May 1, 2025
If President Trump succeeds in lowering corporate taxes from 21 percent to a historic low of 15 percent, as he has promised to do, the California affordable housing industry would lose out on some $250 million, according to a new estimate of little-known “tax credits” that are key to financing low-income housing.
“Although it seems less likely to be part of this year’s tax and spending cut package, President Trump’s promise to lower corporate taxes could reduce the value of Low Income Housing Tax Credits [in California] by roughly 5 percent, or $250 million,” said Matt Schwartz, the president and CEO of the California Housing Partnership, which helps affordable housing developers across the state.