National Disaster Tax Relief Act of 2014

Bill: 113-s-2233
Sponsor: Sen. Schumer, Charles E. [D-NY]
Introduced: 2014-04-09 in the Senate
Policy area: Taxation
Subjects: Business investment and capital
Charitable contributions
Credit and credit markets
Disaster relief and insurance
Employee benefits and pensions
Financial services and investments
Homelessness and emergency shelter
Housing finance and home ownership
Income tax credits
Income tax deductions
Income tax exclusion
Life, casualty, property insurance
Low- and moderate-income housing
Natural disasters
Poverty and welfare assistance
Residential rehabilitation and home repair
Securities
Social work, volunteer service, charitable organizations
State and local government operations
Tax administration and collection, taxpayers
Tax treatment of families
Tax-exempt organizations
Wages and earnings
Water use and supply

Summary:
action_date: 2014-04-09
text: 
National Disaster Tax Relief Act of 2014 - Amends the Internal Revenue Code to provide tax relief for disasters declared in 2012 and 2013 by: 
 
 
extending through 2013 the election to expense qualified disaster expenses (i.e., for removal of debris, demolition, and repair of business-related property); 
 
increasing the tax deduction for charitable contributions for disaster relief for individual and corporate taxpayers; 
 
allowing through 2013 the deduction of losses attributable to disasters; 
 
allowing waivers of requirements relating to mortgage revenue bonds;
 
extending through 2013 the additional allowance for depreciation of business property (bonus depreciation);
 
allowing an increase in 2012 and 2013 of the new markets tax credit limitation amount within a federally-declared disaster area;
 
permitting the use of tax-exempt retirement plan funds in federally-declared disasters without penalty; 
 
allowing an additional tax exemption for individuals who are displaced as a result of a federally-declared disaster; 
 
allowing an exclusion from gross income of imputed income from the cancellation of indebtedness resulting from federally-declared disasters; 
 
providing a special rule to allow individuals affected by a disaster in 2012 or 2103 to claim a full earned income tax credit; 
 
increasing the rehabilitation tax credit for buildings affected by a federally-declared disaster; 
 
permitting one additional advance refunding of a tax-exempt bond that is outstanding on the date on which a federally-declared disaster occurs; 
 
allowing the issuance of qualified disaster area recovery bonds; 
 
allowing an additional allocation of the low-income housing tax credit in 2014 to states affected by a federally-declared disaster occurring in 2012 or 2013; 
 
allowing payments of disaster assistance to tax-exempt mutual ditch or irrigation companies without affecting their tax-exempt status;
 
allowing an exclusion from gross income for disaster mitigation payments received from state and local governments; and 
 
allowing a tax deduction for payments to a tax-exempt natural disaster fund.



Legislative actions:
action_date: 2014-04-09
text: Read twice and referred to the Committee on Finance.
action_date: 2014-04-09
text: Introduced in Senate