House Ways and Means Committee Chairman Sander M. Levin (D-MI), recently introduced draft legislation that would make tax-exempt bond-financed properties eligible for the Section 1602 low-income housing tax credit (LIHTC) cash grant exchange program, and allow the new markets tax credit (NMTC) to be used to offset the alternative minimum tax (AMT). The measure also has provisions that could expand the amount of state volume cap available to multifamily affordable housing (by removing water and sewer-facility bonds from state volume cap) and would extend and create additional allocation of Recovery Zone bonds. The bill, titled the Small Business and Infrastructure Jobs Act, is expected to be considered by the House Committee on Ways and Means today. The provisions of this legislation would be offset by a limitation on treaty benefits for certain deductible payments, clarification of gain recognized in certain spin-off transactions, the repeal of 80/20 rules (pertaining to foreign income), increased reporting on expenses related to rental property, levy’s on Federal vendors and contractors and requiring a minimum 10-year term for grantor retained annuity trusts. Read More…