Human Trafficking Survivor Tax Relief Act

This bill exempts human trafficking survivors from paying federal income tax on restitution or civil damages awarded under federal trafficking laws. Specifically, it removes taxable status for payments received under Sections 1593 (criminal restitution) and 1595 (civil damages) of Title 18, U.S. Code. The provision directly affects survivors who receive court-ordered compensation for trafficking crimes, ensuring they retain the full amount of their award. This change prevents survivors from facing unexpected tax burdens on funds meant to aid their recovery. The tax exemption applies to payments made after the bill's enactment date.