Doug LaMalfa Protect Innocent Victims of Taxation After Fire Extension Act

Lower taxes for wildfire victims

This bill would let you exclude certain wildfire relief payments from your taxable income. It would apply to payments you receive after December 31, 2025. The exclusion would not apply to amounts received after December 31, 2032. It would cover payments for losses, extra living costs, lost wages, injury, death, or emotional distress from federally declared forest or range fires declared after December 31, 2014. It would only cover the part not paid by insurance or other sources. You would not be able to claim a tax deduction or credit for expenses to the extent you excluded a payment. Excluded amounts would not raise your property's tax basis.