Washington, DC – Today, Congresswoman Brownley (D-CA) introduced the Protecting Homeowners from Disaster Act, legislation that will restore the tax deduction for uninsured property and casualty losses that was eliminated by the Republicans’ 2017 tax law.
“Communities like Ventura County and Los Angeles County know all too well the devastation that fires, floods, mudslides, and other disasters can cause,” said Congresswoman Brownley. “Most recently, the damaging winds and significant flooding from severe atmospheric rain events have resulted in property damage throughout our region and devastating economic loss throughout California.”
“When property owners incur losses – whether from an electrical fire, water intrusion, or other disasters – far too many find themselves not only underinsured, but all too often uninsured. Some families lose their homes or small businesses, bringing about unimaginable anguish in an already stressful situation.
“When someone’s property is destroyed, the federal tax code should not discriminate based on whether the loss was part of a ‘Presidentially-declared disaster.’ Instead of compounding a family’s loss, Congress should make sure the tax code treats Americans fairly by restoring the tax deduction for uninsured property and casualty losses. My bill would ensure our tax code does not further victimize families who are struggling to recover and rebuild their lives and livelihoods.”
Specifically, the Protecting Homeowners from Disaster Act will restore the tax deduction for uninsured property and casualty losses, which the harmful and misguided 2017 Republican tax legislation – dubbed the “GOP Tax Scam” – limited to only Presidentially-declared disasters. By severely limiting the deduction, the 2017 law created a striking inequity and harms thousands of American families every single year, who no longer qualify for the deduction.
Read the full text of the bill, here.
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Issues: 118th Congress, Tax Policy