Prevent Presidential Profiteering Act

100% tax on presidents' civil damages

If enacted, this bill would tax at 100 percent any civil damages a covered person receives from lawsuits they file against the United States. Covered people would include anyone who has served as President, that President's spouse and close relatives listed in section 152(d)(2)(A)-(G), and persons they control. A "qualified civil action amount" would be the total damages (settlement, verdict, judgment, or other payment) received in a taxable year from such a suit. The rule would only apply to cases filed, settled, or decided during the period the President was in office (from when they began serving until they ceased to serve). For tax handling, the bill would treat this tax as a subtitle A tax, exclude those damages from gross income for chapter 1 purposes, and disallow related deductions under section 275(a)(6). The rule would apply to amounts received after the date of enactment.