Bill 119 HR 1849, also known as the State-Based Catastrophe Loss Mitigation Act, aims to amend the Internal Revenue Code of 1986 to allow individuals to exclude from their gross income any amounts received from state-based catastrophe loss mitigation programs.
The purpose of this bill is to provide tax relief to individuals who have suffered losses due to natural disasters or other catastrophic events. By excluding these amounts from gross income, individuals will not be taxed on the financial assistance they receive from state-based programs designed to help them recover from such events.
This legislation is important as it recognizes the financial burden that individuals face when dealing with the aftermath of a disaster. By providing this tax exclusion, the government is helping to alleviate some of the financial strain that individuals may experience during these difficult times.
Overall, Bill 119 HR 1849 seeks to provide much-needed relief to individuals who have been affected by catastrophic events by allowing them to exclude certain amounts from their gross income. This legislation aims to support individuals in their recovery efforts and help them rebuild their lives in the wake of a disaster.