Storm Shelter Act of 2019

Storm Shelter Act of 2019

This bill establishes a one-time refundable tax credit of up to $2,500 for the costs of installing a storm shelter to be used at a taxpayer's principal residence. To qualify for the credit, the residence may not be valued at more than $250,000.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 1708 Introduced in Senate (IS)]

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116th CONGRESS
  1st Session
                                S. 1708

 To amend the Internal Revenue Code of 1986 to establish a refundable 
   tax credit for the installation of a storm shelter at a qualified 
                               residence.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              June 4, 2019

   Mr. Jones introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to establish a refundable 
   tax credit for the installation of a storm shelter at a qualified 
                               residence.

    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 ``Storm Shelter Act of 2019''.

SEC. 2. REFUNDABLE TAX CREDIT FOR STORM SHELTERS.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by inserting after 
section 36 the following new section:

``SEC. 36A. STORM SHELTER CREDIT.

    ``(a) Allowance of Credit.--In the case of an individual, there 
shall be allowed as a credit against the tax imposed by this chapter 
for the taxable year an amount equal to the lesser of--
            ``(1) the total amount of any expenditures made by the 
        taxpayer for a storm shelter which is for use at a qualified 
        residence and placed in service during such taxable year, or
            ``(2) $2,500.
    ``(b) Definitions.--In this section--
            ``(1) Qualified residence.--
                    ``(A) In general.--The term `qualified residence' 
                means a dwelling unit which is--
                            ``(i) located in the United States,
                            ``(ii) used as the principal residence (as 
                        such term is used in section 121) of the 
                        taxpayer, and
                            ``(iii) valued at not greater than $250,000 
                        (as determined under subparagraph (B)).
                    ``(B) Valuation.--For purposes of subparagraph 
                (A)(iii), the value of a dwelling unit shall be 
                determined based upon the most recent property tax 
                assessment performed by the State, or local government 
                or a political subdivision thereof, in which such unit 
                is located.
            ``(2) Storm shelter.--The term `storm shelter' means a 
        hardened structure which--
                    ``(A) is designed to provide critical protection 
                during extreme wind events,
                    ``(B) is internally or externally located in 
                relation to the qualified residence, and
                    ``(C) has been certified by an inspector employed 
                or licensed by the State, or local government or a 
                political subdivision thereof, in which the qualified 
                residence is located as--
                            ``(i) satisfying the requirements under 
                        subparagraph (A), and
                            ``(ii) having been constructed in 
                        compliance with any applicable building code 
                        requirements.
    ``(c) Related Costs.--Expenditures incurred by the taxpayer for--
            ``(1) any labor costs properly allocable to the onsite 
        preparation, assembly, or original installation of the storm 
        shelter, and
            ``(2) the certification described in subsection (b)(2)(C),
shall be taken into account for purposes of subsection (a)(1).
    ``(d) Limitation.--
            ``(1) In general.--Subject to paragraph (2), an individual 
        may not claim the credit allowed under subsection (a) more than 
        once.
            ``(2) Joint return.--In the case of a joint return, the 
        taxpayer may claim the credit allowed under subsection (a) 
        unless the credit has previously been allowed to each 
        individual filing such return.
    ``(e) Basis Adjustments.--For purposes of this subtitle, if a 
credit is allowed under this section for any expenditure with respect 
to a storm shelter which is for use at a qualified residence, the 
increase in the basis of the qualified residence which would (but for 
this subsection) result from such expenditure shall be reduced by the 
amount of the credit so allowed.''.
    (b) Conforming Amendments.--
            (1) Section 6211(b)(4)(A) of the Internal Revenue Code of 
        1986 is amended by inserting ``36A,'' after ``36,''.
            (2) The table of sections for subpart C of part IV of 
        subchapter A of chapter 1 of such Code is amended by inserting 
        after the item relating to section 36 the following new item:

``Sec. 36A. Storm shelter credit.''.
    (c) 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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