Bill > ABX13

This bill introduces a new tax credit for homeowners in high or very high fire hazard severity zones who make fire-resistant home improvements between January 1, 2025, and January 1, 2030. Qualified taxpayers can claim a credit equal to 40% of their qualified expenses, up to $400 per year and $2,000 cumulatively. Qualified expenses include installing Class A fire-rated roofs, enclosed eaves, fire-resistant vents, and maintaining noncombustible clearance around the building. Eligibility is based on income limits: $250,000 or less for joint filers, heads of household, and surviving spouses, and $125,000 or less for other individuals. The primary residence must be located in a high or very high fire hazard severity zone as identified by the State Fire Marshal. The bill's goal is to compensate homeowners for improvements that mitigate wildfire damage and potential loss of life. The Franchise Tax Board is required to analyze the credit's effectiveness by tracking the number of taxpayers who use the credit and the average dollar amount claimed, and report findings to the Legislature by December 1, 2030. Any unused credit can be carried forward for up to three subsequent years. The tax credit provision will expire on December 1, 2030.

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520261AB3