Prevent Family Fire Act of 2023

To amend the Internal Revenue Code of 1986 to allow for a credit against tax for sales at retail of safe firearm storage devices. 1. Short title This Act may be cited as the Prevent Family Fire Act of 2023 2. Safe firearm storage credit (a) In general Subpart D of part IV of subchapter A of chapter 1 45BB. Safe firearm storage credit (a) Allowance of credit For purposes of section 38, the safe firearm storage credit determined under this section for the taxable year is an amount equal to 10 percent of amounts received from the first retail sale of each safe firearm storage device sold by the taxpayer for use within the United States during the taxable year. (b) Limitations (1) $400 per device The amounts received from a first retail sale that are taken into account under subsection (a) with respect to a safe firearm storage device shall not exceed $400 per device. (2) Fair market value The amount taken into account under subsection (a) shall not include amounts in excess of the fair market value of such safe firearm storage device. (c) Definitions and special rules For purposes of this section— (1) Determination of price In determining price, there shall be excluded, if stated as a separate charge, the amount of any retail sales tax imposed by any State or political subdivision thereof or the District of Columbia, whether the liability for such tax is imposed on the vendor or vendee. (2) First retail sale The term first retail sale (3) Safe firearm storage device (A) In general The term safe firearm storage device (i) designed and marketed for the principal purpose of denying unauthorized access to, or rendering inoperable, a firearm or ammunition, and (ii) secured by a combination lock, key lock, or lock based on biometric information which— (I) is integrated into the design of the device, and (II) once locked, is incapable of being opened without the combination, key, or biometric information, respectively. (B) Exclusion The term safe firearm storage device (i) any device which is incorporated to any extent into the design of a firearm or of ammunition, or (ii) any device that, as of the date of the sale described in subsection (a), has been subject to a mandatory recall by the Consumer Product Safety Commission. (C) Firearm; ammunition The terms firearm ammunition firearm silencer (d) Recapture (1) In general The Secretary shall, by regulations, provide for recapturing the benefit of any credit allowable under subsection (a) if such credit is improperly or excessively claimed. (2) Documentation The Secretary may require such information or registration as the Secretary deems necessary for purposes of recapture under paragraph (1). (e) Termination This section shall not apply to sales after December 31, 2030. . (b) Credit made part of general business credit Subsection (b) of section 38 plus , plus (42) the safe firearm storage credit determined under section 45BB(a). . (c) Credit allowed against AMT Section 38(c)(4)(B) of such Code is amended by redesignating clauses (x) through (xii) as clauses (xi) through (xiii), respectively, and by inserting after clause (ix) the following new clause: (x) the credit determined under section 45BB, . (d) Clerical amendment The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by adding at the end the following new item: Sec. 45BB. Safe firearm storage credit. (e) Report The Secretary of the Treasury shall make publicly available an annual report of the credits against tax allowed by reason of section 45BB (as added by this section), disaggregated by State. (f) Effective date The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.

Summary: Prevent Family Fire Act of 2023 This bill allows through 2030 a new tax credit equal to 10% of amounts received from the first retail sale of a safe firearm storage device, not to exceed $400 per device. The bill defines safe firearm storage device as a device that is designed and marketed to deny unauthorized access to, or render inoperable, a firearm or ammunition, and is secured by a combination lock, key lock, or lock based on biometric information.