No Penalties for Victims of Fraud Act

Bill 119 HR 2163, also known as the "Retirement Account Fraud Victims Relief Act," aims to amend the Internal Revenue Code of 1986 to provide relief for individuals who have been victims of fraud. Specifically, this bill seeks to waive early withdrawal penalties from retirement accounts for these victims.

Under current law, individuals who withdraw funds from their retirement accounts before reaching a certain age are subject to early withdrawal penalties. However, this bill recognizes that victims of fraud may need to access their retirement savings earlier than planned in order to recover from financial losses incurred as a result of the fraud.

By waiving these penalties for fraud victims, this bill aims to provide much-needed financial relief and flexibility to those who have been wronged. This legislation is non-partisan in nature and focuses on helping individuals who have been impacted by fraudulent activities. Overall, the Retirement Account Fraud Victims Relief Act seeks to support and protect individuals who have been victims of fraud by allowing them to access their retirement savings without facing additional financial penalties.