Sinema Strengthening Diabetic Patients’ Access to Preventative Health Care

The Human Trafficking Survivor Tax Relief Act supports and provide tax relief to trafficking survivors to aid in their recovery

WASHINGTON - The U.S. Senate passed the Human Trafficking Survivor Tax Relief Act - bipartisan legislation introduced by Arizona senior Senator Kyrsten Sinema, along with Senators John Cornyn (R-Texas), James Lankford (R-Okla.), and Ron Wyden (D-Ore.). The Senators' bill provides tax relief for survivors of human trafficking who have been awarded restitution or won civil litigation against their traffickers, but will face taxation of their awards.

"Our commonsense, bipartisan bill provides tax relief to human trafficking survivors pursuing justice and restitution to rebuild their lives," said Sinema.

Human trafficking survivors face a difficult path to receive justice against their traffickers. In many cases, survivors' only choice to seek restitution for the crimes committed against them is through civil litigation. IRS Notice 2012-12 makes criminal restitution payments for survivors of human trafficking exempt from federal income tax, but civil damages are still subject to taxation. This can result in a hefty tax bill just as these survivors are beginning to rebuild their lives.

Sinema's Human Trafficking Survivor Tax Relief Act would exclude civil damages and restitution awarded to survivors of human trafficking from federal income taxation, enabling more of the funds to be used to help support their economic futures. Additionally, the bill allows survivors to file their taxes without fear that the Internal Revenue Service (IRS) might audit or penalize them for not reporting civil damages as income.

Supporters of this bill and previous efforts include the ASU Office of Sex Trafficking Intervention Research, Freedom Network USA, the Polaris Project, Rights4Girls, The End Child Pornography and Trafficking (ECPAT), the National Association to Protect Children, the Coalition Against Trafficking in Women (CATW), Shared Hope International, the National Children's Alliance, Freedom Network USA, the Alliance to End Slavery and Trafficking (ATEST), and the Coalition to Abolish Slavery & Trafficking (CAST).