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Homeowner's Tax Credit
TomWheaton@AOL.COM
Tue, 22 Aug 1995 13:09:47 -0400
August 22, 1995
The following message is from Nellie Longsworth of Preservation Action
concerning the status of the Homeowner's Tax Credit legislation and is
provided to the historic Preservation Community by ACRA. We need to remember
that there are other issues out there besides the Advisory Council, the NSF
and the National Trust. Nellie and Preservation Action helped lobby Congress
in support of the Advisory Council, and we need to help Preservation Action
in return.
Tom Wheaton
Executive Director - ACRA
tomwheaton@aol.com
Check out our Web site at:
http://www.minsdpring.com/~wheaton/ACRA.html
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
AUGUST RECESS ASSIGNMENT:
WE NEED CO-SPONSORS FOR THE HOMEOWNERS TAX CREDIT
IN BOTH HOUSE AND SENATE!
Members of Congress will be in their states and districts during the August
recess. This would be an excellent time for you to initiate or follow-up on
congressional contacts and urge your representative and senators to become
co-sponsors of the Historic Homeownership Assistance Act of 1995, HR 1662.
The more cosponsors we have, the more likely the bill will get serious
consideration by the leaders in Congress who are working on tax legislation.
WHAT'S IN THE BILL:
STATUS OF CO-SPONSORS TO DATE:
In the House: HR 1662 was introduced by Reps. Clay Shaw (R-FL) and Barbara
Kennelly (D-CT). It now has 48 co-sponsors.
In the Senate: S 1002 has been introduced by Sen. John Chafee (R-RI) and
Bob Graham (D-FL) with Bennett Johnston (D-LA), David Pryor (D-AR) and Paul
Simon (D-IL) as co-sponsors.
STRATEGY:
The House Ways and Means Committee will be acting on the tax provisions of
the Contract With America" upon their return to Washington after Labor Day.
While we can expect provisions to change the capital gains tax rate,
eliminate the marriage penalty, and provide a tax credit for children, there
are many unknowns about the make up of the tax part of the GOP Reconciliation
Bill.
Ways and Means Committee hearings on Miscellaneous Tax Measures were held
July 10-12. While there were no witnesses on HR 1662 (at the Committee's
request), written testimony was submitted for the record. PA has received
copies of excellent testimony from NC, NJ, CA, GA, FL, MT, MS, IN and VA in
addition to that submitted by PA, the National Trust and NCSHPO.
Insiders suggest that the House will not include HR 1662 in its
Reconciliation bill but are more encouraging that it could be added by the
Senate. THEREFORE, IT IS ABSOLUTELY ESSENTIAL THAT BOTH BILLS "DOUBLE" AND
"TRIPLE" THEIR CO-SPONSORS TO SHOW STRONG NATIONAL BIPARTISAN SUPPORT FOR
THIS TAX CREDIT.
SUGGESTIONS:
Contact your congressional office in either DC or the district. If you have
talked to the member or staffer about this before, contact him/her directly.
Be specific about neighborhoods or areas in your city, town, or district that
would be improved as a result of the credit. State that the credit is only
for a primary residence, not a vacation home or rental. Sell the fact that a
% of the credit can be "recaptured" by the IRS during the first 5 years if
the property is sold, which makes it most attractive to those investing in
long term neighborhood improvement.
You can reach any congressional office in Washington DC by calling the
Capitol Switchboard (202) 224-3121. The congressional offices in Washington
can tell you their local phone numbers and addresses (many Representatives
and Senators have several offices in different locations in their District or
State).
TOUGH QUESTIONS YOU MAY GET:
Is the credit targeted to low income people? No, it requires that a
purchaser/owner have enough resources to rehabilitate a home. For lower
income owners, the credit can be converted into a mortgage credit certificate
to obtain an interest rate reduction from a lender.
What will be used to offset the 5-year revenue loss of $239 million? It is
up to our sponsors to find a mechanism that will make this measure "revenue
neutral." Even if they had a plan, it would be kept secret until
introduction to keep others from targeting the same revenue source.
The National Trust Regional Offices and the National Alliance of
Preservation Commissions are joining this effort and you may want to contact
them directly to coordinate activities.
Message from Preservation Action - Nellie_Longsworth@hap.cais.com
AUGUST RECESS ASSIGNMENT:
WE NEED CO-SPONSORS FOR THE HOMEOWNERS TAX CREDIT IN BOTH HOUSE AND SENATE!
Members of Congress will be in their states and districts during the August
recess. This would be an excellent time for you to initiate or follow-up on
congressional contacts and urge your representative and senators to become
co-sponsors of the Historic Homeownership Assistance Act of 1995, HR 1662.
STATUS OF CO-SPONSORS TO DATE:
Reminders: HR 1662 was introduced in the House by Reps. Shaw (R-FL) and
Kennelly (D-CT) and now have 48 co-sponsors: (See issue paper included)
In the Senate, S 1002 has been introduced by Sen. Chafee (R-RI) and Graham
(D-FL) with Johnston (D-LA), Pryor (D-AR) and Simon (D-IL) as co-sponsors.
STRATEGY:
The House Ways and Means Committee will be acting on the tax provisions of
the Contract With America" upon their return to Washington after Labor Day.
While we can expect provisions to change the capital gains tax rate,
eliminate the marriage penalty, and provide a tax credit for children, there
are many unknowns about the make up of the tax part of the GOP Reconciliation
Bill.
Ways and Means Committee hearings on Miscellaneous Tax Measures were held
July 10-12. While there were no witnesses on HR 1662 (at the Committee's
request), written testimony was submitted for the record. PA has received
copies of excellent testimony from NC, NJ, CA, GA, FL, MT, MS, IN and VA in
addition to that submitted by PA, the National Trust and NCSHPO.
Insiders suggest that the House will not include HR 1662 in its
Reconciliation bill but are more encouraging that it could be added by the
Senate. THEREFORE, IT IS ABSOLUTELY ESSENTIAL THAT BOTH BILLS "DOUBLE" AND
"TRIPLE" THEIR CO-SPONSORS TO SHOW STRONG NATIONAL BIPARTISAN SUPPORT FOR
THIS TAX CREDIT.
SUGGESTIONS:
Contact your congressional office in either DC or the district. If you have
talked to the member or staffer about this before, contact him/her directly.
Be specific about neighborhoods or areas in your city, town, or district that
would be improved as a result of the credit. State that the credit is only
for a primary residence, not a vacation home or rental. Sell the fact that a
% of the credit can be "recaptured" by the IRS during the first 5 years if
the property is sold, which makes it most attractive to those investing in
long term neighborhood improvement.
You can reach any congressional office in Washington DC by calling the
Capitol Switchboard (202) 224-3121. The congressional offices in Washington
can tell you their local phone numbers and addresses (many Representatives
and Senators have several offices in different locations in their District or
State).
TOUGH QUESTIONS YOU MAY GET:
Is the credit targeted to low income people? No, it requires that a
purchaser/owner have enough resources to rehabilitate a home. For lower
income owners, the credit can be converted into a mortgage credit certificate
to obtain an interest rate reduction from a lender.
What will be used to offset the 5-year revenue loss of $239 million? It is
up to our sponsors to find a mechanism that will make this measure "revenue
neutral." Even if they had a plan, it would be kept secret until
introduction to keep others from targeting the same revenue source.
The National Trust Regional Offices and the National Alliance of
Preservation Commissions are joining this effort and you may want to contact
them directly to coordinate activities.
E-mail address: Nellie_Longsworth@hap.cais.com
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