House Passes Critical Tax Relief for Financial Fraud Victims

Late yesterday, September 16, 2026, the U.S. House of Representatives passed the Tax Relief for Fraud Victims Act (H.R. 9500) by a vote of 408-17. The bipartisan bill, supported by CFP Board, would restore tax relief for many financial fraud-related losses, allow victims to claim losses in the year they discover fraud, waive penalties for withdrawals from qualified retirement accounts due to fraud or deceit, and make relief available for eligible fraud-related losses sustained since January 1, 2021. The need for this legislation is clear: Americans lost $68 billion to financial scams in 2025 alone, equivalent to approximately $186 million every day.

CFP Board applauds Representatives Max Miller (R-OH), Tom Suozzi (D-NY), Greg Steube (R-FL), and Jamie Raskin (D-MD) for their bipartisan leadership on this issue. CFP Board has been working closely with congressional offices and coalition partners to advance solutions for victims of financial fraud, including securing relief for eligible past losses. CFP® professionals - who often act as “financial first responders” - regularly work with clients whose financial security has been disrupted by fraud and scams. As a result, measures that help victims recover, including avoiding paying taxes on money that was stolen from them, are an important public policy priority.

Thank you to the CFP® professionals who contacted their representatives in support of this legislation. The bill now moves to the Senate for consideration.