CFP Board Urges Senate to Pass Tax Relief for Fraud Victims Act
A 52-member coalition, led by the Certified Financial Planner Board of Standards (CFP Board), is urging the U.S. Senate to pass H.R. 9500, the Tax Relief for Fraud Victims Act. This bill, which passed the House 408-17 in September 2026, aims to allow fraud victims to deduct theft losses from their taxes, even if the losses are not tied to a federally or state-declared disaster. The coalition has specifically written to Senate Finance Committee Chairman Mike Crapo and ranking member Ron Wyden to advocate for its passage before the end of the year. Under current law, personal casualty and theft losses are generally only deductible if they are linked to a declared disaster, leaving many fraud victims without tax relief. The proposed legislation would lift this restriction, enabling victims to deduct losses exceeding 10% of their adjusted gross income in the year the fraud occurred or was discovered, with relief extending to losses incurred after December 31, 2020.
