[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1560 Introduced in Senate (IS)]

  1st Session
                                S. 1560

To amend the Internal Revenue Code of 1986 to allow a deduction for the 
           work-related expenses of handicapped individuals.


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                   IN THE SENATE OF THE UNITED STATES

               August 1 (legislative day, July 21), 2003

 Mr. Kohl introduced the following bill; which was read twice and 
        referred to the Committee on FinanceYYYYYYYYYYYYYYYYYYYYYYYYYYY

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                                 A BILL


 
To amend the Internal Revenue Code of 1986 to allow a deduction for the 
           work-related expenses of handicapped individuals.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Disabled Workers Empowerment Act of 
2003''.

SEC. 2. DEDUCTION FOR WORK-RELATED EXPENSES OF HANDICAPPED INDIVIDUALS.

    (a) In General.--Part VII of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to additional itemized 
deductions for individuals) is amended by redesignating section 223 as 
section 224 and by inserting after section 222 the following new 
section:

``SEC. 223. WORK-RELATED EXPENSES OF HANDICAPPED INDIVIDUALS.

    ``(a) In General.--In the case of a handicapped individual, there 
shall be allowed as a deduction for the taxable year an amount equal to 
the amount of qualified work-related expenses paid or incurred by the 
taxpayer during the taxable year.
    ``(b) Limitation Based on Earned Income.--The amount allowed as a 
deduction under subsection (a) for any taxable year shall not exceed 
the handicapped individual's earned income (within the meaning of 
section 32) reduced by the employment-related expenses taken into 
account under section 21 with respect to such individual.
    ``(c) Qualified Work-Related Expenses.--For purposes of this 
section, the term `qualified work-related expenses' means any of the 
following expenses incurred by reason of the individual being a 
handicapped individual:
            ``(1) Expenses for attendant care services at the 
        individual's place of employment and other expenses in 
        connection with such place of employment which are necessary 
        for such individual to be able to work.
            ``(2) Expenses to provide transportation and necessary 
        personal services for the individual which are necessary for 
        such individual to be able to work (including commuting between 
        the individual's residence and place of employment).
            ``(3) Expenses to maintain the household of the individual 
        and to provide other domestic or personal services for the 
        individual which are necessary for such individual to be able 
        to work.
    ``(d) Handicapped Individual.--For purposes of this section, the 
term `handicapped individual' has the meaning given to such term by 
section 190(b)(3).
    ``(e) Special Rules.--
            ``(1) Coordination with other deductions.--No deduction 
        shall be allowed under section 162 for any expense to the 
        extent that a deduction for such expense is allowed under this 
        section.
            ``(2) Joint returns.--In the case of a joint return, this 
        section shall be applied separately to each spouse.''.
    (b) Deduction Allowed Whether or Not Individual Itemizes Other 
Deductions.--Section 62(a) of the Internal Revenue Code of 1986 
(defining adjusted gross income) is amended by inserting after 
paragraph (18) the following new paragraph:
            ``(19) Work-related expenses of handicapped individuals.--
        The deduction allowed by section 223.''.
    (c) Clerical Amendment.--The table of sections for part VII of 
subchapter B of chapter 1 of the Internal Revenue Code of 1986 is 
amended by striking the item relating to section 223 and inserting the 
following new items:

                              ``Sec. 223. Work-related expenses of 
                                        handicapped individuals.
                              ``Sec. 224. Cross reference.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2002.
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