[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2004 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 2004

 To amend the Internal Revenue Code of 1986 to exclude from the social 
  security tax on self-employment income certain amounts received by 
                  insurance salesmen after retirement.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 11, 1995

 Mr. Boehner 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 the social 
  security tax on self-employment income certain amounts received by 
                  insurance salesmen after retirement.
    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. EXCLUSION FROM SELF-EMPLOYMENT TAX FOR CERTAIN AMOUNTS 
              RECEIVED BY INSURANCE SALESMEN AFTER RETIREMENT.

    (a) Internal Revenue Code.--Subsection (a) of section 1402 of the 
Internal Revenue Code of 1986 (defining net-earnings from self-
employment) is amended by striking ``and'' at the end of paragraph 
(14), by striking the period at the end of paragraph (15) and inserting 
``; and'', and by inserting after paragraph (15) the following new 
paragraph:
            ``(16) there shall be excluded amounts received by a former 
        insurance salesman after retirement if--
                    ``(A) such amounts are deferred or renewal 
                commissions on policies sold by such salesman before 
                retirement or are computed by reference to commissions 
                received by such salesman before retirement on such 
                policies, and
                    ``(B) such salesman was not an employee for 
                purposes of chapter 21 with respect to the sale of such 
                policies.''
    (b) Social Security Act.--Subsection (a) of section 211 of the 
Social Security Act (defining net-earnings from self-employment) is 
amended by striking ``and'' at the end of paragraph (13), by striking 
the period at the end of the paragraph (14) and inserting a semicolon, 
by striking the period at the end of paragraph (15) and inserting ``; 
and'', and by inserting after paragraph (15) the following new 
paragraph:
            ``(16) There shall be excluded amounts received by a former 
        insurance salesman after retirement if--
                    ``(A) such amounts are deferred or renewal 
                commissions on policies sold by such salesman before 
                retirement or are computed by reference to commissions 
                received by such salesman before retirement on such 
                policies, and
                    ``(B) such salesman was not an employee for 
                purposes of chapter 21 of such Code with respect to the 
                sale of such policies.''
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 1994.
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