H. R. 4970
IN THE HOUSE OF REPRESENTATIVES
July 27, 2023
Mr. LaMalfa (for himself, Mr. Thompson of California, Ms. Porter, Mr. Panetta, Ms. Brownley, Mr. Kiley, Mr. McClintock, and Mr. Newhouse) introduced the following bill; which was referred to the Committee on Ways and Means
To provide an exclusion from gross income for compensation for expenses and losses resulting from certain wildfires.
This Act may be cited as the
Protect Innocent Victims Of Taxation After Fire Act.
Exclusion from gross income for compensation for losses or damages resulting from certain wildfires
For purposes of the Internal Revenue Code of 1986, gross income shall not include any amount received by an individual as a qualified wildfire relief payment.
Qualified wildfire relief payment
For purposes of this section—
qualified wildfire relief payment means any amount paid to or for the benefit of an individual as compensation for expenses or losses incurred as a result of a qualified wildfire disaster, but only to the extent any expense or loss compensated by such payment is not otherwise compensated by insurance or otherwise.
Qualified wildfire disaster
qualified wildfire disaster means any federally declared disaster (as defined in section 165(i)(5)(A) of the Internal Revenue Code of 1986) declared, after December 31, 2014, as a result any forest or range fire.
Denial of double benefit
Notwithstanding any other provision of the Internal Revenue Code of 1986, no deduction or credit shall be allowed (to the person for whose benefit a qualified wildfire relief payment is made) for, or by reason of, any expenditure to the extent of the amount excluded under this section with respect to such expenditure.
Limitation on application
This section shall only apply to qualified wildfire relief payments received by the individual during taxable years beginning after December 31, 2019, and before January 1, 2026.