LeadingAge said it was “profoundly disappointed” the House of Representatives passed a Republican tax plan that would eliminate medical expense deductions and lower the corporate income tax rate to 20%.
Lowering the corporate tax rate and eliminating low income tax credits would deter affordable housing options, the organization said in a statement. It also objected to ending a private activity bond exemption, “which is critical to our members’ ability to address affordable senior housing needs in their communities.”
“Almost 30% of Housing Credit apartments are senior households,” the group’s statement said. Additionally “for life plan communities, the elimination of private activity tax exempt bond financing removes the primary course of capital for property development.”
The American Health Care Association/National Center for Assisted Living has been more cautious in its comments on the tax plan. Last week it said that it encourages “Congress to look for ways to make long-term care more accessible.” On Thursday, the group declined further comment.
The House bill, called the Tax Cuts and Jobs Act, passed with a vote of 227-205. Its future in the Senate is less certain. The latter’s version includes eliminating the individual mandate for healthcare. Moderate Republicans also have raised objections to a possible $25 million in Medicare cuts.