WASHINGTON—U.S. Senator Bill Cassidy, M.D. (R-LA), a member of the Senate Finance Committee, today announced his amendment providing $200 million in critically needed disaster tax relief to Louisianans affected by last year’s flood has been added to the Senate’s tax reform legislation.
“This amendment will deliver vital tax relief to tens of thousands of Louisiana families hurt by last year’s devastating flood,” said Dr. Cassidy. “They’ll be able to deduct their losses and won’t be taxed for using retirement savings to rebuild and recover. This is a huge help for the people of our state, and I thank Chairman Hatch for agreeing to include my amendment in the bill.”
Cassidy’s amendment will provide $200 million in tax relief to Louisianans impacted by the Great Flood of August 2016. It will allow individuals to deduct from their income tax liability personal casualty losses from the storm exceeding $500 that were sustained on or after August 11, 2016. It also provides an exception to the 10 percent early withdrawal tax in the case of a qualified Mississippi River Delta flooding distribution from a qualified retirement plan, a section 403(b) plan or an IRA. (Pages 37-38)