EITC for Childless Workers Act of 2014 - Amends the Internal Revenue Code, with respect to the earned income tax credit, to: (1) reduce from 25 to 21 the age at which a taxpayer first becomes eligible for such credit, and (2) increase the amount of such credit for taxpayers with no qualifying children. Directs the Secretary of the Treasury pay to U.S. possessions (including the Commonwealths of Puerto Rico and the Northern Mariana Islands) that do not have a mirror code tax system with the United States amounts of the earned income credit which such possessions would have received if a mirror code tax system had been in effect.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4117 Introduced in House (IH)]
113th CONGRESS
2d Session
H. R. 4117
To amend the Internal Revenue Code of 1986 to expand the earned income
tax credit.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 27, 2014
Mr. Rangel 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 expand the earned income
tax credit.
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 ``EITC for Childless Workers Act of
2014''.
SEC. 2. AGE ELIGIBILITY LOWERED TO 21.
(a) In General.--Subclause (II) section 32(c)(1)(A)(ii) of the
Internal Revenue Code of 1986 is amended by striking ``age 25'' and
inserting ``age 21''.
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after December 31, 2013.
SEC. 3. INCREASE IN CHILDLESS EARNED INCOME TAX CREDIT.
(a) Increase in Credit Percentage and Phaseout Percentage.--The
table under subparagraph (A) of section 32(b)(1) of the Internal
Revenue Code of 1986 is amended by striking ``7.65'' each place it
appears and inserting ``23.15''.
(b) Increase in Earned Income Amount.--The table under subparagraph
(A) of section 32(b)(2) of such Code is amended by striking ``$4,220''
and inserting ``$6,480''.
(c) Increase in Phaseout Amount.--The table under subparagraph (A)
of section 32(b)(2) of such Code is amended by striking ``$5,280'' and
inserting ``$16,630''.
(d) Joint Returns.--Clause (i) of section 32(b)(3)(B) of such Code
is amended by inserting ``($8,000 in the case of an eligible individual
with no qualifying children)'' after ``$5,000''.
(e) Inflation Adjustments.--
(1) In general.--Subsection (j) of section 32 of such Code
is amended by redesignating paragraph (2) as paragraph (3) and
by inserting after paragraph (1) the following new paragraph:
``(2) Phaseout amount for individuals with no children.--In
the case of any taxable year beginning after calendar year
2014, the `$6,480' and `$16,630' dollar amounts in subsection
(b)(2)(A) shall be increased by an amount equal to--
``(A) such dollar amount, multiplied by
``(B) the cost-of-living adjustment determined
under section 1(f)(3) for the calendar year in which
the taxable year begins, determined by substituting
`calendar year 2013' for `calendar year 1992' in
subparagraph (B) thereof.''.
(2) Conforming amendments.--
(A) Section 32(j)(1) of such Code is amended by
inserting ``except as provided in paragraph (2)''
before ``each of the dollar amounts''.
(B) Section 32(j)(2)(A) of such Code is amended by
inserting ``or (2)'' after ``paragraph (1)''.
(f) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2013.
SEC. 4. RESIDENTS OF NON-MIRROR CODE UNITED STATES POSSESSIONS ELIGIBLE
FOR EARNED INCOME TAX CREDIT.
(a) In General.--The Secretary of the Treasury shall pay to each
possession of the United States which does not have a mirror code tax
system amounts estimated by the Secretary of the Treasury as being
equal to the aggregate benefits that would have been provided to
residents of such possession by reason of section 32 of the Internal
Revenue Code of 1986 (as amended by this Act) if a mirror code tax
system had been in effect in such possession. The preceding sentence
shall not apply with respect to any possession of the United States
unless such possession has a plan, which has been approved by the
Secretary of the Treasury, under which such possession will promptly
distribute such payments to the residents of such possession.
(b) Coordination With Credit Allowed Against United States Income
Tax.--No credit shall be allowed against United States income taxes for
any taxable year under section 32 of such Code to any person who is
eligible for a payment under a plan described in subsection (a) with
respect to such taxable year.
(c) Definitions and Special Rule.--For purposes of this section--
(1) Possession of the united states.--The term ``possession
of the United States'' includes the Commonwealth of Puerto Rico
and the Commonwealth of the Northern Mariana Islands.
(2) Mirror code tax system.--The term ``mirror code tax
system'' means, with respect to any possession of the United
States, the income tax system of such possession if the income
tax liability of the residents of such possession under such
system is determined by reference to the income tax laws of the
United States as if such possession were the United States.
(3) Treatment of payments.--For purposes of section
1324(b)(2) of title 31, United States Code, the payments under
this subsection shall be treated in the same manner as a refund
due from the credit allowed under section 32 of the Internal
Revenue Code of 1986.
(d) Effective Date.--This section shall apply to taxable years
beginning after December 31, 2013.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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