End Double Taxation of Successful Civil Claims Act

Bill: 116-s-2627
Sponsor: full_name: Sen. Cortez Masto, Catherine [D-NV]
Introduced: 2019-10-17
Policy area: Taxation
Subjects: Civil actions and liability

Income tax deductions

Legal fees and court costs
Latest action: action_date: 2019-10-17
text: Read twice and referred to the Committee on Finance.

Summaries:
action_date: 2019-10-17
action_desc: Introduced in Senate
text: <p><strong>End Double Taxation of Successful Civil Claims Act </strong></p> <p>This bill amends the Internal Revenue Code to expand the deduction from gross income (above-the-line deduction) for attorney fees and court costs to include such fees and costs paid in connection with any legal action involving a civil claim (currently, limited to actions involving unlawful discrimination, the False Claims Act, and Medicare payments). </p>

tv_txt: II 116th CONGRESS 1st Session S. 2627 IN THE SENATE OF THE UNITED STATES October 17, 2019 Ms. Cortez Masto (for herself, Mr. Van Hollen , and Mr. Merkley ) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to allow an above-the-line deduction for attorney fees and costs in connection with civil claim awards.

1. Short title This Act may be cited as the End Double Taxation of Successful Civil Claims Act . 2. Above-the-line deduction for attorney fees and costs in connection with civil claim awards (a) In general The first sentence of paragraph (20) of section 62(a) of the Internal Revenue Code of 1986 is amended by striking in connection with any action and all that follows and inserting in connection with any civil action. . (b) Effective date The amendment made by this section shall apply to attorney fees and court costs paid during taxable years ending after the date of the enactment of this Act with respect to any judgment or settlement occurring during such taxable years.