[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4019 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 4019

To amend title 4 of the United States Code to clarify the treatment of 
  self-employment for purposes of the limitation on State taxation of 
                           retirement income.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 7, 2005

  Mr. Cannon introduced the following bill; which was referred to the 
                       Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
To amend title 4 of the United States Code to clarify the treatment of 
  self-employment for purposes of the limitation on State taxation of 
                           retirement income.

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

SECTION 1. CLARIFICATION OF TREATMENT OF SELF-EMPLOYMENT FOR PURPOSES 
              OF THE LIMITATION ON STATE TAXATION OF RETIREMENT INCOME.

    (a) In General.--Section 114(b)(1)(i) of title 4, United States 
Code, is amended by--
            (1) inserting ``and any plan, program, or arrangement 
        providing for retirement benefits to a retired partner (treated 
        as such under applicable tax laws)'' after ``section 
        3121(v)(2)(C) of such Code'',
            (2) inserting ``which may include income described in 
        subparagraphs (A) through (H)'' after ``(not less frequently 
        than annually'', and
            (3) adding at the end the following: ``The fact that 
        benefits may be adjusted from time to time pursuant to the plan 
        to limit total disbursements under a predetermined formula, or 
        to provide cost of living or similar adjustments, will not 
        cause the period benefits provided under the plan to fail the 
        `substantially equal period payments' test.''.
    (b) Application.--The amendments made by this section apply to 
amounts received after December 31, 1995.
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