[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7821 Introduced in House (IH)]

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118th CONGRESS
  2d Session
                                H. R. 7821

To amend the Internal Revenue Code of 1986 to provide for a tax credit 
     with respect to fighting retail crime, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 26, 2024

 Mr. Gallego 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 provide for a tax credit 
     with respect to fighting retail crime, and for other purposes.

    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 ``Safer American Family Enterprise 
Retail Act of 2024'' or the ``SAFE Retail Act of 2024''.

SEC. 2. RETAIL THEFT PREVENTION CREDIT FOR SMALL RETAIL BUSINESSES.

    (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. RETAIL THEFT PREVENTION CREDIT FOR SMALL RETAIL 
              BUSINESSES.

    ``(a) In General.--For purposes of section 38, in the case of any 
eligible small retail business operator, the retail theft prevention 
credit determined under this section for any taxable year is an amount 
equal to 50 percent of so much of the eligible expenditures for the 
taxable year as exceeds $250 but does not exceed $5,000.
    ``(b) Limitation.--The credit determined under subsection (a) with 
respect to the taxpayer for any taxable year shall not exceed the 
excess (if any) of $2,500 over the aggregate credits allowed under this 
section with respect to the taxpayer for all prior taxable years.
    ``(c) Eligible Small Retail Business Operator.--For purposes of 
this section, the term `eligible small retail business operator' means 
a person that is--
            ``(1) not an applicable large employer (as defined in 
        section 4980H(c)), and
            ``(2) engaged in the trade or business of selling tangible 
        personal property at retail from an office, store, or any other 
        physical location open to the public.
    ``(d) Eligible Expenditures.--
            ``(1) In general.--For purposes of this section, the term 
        `eligible expenditures' means, with respect to any eligible 
        small retail business operator for any taxable year, amounts 
        paid or incurred by such operator during such taxable year 
        for--
                    ``(A) conducting employee security training and 
                background checks,
                    ``(B) limiting and preventing access to the 
                personal property to be sold at retail in the 
                possession of the operator,
                    ``(C) acquiring non-lethal devices used to deter, 
                prevent, or mitigate against the theft of such personal 
                property,
                    ``(D) protecting any facility in which the operator 
                stores such personal property,
                    ``(E) installing security lighting, cameras, 
                recording equipment, and intrusion detection sensors,
                    ``(F) conducting a security vulnerability 
                assessment,
                    ``(G) implementing a site security plan, or
                    ``(H) taking such other measures for the prevention 
                of theft of such personal property as the Secretary may 
                by regulation prescribe.
            ``(2) Purpose requirement.--Amounts described in paragraph 
        (1) shall be taken into account only to the extent that such 
        amounts are paid or incurred for the purpose of deterring, 
        preventing, or mitigating against the loss of personal property 
        to be sold by the eligible small retail business operator at 
        retail.
    ``(e) Aggregation Rule.--All persons treated as a single employer 
under subsection (b), (c), (m), or (o) of section 414 shall be treated 
as one person for purposes of this section.
    ``(f) Regulations.--The Secretary may prescribe such regulations as 
may be necessary or appropriate to carry out the purposes of this 
section, including regulations to specify the non-lethal devices 
described in subsection (d)(1)(C).
    ``(g) Termination.--This section shall not apply with respect to 
any amounts paid or incurred after December 31, 2029.''.
    (b) No Double Benefit.--Section 280C of such Code is amended by 
adding at the end the following new subsection:
    ``(i) Credit for Retail Theft Prevention for Small Businesses.--No 
deduction shall be allowed for that portion of the expenses otherwise 
allowable as a deduction taken into account in determining the amount 
of credit under section 45BB for the taxable year.''.
    (c) Credit Allowed as Part of General Business Credit.--Section 
38(b) of such Code is amended in paragraph (40) by striking ``plus'', 
in paragraph (41) by striking the period and inserting ``, plus'', and 
by adding at the end the following new paragraph:
            ``(42) in the case of an eligible small retail business 
        operator (as defined in section 45BB(c)), the retail theft 
        prevention credit determined under section 45BB(a).''.
    (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. Retail theft prevention credit for small retail 
                            businesses.''.
    (e) 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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