# 119-s-2940: OPT Fair Tax Act

119-s-2940, OPT Fair Tax Act, is a 119th Congress bill sponsored by Sen. Cotton, Tom [R-AR] (R-AR); status introduced; PRIA reads it as touching household money (as of 2026-06-25).

- Canonical: https://policyrisk.com/legislation/119-s-2940
- As of: 2026-06-25
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-2940
- Congress: 119
- Title: OPT Fair Tax Act
- Status: introduced
- Introduced: 2025-09-30
- Sponsor: Sen. Cotton, Tom [R-AR] (R-AR)
- Cosponsors: 0
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-06-25

## Summary

**Exempts wages earned during Optional Practical Training by F-1 students from Social Security and Medicare payroll taxes.** The OPT Fair Tax Act would amend the Internal Revenue Code and the Social Security Act to exclude service by F-1 nonimmigrant students participating in Optional Practical Training from payroll-tax coverage. That would mean employers would not withhold or pay the employee and employer shares of FICA and related Social Security taxes on OPT wages. The exclusion would apply to services performed in calendar months beginning after enactment.

## Provisions PRIA read

- Lower payroll taxes for F-1 OPT: benefit, medium. This bill would exclude wages earned during Optional Practical Training (OPT) by F-1 students from Social Security and Medicare payroll taxes (FICA). Employers would not withhold or pay those payroll taxes on OPT wages. The change would apply to services performed in calendar months beginning after…

## Related bills

- 119-s-2342: Intelligence Authorization Act for Fiscal Year 2026
- 119-s-4615: Intelligence Authorization Act for Fiscal Year 2027
- 119-s-2142: GOLDEN DOME Act of 2025
- 119-s-1748: Kids Online Safety Act
- 119-s-2010: TERMS Act
- 119-s-292: Educational Choice for Children Act of 2025

## Sources
- [119-s-2940 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/2940)

## Related
- [119-s-2342: Intelligence Authorization Act for Fiscal Year 2026](https://policyrisk.com/legislation/119-s-2342)
- [119-s-4615: Intelligence Authorization Act for Fiscal Year 2027](https://policyrisk.com/legislation/119-s-4615)
- [119-s-2142: GOLDEN DOME Act of 2025](https://policyrisk.com/legislation/119-s-2142)
- [119-s-1748: Kids Online Safety Act](https://policyrisk.com/legislation/119-s-1748)
- [119-s-2010: TERMS Act](https://policyrisk.com/legislation/119-s-2010)
- [119-s-292: Educational Choice for Children Act of 2025](https://policyrisk.com/legislation/119-s-292)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-2940 (as of 2026-06-25).