Central South Dakota News

The Senate has unanimously passed the Stop Tax Penalties on American Hostages Act, a bipartisan bill led by U.S. Senators Mike Rounds (R-S.D.) and Chris Coons (D-Del.), aimed at preventing the IRS from imposing fines and penalties on American hostages and wrongful detainees for late tax payments while they are held abroad.

Senator Rounds expressed his satisfaction with the Senate's decision, stating, "For obvious reasons, any American held hostage abroad should not have the heavy hand of the IRS hunting down and charging penalties on missed federal tax payments. While we will continue our efforts to get hostages back, especially from countries like Russia, China and Venezuela, this legislation will protect Americans from misguided statutory requirements and unnecessary red tape when they return home."

Senator Coons echoed these sentiments, emphasizing the importance of the bill for those unjustly held abroad, saying, "Coming home from being held hostage or wrongfully detained abroad to find that your government has penalized you for being unable to pay your taxes is a moral outrage."

Jason Rezaian, a victim of wrongful detention abroad, expressed his gratitude for the Senate's action, stating, "I'm heartened that the Senate has chosen to correct an oversight that has affected so many American victims of state-sponsored terror. I hope the House of Representatives follows suit and acts soon to support American survivors of foreign state hostage-taking."

Harrison Li, a Steering Committee Member of the Bring Our Families Home Campaign, welcomed the passage of the Act, noting, "The act will help mitigate one of the innumerable financial challenges that our families must currently unfairly endure while our loved ones remain hostage or wrongfully detained abroad."

Diane Foley, Founder and President of the James W. Foley Legacy Foundation, expressed her gratitude towards Senators Coons and Rounds for their leadership in passing the Act, stating, "The James W. Foley Legacy Foundation is forever grateful to Senator Coons and Rounds, and their amazing staff for their leadership and moral courage in passing this much needed 'Stop Tax Penalties on American Hostages Act'."

The Act, cosponsored by several other Senators, will now be held in the Senate as tax bills must originate in the House. A similar bill in the House, cosponsored by various Representatives, will move forward for consideration. If the House passes the bill, it will be sent to the President for signature, providing relief to American hostages and wrongful detainees facing tax penalties.