President Bush Signs the $15.1 Billion Housing Assistance Tax Act of 2008

Reacting to the continuing slump in housing sales, along with rising unemployment numbers and weakness in the credit markets, Congress passed the Housing and Economic Recovery Act of 2008.   Although the tax provisions are only one part of the larger housing bill, they make significant changes.  The tax title, The Housing Assistance Tax Act of 2008, includes $15.1 billion in tax incentives that are fully offset by far-reaching revenue raisers.

Highlights of the Housing Assistance Tax Act Include:

• First-Time Homebuyer Tax Credit
• Additional Standard Deduction for Real Property Taxes
  
• Simplified/Enhaned Low-Income Housing Tax Credit 
  
• REIT Reforms
  
• Merchant Payment Card Information Reporting
  
• Reduced Home Sale Exclusion
  
• Delayed Worldwide Interest Allocation
  
• Acceleration of Large-Corporation Estimated Tax