Tax Fairness for Survivors Act

This bill would change the federal tax rules so that money people receive from court judgments, awards, or settlements for sexual assault or sexual harassment is not counted as taxable income. In plain terms, survivors would not owe federal income tax on these payments, so they could keep more of the money meant to help them recover.

Key points

• Who is affected: People who receive money from sexual assault or sexual harassment claims (through a court decision or a settlement).
• What changes: These payments would be excluded from gross income and not taxed at the federal level.