House Bill No. by Representative Jordan proposes the establishment of an income tax credit for resident individual taxpayers who pay qualifying homeowners' insurance premiums on residential properties for which they claim a homestead exemption. The bill defines "qualifying homeowners' insurance premiums paid" and stipulates that the credit amount will be the lesser of either the amount of premiums paid in excess of $3,000 in a taxable year or $5,000. Additionally, if the credit exceeds the taxpayer's total tax liability, the unused portion can be carried forward for up to five subsequent taxable years, with the condition that the credit applied in any taxable period cannot exceed the taxes due for that period.

The bill also mandates that taxpayers claiming the credit maintain necessary records to verify their eligibility and the amount claimed, and they must provide these records to the Department of Revenue upon request. Furthermore, the bill specifies that no credits can be claimed for taxable years beginning after December 31, 2031, and it will apply to taxable periods starting on or after January 1, 2026, with an effective date of January 1, 2026.