DURING HUMAN TRAFFICKING AWARENESS MONTH, SCHNEIDER, ARRINGTON, SEWELL, SMITH INTRODUCE BIPARTISAN BICAMERAL BILL TO AID SURVIVORS

Statement

Today, U.S. Representatives Brad Schneider (IL-10), Jodey Arrington (TX-19), Terri Sewell (AL-7) and Jason Smith (MO-8), all members of the House Committee on Ways and Means, introduced bipartisan legislation to exempt restitution payments to victims of human trafficking from federal income tax.

Under current law, only criminal restitution payments to victims of human trafficking are exempt from federal income tax. H.R. 619, the Human Trafficking Survivor Tax Relief Act, would expand this provision to make civil damages, restitution, and any other monetary award given to human trafficking survivors exempt from federal income taxes. Senators John Cornyn (R-TX) and Ron Wyden (D-OR) introduced the bipartisan Senate companion legislation.

January is National Slavery and Human Trafficking Prevention Month.

"Survivors of human trafficking need our support as they rebuild their lives," said Schneider. "The Human Trafficking Survivor Tax Relief Act would ensure restitution payments to victims of this heinous crime are not subject to federal income tax by ending the discrepancy that treats criminal and civil payments to trafficking survivors differently. I am proud to introduce this legislation with support from both sides of the aisle and both chambers of Congress, and hope we can make swift progress to help the survivors of trafficking."

"There is no amount of compensation that can remedy the many horrors that victims of human trafficking have to endure. As we work to eradicate this heinous crime, we should ensure these victims aren't burdened with tax penalties and reporting requirements when they receive civil damages or restitution. The bipartisan Human Trafficking Survivor Tax Relief Act will solve this injustice and help survivors of modern-day slavery rebuild their lives," said Rep. Arrington. "I am proud to work with my colleagues from both sides of the aisle, and fellow Texan, Senator John Cornyn, in introducing this important legislation."

"Victims of human trafficking should never be penalized by our tax code for seeking justice against their traffickers," said Rep. Sewell. "I'm proud to join Rep. Schneider to once again introduce this bipartisan legislation which will provide critical relief to victims of this form of modern-day slavery."

"Victims of human trafficking face a long and often painful path to rebuilding their lives," said Rep. Jason Smith. "The monetary compensation they receive is a small, but meaningful, piece of their recovery. The last thing these victims need is a bill from the IRS. That's why I strongly support the Human Trafficking Survivors Tax Relief Act, which will ensure their civil monetary settlements are protected from the intrusive reach of our government."