Steube Legislation Delivers Tax Relief for Florida’s Recent Hurricanes
Under Rep. Greg Steube’s legislation that was recently signed into law, H.R. 5863 The Federal Disaster Tax Relief Act, you can now claim disaster-related personal casualty losses on your taxes for Florida’s recent hurricanes.
According to the IRS, if you have a qualified disaster loss, you may elect to deduct the loss without itemizing your deductions. Further, your net casualty loss wouldn’t need to exceed 10% of your adjusted gross income to qualify for the deduction.
Covered Storms
In Florida, the new law covers Hurricanes: Ian, Milton, Helene, Debby, Idalia and Nicole.
The legislation covers all Presidentially-declared disasters occurring since the last time Congress passed qualified disaster loss legislation (Dec. 2020).
About the Legislation
Rep. Steube’s legislation provides long-awaited tax relief for Americans harmed by recent hurricanes, wildfires, floods, tornadoes, and the train derailment in Ohio by extending the rules for the treatment of certain disaster-related personal casualty losses previously passed in the Taxpayer Certainty and Disaster Tax Relief Act of 2020. This is a precedented action for Congress to take. Congress declared past disasters such as Hurricane Harvey, Tropical Storm Harvey, Hurricane Irma, Hurricane Maria, and the California wildfires in 2017 and January 2018 as qualified disasters.
The new law allows Americans who were subjected to damages from hurricanes and other federally declared disasters to claim such losses without itemizing such deductions. Moreover, such losses would not have to exceed 10% of a claimant’s adjusted gross income to qualify.
Since 2021, the Federal Emergency Management Agency (FEMA) has declared over 300 disasters impacting nearly 90 percent of the country. 47 states have experienced a covered disaster since 2021.
How to Take Advantage of Rep. Steube’s Disaster Tax Relief Law
Please contact your tax preparer or accounting professional for guidance. Rep. Steube’s office cannot provide you with tax advice.
Generally, Floridians will be able to claim disaster-related losses for the 2024 hurricane season when filing their 2024 taxes in early 2025.
Generally, Floridians who need to retroactively claim disaster-related losses for the 2021, 2022, and/or 2023 tax years will need to file an amended return for that year.
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