Tagged: income tax credits

Hurricane Helene and Milton Tax Relief Act of 2025This bill increases the tax deduction for charitable contributions related to Hurricanes Helene and Milton relief efforts and makes changes related to distributions and loans from retirement plans and the earned income tax credit (EITC) for eligible individuals impacted by the hurricanes.The bill increases the maximum tax deduction for charitable contributions to 100% of adjusted gross income for individuals and 20% of taxable income for corporations for qualified hurricane disaster contributions. Further, individuals may claim a deduction for qualified hurricane disaster contributions even if they do not itemize their tax deductions.The bill defines qualified hurricane disaster contributions, as charitable contributions for Hurricanes Helene and Milton relief efforts made on or after September 28, 2024, and before December 31, 2025. The bill also eliminates the 10% penalty on early distributions from a qualified retirement plan for up to $100,000 of qualified hurricane disaster distributions to an eligible individual,allows eligible individuals to include qualified hurricane disaster distributions in income over three years, andincreases the loan amount that may be borrowed from a qualified retirement plan to $100,000 and allows such loans to be repaid over a longer time period.An eligible individual is an individual whose principal home during the incident period was in a qualified hurricane disaster area and who sustained economic loss due to Hurricanes Helene or Milton.Finally, the bill allows eligible individuals to calculate the EITC for the 2024 tax year using 2023 earned income. 

Prevent Family Fire Act of 2025 This bill establishes a new business tax credit on the sale of a safe firearm storage device on or before December 31, 2032. The amount of the tax credit is 10% of the retail sales price (up to a maximum price of $400 and excluding separately stated sales tax) of a safe firearm storage device. The tax credit is allowed only on the first retail sale of a safe firearm storage device for a use other than resale or long-term lease.The bill defines safe firearm storage device as a device that is (1) designed and marketed to deny unauthorized access to a firearm or ammunition or render such items inoperable; and (2) is secured by a combination lock, key lock, or lock based on biometric information. 

Landlord Accountability Act of 2025This bill prohibits housing discrimination based on income, provides protections to tenants of certain federally assisted housing, and establishes a low-income housing maintenance tax credit for eligible landlords.Specifically, the bill prohibits discrimination in rental housing and residential real estate transactions based on an individual's source of income and provides for penalties. Protected income sources includehousing vouchers and rental assistance,rental and homeownership subsidies,Social Security and disability income assistance, andspousal and child support.Additionally, landlords are prohibited from taking or failing to take certain actions with the intent to make a unit ineligible to receive Department of Housing and Urban Development (HUD) assistance. Landlords that violate this prohibition are subject to penalties and may be sued by harmed tenants. The bill further prohibits property owners of certain multifamily housing projects from intentionally leaving a unit vacant for more than 60 days. Property owners that violate this prohibition are subject to penalties.The bill also provides protections to tenants of multifamily housing projects, which includes requiring HUD to increase the staffing level for the Multifamily Housing Complaint Line and create a Multifamily Housing Complaint Resolution Program.In addition, HUD may provide grants to develop, expand, and assist tenant harassment prevention programs.Finally, the bill establishes a tax credit for qualifying landlords that is equal to the landlord's annual low-income housing maintenance expenses. To qualify, a landlord must have addressed within 30 days any relevant complaints filed under the complaint resolution program.

FairTax Act of 2025This bill replaces federal income, payroll, estate, and gift taxes with a federal sales tax beginning in 2027 and eliminates the Internal Revenue Service.The bill establishes a 23% tax-inclusive (30% tax-exclusive) federal sales tax rate on taxable property and services to be administered primarily by each state. The federal sales tax rate is adjusted annually beginning in 2028 so that it is the sum of the general revenue rate (14.91%);old-age, survivors and disability insurance rate; andhospital insurance rate. The bill includes exemptions for property or services purchased for business, investment, and certain state government functions.Registered, qualified families may receive a monthly sales tax rebate in the amount of the monthly federal poverty level (or twice such amount for married individuals) multiplied by the federal sales tax rate. Each family member must have a Social Security number and be a lawful resident of the United States. Federal sales tax revenues are allocated to general revenue, the Social Security trust funds, and the Medicare trust funds. (Special allocation rules apply for 2027.)The bill eliminates appropriations for the Internal Revenue Service after FY2029 and establishes an Excise Tax Bureau and a Sales Tax Bureau within the Department of the Treasury. Finally, the bill terminates the federal sales tax if the Sixteenth Amendment to the Constitution (authorizing a federal income tax) is not repealed within seven years from the date the bill is enacted.