Homeowners Premium Tax Reduction Act of 2026
To amend the Internal Revenue Code of 1986 to create an above the line deduction for certain homeowners insurance premiums.
This bill, HB9978, aims to amend the Internal Revenue Code to introduce a special tax deduction for certain homeowners insurance premiums. If passed, this change would allow homeowners to deduct a portion of their insurance costs directly from their gross income, rather than just itemizing deductions on Schedule A. This could potentially lower the tax burden for homeowners by increasing the amount of their income that is not taxed.
The proposed deduction would specifically benefit homeowners who pay insurance premiums. This could include those with both standard homeowners insurance and additional coverage for natural disasters or other specific risks. By reducing the taxable income of these homeowners, the bill could result in lower federal tax payments for them.
HB9978 was introduced on July 30, 2026, by Gus Bilirakis, a Republican representative. It was immediately referred to the House Committee on Ways and Means for further review. The bill is currently in its early stages, and additional steps such as committee review, debate, and potential amendments will follow before it can be voted on by the full House.
