1.This Act may be cited as the
Emergency Relief Tax Check-Off for Our
Armed Forces Act of 2005
.
2.
(a)Congress finds the following:
(1)A significant number of America's military
service men and women and their immediate families have suffered severe
economic hardships as a result of injuries sustained in the course of their
service.
(2)The various military relief societies have
provided essential support for military members facing economic
hardship.
(3)The numbers and needs of United States
service members and their families far exceed the resources available to these
military relief societies.
(4)The American people strongly support the
creation of a tax check-off on their annual Federal tax return devoted to
emergency relief for members of the Armed Forces and their families.
(b)It is the purpose of this Act to bring
greater awareness of the personal and financial hardships of members of the
Armed Forces of the United States, military retirees, and veterans, as well as
their family members, as they serve our Nation and to provide a mechanism which
will enable taxpayers to contribute in an effort to alleviate such
hardships.
3.Tax check-off for
certain contributions to Armed Forces Relief Trust
(a)
(b)In the case of an
individual, with respect to each taxpayer’s return for the taxable year of the
tax imposed by chapter 1, such individual may designate that a contribution has
been made for such taxable year to the Armed Forces Relief Trust.
(c)Manner and time
of designationA designation
under paragraph (1) may be made with respect to any taxable year only at the
time of filing the return of the tax imposed by chapter 1 for such taxable
year. Such designation shall be made in such manner as the Secretary prescribes
by regulations except that such designation shall be made on the first page of
the return in the area below the designation for income tax payments to the
Presidential Election Campaign Fund.
(d)Explanation of
tax treatment of contributions to armed forces relief trustThe Secretary shall provide taxpayers with
an explanation that an above-the-line deduction under section 62(a)(22) of the
Internal Revenue Code of 1986 is allowed for any taxable year with respect to
any contribution designated under paragraph (1) for such taxable year in an
amount not to exceed $1,000, that any amount of such contribution in excess of
$1,000 may be taken as an additional deduction for such taxable year by any
taxpayer who itemizes deductions, and that such above-the-line deduction is not
includible in the determination of the alternative minimum tax under section 55
of such Code.
4.Section 62(a) of the
Internal Revenue Code of 1986 (defining adjusted gross income) is amended by
redesignating paragraph (20) (as added by section 703(a) of the American Jobs
Creation Act of 2004) as paragraph (21) and by inserting after paragraph (21)
(as so redesignated) the following new paragraph:
(v)Certain
contributions to armed forces relief trustThe deduction allowed by section 170 which
is attributable to contributions to the Armed Forces Relief Trust not in excess
of
$1,000.
.
5.Treatment of
charitable contributions to Armed Forces Relief Trust
(a)Notwithstanding any
other provision of law, any contribution made by any of the societies
associated with the Armed Forces Relief Trust shall not be commingled with any
charitable contribution made to the Trust Fund for which a deduction under
section 170 of the Internal Revenue Code of 1986 is allowable.
(b)Administration
of charitable contributionsThe administration and distribution of any
charitable contributions described in paragraph (1) shall be made by the Armed
Forces Relief Trust subject to the advice of a board of directors the
establishment and operation of which is determined under section 6.
6.Advisory board of
directors
(a)
(1)Within the Armed
Forces Relief Trust there is established an advisory board of directors the
members of which are appointed as follows:
(A)One individual appointed by the Chairman of
the Committee on Finance of the Senate.
(B)One individual appointed by the Chairman of
the Committee on Armed Services of the Senate.
(C)One individual appointed by the Chairman of
the Committee on Veterans' Affairs of the Senate.
(D)One individual appointed by the Chairman of
the Committee on Appropriations of the Senate.
(E)One individual appointed by the Chairman of
the Joint Committee on Taxation.
(F)One individual appointed by the Chairman of
the Committee on Armed Services of the House of Representatives.
(G)One individual appointed by the Chairman of
the Committee on Veterans' Affairs of the House of Representatives.
(H)One individual appointed by the Chairman of
the Committee on Appropriations of the House of Representatives.
(I)One individual appointed by the President
from each of the following: the Army Emergency Relief Society, the Navy Marine
Corps Relief Society, the Air Force Aid Society, and the Coast Guard Mutual
Assistance Relief Society.
(J)Two individuals appointed by the President
from 2 veterans service organizations.
(2)The term of each member of the advisory
board shall be 3 years, except that any member whose term of office has expired
shall continue to serve until such member's successor is appointed. No member
shall serve more than two 3-year terms.
(3)Appointment of
successorsThe appointment of
any successor member shall be made in the same manner as the original
appointment. If a member dies or resigns before the expiration of the member's
term, a successor shall be appointed for the unexpired portion of the term in
the same manner as the original appointment.
(4)No member of the advisory board may be an
employee of the Federal Government.
(b)
(1)The President shall designate a chairman
for the advisory board. The advisory board shall not later than its second
meeting, by majority vote, designate a vice chairman, who shall perform the
duties of the chairman in the absence of the chairman.
(2)The chairman shall
call the meetings of the advisory board, propose meeting agendas, chair the
meetings, and establish, with the approval of a majority of the members, the
rules and procedures for such meetings.
(c)The advisory board
shall meet semi-annually, for the purpose of providing ongoing advice to the
Armed Forces Relief Trust regarding the distribution of contributed funds,
policies governing said distribution, and the administrative costs and
operations of the Armed Forces Relief Trust. A majority of the members shall
constitute a quorum. Advisory board members shall serve without compensation.
While performing duties as a member of the advisory board, each member shall be
reimbursed under Federal Government travel regulations for travel expenses.
Such reimbursements and any other reasonable expenses of the advisory board
shall be provided by the budget of the Executive Office of the
President.
(d)The General Accountability Office shall
audit the distribution and management of funds of the Armed Forces Relief Trust
on an annual basis to ensure compliance with statutory and administrative
directives. The Comptroller General of the United States shall report to the
advisory board and Congress on the results of such audit.
(e)Within 60 days after its semi-annual
meeting, the advisory board shall submit a written report to the President of
its action, and of its views and recommendations. Any report other than the
semi-annual report, shall, if approved by a majority of the members of the
advisory board, be submitted to the President within 60 days after such
approval.
7.
The amendments made by this Act shall apply
to taxable years beginning after December 31, 2004.