119 S2974 IS: Status Eligibility Confirmation and Updated Requirements for Earned Benefits Act of 2025 U.S. Senate 2025-10-03 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

II119th CONGRESS1st SessionS. 2974IN THE SENATE OF THE UNITED STATESOctober 3, 2025Mrs. Hyde-Smith introduced the following bill; which was read twice and referred to the Committee on FinanceA BILLTo amend the Internal Revenue Code of 1986 to require taxpayers claiming the child and earned income tax credits, and their qualifying children, to have a valid social security number for employment purposes.

1.

Short title

This Act may be cited as the Status Eligibility Confirmation and Updated Requirements for Earned Benefits Act of 2025 or the SECURE Benefits Act of 2025.

2.

Temporary work authorization

(a)

In general

Section 205(c)(2) of the Social Security Act (42 U.S.C. 405(c)(2)) is amended by adding at the end the following new subparagraph:(I)

Temporary Work-Authorized Social Security Number

(i)

In general

In the case of an individual who has been issued a temporary work authorization by the Secretary of Homeland Security, the Commissioner shall—(I)assign a temporary work-authorized social security number to such individual; and(II)in a manner consistent with subparagraph (G), issue a social security card to such individual which, on the face of such card, indicates that the temporary work-authorized social security number is valid solely with respect to such employment, and for such period, as granted by the Department of Homeland Security pursuant to their temporary work authorization.(ii)

Information sharing

(I)

Temporary Work-Authorizations

The Secretary of Homeland Security shall share with the Commissioner any information with respect to the status of any temporary work authorization which has been issued by the Secretary of Homeland Security for the purpose of administering this subparagraph, including—(aa)the expiration date for such temporary work authorization;(bb)any reauthorization of such temporary work authorization;(cc)whether such temporary work authorization is restricted to specific employers or employment circumstances; and(dd)any changes or adjustments with respect to such temporary work authorization which have been reported to the Secretary of Homeland Security.(II)

Coordination with Internal Revenue Service

The Commissioner shall share with the Secretary (as defined in section 7701(a)(11)(B) of the Internal Revenue Code of 1986) any information provided to the Commissioner pursuant to subclause (I), including any temporary work-authorized social security number which has been issued by the Commissioner pursuant to a temporary work authorization.(iii)

Definitions

In this subparagraph:(I)

Commissioner

The term Commissioner means the Commissioner of Social Security.(II)

Temporary work authorization

The term temporary work authorization means work authorization granted to an alien within a class of aliens described in subsection (b) or (c) of section 274a.12 of title 8, Code of Federal Regulations, as in effect on the date of the enactment of this subparagraph, the validity of which is dependent upon the maintenance of nonimmigrant or other temporary legal status..(b)

Conforming amendment

Section 205(c)(2)(B)(i)(I) of the Social Security Act (42 U.S.C. 405(c)(2)(B)(i)(I)) is amended by inserting subject to subparagraph (I), before to aliens at the time.(c)

Effective date

The amendments made by this section shall take effect on January 1, 2027.

3.

Child tax credit identification requirements

(a)

In general

Paragraph (7) of section 24(h) of the Internal Revenue Code of 1986 is amended—(1)by striking or, in the case of a joint return, the social security number of at least 1 spouse in subparagraph (A)(i) and inserting the social security number of both spouses, in the case of a joint return, and (2)by adding at the end the following new subparagraph:(C)

Additional requirements for noncitizens with temporary work authorization

(i)

In general

In the case of an individual with a temporary work-authorized social security number pursuant to section 205(c)(2)(I) of the Social Security Act, such temporary work-authorized social security number shall be treated as a social security number for purposes of subparagraph (B) only if the Secretary confirms in coordination with the Secretary of Homeland Security that the individual has a valid temporary work authorization (as defined in section 205(c)(2)(I)(iii)(II) of such Act) as of the date of filing the return for the taxable year.(ii)

Documentation

The Secretary, in consultation with the Secretary of Homeland Security, shall prescribe the form and manner of documentation required to be provided for purposes of clause (i)..(b)

Penalty

(1)

In general

Part II of subchapter A of chapter 68 of the Internal Revenue Code of 1986 is amended by inserting after section 6663 the following new section:

6663A.

Imposition of penalty for invalid work authorization for purposes of child tax credit

(a)

Imposition of penalty

If any claim of credit under section 24 on a return is due to fraud relating to an expired or invalid temporary work authorization (as defined in section 205(c)(2)(I)(iii)(II) of the Social Security Act), there shall be added to the tax an amount equal to the greater of—(1) the amount of the credit so claimed, or(2)$5,000.(b)

Reasonable cause exception

No penalty shall be imposed under subsection (a) if it is shown that there was a reasonable cause for the taxpayer's claim of credit and the taxpayer acted in good faith with respect to such credit.

.(2)

Clerical amendment

The table of sections for part II of subchapter A of chapter 68 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 6663 the following new item:Sec. 6663A. Imposition of penalty for invalid work authorization for purposes of child tax credit..(c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2026.

4.

Earned income credit identification requirements

(a)

In general

Subsection (m) of section 32 of the Internal Revenue Code of 1986 is amended—(1)by striking clause (II) (or that portion of clause (III) that relates to clause (II)) of section 205(c)(2)(B)(i) of the Social Security Act and inserting subclause (II) (or that portion of subclause (III) that relates to subclause (II)) of section 205(c)(2)(B)(i) of the Social Security Act, or any other social security number which does not indicate that the individual to whom the number is issued is authorized to work in the United States,(2)by striking numbers.—Solely and inserting “numbers.—(1)

In general

Solely, and(3)by adding at the end the following new paragraph:(2)

Additional requirements for noncitizens with temporary work authorization

(A)

In general

In the case of an individual with a temporary work-authorized social security number pursuant to section 205(c)(2)(I) of the Social Security Act, such individual shall not be treated as an eligible individual or a qualifying child for purposes of this section unless the Secretary confirms in coordination with the Secretary of Homeland Security that the individual has a valid temporary work authorization (as defined in section 205(c)(2)(I)(iii)(II) of such Act) as of the date of filing the return for the taxable year.(B)

Documentation

The Secretary, in consultation with the Secretary of Homeland Security, shall prescribe the form and manner of documentation required to be provided for purposes of subparagraph (A)..(b)

Penalty

Section 6663A of the Internal Revenue Code of 1986, as added by section 3, is amended—(1)by striking section 24 in subsection (a) and inserting section 24 or 32,(2)by striking child tax in the heading and inserting child or earned income, and(3)by adding at the end the following new subsection:(c)

Penalties To be aggregated

In the case of penalties imposed under subsection (a) with respect to more than 1 credit described in such subsection, the amount added to the tax pursuant to this section shall be sum of all such penalties..(c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2026.

5.

Savers credit

(a)

In general

Section 25B of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:(g)

Identification requirement

(1)

In general

No credit shall be allowed under subsection (a) with respect to an eligible individual unless the individual includes such individual's social security number on the return of tax for the taxable year.(2)

Social security number defined

For purposes of this subsection, the term social security number has the meaning given such term in section 24(h)(7)..(b)

Penalty

Section 6663A of the Internal Revenue Code of 1986, as added and amended by this Act, is further amended—(1)by striking section 24 or 32 in subsection (a) and inserting section 24, 25B, or 32, and(2)by striking child or earned income credit in the heading and inserting certain credits.(c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2026.

6.

Saver's match

(a)

In general

Subsection (c) of section 6433 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:(4)

Identification requirement

(A)

In general

An individual shall not be treated as an eligible individual unless the individual includes such individual's social security number on the return of tax for the taxable year.(B)

Social security number defined

For purposes of this subsection, the term social security number has the meaning given such term in section 24(h)(7)..(b)

Penalty

Section 6663A of the Internal Revenue Code of 1986, as added and amended by this Act, is further amended by inserting , or of a matching contribution under section 6433, after 32.(c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2026.

7.

Penalty for invalid work authorization for purposes of American Opportunity and Lifetime Learning credits

(a)

In general

Section 6663A of the Internal Revenue Code of 1986, as added and amended by this Act, is further amended by inserting , 25A after 24.(b)

Effective date

The amendment made by this section shall apply to taxable years beginning after December 31, 2026.

8.

Math error authority

(a)

Earned income credit

Subparagraph (F) of section 6213(g)(2) of the Internal Revenue Code of 1986 is amended by striking taxpayer identification number and inserting social security number.(b)

Child tax credit

(1)

In general

Subparagraph (I) of section 6213(g)(2) of the Internal Revenue Code of 1986 is amended by striking TIN and inserting social security number.(2)

Age and credit determinations

Subparagraph (L) of section 6213(g)(2) of such Code is amended—(A)by striking a TIN and inserting a TIN or social security number, as applicable,, and(B)by striking such TIN both places it appears and inserting such TIN or social security number.(c)

Savers credit

Section 6213(g) of such Code is amended by striking and at the end of subparagraph (Z), by striking the period at the end of subparagraph (AA) and inserting , and, and by inserting after subparagraph (AA) the following new subparagraph:(BB)an omission of a correct social security number required under section 25B(g) (relating to savers credit)..(d)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2026.