ABX-13
Budget & Economy

Personal Income Tax: tax credits: fire-resistant home improvements.

Failed
CA
2025-2026 Regular Session
0
0
Track

Key Takeaways

  • Establishes a tax credit for California homeowners who make fire-resistant improvements to homes in high-risk fire zones.
  • Provides up to $400 annually in tax credits covering 40% of fire safety upgrades like fire-rated roofs and vents.
  • Limits eligibility to households earning under $250,000 for joint filers or $125,000 for individuals.
  • Expires December 1, 2030 with a lifetime maximum credit of $2,000 per taxpayer.
100% progression
Bill did not receive enough votes to pass or was withdrawn (2/3/2025)
Probability of Passing
We're working on it! Check back later.

Summary

Assembly Member Wallis, joined by seventeen coauthors, proposes a new personal income tax credit aimed at California homeowners who make fire-resistant improvements to properties in high-risk areas. The measure would provide qualifying taxpayers a credit equal to 40% of expenses for specific fire-hardening measures, including Class A fire-rated roofs, enclosed eaves, fire-resistant vents, and proper ground clearance, with annual claims capped at $400 and a cumulative limit of $2,000 per taxpayer.

The tax credit would be available from January 2025 through December 2030 to property owners in zones designated as high or very high fire hazard severity areas by the State Fire Marshal. Income eligibility limits are set at $250,000 for joint filers and heads of household, and $125,000 for other individual filers. Taxpayers may carry forward unused credits for up to three years. The Franchise Tax Board must analyze usage patterns and average claim amounts, reporting findings to the Legislature by December 2030.

The measure contains an urgency clause allowing it to take effect immediately upon enactment as a tax levy under the California Constitution. This provision aims to make the credit available for the full 2025 tax year.

Introduced By

Greg Wallis
Greg WallisR
California State Assembly Member
Co-Authors
Juan Alanis
Juan AlanisR
California State Assembly Member
Leticia Castillo
Leticia CastilloR
California State Assembly Member
Phillip Chen
Phillip ChenR
California State Assembly Member
Laurie Davies
Laurie DaviesR
California State Assembly Member
Carl DeMaio
Carl DeMaioR
California State Assembly Member
Diane Dixon
Diane DixonR
California State Assembly Member
Bill Essayli
Bill EssayliR
California State Assembly Member
Heath Flora
Heath FloraR
California State Assembly Member
James Gallagher
James GallagherR
California State Assembly Member
Heather Hadwick
Heather HadwickR
California State Assembly Member
Jeff Gonzalez
Jeff GonzalezR
California State Assembly Member
Tom Lackey
Tom LackeyR
California State Assembly Member
Alexandra Macedo
Alexandra MacedoR
California State Assembly Member
Kate Sanchez
Kate SanchezR
California State Assembly Member
Tri Ta
Tri TaR
California State Assembly Member
David Tangipa
David TangipaR
California State Assembly Member
Joe Patterson
Joe PattersonR
California State Assembly Member

Community Outlook

No votes yet
Positive
0%
Negative
0%

Key Dates

Read first time. To print.
Assembly Floor
Read first time. To print.
Read first time. To print.

Similar Past Legislation

Bill NumberTitleIntroduced DateStatusLink to Bill
AB-1354
Personal Income Tax Law: credits: insurance.
February 2025
Introduced
AB-389
Personal Income Tax: tax credits: fire-resistant home improvements.
February 2025
Introduced
AB-582
Personal Income Tax: tax credits: fire-resistant home improvements.
February 2023
Failed
Showing 3 of 3 items
Page 1 of 1

Key Takeaways

  • Establishes a tax credit for California homeowners who make fire-resistant improvements to homes in high-risk fire zones.
  • Provides up to $400 annually in tax credits covering 40% of fire safety upgrades like fire-rated roofs and vents.
  • Limits eligibility to households earning under $250,000 for joint filers or $125,000 for individuals.
  • Expires December 1, 2030 with a lifetime maximum credit of $2,000 per taxpayer.

Introduced By

Greg Wallis
Greg WallisR
California State Assembly Member
Co-Authors
Juan Alanis
Juan AlanisR
California State Assembly Member
Leticia Castillo
Leticia CastilloR
California State Assembly Member
Phillip Chen
Phillip ChenR
California State Assembly Member
Laurie Davies
Laurie DaviesR
California State Assembly Member
Carl DeMaio
Carl DeMaioR
California State Assembly Member
Diane Dixon
Diane DixonR
California State Assembly Member
Bill Essayli
Bill EssayliR
California State Assembly Member
Heath Flora
Heath FloraR
California State Assembly Member
James Gallagher
James GallagherR
California State Assembly Member
Heather Hadwick
Heather HadwickR
California State Assembly Member
Jeff Gonzalez
Jeff GonzalezR
California State Assembly Member
Tom Lackey
Tom LackeyR
California State Assembly Member
Alexandra Macedo
Alexandra MacedoR
California State Assembly Member
Kate Sanchez
Kate SanchezR
California State Assembly Member
Tri Ta
Tri TaR
California State Assembly Member
David Tangipa
David TangipaR
California State Assembly Member
Joe Patterson
Joe PattersonR
California State Assembly Member

Summary

Assembly Member Wallis, joined by seventeen coauthors, proposes a new personal income tax credit aimed at California homeowners who make fire-resistant improvements to properties in high-risk areas. The measure would provide qualifying taxpayers a credit equal to 40% of expenses for specific fire-hardening measures, including Class A fire-rated roofs, enclosed eaves, fire-resistant vents, and proper ground clearance, with annual claims capped at $400 and a cumulative limit of $2,000 per taxpayer.

The tax credit would be available from January 2025 through December 2030 to property owners in zones designated as high or very high fire hazard severity areas by the State Fire Marshal. Income eligibility limits are set at $250,000 for joint filers and heads of household, and $125,000 for other individual filers. Taxpayers may carry forward unused credits for up to three years. The Franchise Tax Board must analyze usage patterns and average claim amounts, reporting findings to the Legislature by December 2030.

The measure contains an urgency clause allowing it to take effect immediately upon enactment as a tax levy under the California Constitution. This provision aims to make the credit available for the full 2025 tax year.

100% progression
Bill did not receive enough votes to pass or was withdrawn (2/3/2025)
Probability of Passing
We're working on it! Check back later.

Key Dates

Read first time. To print.
Assembly Floor
Read first time. To print.
Read first time. To print.

Community Outlook

No votes yet
Positive
0%
Negative
0%

Similar Past Legislation

Bill NumberTitleIntroduced DateStatusLink to Bill
AB-1354
Personal Income Tax Law: credits: insurance.
February 2025
Introduced
AB-389
Personal Income Tax: tax credits: fire-resistant home improvements.
February 2025
Introduced
AB-582
Personal Income Tax: tax credits: fire-resistant home improvements.
February 2023
Failed
Showing 3 of 3 items
Page 1 of 1