I 112th CONGRESS 1st Session H. R. 2443 IN THE HOUSE OF REPRESENTATIVES July 7, 2011 Mr. Miller of Florida 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 increase the limitation on expensing certain depreciable assets for certain businesses that hire veterans.

1.

Short title

This Act may be cited as the Tax Credit to Hire Veterans Act of 2011.

2.

Increased expensing for certain businesses hiring veterans

(a)

In general

Section 179 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: (g)

Special rules for small employers hiring veterans

(1)

In general

In the case of an eligible small employer, the limitation under subsection (b)(1) for the taxable year (after the application of subsection (b)(2)) shall be increased by an amount equal to— (A)$25,000, multiplied by, (B)the number of veteran new-hires of such employer. (2)

Limitation

The number of veteran new-hires which may be taken into account by an employer for any taxable year under paragraph (1) shall not exceed 25. (3)

Definitions and special rule

For purposes of this subsection— (A)

Eligible small employer

For purposes of this subsection, the term eligible small employer means any person who carries on a trade or business— (i)the gross receipts of which for the preceding taxable year did not exceed $5,000,000, or (ii)in the case of a trade or business to which subparagraph (A) does not apply, which employed not more than 500 full-time employees during the preceding taxable year. (B)

Veteran new-hire

The term veteran new-hire means, with respect to any employer for the taxable year, an individual— (i)who is a veteran (as defined in section 101 of title 38, United States Code), (ii)who was a full-time employee of the employer during the 1-year period beginning with the date the employment with the employer began, (iii)with respect to whom such 1-year period ends during the taxable year, (iv)who certifies by signed affidavit, under penalties of perjury, that such individual was unemployed on day before the date the employment with the employer began, (v)who is not employed by the employer to replace another employee of such employer unless such other employee separated from employment voluntarily or for cause, (vi)who is not an individual described in section 51(i)(1) (applied by substituting employer for taxpayer each place it appears), (vii)who has not been a veteran new-hire with respect to such employer for any preceding taxable year, and (viii)who has not been employed by the employer at any time during the 180-day period ending on the date the employment with the employer began. (C)

Full-time

An employee shall be treated as full time if such employee is employed on average at least 38 hours of service per week. (D)

Controlled groups

All persons which are treated as a single employer under subsections (a) and (b) of section 52 shall be treated as a single taxpayer. (4)

Termination

This subsection shall not apply to taxable years beginning after December 31, 2014. . (b)

Effective date

The amendment made by this section shall apply with respect to individuals who begin work for the employer after the date of the enactment of this Act.