[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 857 Introduced in House (IH)]







106th CONGRESS
  1st Session
                                H. R. 857

  To amend the Internal Revenue Code of 1986 to allow employers a 200 
 percent deduction for amounts paid or incurred for training employees.


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                    IN THE HOUSE OF REPRESENTATIVES

                           February 25, 1999

 Mr. Campbell 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 allow employers a 200 
 percent deduction for amounts paid or incurred for training employees.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. ENHANCED DEDUCTION FOR EMPLOYEE TRAINING COSTS.

    (a) In General.--Section 162 of the Internal Revenue Code of 1986 
(relating to trade or business expenses) is amended by redesignating 
subsection (p) as subsection (q) and inserting after subsection (o) the 
following new subsection:
    ``(p) Employee Training Costs.--In the case of an employer, the 
amount of the deduction allowed under this section for training an 
employee shall be 200 percent of the amount allowable under this 
section (determined without regard to this subsection) for such 
training.''.
    (b) Revenue Offset.--
            (1) Modification of rates of corporate tax.--The Secretary 
        of the Treasury shall prescribe rates of tax under section 11 
        of the Internal Revenue Code of 1986 (relating to tax imposed 
        on corporations) which result in a net increase in revenues for 
        a taxable year equal to the net decrease in revenues for that 
        year as a result of the amendment made by subsection (a).
            (2) Estimates and subsequent adjustments.--The rates of tax 
        prescribed under paragraph (1) shall be determined on the basis 
        of estimates made by the Secretary of the Treasury. Adjustments 
        shall be made in such rates for succeeding taxable years to the 
        extent prior estimates resulted in revenues which were in 
        excess of or less than the revenues required under paragraph 
        (1).
    (c) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to amounts paid or incurred after December 31, 1999.
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