Washington, D.C. - Today, the House of Representatives voted for the third time on a bill that would offer tax relief to Americans who, after losing their homes to foreclosure, face a tax bill from Uncle Sam on the debt that is forgiven.  But this time around, the bill did not include a controversial Democrat proposal to raise taxes on secondary homes – a proposal which Congressman Kevin Brady (R-The Woodlands) fought in committee and on the House floor.

 The Senate agreed with Brady after his proposals were rejected by House Democrats.   The bill is now headed for the President's desk.

“I strongly support the bill we passed today, and I am pleased the Senate rejected the earlier House proposal to raise taxes on families who work their entire lives to save for a second home.  This tax increase would have damaged the already shaken real estate market and lowered property values in communities that rely upon retirees and vacation homes,” said Brady.  

According to the National Association of Realtors, 40% of all home sales last year were for second homes. With the average income of second home buyers at $82,000, the increased tax would have fallen particularly hard on middle-class families.  The earlier Democrat proposal would have reduced the amount of capital gains a homeowner could realize on the sale of the second home that becomes a primary residence, lowering the value of the property.

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Congressman Brady holds the leadership post of Deputy Whip and serves on the Ways & Means Committee, which has  jurisdiction over 2/3 of the federal budget including taxes, Social Security, Medicare, international trade and welfare.  From his seat on the Committee, he has fought against raising taxes on real estate.