“To amend the Internal Revenue Code of 1986 to provide incentives for wildfire prevention.”
No CRS summary available for this bill.
This section establishes a new exclusion from gross income under Section 139 of the Internal Revenue Code for any grant, award, or services received by a taxpayer to conduct hazardous fuel reduction activities (i.e., wildfire prevention via fuel breaks, firebreaks, prescribed fire, wildland fire use, or mechanical thinning of hazardous fuels such as trees, grasses, shrubs, or dead vegetation) or hazardous fuel reduction improvements (i.e., additions or alterations to real property for firefighting equipment, access roads or trails, training, suppression, or evacuation) on the taxpayer's real property. The exclusion applies to amounts received after the date of enactment.
This section establishes an above-the-line deduction under new IRC §199B for amounts paid or incurred by a taxpayer for qualified hazardous fuel reduction activities during the taxable year. Qualified activities are improvements to the taxpayer's real property that (1) are hazardous fuel reduction activities or improvements described in IRC §139(i)(2) (i.e., qualified disaster mitigation payments excludable from gross income) and (2) are certified by a State, local, Tribal, or Federal fire management agency as reducing hazardous fuels or enabling firefighting preparation, training, access, fire suppression, or emergency evacuation relating to fire; no deduction is allowed to the extent of any exclusion under §139(i). The amendments apply to amounts paid or incurred after enactment.