Back to Work Extension Act

Back to Work Extension Act - Amends the Internal Revenue Code to extend for one year the exemption from employment and railroad retirement taxes for employers who hire certain unemployed individuals prior to January 1, 2012 (currently, January 1, 2011).

Appropriates to the Federal Old-Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund under title II of the Social Security Act amounts necessary to cover any reduction in revenues resulting from the tax exemptions provided by this Act.

[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6152 Introduced in House (IH)]

111th CONGRESS
  2d Session
                                H. R. 6152

To amend the Internal Revenue Code of 1986 to extend the exemption from 
 employer Social Security taxes with respect to previously unemployed 
    individuals, and to extend the credit for the retention of such 
                              individuals.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 16, 2010

Mr. Braley of Iowa 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 extend the exemption from 
 employer Social Security taxes with respect to previously unemployed 
    individuals, and to extend the credit for the retention of such 
                              individuals.

    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 ``Back to Work Extension Act''.

SEC. 2. PAYROLL TAX FORGIVENESS FOR HIRING UNEMPLOYED WORKERS.

    (a) In General.--Subsection (d) of section 3111 of the Internal 
Revenue Code of 1986 is amended--
            (1) by striking ``with respect to employment during the 
        period beginning on the day after the date of the enactment of 
        this subsection and ending on December 31, 2010,'' in paragraph 
        (1) and inserting ``during the applicable period with respect 
        to employment'',
            (2) by striking ``January 1, 2011'' in paragraph (3) and 
        inserting ``January 1, 2012'',
            (3) by redesignating paragraph (5) as paragraph (6) and by 
        inserting after paragraph (4) the following new paragraph:
            ``(5) Applicable period.--For purposes of this subsection, 
        the applicable period with respect to any qualified individual 
        is the period beginning on the date the qualified individual 
        begins employment with the employer and ending on the earlier 
        of the day that is 1 year after such date or December 31, 
        2011.''.
    (b) Transfers to Federal Old-Age and Survivors Insurance Trust 
Fund.--There are hereby appropriated to the Federal Old-Age and 
Survivors Trust Fund and the Federal Disability Insurance Trust Fund 
established under section 201 of the Social Security Act (42 U.S.C. 
401) amounts equal to the reduction in revenues to the Treasury by 
reason of the amendments made by subsection (a). Amounts appropriated 
by the preceding sentence shall be transferred from the general fund at 
such times and in such manner as to replicate to the extent possible 
the transfers which would have occurred to such Trust Fund had such 
amendments not been enacted.
    (c) Application to Railroad Retirement Taxes.--
            (1) In general.--Subsection (c) of section 3221 of the 
        Internal Revenue Code of 1986 is amended--
                    (A) by striking ``during the period beginning on 
                the day after the date of the enactment of this 
                subsection and ending on December 31, 2010,'' in 
                paragraph (1) and inserting ``during the applicable 
                period'',
                    (B) by striking ``January 1, 2011'' in paragraph 
                (3) and inserting ``January 1, 2012'', and
                    (C) by redesignating paragraph (5) as paragraph (6) 
                and by inserting after paragraph (4) the following new 
                paragraph:
            ``(5) Applicable period.--For purposes of subparagraph (A), 
        the applicable period with respect to any qualified individual 
        shall be the period beginning on the date the qualified 
        individual begins employment with the employer and ending on 
        the earlier of the day that is 1 year after such date or 
        December 31, 2011.''.
            (2) Transfers to social security equivalent benefit 
        account.--There are hereby appropriated to the Social Security 
        Equivalent Benefit Account established under section 15A(a) of 
        the Railroad Retirement Act of 1974 (45 U.S.C. 231n-1(a)) 
        amounts equal to the reduction in revenues to the Treasury by 
        reason of the amendments made by paragraph (1). Amounts 
        appropriated by the preceding sentence shall be transferred 
        from the general fund at such times and in such manner as to 
        replicate to the extent possible the transfers which would have 
        occurred to such Account had such amendments not been enacted.
    (d) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendments made by this subsection shall apply to wages paid 
        after the date of the enactment of this Act.
            (2) Railroad retirement taxes.--The amendments made by 
        subsection (c) shall apply to compensation paid after the date 
        of the enactment of this Act.
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