HR 7584

This bill, the Multigenerational Family Tax Credit Act of 2026, creates a new tax credit for expenses related to improving a taxpayer’s principal residence to support a ‘qualified relative.’ Qualified relatives include individuals age 65 or older, those with disabilities, and those sharing the same residence for more than half the year. The credit is capped at $8,000 per taxpayer and is phased out based on modified adjusted gross income, with higher earners receiving a smaller credit. A portion of the credit is refundable, and taxpayers cannot claim the credit for expenses already covered by other deductions or credits.