Florida Senator Rick Scott (R) unveiled a new bill designed to offer tax breaks to victims of natural disasters.
The Federal Disaster Tax Relief Act of 2025 would allow tax breaks for victims of federally declared disasters, such as hurricanes and wildfires, until the end of 2026. The bill also extends victims’ ability to make tax-deductible payments from wildfire settlements through the end of 2030.
“Whether it’s a hurricane or a wildfire, we’ve all seen the heartbreaking impact natural disasters can have. Proud to lead my Federal Disaster Tax Relief Act with Senator Schiff to ensure victims have the relief they need,” Scott said.
The bill received widespread bipartisan support in both the House and the Senate, with Florida Congressman Greg Steube (R) and California Congressman Mike Thompson (D) championing the bill in the House and Sen. Scott and California Sen. Adam Schiff (D) leading the bill in the Senate.
“Surviving a natural disaster can place an enormous financial burden on families. That’s why it’s critical we find ways to support victims of devastating disasters like the wildfires in California. I’m proud to join this bipartisan effort with Senator Rick Scott to ensure that those hit the hardest when disaster strikes receive the support and the tax relief they need to recover,” Sen. Schiff said in a press release.
Previously, Scott and Rep. Steube championed the Federal Disaster Tax Relief Act of 2023, which offered tax relief to hurricane-damaged communities in Florida, North Carolina, Georgia, and Puerto Rico. The updated bill now expands those benefits to cover losses from wildfires and other natural disasters.
“Allowing taxpayers to write off damages from natural disasters is a no-brainer. Millions of Floridians have already benefited from my Federal Disaster Tax Relief Act as they rebuild from the last several hurricane seasons," Steube commented. "This law provides a much-needed lifeline to families as they navigate the most difficult of times."
