P.L. 109-7, A bill to amend the Internal Revenue Code of 1986 to provide for the proper tax treatment of certain disaster mitigation payments
- This item is from the 109th Congress (2005-2006) and is no longer current. Comments, voting, and wiki editing have been disabled, and the cost/savings estimate has been frozen.
H.R. 1134, enacted as Public Law 109-7, amends the Internal Revenue Code regarding the tax treatment of certain disaster mitigation grants. The Internal Revenue Service (IRS) had treated those payments, which are received under the Robert T. Stafford Disaster Relief and Emergency Assistance Act and the Natural Flood Insurance Act, as exempt from taxation until June of 2004, when it ruled that the grants were taxable. This act alters the Internal Revenue Code to specifically exclude such payments from gross income.