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Tax Relief for Disaster Mitigation Payments

This act allows citizens to exclude from their taxable income any money received from state programs for making their homes more resilient to natural disasters like windstorms, earthquakes, or wildfires. This means financial aid for property improvements aimed at reducing disaster damage will not be taxed. The changes apply to tax years beginning after December 31, 2020, with an option to amend previous tax returns.
Key points
Funds received for property improvements to reduce damage from windstorms, earthquakes, or wildfires are now tax-exempt.
This applies to payments from state, local, or specific insurance market entities.
The changes are retroactive to tax years starting after 2020, allowing for amended tax returns.
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Additional Information
Print number: 118_HR_4070
Sponsor: Rep. LaMalfa, Doug [R-CA-1]
Process start date: 2023-06-13
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Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Disaster Mitigation and Tax Parity Act of 2023

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 118_HR_4070.

Which chamber initiated this legislation?

This legislation was initiated in the House of Representatives.

When did the legislative process begin?

The process officially started on 2023-06-13.

What are the main provisions?

Key points include:

  • Funds received for property improvements to reduce damage from windstorms, earthquakes, or wildfires are now tax-exempt.
  • This applies to payments from state, local, or specific insurance market entities.
  • The changes are retroactive to tax years starting after 2020, allowing for amended tax returns.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Rep. LaMalfa, Doug [R-CA-1].

What is the latest detailed status?

The latest detailed status is: Referred to the House Committee on Ways and Means.

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-25.

CATEGORIES

Taxes Real Estate Environment