Deduction for homeowners insurance premiums

(a)

In general

Part VII of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by redesignating section 224 as section 225 and by inserting after section 223 the following new section:

224.

Homeowners insurance premiums

(a)

Allowance of deduction

In the case of an individual, there shall be allowed as a deduction an amount equal to so much of the qualified insurance premiums paid or incurred during the taxable year as does not exceed $10,000. (b)

Qualified insurance premiums

For purposes of this section, with respect to an individual, the term qualified insurance premiums means annual policy premiums paid or incurred for homeowners insurance with respect to the principal residence of the individual. (c)

Principal residence

For purposes of this section, the term principal residence has the same meaning as when used in section 121.

(b)

Deduction allowed in determining adjusted gross income

Section 62(a) of the Internal Revenue Code of 1986 is amended by inserting after paragraph (21) the following new paragraph:

(22)

Homeowners insurance premiums

The deduction allowed by section 224.

(c)

Clerical amendment

The table of sections for part VII of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by striking the item relating to section 224 and by inserting after the item relating to section 223 the following new items:

Sec. 224. Homeowners insurance premiums.

Sec. 225. Cross reference.

(d)

Effective date

The amendments made by this section shall apply to taxable years ending after the date of the enactment of this Act.