The federal government redistributes hundreds of billions of tax dollars annually to various housing programs, and provides billions in housing subsidies through various tax breaks. One of the more wasteful of such subsidies is the low-income housing tax credit (LIHTC), a form of corporate welfare created by the Tax Reform Act of 1986.1 Section 252 of the Tax Reform Act of 1986, Public Law 99–514, October 22, 1986, 100 STAT. 2086. See 26 U.S. Code § 42.
Source: The Heritage Foundation