DelBene Takes Aim at Tax Break for Harassment Settlements
As promised, Rep. Suzan DelBene (D-Wash.) has introduced a bill that would eliminate tax breaks that allow corporations to deduct expenses--settlements, legal fees--associated related to sexual misconduct by their employees.
The Stop Tax Breaks for Sexual Misconduct Act, which would no longer allow corporations to deduct "settlements paid to victims of sexual misconduct, insurance premiums for sexual misconduct policies and associated attorney’s fees as a 'ordinary and necessary expenses.'"
On the victim side of the equation, the bill would also exclude from taxes any damages or settlements in a case of sexual misconduct.
The bill comes as various very public figures in the worlds of entertainment and politics are facing allegations of sexual misconduct.
“It is coming into sharp focus that for too long settlements have been paid by powerful figures to victims of sexual misconduct in exchange for their signing non-disclosure agreements, keeping perpetrators’ reputations intact and company names out of headlines," DelBene said.