Stop Tax Penalties on American Hostages Act of 2024

S 4057, the Stop Tax Penalties on American Hostages Act of 2024, postpones tax deadlines and refunds penalties for U.S. citizens wrongfully detained abroad or held hostage. It disregards the detention period when calculating tax penalties, interest, or late-filing fees for affected individuals and their spouses. The bill requires the State Department and Hostage Recovery Fusion Cell to identify eligible individuals by January 2025, enabling refunds for penalties paid during detention (from January 2021 through the bill’s enactment date). This applies only to tax liabilities tied to deadlines missed due to detention, not to other tax obligations.