II 110th CONGRESS 2d Session S. 3120 IN THE SENATE OF THE UNITED STATES June 12, 2008 Mr. Schumer (for himself and Mrs. Feinstein) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to increase the income limitation for qualified performing artists eligible for an above-the-line deduction for performance expenses.

1.

Increased income limitation for qualified performing artists eligible for above-the-line deduction for performance expenses

(a)

In general

Section 62(b) of the Internal Revenue Code of 1986 (defining qualified performing artist) is amended— (1)by striking $16,000 in paragraph (1)(C) and inserting $30,000, (2)by striking subparagraph (B) of paragraph (3) and inserting the following new subparagraph: (B)

Application of paragraph (1)

In the case of a joint return— (i)paragraph (1) shall be applied separately with respect to each spouse, and (ii)paragraph (1)(C) shall be applied with respect to one-half of their combined adjusted gross income. , and (3)by adding at the end the following new paragraph: (4)

Inflation adjustment

In the case of any taxable year beginning in a calendar year after 2008, the dollar amount contained in paragraph (1)(C) 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 calendar year 2007 for calendar year 1992 in subparagraph (B) thereof. Any increase determined under the preceding sentence shall be rounded to the nearest multiple of $50.. (b)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2007.