Tax Relief for First Responder Beneficiaries Act

This section would give the Act the short title "Tax Relief for First Responder Beneficiaries Act."

This section would change the wording of subparagraph (B) of section 104(a)(6) of the Internal Revenue Code of 1986, a provision addressing the tax exclusion for certain compensation received by public safety officers and their beneficiaries. That subparagraph currently limits this treatment to the officer's "surviving dependents"; this section would strike that phrase and insert "surviving beneficiaries" in its place, so the exclusion described in that provision would apply to any beneficiary of the officer rather than only to the officer's dependents. This change would apply to taxable years beginning after December 31, 2022.

This section would change the wording of subparagraph (A) of section 101(h)(1) of the Internal Revenue Code of 1986, a provision addressing survivor annuity benefits for public safety officers and their beneficiaries. That subparagraph currently refers to "a child of such officer"; this section would strike that phrase and insert "a child or a beneficiary of any life insurance policy or benefit plan of such officer" in its place, so the provision would apply not only to the officer's child but also to any beneficiary of a life insurance policy or benefit plan of the officer. This change would apply to taxable years beginning after December 31, 2022.