Prevent Family Fire Act of 2025
The Prevent Family Fire Act of 2025 would create a new federal tax credit aimed at encouraging the purchase of safe firearm storage devices. The Safe Firearm Storage Credit would be 10% of the price of the first retail sale of each qualifying device sold in the United States in a tax year, with a per-device cap of $400 and a floor tied to the device’s fair market value. The credit would apply to taxable years beginning after enactment and would sunset after December 31, 2032. It would be treated as part of the general business credit and could be claimed against the regular tax and the alternative minimum tax (AMT). The bill also includes rules for recapturing the credit if claimed improperly, requires an annual state-by-state public report, and defines what counts as a “safe firearm storage device” (excluding devices integrated into firearms or devices subject to a mandatory recall). In essence, the bill creates a temporary, nonrefundable tax incentive designed to lower the after-tax cost of purchasing devices that help deny unauthorized access to firearms or render them inoperable, with the goal of reducing accidental or inappropriate use in families.
Key Points
- 1Creates a new Safe Firearm Storage Credit (Sec. 45BB): a 10% credit based on the first retail sale price of each safe firearm storage device sold in the United States, per device, for use within the tax year; credit is limited to $400 per device and cannot exceed the device’s fair market value.
- 2Definitions and scope: a “safe firearm storage device” is designed to deny access or render inoperable a firearm or ammunition and uses a lock or biometric system integrated into the device; excludes devices integrated into firearms or ammunition designs and devices subject to a mandatory Consumer Product Safety Commission recall; first retail sale is the initial non-resale, non-long-term-lease sale after production/importation.
- 3Tax treatment and sunset: the credit is part of the general business credit and is allowed against regular tax and the AMT; applies to taxable years beginning after enactment and terminates for sales after December 31, 2032.
- 4Administration and compliance: the Secretary would recapture the credit if improperly or excessively claimed, with possible documentation or registration requirements.
- 5Reporting: the Secretary must publicly disclose an annual report detailing credits claimed under 45BB, disaggregated by state.