Casualty Loss Deduction Restoration Act

#4539 | HR Congress #118

Policy Area: Taxation
Subjects:

Last Action: Referred to the House Committee on Ways and Means. (7/11/2023)

Bill Text Source: Congress.gov

Summary and Impacts
Original Text
[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4539 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 4539

  To amend the Internal Revenue Code of 1986 to repeal the temporary 
                limitation on personal casualty losses.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 11, 2023

Mr. Courtney (for himself, Mr. Larson of Connecticut, Ms. Brownley, Mr. 
  Crenshaw, and Mr. Rogers of Alabama) introduced the following bill; 
         which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to repeal the temporary 
                limitation on personal casualty losses.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Casualty Loss Deduction Restoration 
Act''.

SEC. 2. REPEAL OF TEMPORARY LIMITATION ON PERSONAL CASUALTY LOSSES; 
              TEMPORARY DOLLAR LIMITATION ADDED.

    (a) In General.--Section 165(h) of the Internal Revenue Code of 
1986 is amended by striking paragraph (5) and inserting the following 
new paragraph:
            ``(5) Limitation for taxable years 2018 through 2025.--
                    ``(A) In general.--In the case of an individual, 
                the aggregate amount of any personal casualty losses 
                allowed under subsection (a) with respect to a taxable 
                year beginning after December 31, 2017, and before 
                January 1, 2026 shall not exceed $50,000 for each such 
                taxable year.
                    ``(B) Exception.--Subparagraph (A) shall not apply 
                to any personal casualty loss attributable to a 
                Federally declared disaster (as defined in subsection 
                (i)(5)) allowed under subsection (a).''.
    (b) Extension of Period of Limitation.--
            (1) In general.--In the case of a claim for credit or 
        refund which is properly allocable to a loss which is described 
        in paragraph (2)--
                    (A) the period of limitation prescribed in section 
                6511(a) of the Internal Revenue Code of 1986 for the 
                filing of such claim shall be treated as not expiring 
                earlier than the date that is 1 year after the date of 
                the enactment of this Act, and
                    (B) any limitation described in section 6511(b)(2) 
                shall not apply.
            (2) Loss described.--A loss is described in this paragraph 
        if such loss is--
                    (A) described in section 165(c)(3) of the Internal 
                Revenue Code of 1986, and
                    (B) deductible under section 165(a) for a taxable 
                year beginning after December 31, 2017.
    (c) Effective Date.--The amendment made by subsection (a) shall 
apply to losses incurred in taxable years beginning after December 31, 
2017.
    (d) Regulations.--The Secretary of the Treasury (or the Secretary's 
delegate) shall issue such regulations or other guidance as are 
necessary to implement the amendment made by this section, including 
regulations or guidance consistent with Revenue Procedure 2017-60.
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