Bill 119 HR 2347 aims to make an amendment to the Internal Revenue Code of 1986. The amendment would exclude any damages received on account of sexual acts or sexual contact from being considered as gross income, with the exception of punitive damages.
This means that individuals who receive damages as a result of sexual acts or sexual contact would not have to pay taxes on that money, as long as the damages are not punitive in nature. This amendment could potentially provide some financial relief to individuals who have experienced harm through sexual acts or contact.
It is important to note that this bill does not apply to punitive damages, which are intended to punish the wrongdoer rather than compensate the victim. Overall, this amendment seeks to provide some financial support to individuals who have been affected by sexual misconduct, while also ensuring that punitive damages are still subject to taxation.
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