American Affordability Act of 2025

The American Affordability Act of 2025 would modify the Internal Revenue Code to help address the nation's cost-of-living crisis. If enacted, the bill would create new tax credits and programs targeting several areas of household expenses. These would include a monthly Renter Tax Credit for individuals and families paying more than 30 percent of income on rent, a First-Time Homebuyer Tax Credit for low- and middle-income earners, and tax credits to help develop affordable housing. The bill would also extend and expand tax credits related to healthcare, including permanently extending Affordable Care Act tax credits and restoring an expanded Child Tax Credit for working parents. Additionally, the bill would provide tax credits for clean energy development and electric vehicle purchases, and would extend the Earned Income Tax Credit for certain workers. The bill is currently under consideration by the House Committees on Ways and Means, Education and Workforce, and Energy and Commerce.