I
110th CONGRESS
1st Session
H. R. 3736
IN THE HOUSE OF REPRESENTATIVES
October 3, 2007
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 make permanent the election to treat combat pay as earned income for purposes of the earned income tax credit.
Short title
This Act may be cited as the
Combat Pay Tax Flexibility Act of
2007
.
Election to treat combat pay as earned income for purposes of the earned income tax credit made permanent
In general
Clause (vi) of section 32(c)(2)(B) of the Internal Revenue Code of 1986 (defining earned income) is amended to read as follows:
a taxpayer may elect to treat amounts excluded from gross income by reason of section 112 as earned income.
.
Sunset not applicable
Section 105 of the Working Families Tax Relief Act of 2004 (relating to application of EGTRRA sunset to this title) shall not apply to section 104(b) of such Act.
Effective date
The amendment made by this section shall apply to taxable years ending after December 31, 2007.