Treatment of expenditures in connection with hazardous fuel reduction activities or improvements

(a) In general Part VI of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 199A the following new section: 199B. Deduction for hazardous fuel reduction activities or improvements (a) In general There shall be allowed as a deduction an amount equal to the amounts paid or incurred by the taxpayer for qualified hazardous fuel reduction activities during the taxable year. (b) Qualified hazardous fuel reduction activities For purposes of this section, the term qualified hazardous fuel reduction activities means improvements to the real property of the taxpayer which— (1) is a hazardous fuel reduction activity or hazardous fuel reduction improvement described in section 139(i)(2), and (2) a State, local, Tribal, or Federal fire management agency certifies will reduce hazardous fuels or enable firefighting preparation, training, access, or fire suppression or emergency evacuation relating to fire. (c) Denial of double benefit No deduction shall be allowed under subsection (a) with respect to any expenditure to the extent that an amount is excludable under section 139(i) with respect to such expenditure.. (b) Deduction taken into account in determining adjusted gross income Section 62(a) of such Code is amended by inserting after paragraph (21) the following new paragraph: (22) Expenditures in connection with qualified hazardous fuel reduction activities The deduction allowed by section 199B.. (c) Conforming amendments (1) Section 263(a)(1) of such Code is amended by striking or at the end of subparagraph (J), by striking the period at the end of subparagraph (K) and inserting, or, and by adding at the end the following new subparagraph: (L) expenditures for which a deduction is allowed under section 200.. (2) The table of sections for part VI of subchapter B of chapter 1 of such Code is amended by inserting after the item relating to section 199A the following new item: Sec. 199B. Deduction for hazardous fuel reduction activities or improvements.. (d) Effective date The amendments made by this section shall apply to amounts paid or incurred after the date of the enactment of this Act.