Election Worker Tax Benefits Act

HR 4521, the Election Worker Tax Benefits Act, excludes certain compensation paid to election workers by state or local governments from taxable income. It directly affects election officials and workers employed by states, counties, or municipalities, limiting the exclusion to the same annual cap as Social Security wages ($168,600 for 2024). The bill also modifies tax reporting rules so that payments qualifying under this exclusion don’t count toward the $600 threshold requiring Form 1099 reporting. These changes apply to payments made after December 31, 2023. The policy simplifies tax treatment for election workers without altering their overall compensation structure.