II 

114TH CONGRESS 

1ST SESSION S. 204 

To reinstate the 10-year statute of limitations period applicable to collection 

of amounts paid to Social Security beneficiaries by administrative offset, 

and prevent recovery of overpayments from individuals under 18 years 

of age. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 21, 2015 

Mrs. BOXER introduced the following bill; which was read twice and referred 

to the Committee on Finance 

A BILL 

To reinstate the 10-year statute of limitations period applicable to collection of amounts paid to Social Security beneficiaries by administrative offset, and prevent recovery 

of overpayments from individuals under 18 years of age. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Stop Punishing Inno5 cent Americans Act’’. 

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1 SEC. 2. STATUTE OF LIMITATION ON RECOVERY BY ADMIN2 ISTRATIVE OFFSET FOR AMOUNTS PAID TO 

3 SOCIAL SECURITY BENEFICIARIES. 

4 (a) IN GENERAL.—Paragraph (2) of section 3716(e) 

5 of title 31, United States Code, is amended to read as 

6 follows: 

7 ‘‘(2) This section does not apply— 

8 ‘‘(A) to a claim under this subchapter relating 

9 to any payments made to an individual under title 

10 II or title XVI of the Social Security Act that has 

11 been outstanding for more than 10 years; or 

12 ‘‘(B) when a statute explicitly prohibits using 

13 administrative offset or setoff to collect the claim or 

14 type of claim involved.’’. 

15 (b) EFFECTIVE DATE.—The amendment made by 

16 subsection (a) shall apply to any debt outstanding on or 

17 after the date of the enactment of this Act. 

18 SEC. 3. ELIMINATION OF RECOVERY OF OVERPAYMENTS 

19 MADE TO OR ON BEHALF OF MINOR. 

20 (a) IN GENERAL.—Section 204(a) of the Social Secu21 rity Act (42 U.S.C. 404(a)) is amended by adding at the 

22 end the following new paragraph: 

23 ‘‘(3) Notwithstanding any other provision of this sec24 tion, in the case of any payment under this title or title 

25 XVI of more than the correct amount that is made to or 

26 on behalf of an individual who has not attained 18 years 

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1 of age at the time of such payment, such individual shall 

2 not be liable for the repayment of the amount of such pay3 ment in excess of the correct amount.’’. 

4 (b) CONFORMING AMENDMENTS.— 

5 (1) CROSS-PROGRAM RECOVERY OF OVERPAY6 MENTS.—Subsection (a) of the undesignated section 

7 following section 1146 of the Social Security Act (42 

8 U.S.C. 1320b–17) is amended by striking ‘‘Subject 

9 to subsection (b)’’ and inserting ‘‘Subject to section 

10 204(a)(3) and subsection (b)’’. 

11 (2) OVERPAYMENT OF DISABILITY BENEFITS.— 

12 Section 1631(b)(1)(A) of the Social Security Act (42 

13 U.S.C. 1383(b)(1)(A)) is amended by striking 

14 ‘‘Whenever’’ and inserting ‘‘Subject to section 

15 204(a)(3), whenever’’. 

16 (c) EFFECTIVE DATE.—The amendments made by 

17 this section shall apply to payments made on or after the 

18 date of the enactment of this Act. 

19 SEC. 4. PROHIBITING TAX REFUND OFFSET OF SOCIAL SE20 CURITY OVERPAYMENTS MADE TO OR ON BE21 HALF OF MINOR. 

22 (a) IN GENERAL.—Section 6402(d) of the Internal 

23 Revenue Code of 1986 is amended by adding at the end 

24 the following new paragraph: 

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1 ‘‘(4) SPECIAL RULE FOR CERTAIN OVERPAY2 MENTS MADE TO OR ON BEHALF OF MINOR.—Para3 graph (1) shall not apply in the case of a payment 

4 under title II or XVI of the of Social Security Act 

5 of more than the correct amount that is made to or 

6 on behalf of an individual who has not attained 18 

7 years of age at the time of such payment.’’. 

8 (b) EFFECTIVE DATE.—The amendment made by 

9 this section shall apply to payments made under title II 

10 or XVI of the of Social Security Act on or after the date 

11 of the enactment of this Act. 

Æ 

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