[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.
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