Jobs and Opportunity Bonus Tax Credit Act of 2014 or the JOB Tax Credit Act - Amends the Internal Revenue Code to allow employers who employ not more than 500 full-time employees during the taxable year a business-related tax credit equal to the lesser of: (1) 50% of the job training program expenditures for a full-time employee participating in a qualified training program, or (2) $5,000. Terminates such credit after 2017.
[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4204 Introduced in House (IH)]
113th CONGRESS
2d Session
H. R. 4204
To amend the Internal Revenue Code of 1986 to provide a credit against
tax for job training expenses of employers.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 11, 2014
Mr. Maffei 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 provide a credit against
tax for job training expenses of employers.
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 ``Jobs and Opportunity Bonus Tax
Credit Act of 2014'' or the ``JOB Tax Credit Act''.
SEC. 2. JOBS AND OPPORTUNITY BONUS CREDIT.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 is amended by adding at the end
the following new section:
``SEC. 45S. JOBS AND OPPORTUNITY BONUS CREDIT.
``(a) In General.--For purposes of section 38, in the case of an
eligible employer, the jobs and opportunity bonus credit determined
under this section with respect to any eligible employee of the
employer is an amount equal to the lesser of--
``(1) 50 percent of the job training program expenditures
of the taxpayer with respect to such employee during the
taxable year, or
``(2) $5,000.
``(b) Eligible Employer.--For purposes of this section, the term
`eligible employer' means an employer which employed an average of not
more than 500 full-time employees during the taxable year.
``(c) Job Training Program Expenses.--For purposes of this
section--
``(1) In general.--The term `job training program expenses'
means amounts paid or incurred by the employer for expenses
incurred by or on behalf of an eligible employee for
participation in a qualified training program.
``(2) Qualified training program.--For purposes of this
subsection, the term `qualified training program' means any of
the following written plans of study and training:
``(A) An apprenticeship program registered and
certified with the Secretary of Labor under section 1
of the National Apprenticeship Act (29 U.S.C. 50).
``(B) A program licensed, registered, or certified
by the workforce investment board or apprenticeship
agency or council of a State or administered in
compliance with apprenticeship laws of a State.
``(C) A program conducted by a vocational or
technical education school, community college,
industrial or trade training organization, or labor
organization.
``(D) A program which conforms to apprentice
training programs developed or administered by an
employer trade group or committee.
``(E) An industry sponsored or administered program
which is clearly identified and commonly recognized.
``(d) Eligible Employee.--For purposes of this section, the term
`eligible employee' means any employee of the employer, who while
participating in the job skills training program is employed on average
at least 40 hours of service per week.
``(e) Recapture of Credit for Employee Not Performing Minimum
Service.--
``(1) In general.--In the case of any employee with respect
to whom a credit is allowed under this section and whose
employment is terminated by the employer (other than by reason
of such employee's gross misconduct) before the end of the 2-
year period beginning on the first day of the employee's study
or training with respect to which a credit is allowed under
this section, the tax of the taxpayer under this chapter for
the taxable year during which such termination occurs shall be
increased by an amount equal to--
``(A) the aggregate decrease in the credits allowed
under section 38 for all prior taxable years which
would have resulted if the job training program
expenses with respect to such employee had been zero,
multiplied by
``(B) the inclusion ratio.
``(2) Inclusion ratio.--For purposes of this subsection,
the inclusion ratio is the ratio which--
``(A) an amount equal to the difference of--
``(i) the number of days in the 2-year
period, over
``(ii) the number of days such employee was
employed by the employer during such 2-year
period, bears to
``(B) the number of days in the 2-year period.
``(f) Controlled Groups.--For purposes of this section, all persons
treated as a single employer under subsection (b), (c), (m), or (o) of
section 414 shall be treated as a single employer.
``(g) Termination.--The section shall not apply amounts paid or
incurred during taxable years beginning after December 31, 2017.''.
(b) Credit To Be Part of General Business Credit.--Subsection (b)
of section 38 of such Code is amended by striking ``plus'' at the end
of paragraph (35), by striking the period at the end of paragraph (36)
and inserting ``, plus'', and by adding at the end the following new
paragraph:
``(37) the jobs and opportunity bonus credit determined
under section 45S(a).''.
(c) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of such Code is amended by adding
at the end the following new item:
``Sec. 45S. Jobs and opportunity bonus credit.''.
(d) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2014.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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