End Double Taxation of Successful Consumer Claims Act

Right now, if you win a lawsuit or settlement as a consumer and are awarded money that includes court costs and attorney's fees, those amounts count as part of your income for tax purposes — even if the money goes straight to your lawyer. This bill would let individuals subtract those court costs and attorney's fees from their income before calculating their taxes, specifically for cases involving unfair or deceptive business practices, harmful actions by sellers or service providers, and other consumer protection violations. A similar tax break already exists for certain employment and civil rights discrimination cases, and this bill would expand it to cover consumer protection cases as well.

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