[Congressional Bills 110th Congress] [From the U.S. Government Publishing Office] [H.R. 641 Introduced in House (IH)] 110th CONGRESS 1st Session H. R. 641 To clarify the tax treatment of certain payments made to homeowners by the Louisiana Recovery Authority and the Mississippi Development Authority. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES January 23, 2007 Mr. Jindal introduced the following bill; which was referred to the Committee on Ways and Means _______________________________________________________________________ A BILL To clarify the tax treatment of certain payments made to homeowners by the Louisiana Recovery Authority and the Mississippi Development Authority. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. CLARIFICATION OF TAX TREATMENT OF CERTAIN PAYMENTS MADE TO HOMEOWNERS BY THE LOUISIANA RECOVERY AUTHORITY AND THE MISSISSIPPI DEVELOPMENT AUTHORITY. For purposes of the Internal Revenue Code of 1986, if a taxpayer-- (1) receives any amount during the taxable year from the Louisiana Recovery Authority or the Mississippi Development Authority for the repair or reconstruction of such taxpayer's primary residence due to damage sustained as the result of hurricanes occurring during 2005, and (2) in any preceding taxable year claimed a casualty loss deduction under section 165 of such Code with respect to such damage, such amount shall be disregarded in determining the allowable portion of such casualty loss deduction and so much of such amount as does not exceed such casualty loss deduction shall be disregarded in determining the taxpayer's basis in such residence. <all>