Jon Kyl: “If I may respond, as an expert in the Tax Code, the Senator from New Hampshire knows the technical name of the doctrine…”

“If I may respond, as an expert in the Tax Code, the Senator from New Hampshire knows the technical name of the doctrine which applies in this case, except we have made an exception in the case of death. If you are robbed or if your house burns down and you collect insurance to pay for that unanticipated loss--not an economic activity; you didn't decide to invest and get a return on the investment when your house burned down--that is something you did not anticipate. It is noneconomic. The Tax Code treats that in a very good way for people, as one would expect. You get the insurance on it. You are not taxed on all that as income.”