[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3808 Introduced in House (IH)]
110th CONGRESS
1st Session
H. R. 3808
To amend the Internal Revenue Code of 1986 to permanently extend the
special rule treating combat pay as earned income for purposes of the
earned income credit and to increase the standard deduction for
individuals performing service in the uniformed services while on
active duty for a period of more than 30 days.
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IN THE HOUSE OF REPRESENTATIVES
October 10, 2007
Ms. Giffords (for herself, Mr. Johnson of Georgia, Mr. Murphy of
Connecticut, Mr. Meek of Florida, Mr. Brady of Pennsylvania, Mr.
Altmire, Ms. Berkley, Mr. Grijalva, Mr. Israel, Mr. Carney, Mr. Pastor,
Mr. McCaul of Texas, Mr. Mitchell, and Mr. Hare) 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 permanently extend the
special rule treating combat pay as earned income for purposes of the
earned income credit and to increase the standard deduction for
individuals performing service in the uniformed services while on
active duty for a period of more than 30 days.
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 ``Combat Troops Tax Relief Act of
2007''.
SEC. 2. PERMANENT EXTENSION OF SPECIAL RULE TREATING COMBAT PAY AS
EARNED INCOME FOR EARNED INCOME CREDIT.
(a) In General.--Clause (vi) of section 32(c)(2)(B) of the Internal
Revenue Code of 1986 (relating to earned income) is amended to read as
follows:
``(vi) a taxpayer may elect to treat
amounts excluded from gross income by reason of
section 112 as earned income.''.
(b) Provision Not Subject to Sunset.--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.
(c) Effective Date.--The amendment made by this section shall apply
to taxable years ending after December 31, 2007.
SEC. 3. TEMPORARY INCREASE IN STANDARD DEDUCTION FOR ACTIVE DUTY
MILITARY PERSONNEL.
(a) In General.--Paragraph (3) of section 63(c) of the Internal
Revenue Code of 1986 (defining additional standard deduction for the
aged and blind) is amended to read as follows:
``(3) Additional standard deduction.--For the purposes of
paragraph (1), the additional standard deduction is the sum
of--
``(A) the sum of each additional amount to which
the taxpayer is entitled under subsection (f), plus
``(B) in the case of a taxable year beginning in
2007 or 2008, an additional amount of $1,000 for an
individual for such taxable year if the individual who
at any time during such taxable year is performing
service in the uniformed services while on active duty
for a period of more than 30 days.''.
(b) Conforming Amendments.--
(1) Section 3402(m)(3) of the Internal Revenue Code of 1986
is amended by striking ``for the aged and blind''.
(2) Section 6012(a)(1)(B) of such Code is amended by adding
at the end the following new sentence: ``The preceding sentence
shall be applied without regard to section 63(c)(3)(B) and each
of the amounts specified in subparagraph (A) shall be increased
by the portion of any additional standard deduction to which
the individual is entitled by reason of section 63(c)(3)(B).''.
(c) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2006.
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