H.R. 9496 · Passed both chambers · Taxation

End Tax Penalties on American Hostages Act

Sponsor: Claudia Tenney (R-NY)

What it does

• Extend federal tax deadlines for U.S. nationals unlawfully or wrongfully detained abroad or held hostage abroad, and their spouses.
• Disregard detention period in determining federal tax deadlines for income, estate, gift, employment, excise taxes, and refund claims.
• Authorize the IRS to abate and refund additional taxes, interest, and penalties assessed during detention periods.
• Require the Department of State and Department of Justice to annually provide the IRS with lists identifying qualifying detainees or hostages.

Official summary

End Tax Penalties on American Hostages Act This bill extends certain federal tax deadlines for U.S. nationals who are unlawfully or wrongfully detained abroad or held hostage abroad and their spouses. The bill also allows for an abatement and refund of additional taxes, interest, and penalties assessed to such individuals for failing to meet a federal tax deadline during a period of detention. Specifically, under the bill, the time period during which a U.S. national is unlawfully or wrongfully detained abroad or held hostage abroad is disregarded in determining certain federal tax deadlines, including deadlines for filing a return for and paying federal income, estate, gift, employment, or excise taxes; a tax credit or refund claim; and the determination, assessment, and collection of additional taxes, interest, or penalties. The bill requires the Department of State and the Department of Justice to annually provide the Internal Revenue Service (IRS) with lists to identify U.S. nationals who qualify for an extension. The bill also requires the IRS to (1) abate and refund additional taxes, interest, and penalties assessed for any tax year ending during a period of detention for…

Latest action

Sep 30, 2026: Passed Senate without amendment by Unanimous Consent. (consideration: CR S5238-5239)

Committee: Senate Finance