119-s1315

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1315 Introduced in Senate

    (IS) ]

<DOC>

119th CONGRESS
 1st Session
 S. 1315

 To amend the Internal Revenue Code of 1986 to provide a refundable 
 credit for certain home accessibility improvements.

_______________________________________________________________________

 IN THE SENATE OF THE UNITED STATES

 April 7, 2025

 Mr. King (for himself and Mr. Welch) introduced the following bill; 
 which was read twice and referred to the Committee on Finance

_______________________________________________________________________

 A BILL

 To amend the Internal Revenue Code of 1986 to provide a refundable 
 credit for certain home accessibility improvements.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. REFUNDABLE TAX CREDIT FOR CERTAIN HOME ACCESSIBILITY 
 IMPROVEMENTS.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``

SEC. 36C. CREDIT FOR CERTAIN HOME ACCESSIBILITY IMPROVEMENTS.

 ``

    (a) In General.--In the case of an individual, there shall be 
allowed as a credit against the tax imposed by this subtitle for any 
taxable year an amount equal to 35 percent of the qualified home 
accessibility improvement expenditures paid or incurred during such 
taxable year with respect to a qualified individual.
 ``

    (b) Limitations.--
 ``

    (1) Dollar limitations.--The aggregate amount of 
 qualified home accessibility improvement expenditures taken 
 into account under subsection

    (a) shall not exceed--
 ``
        (A) $10,000 for any taxable year, and
 ``
        (B) $30,000 for all taxable years.
 ``

    (2) Income limitation.--
 ``
        (A) In general.--The amount allowable as a credit 
 under subsection

    (a) for any taxable year shall be 
 reduced (but not below zero) by an amount which bears 
 the same ratio to the amount so allowable (determined 
 without regard to this paragraph but after the 
 application of paragraph

    (1) ) as--
 ``
            (i) the amount (if any) by which the 
 taxpayer's modified adjusted gross income 
 exceeds the applicable threshold amount, bears 
 to
 ``
            (ii) the applicable phaseout amount.
 ``
        (B) Applicable threshold amount.--For purposes of 
 this paragraph, the term `applicable threshold amount' 
 means, with respect to any taxpayer--
 ``
            (i) $400,000, in the case of a joint 
 return or surviving spouse (as defined in 
 

section 2),
 ``
            (ii) $200,000, in the case of a head of 
 household, and
 ``
            (iii) $200,000, in any other case.
 ``
            (C) Applicable phaseout amount.--For purposes of 
 this paragraph, the term `applicable phaseout amount' 
 means, with respect to any taxpayer--
 ``
            (i) $100,000, in the case of a joint 
 return or surviving spouse (as defined in 
 

section 2),
 ``
            (ii) $75,000, in the case of a head of 
 household, and
 ``
            (iii) $50,000, in any other case.
 ``
            (D) Modified adjusted gross income.--For purposes 
 of this paragraph, the term `modified adjusted gross 
 income' means adjusted gross income determined without 
 regard to sections 911, 931, and 933.
 ``
            (c) Qualified Individual.--For purposes of this section--
 ``

    (1) In general.--The term `qualified individual' means, 
 with respect to an individual for any taxable year--
 ``
        (A) such individual if such individual--
 ``
            (i) is, at any time during such taxable 
 year, entitled, based on blindness or 
 disability, to--
 ``
            (I) pension benefits under title 
 38, United States Code, or
 ``
            (II) benefits under title II or 
 XVI of the Social Security Act,
 ``
            (ii) has a disability certification filed 
 with the Secretary for such taxable year, or
 ``
            (iii) has (as of the close of such 
 taxable year) attained age 60, and
 ``
        (B) the spouse or any dependent of such 
 individual if such spouse or dependent--
 ``
            (i) meets the requirements of clause
            (i) ,
            (ii) , or
            (iii) of subparagraph
        (A) , and
 ``
            (ii) has the same principal place of 
 abode as such individual.
 ``

    (2) Disability certification.--
 ``
        (A) In general.--The term `disability 
 certification' means, with respect to an individual, a 
 certification to the satisfaction of the Secretary by a 
 physician meeting the criteria of 

section 1861

    (r)

    (1) of 
 the Social Security Act that--
 ``
            (i) certifies that the individual--
 ``
            (I) has a medically determinable 
 physical or mental impairment, which 
 results in marked and severe functional 
 limitations, and which can be expected 
 to result in death or which has lasted 
 or can be expected to last for a 
 continuous period of not less than 12 
 months, or
 ``
            (II) is blind (within the meaning 
 of 

section 1614

    (a)

    (2) of the Social 
 Security Act), and
 ``
            (ii) includes a copy of the individual's 
 diagnosis relating to the individual's relevant 
 impairment or impairments, signed by such 
 physician.
 ``
        (B) Restriction on use of certification.--No 
 inference may be drawn from a disability certification 
 for purposes of establishing eligibility for benefits 
 under title II, XVI, or XIX of the Social Security Act.
 ``
            (d) Qualified Home Accessibility Improvement Expenditures.--For 
purposes of this section--
 ``

    (1) In general.--The term `qualified home accessibility 
 improvement expenditures' means reasonable amounts paid or 
 incurred by the taxpayer to make qualified improvements to the 
 taxpayer's principal place of abode for the purpose of making 
 such place of abode more accessible to a qualified individual 
 with respect to the taxpayer.
 ``

    (2) Qualified improvements.--The term `qualified 
 improvements' means--
 ``
        (A) the installation of entrance and exit ramps 
 to create a no-step entry, or modification of areas in 
 front of entry and exit doorways including grading of 
 the ground to provide access to the residence,
 ``
        (B) the installation of handrails or grab bars, 
 including in bathrooms, and other modifications to 
 bathrooms including curbless-entry showers and roll-
 under sinks,
 ``
            (C) the widening of exterior or interior doorways 
 or hallways, modification of stairways, or modification 
 of hardware on doors,
 ``
            (D) modifications of counters,
 ``
        (E) bathroom accessibility improvements,
 ``
        (F) installation, replacement, or modification of 
 appliances to make them more accessible to individuals 
 with a vision impairment, and installation of other 
 assistive technologies, including remote health 
 monitoring,
 ``
        (G) the addition of a bedroom or full bathroom on 
 the main floor,
 ``
        (H) the installation of porch lifts or other 
 forms of lifts,
 ``
            (I) the modification or installation of adaptive 
 fire alarms, smoke detectors, and other warning 
 systems,
 ``
        (J) the installation of non-slip flooring or 
 creation of level flooring,
 ``
        (K) the installation of bright lighting 
 throughout the residence or at the entry and exit of 
 the residence,
 ``
            (L) the relocation or modification of laundry 
 facilities, and
 ``
            (M) any other modification included in a list 
 established and maintained in accordance with paragraph

    (3) .
 ``

    (3) List of modifications.--The Secretary, in 
 consultation with the Secretary of Housing and Urban 
 Development, the Assistant Secretary for Aging of the 
 Department of Health and Human Services, and the Commissioner 
 on Disabilities of the Administration for Community Living, 
 Department of Health and Human Services, and after receiving 
 the input of members of the public (including seniors groups 
 and home construction, technology, health, 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.
 ``

    (e) Special Rules.--
 ``

    (1) Inflation adjustment.--In the case of any taxable 
 year beginning in a calendar year after 2025, each of the 
 dollar amounts in subsections

    (b)

    (1) ,

    (b)

    (2)
        (B) , and

    (b)

    (2)
            (C) shall be increased by an amount equal to--
 ``
        (A) such dollar amount, multiplied by
 ``
        (B) the cost-of-living adjustment determined 
 under 

section 1

    (f)

    (3) for the calendar year in which 
 the taxable year begins, determined by substituting 
 `calendar year 2024' for `calendar year 2016' in 
 subparagraph
        (A)
            (ii) thereof.
 Any increase determined under the preceding sentence which is 
 not a multiple of $50 shall be rounded to the nearest multiple 
 of $50.
 ``

    (2) Substantiation.--No credit shall be allowed under 
 this section unless the taxpayer provides (at such time and in 
 such manner as the Secretary may provide) such substantiation 
 of the taxpayer's eligibility for the credit allowed under this 
 section (and the amount thereof) as the Secretary may require.
 ``

    (3) Denial of double benefit.--To the extent that an 
 expenditure is used for this credit in a given year, it cannot 
 be used or applied towards another tax benefit in the same 
 taxable year by the same taxpayer.
 ``

    (4) Married individuals filing separate returns.--In the 
 case of any married individual who does not file a joint return 
 for the taxable year, no credit shall be allowed under this 
 section for such taxable year.''.

    (b) Conforming Amendments.--

    (1) Section 6211

    (b)

    (4)
        (A) of the Internal Revenue Code of 
 1986 is amended by inserting ``, 36C'' after ``36B''.

    (2) Paragraph

    (2) of 

section 1324

    (b) of title 31, United 
 States Code, is amended by inserting ``, 36C'' after ``36B''.

    (3) The table of sections for subpart C of part IV of 
 subchapter A of chapter 1 of the Internal Revenue Code of 1986 
 is amended by inserting after the item relating to 

section 36B 
 the following new item:

``

Sec. 36C. Credit for certain home accessibility improvements.''.
            (c) Issuance of Guidance by Secretary of the Treasury.--Not later 
than 180 days after the date of the enactment of this Act, the 
Secretary of the Treasury (or the Secretary's delegate) shall issue 
regulations or other guidance under subsection
            (d) (2)
        (E) of 

section 36C 
of the Internal Revenue Code of 1986 (as added by this section), which 
the Secretary of the Treasury (or the Secretary's delegate) shall 
ensure is publicly available on the internet, specifying the list of 
additional improvements with respect to which credit is allowable under 
such section. The Secretary shall biannually revise such list of 
additional improvements.
            (d) Accessibility of Credit.--The Commissioner of Internal Revenue 
shall make the credit allowed under 

section 36C of the Internal Revenue 
Code of 1986 (as added by this section) as accessible as possible to 
the public.

    (e) Outreach.--The Commissioner of Internal Revenue shall conduct 
an outreach strategy to the public with respect to the credit allowed 
under 

section 36C of the Internal Revenue Code of 1986 (as added by 
this section).

    (f) Data Sharing by the Commissioner of Social Security and 
Secretary of Veterans Affairs.--The Commissioner of Social Security and 
the Secretary of Veterans Affairs shall each provide the Secretary of 
the Treasury (or the Secretary's delegate) such information and 
assistance as the Secretary of the Treasury (or the Secretary's 
delegate) may require for purposes of administering 

section 36C of the 
Internal Revenue Code of 1986 (as added by this section).

    (g) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

    (h) GAO Study and Report.--

    (1) Study.--The Comptroller General of the United States, 
 in consultation with the Secretary of the Treasury, the 
 Secretary of Housing and Urban Development, the Assistant 
 Secretary for Aging of the Department of Health and Human 
 Services, and the Commissioner on Disabilities of the 
 Administration for Community Living, Department of Health and 
 Human Services, shall conduct a study which--
        (A) examines the effectiveness of the tax credit 
 under 

section 36C of the Internal Revenue Code of 1986 
 (as added by this Act) in terms of--
            (i) the number of residential units served 
 (the number of units where at least 1 
 accessible design feature is now present);
            (ii) reductions in emergency department 
 visits, hospitalizations, or both for qualified 
 individuals;
            (iii) reductions in Medicare expenditures 
 for qualified individuals;
            (iv) improvements in activities of daily 
 living for qualified individuals; and
            (v) reduction in symptoms of depression for 
 qualified individuals;
        (B) provides recommendations for ways to modify or 
 enhance the tax credit to further assist qualified 
 individuals who wish to live independently and safely 
 in place, including--
            (i) whether the amount of the tax credit 
 and the limitation based on adjusted gross 
 income should continue to be automatically 
 adjusted for inflation;
            (ii) whether the tax credit should be made 
 available to renters or landlords; and
            (iii) whether the tax credit should be made 
 available to builders for construction of new 
 accessible units; and
            (C) provides suggestions for alternative policies 
 or changes to other existing programs that Federal and 
 State governments could implement to--
            (i) increase the number of residential 
 units with accessible design features; and
            (ii) assist seniors and individuals with 
 disabilities who wish to live independently and 
 safely in place.
 For purposes of the preceding sentence, the term ``qualified 
 individual'' has the meaning given such term by 

section 36C
            (c) of the Internal Revenue Code of 1986, as added by this Act.

    (2) Report.--Not later than 3 years after the date of the 
 enactment of this Act, the Comptroller General shall--
        (A) submit a report to the Committees on Finance 
 and Health, Education, Labor, and Pensions of the 
 Senate and the Committees on Ways and Means and Energy 
 and Commerce of the House of Representatives presenting 
 the conclusions of the study conducted under paragraph

    (1) in such a manner as to inform future legislative 
 action; and
        (B) make such report publicly available on the 
 internet website of the Government Accountability 
 Office.
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