[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2770 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 2770

   To amend the Internal Revenue Code of 1986 to allow for a credit 
    against tax for sales at retail of safe firearm storage devices.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 20, 2023

Mr. Levin (for himself, Mr. Lawler, Mr. Boyle of Pennsylvania, Mrs. Kim 
    of California, Mr. Vicente Gonzalez of Texas, and Ms. Salazar) 
 introduced the following bill; which was referred to the Committee on 
                             Ways and Means

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to allow for a credit 
    against tax for sales at retail of safe firearm storage devices.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Prevent Family Fire Act of 2023''.

SEC. 2. SAFE FIREARM STORAGE CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 45BB. SAFE FIREARM STORAGE CREDIT.

    ``(a) Allowance of Credit.--For purposes of section 38, the safe 
firearm storage credit determined under this section for the taxable 
year is an amount equal to 10 percent of amounts received from the 
first retail sale of each safe firearm storage device sold by the 
taxpayer for use within the United States during the taxable year.
    ``(b) Limitations.--
            ``(1) $400 per device.--The amounts received from a first 
        retail sale that are taken into account under subsection (a) 
        with respect to a safe firearm storage device shall not exceed 
        $400 per device.
            ``(2) Fair market value.--The amount taken into account 
        under subsection (a) shall not include amounts in excess of the 
        fair market value of such safe firearm storage device.
    ``(c) Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Determination of price.--In determining price, there 
        shall be excluded, if stated as a separate charge, the amount 
        of any retail sales tax imposed by any State or political 
        subdivision thereof or the District of Columbia, whether the 
        liability for such tax is imposed on the vendor or vendee.
            ``(2) First retail sale.--The term `first retail sale' 
        means the first sale, for a purpose other than for resale or 
        leasing in a long-term lease, after production, manufacture, or 
        importation.
            ``(3) Safe firearm storage device.--
                    ``(A) In general.--The term `safe firearm storage 
                device' means a device that is--
                            ``(i) designed and marketed for the 
                        principal purpose of denying unauthorized 
                        access to, or rendering inoperable, a firearm 
                        or ammunition, and
                            ``(ii) secured by a combination lock, key 
                        lock, or lock based on biometric information 
                        which--
                                    ``(I) is integrated into the design 
                                of the device, and
                                    ``(II) once locked, is incapable of 
                                being opened without the combination, 
                                key, or biometric information, 
                                respectively.
                    ``(B) Exclusion.--The term `safe firearm storage 
                device' does not include--
                            ``(i) any device which is incorporated to 
                        any extent into the design of a firearm or of 
                        ammunition, or
                            ``(ii) any device that, as of the date of 
                        the sale described in subsection (a), has been 
                        subject to a mandatory recall by the Consumer 
                        Product Safety Commission.
                    ``(C) Firearm; ammunition.--The terms `firearm' and 
                `ammunition' have the meanings given such terms in 
                section 921 of title 18, United States Code (without 
                regard to all that follows `firearm silencer' in 
                paragraph (3) of such section).
    ``(d) Recapture.--
            ``(1) In general.--The Secretary shall, by regulations, 
        provide for recapturing the benefit of any credit allowable 
        under subsection (a) if such credit is improperly or 
        excessively claimed.
            ``(2) Documentation.--The Secretary may require such 
        information or registration as the Secretary deems necessary 
        for purposes of recapture under paragraph (1).
    ``(e) Termination.--This section shall not apply to sales after 
December 31, 2030.''.
    (b) Credit Made Part of General Business Credit.--Subsection (b) of 
section 38 of the Internal Revenue Code of 1986 is amended by striking 
``plus'' at the end of paragraph (40), by striking the period at the 
end of paragraph (41) and inserting ``, plus'', and by adding at the 
end the following new paragraph:
            ``(42) the safe firearm storage credit determined under 
        section 45BB(a).''.
    (c) Credit Allowed Against AMT.--Section 38(c)(4)(B) of such Code 
is amended by redesignating clauses (x) through (xii) as clauses (xi) 
through (xiii), respectively, and by inserting after clause (ix) the 
following new clause:
                            ``(x) the credit determined under section 
                        45BB,''.
    (d) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

``Sec. 45BB. Safe firearm storage credit.''.
    (e) Report.--The Secretary of the Treasury shall make publicly 
available an annual report of the credits against tax allowed by reason 
of section 45BB (as added by this section), disaggregated by State.
    (f) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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