Tuesday, October 3, 2017
On September 29, President Trump signed into law H.R. 3823, the “Disaster Tax Relief and Airport and Airway Extension Act of 2017,” which reauthorizes the Federal Aviation Administration (FAA) for six months and delivers temporary tax relief to the victims of Hurricanes Harvey, Irma, and Maria. One day earlier, on September 28, the House had passed the measure by a vote of 264 to 155; the Senate had then passed the bill by voice vote, with an amendment striking a provision on the development of a private flood insurance market; and the House, by voice vote, had again passed the bill, as amended.
Tax provisions in the bill make it easier for people with hurricane losses to write them off on their taxes, eliminating a requirement that personal losses must exceed 10% of adjusted gross income to qualify for a deduction. It also gives hurricane victims penalty-free access to retirement funds and temporarily suspends limitations on the deduction for charitable contributions made before year-end for hurricane relief.