June 25, 2021 –
Treasury recently published Draft FAQs for Payments by Indian Tribal Governments to their Individual Members Under COVID-Relief Legislation. The Draft FAQs provide general information on the federal income tax treatment and required reporting for these payments and refer to CARES Act, CAA, and ARP emergency relief payments collectively as “COVID relief payments.” Treasury is seeking your feedback on the federal income tax treatment of COVID relief payments.
The Social Security Administration (SSA) is seeking consultation on the Tribal General Welfare Exclusion Act as it pertains to Internal Revenue Code and the Social Security Act. The SSA seeks recommendations on a process to identify tribal members who have received COVID relief payments, identify tribal members who were denied or received reduced benefits as a result of COVID relief payments considered as income when determining eligibility for SSI or other Social Security benefits and confirm that COVID relief payments are part of a needs-based program administered by or on behalf of the Tribe.