Sec. 6. Protections for taxpayers and victims of unemployment fraud
451 words·~2 min read·
/bill/117/s/1699/is/section-6A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 2118 of the CARES Act ( 15 U.S.C. 9034 ), as amended by section 5(b), is further amended by adding at the end the following: The Department of Labor shall establish an agreement with the Federal Trade Commission and other identity theft victim resource centers, as applicable, to assist victims of identity theft and unemployment fraud, including assistance with individual case mitigation and victim assistance. Of the amount made available under subsection (a), not less than $2,000,000 shall be used for the purposes described under paragraph (1). .
The Commissioner of the Internal Revenue Service, in collaboration with the Secretary of Labor, shall implement a process to hold harmless taxpayers who are flagged for unreported income related to Form 1099-G, Certain Government Payments, in taxable years 2020 and 2021, if such taxpayer claims they are victims of identity theft, or that fraudulent unemployment benefits were claimed in their name, such that no penalties or interest shall accrue against the taxpayer, while the matter is being investigated and resolved.
The Secretary of Labor, through the Office of Unemployment Insurance in the Employment and Training Administration, shall collect data from each State on the amounts of overpayments waived in unemployment compensation programs, including a breakdown of overpayments waived and excluded by each State from Form 1099–G, Certain Government Payment during taxable years 2020 and 2021, due to suspected or confirmed fraud. Not later than 120 days after the date of enactment of this Act, the Secretary of Labor shall submit a report to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate that describes the aggregate amount of overpayments nationally, including the subset of overpayments made specifically due to fraud, and detailed by program as applicable, including a separate accounting for the pandemic unemployment assistance program.
The Secretary of Labor may waive the requirements of subchapter I of chapter 35 of title 44, United States Code (commonly referred to as the “Paperwork Reduction Act”) with respect to the provisions in the amendments made by this Act. For purposes of this section, the term unemployment compensation shall be considered to refer to— regular compensation and extended compensation (as such terms are defined by section 205 of the Federal-State Extended Unemployment Compensation Act of 1970); unemployment compensation (as defined by section 85(b) of the Internal Revenue Code of 1986) provided under any program administered by a State under an agreement with the Secretary; pandemic unemployment assistance under section 2102 of the CARES Act; pandemic emergency unemployment compensation under section 2107 of the CARES Act; and short-time compensation under a short-time compensation program (as defined in section 3306(v) of the Internal Revenue Code of 1986).
Connectionstraces to 1
Traces to 1 document
Citation graph
cites case law
Sec. 6
Protections for taxpayers and victims of unemployment fraud
Cites 1Cited by 0 across 0 sources