[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 170 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                 S. 170

 To permit revocation by members of the clergy of their exemption from 
                       Social Security coverage.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 19, 1999

 Mr. Smith of New Hampshire (for himself, Mr. Moynihan, and Mr. Mack) 
introduced the following bill; which was read twice and referred to the 
                          Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To permit revocation by members of the clergy of their exemption from 
                       Social Security coverage.

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

SECTION 1. REVOCATION BY MEMBERS OF THE CLERGY OF EXEMPTION FROM SOCIAL 
              SECURITY COVERAGE.

    (a) In General.--Notwithstanding section 1402(e)(4) of the Internal 
Revenue Code of 1986, any exemption which has been received under 
section 1402(e)(1) of such Code by a duly ordained, commissioned, or 
licensed minister of a church, a member of a religious order, or a 
Christian Science practitioner, and which is effective for the taxable 
year in which this Act is enacted, may be revoked by filing an 
application therefor (in such form and manner, and with such official, 
as may be prescribed in regulations made under chapter 2 of such Code), 
if such application is filed no later than the due date of the Federal 
income tax return (including any extension thereof) for the applicant's 
second taxable year beginning after December 31, 1999. Any such 
revocation shall be effective (for purposes of chapter 2 of such Code 
and title II of the Social Security Act), as specified in the 
application, either with respect to the applicant's first taxable year 
beginning after December 31, 1999, or with respect to the applicant's 
second taxable year beginning after such date, and for all succeeding 
taxable years; and the applicant for any such revocation may not 
thereafter again file application for an exemption under such section 
1402(e)(1). If the application is filed after the due date of the 
applicant's Federal income tax return for a taxable year and is 
effective with respect to that taxable year, it shall include or be 
accompanied by payment in full of an amount equal to the total of the 
taxes that would have been imposed by section 1401 of such Code with 
respect to all of the applicant's income derived in that taxable year 
which would have constituted net earnings from self-employment for 
purposes of chapter 2 of such Code (notwithstanding paragraph (4) or 
(5) of section 1402(c) of such Code) but for the exemption under 
section 1402(e)(1) of such Code.
    (b) Effective Date.--Subsection (a) shall apply with respect to 
service performed (to the extent specified in such subsection) in 
taxable years beginning after December 31, 1999, and with respect to 
monthly insurance benefits payable under title II of the Social 
Security Act on the basis of the wages and self-employment income of 
any individual for months in or after the calendar year in which such 
individual's application for revocation (as described in such 
subsection) is effective (and lump-sum death payments payable under 
such title on the basis of such wages and self-employment income in the 
case of deaths occurring in or after such calendar year).
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