S. 1975Senate113th Congress (2013-2015)In Committee

A bill to amend the Internal Revenue Code of 1986 to provide an above-the-line deduction for child care expenses, and for other purposes.

Introduced January 30, 2014

Legislative Activity

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SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance.

January 30, 2014

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SenateIntro Referral

Introduced in Senate

January 30, 2014

SenateIntro Referral

Read twice and referred to the Committee on Finance.

January 30, 2014

Floor Debate

5 members

What members said about S. 1975 on the floor

1 Republican4 Democrats
Barbara A. Mikulski
Sen. Barbara A. MikulskiD-MD · Nov 17, 2014

Madam President, in a few minutes we will be voting on the child care and development block grant reauthorization bill. I am here to urge my colleagues to vote for final passage. This bill is…

Tom Harkin
Sen. Tom HarkinD-IA · Nov 17, 2014

Madam President, I ask unanimous consent that the order for the quorum call be rescinded. Madam President, I want to speak in support of the Child Care and Development Block Grant Act of 2014, the…

Patty Murray
Sen. Patty MurrayD-WA · Nov 17, 2014

Madam President, I come to the floor today to speak about the Child Care and Development Block Grant Act. I'm glad to say that the bill before us today contains a number of provisions intended to…

Lamar Alexander
Sen. Lamar AlexanderR-TN · Nov 17, 2014

Madam President, I ask unanimous consent that the order for the quorum call be rescinded. Madam President, I see my distinguished friend the Senator from Iowa on the floor. I am here, very simply, to…

Benjamin L. Cardin
Sen. Benjamin L. CardinD-MD · Nov 17, 2014

Madam President, I support the Child Care and Development Block Grant, CCDBG, reauthorization bill, S. 1086, which is now pending before the Senate. I urge my colleagues to pass this legislation,…

Bill Text

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Introduced in SenateIssued January 30, 2014

II

113th CONGRESS

2d Session

S. 1975

IN THE SENATE OF THE UNITED STATES

January 30, 2014

Mrs. Gillibrand 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 provide an above-the-line deduction for child care expenses, and for other purposes.

1.

Above-the-line deduction for child care expenses

(a)

In general

Part VII of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended—

(1)

by redesignating section 224 as section 225, and

(2)

by inserting after section 223 the following new section:

224.

Child care deduction

(a)

Allowance of deduction

In the case of an individual for which there are 1 or more qualifying children with respect to such individual for the taxable year, there shall be allowed as a deduction an amount equal to the employment-related expenses paid by such individual during the taxable year.

(b)

Dollar limitations

(1)

In general

The amount allowed as a deduction under subsection (a) with respect to the taxpayer for any taxable year shall not exceed—

(A)

$7,000, if there is 1 qualifying child with respect to the taxpayer for such taxable year, or

(B)

$14,000, if there are 2 or more qualifying children with respect to the taxpayer for such taxable year.

(2)

Adjustment for inflation

In the case of a taxable year beginning after 2014, each of the dollar amounts in paragraph (1) shall be increased by an amount equal to—

(A)

such dollar amount, multiplied by

(B)

the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which such taxable year begins, determined by substituting calendar year 2013 for calendar year 1992 in subparagraph (B) thereof.

If any amount as adjusted under the preceding sentence is not a multiple of $100, such amount shall be rounded to the next highest multiple of $100.
(c)

Definitions and special rules

For purposes of this section—

(1)

Qualifying child

The term qualifying child means a dependent of the taxpayer (as defined in section 152(a)(1))—

(A)

who has not attained age 13, or

(B)

who is physically or mentally incapable of caring for himself or herself.

(2)

Employment-related expenses

The term employment-related expenses has the meaning given such term by section 21(b)(2), applied as if the terms qualifying child and qualifying children, within the meaning of this section, were substituted for the terms qualifying individual and qualifying individuals, respectively.

(3)

Special rules

Rules similar to the rules of paragraphs (1), (2), (3), (4), (5), (6), (9), and (10) of section 21(e) shall apply.

(d)

Denial of double benefit

(1)

In general

No deduction shall be allowed under this section for any expense with respect to which a credit is claimed by the taxpayer under section 21.

(2)

Coordination rule

For coordination with a dependent care assistance program, see section 129(e)(7).

.

(b)

Deduction allowed above-the-Line

Subsection (a) of section 62 of the Internal Revenue Code of 1986 is amended by inserting after paragraph (21) the following new paragraph:

(22)

Child care deduction

The deduction allowed by section 224.

.

(c)

Conforming amendment

Subsection (e) of section 213 of the Internal Revenue Code of 1986 is amended by inserting , or as a deduction under section 224, after section 21.

(d)

Clerical amendment

The table of sections for part VII of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by striking the item relating to section 224 and by inserting the following new items:

Sec. 224. Child care deduction.

Sec. 225. Cross reference.

.

(e)

Effective date

The amendments made by this section shall apply to expenses paid or incurred in taxable years beginning after December 31, 2013.