Plain Language Summary
# SAFE HOME Act Summary **What It Does:** The SAFE HOME Act would create a tax credit to help homeowners pay for wildfire-resistant improvements to their homes. If passed, homeowners could claim back 25% of the costs they spend on qualifying fire-safety upgrades (up to $25,000 in expenses, meaning a maximum $6,250 credit). The credit would be available through 2032 and would apply to upgrades like fire-resistant roofs, special vents, exterior materials, and defensible space clearing around homes. **Who It Affects:** The tax credit targets homeowners in areas prone to wildfires who want to make their properties more fire-resistant.
However, it's limited to individuals earning less than $300,000 per year—those earning more gradually lose eligibility starting at $200,000 in income. **Current Status:** The bill is currently in committee (HR 948, sponsored by Rep. Kevin Kiley, R-CA), meaning it hasn't yet been voted on by the full House. It remains in the early stages of the legislative process.
CRS Official Summary
Supporting Affordable Fire Emergency Hardening through Optimized Mitigation Efforts Act or the SAFE HOME ActThis bill establishes a new refundable tax credit (through 2032) for costs incurred by an individual to improve the fire resistance of a primary residence. (Certain requirements and limitations apply.)The amount of the tax credit is 25% of unreimbursed qualified wildfire mitigation expenses up to $25,000. The tax credit begins to phase out for individuals with an adjusted gross income exceeding $200,000, such that the tax credit is completely phased out for individuals with an adjusted gross income of $300,000 or more. Wildfire mitigation expenses that qualify for the tax credit includeproperty to improve the fire-resistance of a roof;installation of ignition-resistant property (e.g., sheathing, flashing, roof and attic vents, or certain exterior elements) or structure-specific water hydration systems;services or equipment to create a buffer around the residence or to replace flammable vegetation with less flammable vegetation;services or equipment for certain fire maintenance procedures; andservices or equipment to prevent smoke inhalation (e.g., air filters).Further, such expenses must be incurred with respect to a primary residence located (1) in the United States; and (2) in an area that, due to a wildfire, received a federal disaster declaration within the prior 10 years or that is adjacent to such area, that received certain hazard mitigation assistance in the tax year or the prior 10 years, or that is a community disaster resilience zone (or received such designation for any tax year).
Latest Action
Referred to the House Committee on Ways and Means.