[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4279 Introduced in House (IH)]

112th CONGRESS
  2d Session
                                H. R. 4279

  To amend the Internal Revenue Code of 1986 to waive the 10 percent 
 early distribution penalty with respect to withdrawals by unemployed 
               veterans from certain retirement accounts.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 28, 2012

    Mr. Young of Indiana (for himself, Mr. Hultgren, and Mr. Latta) 
 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 waive the 10 percent 
 early distribution penalty with respect to withdrawals by unemployed 
               veterans from certain retirement accounts.

    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 ``Veteran Self Relief Act of 2012''.

SEC. 2. CERTAIN DISTRIBUTIONS FROM RETIREMENT ACCOUNTS OF UNEMPLOYED 
              VETERANS NOT SUBJECT TO 10 PERCENT PENALTY.

    (a) In General.--Paragraph (2) of section 72(t) of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
subparagraph:
                    ``(H) Certain distributions to unemployed 
                veterans.--Any qualified unemployed veteran 
                distribution.''.
    (b) Definitions.--Subsection (t) of section 72 of such Code is 
amended by adding at the end the following new paragraph:
            ``(11) Qualified unemployed veteran distribution.--For 
        purposes of this paragraph and paragraph (2)(H)--
                    ``(A) Qualified unemployed veteran distribution.--
                The term `qualified unemployed veteran distribution' 
                means any distribution to a veteran (as defined in 
                section 101 of title 38, United States Code) from a 
                specified account if such distribution is made during a 
                qualified unemployment-related distribution period.
                    ``(B) Specified account.--The term `specified 
                account' means--
                            ``(i) any individual retirement account of 
                        the veteran, and
                            ``(ii) the Thrift Savings Fund established 
                        under section 8437 of title 5, United States 
                        Code.
                    ``(C) Qualified unemployment-related distribution 
                period.--
                            ``(i) In general.--The term `qualified 
                        unemployment-related distribution period' means 
                        so much of any qualified unemployment period as 
                        is after the 12 consecutive weeks referred to 
                        in clause (ii)(I).
                            ``(ii) Qualified unemployment period.--The 
                        term `qualified unemployment period' means, 
                        with respect to any veteran, any uninterrupted 
                        period of unemployment if--
                                    ``(I) such veteran receives 
                                unemployment compensation for 12 
                                consecutive weeks under any Federal or 
                                State unemployment compensation law 
                                during such uninterrupted period, and
                                    ``(II) such uninterrupted period 
                                begins during the 1-year period 
                                beginning on the date of such veteran's 
                                discharge or release which is referred 
                                to in section 101 of title 38, United 
                                States Code, with respect to such 
                                veteran.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to distributions made after the date of the enactment of this 
Act.
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