The District of Columbia has enacted emergency budget support legislation for Fiscal Year 2026. Among numerous provisions, the legislation: (1) delays a combined reporting income tax deduction; (2) retroactively repeals the D.C. child tax credit; (3) repeals an increase in the general sales and use tax rate previously scheduled for October 1, 2025; (4) extends the additional 1% transient accommodations tax until September 30, 2027; (5) legalizes commercial bingo in the District and imposes a 7.5% sales tax on charges collected to play commercial bingo; (6) amends the real property tax exemption for non-profit workforce housing; (7) amends the real property tax abatement for downtown housing; (8) preserves the real property tax exemption for nonprofit organization property used for solar energy generation/storage/management or electric vehicle charging; (9) repeals the D.C. Child Trust Fund program; (10) increases the maximum allowable annual increase in BID taxes permitted for the Downtown Business Improvement District; and (11) renames the ballpark fee as the sports facility fee and repeals the fee’s sunset. Other topics include community land trusts, the District’s clean hands certification requirements and various property tax exemptions/refunds/rebates. (L. 2025, B340 (Act 26-146), effective 09/03/2025 (expires 12/02/2025) and applicable 10/01/2025 unless otherwise provided.)
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