An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, in realty transfer tax, further providing for definitions and for excluded transactions.

This bill amends Pennsylvania's Tax Reform Code to create a real estate transfer tax exemption for specific affordable housing transactions. It defines key terms such as "affordable housing," "low-income household," and "owner entity" to clarify which properties and entities qualify for the tax break. The legislation exempts transfers of real estate between housing authorities and owner entities when the property is used to provide affordable housing, provided the transfer includes a legally binding 20-year agreement to maintain that use. If the property is not used for affordable housing within the required timeframe, the exemption is automatically revoked. The changes apply to deeds, leases, and restrictive covenants involving these specific housing transfers.