U.S. Representative Greg Steube and Senator Ashley Moody, both from Florida, have introduced the Tax Relief for Victims of Crimes, Scams, and Disasters Act. This legislation aims to reinstate the casualty and theft loss tax deduction for Americans who have experienced significant losses due to fraud, cybercrime, structural home failures, or natural disasters.
Currently, taxpayers can only deduct such losses if they occur in a federally declared disaster area. The new bill seeks to remove this restriction and retroactively apply it from 2018 through 2024. This change is expected to offer relief to those affected by these circumstances.
Rep. Steube stated: “Hardworking Americans, especially seniors, who fall victim to scams, cybercrime, or disasters should not be forced to pay taxes on income they no longer have.” He emphasized that the bill would provide peace of mind and restore fairness in the tax code for victims.
Senator Moody highlighted the upcoming hurricane season as a reason for her support of policies that protect Floridians from fraud. She said: “My Tax Relief for Victims of Crimes, Scams and Disasters Act will provide commonsense tax relief for victims… This legislation will help folks get back on their feet when they experience hardship.”
The act has garnered support from several organizations including AARP, AMAC Action, American Land Title Association, CFP Board, Elder Justice Coalition among others.
Palmer Schoening of the Family Business Coalition remarked: “Family-owned businesses are built over generations… Congressman Steube’s Tax Relief for Victims of Crimes, Scams, and Disasters Act restores a vital protection in the tax code…”
Both lawmakers have been active in supporting victims of scams and natural disasters. Rep. Steube’s Federal Disaster Tax Relief Act provided relief across 48 states between 2021 and 2025. Meanwhile, Sen. Moody has worked against cybercriminals targeting seniors during her tenure as Florida Attorney General.
