[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4117 Introduced in House (IH)]

113th CONGRESS
  2d Session
                                H. R. 4117

To amend the Internal Revenue Code of 1986 to expand the earned income 
                              tax credit.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 27, 2014

  Mr. Rangel 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 expand the earned income 
                              tax credit.

    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 ``EITC for Childless Workers Act of 
2014''.

SEC. 2. AGE ELIGIBILITY LOWERED TO 21.

    (a) In General.--Subclause (II) section 32(c)(1)(A)(ii) of the 
Internal Revenue Code of 1986 is amended by striking ``age 25'' and 
inserting ``age 21''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2013.

SEC. 3. INCREASE IN CHILDLESS EARNED INCOME TAX CREDIT.

    (a) Increase in Credit Percentage and Phaseout Percentage.--The 
table under subparagraph (A) of section 32(b)(1) of the Internal 
Revenue Code of 1986 is amended by striking ``7.65'' each place it 
appears and inserting ``23.15''.
    (b) Increase in Earned Income Amount.--The table under subparagraph 
(A) of section 32(b)(2) of such Code is amended by striking ``$4,220'' 
and inserting ``$6,480''.
    (c) Increase in Phaseout Amount.--The table under subparagraph (A) 
of section 32(b)(2) of such Code is amended by striking ``$5,280'' and 
inserting ``$16,630''.
    (d) Joint Returns.--Clause (i) of section 32(b)(3)(B) of such Code 
is amended by inserting ``($8,000 in the case of an eligible individual 
with no qualifying children)'' after ``$5,000''.
    (e) Inflation Adjustments.--
            (1) In general.--Subsection (j) of section 32 of such Code 
        is amended by redesignating paragraph (2) as paragraph (3) and 
        by inserting after paragraph (1) the following new paragraph:
            ``(2) Phaseout amount for individuals with no children.--In 
        the case of any taxable year beginning after calendar year 
        2014, the `$6,480' and `$16,630' dollar amounts in subsection 
        (b)(2)(A) 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 2013' for `calendar year 1992' in 
                subparagraph (B) thereof.''.
            (2) Conforming amendments.--
                    (A) Section 32(j)(1) of such Code is amended by 
                inserting ``except as provided in paragraph (2)'' 
                before ``each of the dollar amounts''.
                    (B) Section 32(j)(2)(A) of such Code is amended by 
                inserting ``or (2)'' after ``paragraph (1)''.
    (f) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2013.

SEC. 4. RESIDENTS OF NON-MIRROR CODE UNITED STATES POSSESSIONS ELIGIBLE 
              FOR EARNED INCOME TAX CREDIT.

    (a) In General.--The Secretary of the Treasury shall pay to each 
possession of the United States which does not have a mirror code tax 
system amounts estimated by the Secretary of the Treasury as being 
equal to the aggregate benefits that would have been provided to 
residents of such possession by reason of section 32 of the Internal 
Revenue Code of 1986 (as amended by this Act) if a mirror code tax 
system had been in effect in such possession. The preceding sentence 
shall not apply with respect to any possession of the United States 
unless such possession has a plan, which has been approved by the 
Secretary of the Treasury, under which such possession will promptly 
distribute such payments to the residents of such possession.
    (b) Coordination With Credit Allowed Against United States Income 
Tax.--No credit shall be allowed against United States income taxes for 
any taxable year under section 32 of such Code to any person who is 
eligible for a payment under a plan described in subsection (a) with 
respect to such taxable year.
    (c) Definitions and Special Rule.--For purposes of this section--
            (1) Possession of the united states.--The term ``possession 
        of the United States'' includes the Commonwealth of Puerto Rico 
        and the Commonwealth of the Northern Mariana Islands.
            (2) Mirror code tax system.--The term ``mirror code tax 
        system'' means, with respect to any possession of the United 
        States, the income tax system of such possession if the income 
        tax liability of the residents of such possession under such 
        system is determined by reference to the income tax laws of the 
        United States as if such possession were the United States.
            (3) Treatment of payments.--For purposes of section 
        1324(b)(2) of title 31, United States Code, the payments under 
        this subsection shall be treated in the same manner as a refund 
        due from the credit allowed under section 32 of the Internal 
        Revenue Code of 1986.
    (d) Effective Date.--This section shall apply to taxable years 
beginning after December 31, 2013.
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