Disaster Mitigation and Tax Parity Act of 2023

Disaster Mitigation and Tax Parity Act of 2023

This bill excludes from gross income, for income tax purposes, any qualified catastrophe mitigation payment made under a state-based catastrophe loss mitigation program. A qualified catastrophe mitigation payment means any amount received for making improvements to an individual's property for the sole purpose of reducing the damage that would be done to such property by a windstorm, earthquake, or wildfire.

Bill 118 HR 4070, also known as the Disaster Mitigation and Tax Parity Act of 2023, aims to address issues related to disaster mitigation and tax policies in the United States. The bill focuses on providing support for communities and individuals affected by natural disasters, as well as ensuring fair and equitable tax treatment for those impacted.

One key aspect of the bill is the establishment of a Disaster Mitigation Fund, which would provide funding for projects aimed at reducing the impact of natural disasters on communities. This fund would support initiatives such as infrastructure improvements, early warning systems, and community preparedness programs.

Additionally, the bill includes provisions to ensure that individuals and businesses affected by disasters receive fair treatment under the tax code. This includes measures to allow for the deduction of disaster-related expenses, as well as provisions to streamline the process for claiming disaster-related tax benefits. Overall, the Disaster Mitigation and Tax Parity Act of 2023 seeks to improve the country's ability to respond to and recover from natural disasters, while also ensuring that those affected receive the support they need.