Tax Cut for Striking Workers Act of 2026

Steven Horsford

Democrat · NV · Representative

Source: Congress.gov · FEC

• Dina Titus (D-NV-1)Original· 2026-05-14
• Sydney Kamlager-Dove (D-CA-37)Original· 2026-05-14

Referred to the House Committee on Ways and Means.

2026-05-14

Source: Congress.gov

Workers who receive financial assistance from their unions during strikes would no longer have to pay federal income taxes on those benefits. Currently, strike pay is treated as taxable income, which can increase a worker's tax bill during periods when they're not earning regular wages. This change would apply to union members across various industries who rely on strike benefits to cover living expenses while engaged in labor disputes.

AI-assisted summary generated from the official bill metadata (title, subjects, actions) sourced from Congress.gov. Cached and reviewed. Always verify against the official text linked below.

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 8816 Introduced in House (IH)] <DOC> 119th CONGRESS 2d Session H. R. 8816 To amend the Internal Revenue Code of 1986 to exclude strike benefits from gross income. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES May 14, 2026 Mr. Horsford (for himself, Ms. Kamlager-Dove, and Ms. Titus) introduced the following bill; which was referred to the Committee on Ways and Means _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to exclude strike benefits from gross income. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Tax Cut for Striking Workers Act of 2026''. SEC. 2. STRIKE BENEFITS. (a) In General.--Part III of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 139L the following new section: ``SEC. 139M. COMPENSATION FOR LOST WAGES RELATING TO A STRIKE, LOCKOUT, OR WORK STOPPAGE. ``(a) In General.--In the case of an individual, gross income shall not include qualified strike benefits. ``(b) Qualified Strike Benefits.--For purposes of this section, the term `qualified strike benefits' means compensation provided by a labor organization described in section 501(c)(5) and exempt from tax under section 501(a) to a member of such organization if such compensation is provided as a replacement, in whole or in part, for compensation not received by such member from such member's employer as the result of a strike or lockout arising from a labor dispute (as defined in section 2 of the National Labor Relations Act), or a work stoppage under the Railway Labor Act.''. (b) Treatment Under Earned Income Tax Credit.--Section 32(c)(2)(B)(vi) of the Internal Revenue Code of 1986 is amended by inserting ``or 139M'' after ``by reason of section 112''. (c) Clerical Amendment.--The table of sections for part III of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 139L the following new item: ``Sec. 139M. Compensation for lost wages relating to a strike, lockout, or work stoppage.''. (d) Effective Date.--The amendments made by this section shall apply to compensation received after December 31, 2026. <all>

• HR9352AI-Related Job Impacts Clarity Act
  Referred to Committee · 2026-06-18
• HR7736RELIEF Act
  Referred to Committee · 2026-02-26
• HR7615RELIEF Act
  Referred to Committee · 2026-02-20
• HR7577TIP Improvement Act of 2026
  Referred to Committee · 2026-02-13