Volunteer Firefighters' Protection Act of 2005

Volunteer Firefighters' Protection Act of 2005 - Amends the Internal Revenue Code to exclude from the gross income of an employer certain health care subsidy payments paid by a local government to an employer on behalf of a volunteer firefighter.

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3012 Introduced in House (IH)]






109th CONGRESS
  1st Session
                                H. R. 3012

To amend the Internal Revenue Code of 1986 to exclude from gross income 
health care subsidy payments made to employers by local governments on 
                   behalf of volunteer firefighters.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 21, 2005

 Mr. Andrews introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to exclude from gross income 
health care subsidy payments made to employers by local governments on 
                   behalf of volunteer firefighters.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Volunteer Firefighters' Protection 
Act of 2005''.

SEC. 2. EXCLUSION OF HEALTH CARE SUBSIDY PAYMENTS MADE ON BEHALF OF 
              VOLUNTEER FIREFIGHTERS.

    (a) General Rule.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to items specifically excluded 
from gross income) is amended by inserting after section 139A the 
following new section:

``SEC. 139B. HEALTH CARE SUBSIDY PAYMENTS MADE ON BEHALF OF VOLUNTEER 
              FIREFIGHTERS.

    ``(a) General Rule.--In the case of an employer, gross income does 
not include amounts received in a taxable year as a qualified health 
care subsidy payment.
    ``(b) Qualified Health Care Subsidy Payment.--For purposes of 
subsection (a), the term `qualified health care subsidy payment' means 
a payment which--
            ``(1) is made by a political subdivision of a State to the 
        taxpayer under a qualified volunteer firefighter agreement, and
            ``(2) does not exceed the aggregate of the applicable 
        premiums (within the meaning of section 4980B(f)(4)) for 
        insurance which constitutes medical care (as defined in section 
        213(d)) for the employees of such taxpayer who are qualified 
        volunteer firefighters, their spouses, and dependents.
    ``(c) Qualified Volunteer Firefighter Agreement.--The term 
`qualified volunteer firefighter agreement' means an agreement entered 
into between the taxpayer and a political subdivision of a State under 
which--
            ``(1) the taxpayer allows the employees who are qualified 
        volunteer firefighters to be on call while at work for the 
        taxpayer for such hours as the taxpayer and employees may 
        agree, and
            ``(2) the taxpayer agrees not to demote or fire any such 
        employee as a result of work missed under such agreement.
    ``(d) Qualified Volunteer Firefighter.--For purposes of this 
section, the term `qualified volunteer firefighter' means an individual 
who, at all times during the taxable year, with respect to firefighting 
qualifications is a member in good standing of a qualified volunteer 
fire department (as defined in section 150(e)).''.
    (b) Clerical Amendment.--The table of sections for such part is 
amended by inserting after the item relating to section 139A the 
following new item:

``Sec. 139B. Health care subsidy payments made on behalf of volunteer 
                            firefighters.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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