Establishes the Catastrophe Savings Account Act to allow residents to save for qualified catastrophe expenses.
The bill establishes the Catastrophe Savings Account Act, allowing residents to set up a savings account for qualified catastrophe expenses. Contributions are limited based on the taxpayer's deductible, with a maximum of $25,000. Contributions are tax-deductible, and distributions used for qualified catastrophe expenses are tax-exempt. The act takes effect on July 1, 2026, and applies to taxable years beginning on or after January 1, 2027.
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