I
111th CONGRESS
1st Session
H. R. 4391
IN THE HOUSE OF REPRESENTATIVES
December 16, 2009
Mr. Pascrell 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 an employee’s gross income any employer-provided supplemental instructional services assistance, and for other purposes.
Short title
This Act may be cited as the
Affordable Tutoring of Our Children
Act
.
Exclusion of employer-provided supplemental instructional services assistance
In general
Section 129 of the Internal Revenue Code of 1986 (relating to dependent care assistance programs) is amended—
by inserting and supplemental
instructional services assistance
after dependent care
assistance
each place it appears (except in subsections (d)(4) and
(e)(1) thereof), and
by inserting
and supplemental instructional services
after dependent
care services
both places it appears in subsection (a)(2).
Supplemental instructional services assistance
Section 129(e) of the Internal Revenue Code of 1986 (relating to definitions and services) is amended by redesignating paragraphs (2) through (9) as paragraphs (3) through (10), respectively, and by inserting after paragraph (1) the following new paragraph:
Supplemental instructional services assistance
In general
The term supplemental instructional services assistance means the payment of, or provision of, supplemental instructional services to an employee's dependent (as defined in subsection (a)(1) of section 152, determined without regard to subsection (c)(1)(C) thereof) who—
has attained the age of 5 but not the age of 19 as of the close of the calendar year in which the taxable year of the employee begins, and
has not obtained a high school diploma or been awarded a general education degree.
Supplemental instructional services
The term supplemental instructional services means instructional or other academic enrichment services which are—
in addition to instruction provided during the school day,
specifically designed to increase the academic achievement of such dependent,
in the core academic studies of English, reading or language arts, mathematics, science, foreign languages, civics and government, economics, arts, social studies, and geography, and
provided by a State certified instructor or by a State recognized or privately accredited organization.
.
No exclusion for supplemental instructional services assistance provided to highly compensated employees
Section 129(a)(2)(A) of the Internal Revenue Code of
1986 (relating to limitation of exclusion) is amended by inserting ,
except that no amount may be excluded under paragraph (1) for supplemental
instructional services paid or incurred by an employee who is a highly
compensated employee (within the meaning of section 414(q))
after
individual)
.
Conforming amendments
Section
21(b)(2)(A) of the Internal Revenue Code of 1986 is amended by adding at the
end the following new sentence: Such term shall not include any amount
paid for supplemental instructional services (as defined in section
129(e)(2)(B)).
.
The second
sentence of section 21(c) of such Code is amended by inserting of
dependent care assistance
after aggregate amount
.
Section 6051(a)(9)
of such Code is amended by inserting and supplemental instructional
services assistance
after dependent care assistance
both
places it appears.
Clerical amendments
The heading for
section 129 of the Internal Revenue Code of 1986 is amended by inserting
and supplemental
instructional services assistance
after
assistance
.
The item relating
to section 129 in the table of sections for part III of subchapter B of chapter
1 of such Code is amended by inserting and supplemental instructional
services assistance
after assistance
.
Effective date
The amendments made by this section shall apply to taxable years beginning after December 31, 2009.