Florida Senator Rick Scott is introducing legislation that would give more tax breaks to Florida Homeowners. The Residential Emergency Asset Accumulation Deferred Taxation Yield (READY) Account Act.
This bill would help Floridians better prepare for natural disasters by allowing taxpayers to establish a tax-free savings account specifically for home mitigation and disaster recovery expenses that would function much like a Health Savings Account where individuals could set aside funds for disaster preparedness.
These accounts could be used for mitigation efforts including securing roof structures, installing storm-resistant windows and doors, and more to help Floridians prepare and safeguard their homes for severe weather.
“This bill would provide homeowners with a triple tax benefit when saving for disaster preparedness and recovery, which is a huge help to families in the face of natural disasters and gives families an incentive to invest in proactive measures that can lower insurance costs and protect their property,” the Senator said.
The Homeowners Premium Tax Reduction Act
This proposal by Senator would provide homeowners with an above-the-line deduction of up to $10,000 for premiums paid for homeowners’ insurance annually on their primary residence.
Though property insurance is managed at the state, the Senator notes with the high cost of homeowners insurance, the federal government has the opportunity to lower costs for families by establishing an above-the-line federal tax deduction for homeowners’ insurance premiums. “My Homeowners Premium Tax Reduction Act is a great opportunity to directly ease this burden and give families more breathing room in their budgets,” Sen. Scott said.
The Senators office says these proposals are just the beginning of several pieces of legislation Senator Scott will be rolling out this month to help families this hurricane season, and believes the proposals could pass in the U.S. Senate and on President Trumps desk for a signature.
