Border Security Tax Relief Act of 2013

Border Security Tax Relief Act of 2013 - Amends the Internal Revenue Code to: (1) exclude from gross income, for income tax purposes, compensation received by a U.S. Border Patrol agent as administratively uncontrollable overtime pay (premium pay); (2) exempt such overtime pay from withholding of tax requirements; and (3) allow a taxpayer to elect to include such overtime pay as earned income for purposes of the earned income tax credit.

[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2755 Introduced in House (IH)]

113th CONGRESS
  1st Session
                                H. R. 2755

To amend the Internal Revenue Code of 1986 to exclude from gross income 
 the administratively uncontrollable overtime of Border Patrol agents.


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                    IN THE HOUSE OF REPRESENTATIVES

                             July 19, 2013

  Mr. Gallego (for himself, Mr. Veasey, and Mr. Vela) 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 
 the administratively uncontrollable overtime of Border Patrol agents.

    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 ``Border Security Tax Relief Act of 
2013''.

SEC. 2. ADMINISTRATIVELY UNCONTROLLABLE OVERTIME PAY OF BORDER PATROL 
              AGENTS.

    (a) In General.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 is amended by inserting before section 
140 the following new section:

``SEC. 139E. ADMINISTRATIVELY UNCONTROLLABLE OVERTIME PAY OF BORDER 
              PATROL AGENTS.

    ``(a) In General.--Gross income does not include compensation 
received for service as a Border Patrol agent to the extent such 
compensation represents administratively uncontrollable overtime pay.
    ``(b) Administratively Uncontrollable Overtime Pay.--For purposes 
of this section, the term `administratively uncontrollable overtime 
pay' means premium pay under section 5545(c)(2) of title 5, United 
States Code.
    ``(c) Application of Section.--Subsection (a) shall only apply to 
compensation received for the taxpayer's first taxable year beginning 
after the date of the enactment of this section.''.
    (b) Not Subject to Wage Withholding.--Subsection (a) of section 
3401 of such Code is amended by striking ``or'' at the end of paragraph 
(22), by striking the period at the end of paragraph (23) and inserting 
``; and'', and by inserting after paragraph (23) the following new 
paragraph:
            ``(24) for any administratively uncontrollable overtime pay 
        (as defined in section 139E(b)), if at the time of such payment 
        it is reasonable to believe that the employee will be able to 
        exclude such payment from income under section 139E(a).''.
    (c) Election To Treat as Included in Gross Income for Purposes of 
Earned Income Tax Credit.--Subparagraph (B) of section 32(c)(2) of such 
Code is amended by striking ``and'' at the end of clause (v), by 
striking the period at the end of clause (vi) and inserting ``, and'', 
and by adding at the end the following new clause:
                            ``(vii) a taxpayer may elect to treat 
                        amounts excluded from gross income by reason of 
                        section 139E as earned income.''.
    (d) Clerical Amendment.--The table of sections for part III of 
subchapter B of chapter 1 of such Code is amended by inserting before 
the item relating to section 140 the following new item:

``Sec. 139E. Administratively uncontrollable overtime of border patrol 
                            agents.''.
    (e) 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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