AB71 is a bill introduced in the 2017-18 California legislature to eliminate state-level Home mortgage interest deduction on second homes, and use the increased revenues to fund the state Low-Income Housing Tax Credit program.
Summary from California Economic Summit:
Taxes: credits: low-income housing: allocation increase.
Raises $300 million annually for low-income housing tax credits by eliminating mortgage interest deduction on second homes
- Dillon, Liam. "Tax breaks for second homes could end under lawmaker's proposal to fund low-income housing." LA Times, Dec 19, 2016. http://www.latimes.com/politics/la-pol-ca-mortgage-vacation-home-affordable-20161219-story.html.
- Levin, Matt. "To Create Affordable Housing, Lawmakers Eye Ending Tax Breaks for Vacation Homes." KQED CALmatters, March 17, 2017. https://ww2.kqed.org/news/2017/03/17/to-create-affordable-housing-lawmakers-eye-ending-tax-breaks-for-vacation-homes/.