WILTR Act of 2025

Tax Relief for Wildfire Prevention: Under Section 2(a), gross income will not include grants or awards received by a taxpayer for conducting hazardous fuel reduction activities or making improvements to their real property. This provides a financial benefit to those performing wildfire prevention tasks.

Deductions for Prevention Costs: According to Section 3(a), taxpayers can claim a deduction for amounts paid or incurred for qualified hazardous fuel reduction activities. This allows individuals to offset some of the costs associated with preventing wildfires on their property.

Support for Firefighting Infrastructure: Section 2(a)(2)(B) includes improvements such as the installation of firefighting equipment, the maintenance of trails or roads for firefighting access, and the facilitation of firefighter training. This can improve safety and preparation for fire-related emergencies.

Incentives for Fuel Reduction: Section 2(a)(2)(A) provides for various methods of wildfire prevention, including the installation of fuel breaks, prescribed fire, and mechanical methods like thinning or pruning. This encourages actions that can help control fire behavior.

Restrictions on Double Benefits: Under Section 3(b)(2), the bill includes a "Denial of Double Benefit" provision. This means a deduction cannot be claimed for any expenditure that is already being excluded from gross income under section 139(i), preventing taxpayers from getting two tax advantages for the same expense.

Requirement for Agency Certification: Per Section 3(a)(b), a hazardous fuel reduction activity is only considered "qualified" if a State, local, Tribal, or Federal fire management agency certifies that it will reduce hazardous fuels or enable firefighting-related functions. This adds a requirement for official agency approval.