Bill > S2313

This bill introduces a new tax deduction for flood insurance premiums, allowing individual taxpayers to deduct the cost of qualified flood insurance for property they own. The deduction is subject to income limitations, with taxpayers whose adjusted gross income exceeds $200,000 ($400,000 for joint returns) being ineligible. Qualified flood insurance premiums include risk premiums for national flood insurance programs, federal policy fees, and various surcharges related to flood insurance. The bill defines these premiums broadly, covering both government-provided national flood insurance and private flood insurance policies. The deduction will be treated as an "above-the-line" deduction, meaning taxpayers can claim it in calculating their adjusted gross income, which potentially provides greater tax relief. The new provision will be added to the Internal Revenue Code as Section 224 and will apply to taxable years beginning after the date of the Act's enactment. By creating this deduction, the bill aims to help property owners in flood-prone areas offset the financial burden of maintaining necessary flood insurance coverage.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/2313/all-info