This Act may be cited as the Promoting Submetering for Affordable Housing Act.

(a) In general Paragraph (5) of section 42(d) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph: (C) Increase in credit for projects that use water submetering In the case of any building— (i) which contains 4 or more units, (ii) which uses water submeters for purposes of billing each unit separately, and (iii) in which tenants have access to read water submeters, including in landlord-controlled areas, within 72 hours of making a request for such information, the eligible basis of such building shall be 105 percent of such basis determined without regard to this subparagraph.. (b) Effective date The amendment made by this section shall apply to buildings which receive allocations of housing credit dollar amount or, in the case of projects financed by tax-exempt obligations as described in section 42(h)(4) of the Internal Revenue Code of 1986, which are first taken into account under section 146 of such Code, after the date of the enactment of this Act.