Hurricane Tax Relief Act

The Hurricane Tax Relief Act provides tax relief for individuals affected by Hurricanes Ian, Nicole, and Fiona in designated disaster areas. It allows affected taxpayers to deduct larger portions of personal property losses by increasing the standard deduction by their net disaster loss amount and adjusting the threshold for casualty loss deductions (raising the $500 floor to $1,000 for most cases). The bill also directs the Treasury to pay Puerto Rico an amount equivalent to tax benefits its residents would have received under U.S. federal tax rules, contingent on Puerto Rico having an approved plan to distribute funds directly to residents. This relief applies to losses incurred in the specified hurricane disaster areas on or after the dates of each storm's declaration.