110 HR 641 IH: To clarify the tax treatment of certain payments made to U.S. House of Representatives 2007-01-23 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I 110th CONGRESS 1st Session H. R. 641 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.

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.