accordance with subsection (d)(2).
Qualified residence
The term qualified residence has the meaning given that term in section 163(h)(4)(A).
Special Rules
Labor costs
Expenditures for labor costs properly allocable to the onsite preparation, assembly, or original installation of a modification described under subsection (c)(2) and for piping or wiring to interconnect such modification to the dwelling unit shall be taken into account for purposes of this section.
List of modifications
The Secretary, in consultation with the Secretary of Health and Human Services and after receiving the input of members of the public (including seniors groups, health organizations, and social services organizations), shall establish and maintain a list of any modification that, if installed on a residence of a qualified individual, would enhance the ability of such individual to remain living safely, independently, and comfortably in such residence.
When expenditure made
In general
Except as provided in subparagraph (B), a qualified expenditure shall be treated as made when the original installation of the modification is completed.
Expenditures as part of building construction
In the case of a qualified expenditure in connection with the construction or reconstruction of a structure, such expenditure shall be treated as made when the original use of the constructed or reconstructed structure by the taxpayer begins.
Basis Adjustments
For purposes of this subtitle, if a credit is allowed under this section for any expenditure with respect to any property, the increase in the basis of such property which would (but for this subsection) result from such expenditure shall be reduced by the amount of the credit so allowed.
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Conforming amendment
Section 1016(a) of such Code is amended—
by redesignating paragraphs (35) through (37) as paragraphs (36) through (38), respectively; and
by inserting after paragraph (34) the following new paragraph:
to the extent provided in section 25E(e), in the case of amounts with respect to which a credit has been allowed under section 25E,
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Clerical amendment
The table of sections for subpart A of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 25D the following new item:
Sec. 25E. Home Modification Credit for Seniors.
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Effective date
The amendments made by this section shall apply to taxable years beginning after December 31, 2016.
