[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4387 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 4387

   To amend the Internal Revenue Code of 1986 to provide a credit to 
         individuals for charitable contributions of services.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 18, 2005

 Mr. Hinchey 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 provide a credit to 
         individuals for charitable contributions of services.

    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 ``Support American Volunteer Efforts 
Act of 2005''.

SEC. 2. CREDIT FOR CHARITABLE CONTRIBUTIONS OF SERVICES.

    (a) In General.--Subpart A of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to nonrefundable 
personal credits) is amended by inserting after section 25D the 
following new section:

``SEC. 25E. CHARITABLE CONTRIBUTIONS OF SERVICES.

    ``(a) In General.--In the case of an individual, there shall be 
allowed as a credit against the tax imposed by this chapter for the 
taxable year the product of--
            ``(1) the number of hours of service performed for an 
        organization described in section 170(c) by such individual at 
        the request of such organization, multiplied by
            ``(2) the dollar amount per hour specified in section 
        6(a)(1) of the Fair Labor Standard Act of 1938 (as in effect at 
        the time the service is performed).
    ``(b) Limitation.--
            ``(1) In general.--The amount of the credit allowed under 
        subsection (a) with respect to any individual shall not exceed 
        $2,000 for any taxable year.
            ``(2) Adjustments for inflation.--In the case of a taxable 
        year beginning after December 31, 2006, the dollar amount in 
        paragraph (1) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for the calendar year in which 
                the taxable year begins, determined by substituting 
                `2005' for `1992' in subparagraph (B) thereof.
        If any amount as increased under the preceding sentence is not 
        a multiple of $10, such amount shall be rounded to the nearest 
        multiple of $10.
    ``(c) Compensated Service not Take Into Account.--Any service 
performed by an individual with respect to which any compensation is 
provided to such individual shall not be taken into account under 
subsection (a).''.
    (b) Clerical Amendment.--The table of sections of such subpart is 
amended by inserting after the item relating to section 25D the 
following new item:

``Sec. 25E. Charitable contributions of services.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2005.
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