S. 1498 – Small Business Tax Fairness Act

113th CONGRESS

1st Session

S. 1498

IN THE SENATE OF THE UNITED STATES

September 12, 2013

Ms. Landrieu introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to extend certain expiring provisions relating to small businesses, and for other purposes.

Short title

This Act may be cited as the Small Business Tax Fairness Act.

Extension of temporary exclusion of 100 percent of gain on certain small business stock

(a)

In general

Paragraph (4) of section 1202(a) of the Internal Revenue Code of 1986 is amended—

(1)

by striking January 1, 2014 and inserting January 1, 2015, and

(2)

by striking and 2013 in the heading and inserting 2013, and 2014.

(b)

Effective date

The amendments made by this section shall apply to stock acquired after December 31, 2013.

Temporary increase in deduction for start-up expenditures

(a)

In general

Paragraph (3) of section 195(b) of the Internal Revenue Code of 1986 is amended—

(1)

by inserting , 2013, or 2014 after 2010, and

(2)

by inserting 2013, or 2014 after 2010 in the heading.

(b)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2012.

Extension of reduction in S-corporation recognition period for built-in gains tax

(a)

In general

Subparagraph (C) of section 1374(d)(7) of the Internal Revenue Code of 1986 is amended—

(1)

by striking 2012 or 2013 and inserting 2012, 2013, or 2014, and

(2)

by striking 2012 and 2013 in the heading and inserting 2012, 2013, and 2014.

(b)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2013.

Deduction for health insurance costs in computing self-employment taxes in 2013

(a)

In general

Paragraph (4) of section 162(l) of the Internal Revenue Code of 1986 is amended by striking beginning before January 1, 2010 and all that follows and inserting “beginning—

(A)

before January 1, 2010,

(B)

after December 31, 2010, and before January 1, 2013, or

(C)

after December 31, 2013.

(b)

Effective date

The amendment made by this section shall apply to taxable years beginning after December 31, 2012.

Extension of increased expensing limitations and treatment of certain real property as section 179 property

(a)

In general

(1)

Dollar limitation

Section 179(b)(1) of the Internal Revenue Code of 1986 is amended—

(A)

by striking or 2013 in subparagraph (B) and inserting 2013, or 2014, and

(B)

by striking 2013 in subparagraph (C) and inserting 2014.

(2)

Reduction in limitation

Section 179(b)(2) of such Code is amended—

(A)

by striking or 2013 in subparagraph (B) and inserting 2013, or 2014, and

(B)

by striking 2013 in subparagraph (C) and inserting 2014.

(b)

Computer software

Section 179(d)(1)(A)(ii) of the Internal Revenue Code of 1986 is amended by striking 2014 and inserting 2015.

(c)

Election

Section 179(c)(2) of the Internal Revenue Code of 1986 is amended by striking 2014 and inserting 2015.

(d)

Special rules for treatment of qualified real property

(1)

In general

Section 179(f)(1) of the Internal Revenue Code of 1986 is amended by striking or 2013 and inserting 2013, or 2014.

(2)

Carryover limitation

(A)

In general

Section 179(f)(4) of such Code is amended by striking 2013 each place it appears and inserting 2014.

(B)

Conforming amendment

Subparagraph (C) of section 179(f)(4) of such Code is amended by striking 2011 and 2012 in the heading and inserting 2011, 2012, and 2013.

(e)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2013.

Small Business Tax Fairness Act

Legislative Activity

Bill Text