H.R. 4861 creates a new federal tax credit for businesses that invest in disaster mitigation projects on working waterfront properties. The credit covers 30 percent of qualified investments in eligible mitigation work, up to a maximum of $300,000 per taxpayer every ten years (adjusted annually for inflation after 2026). Eligible projects must include measures such as structural elevation, flood protection systems, shoreline stabilization, floodproofing, equipment retrofitting, or hazard warning systems, and must comply with the International Building Code. The credit applies to small and mid-sized waterfront businesses—those with average annual gross receipts not exceeding $47 million—that provide access to navigable waters for commercial fishing, boatbuilding, aquaculture, and similar water-dependent activities. The tax credit takes effect for projects placed in service after December 31, 2025, and the legislation also ensures that U.S. territories with tax systems mirroring the federal code receive equivalent financial support.
Take Action
Your position
Add a comment
to comment on this bill.
Annotate the text
Highlight any passage on the Summary or Full Text tab to attach a note. Annotations appear on the Annotations tab.