H.R. 1441 — PURE Water Act

This section establishes the short title of the Act as the “Providing Useful Relief for Enhanced Water Act” or the “PURE Water Act.”

This section establishes a new water filtration tax credit under 26 U.S.C. § 25F for taxable years beginning after December 31, 2024. The credit allows an individual to claim an amount equal to 20 percent of qualified primary residence filtration expenditures and 10 percent of qualified non-primary residence filtration expenditures, up to a maximum of $2,500 per taxable year, with any unused credit carried forward to the next taxable year. As background, the credit applies to expenditures for a qualified water filter installed in a U.S. dwelling unit used as the taxpayer’s primary residence or secondary residence; a qualified water filter is a home water filtration system designed to remove at least 90 percent of lead, PFAS (per- and polyfluoroalkyl substances), and PFOA (perfluorooctanoic acid) from drinking water, excluding maintenance costs and replacement parts. The section also requires a corresponding basis reduction for property receiving the credit.