[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1747 Introduced in House (IH)]

114th CONGRESS
  1st Session
                                H. R. 1747

   To amend the Internal Revenue Code of 1986 to provide a credit to 
   individuals for legal expenses paid with respect to establishing 
                 guardianship of a disabled individual.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 13, 2015

  Mr. Deutch 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 provide a credit to 
   individuals for legal expenses paid with respect to establishing 
                 guardianship of a disabled individual.

    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 ``Special Needs Tax Credit Act''.

SEC. 2. CREDIT FOR LEGAL EXPENSES PAID WITH RESPECT TO ESTABLISHING 
              GUARDIANSHIP OF A DISABLED INDIVIDUAL.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to refundable credits) 
is amended by inserting after section 36B the following new section:

``SEC. 36C. CREDIT FOR LEGAL EXPENSES PAID WITH RESPECT TO ESTABLISHING 
              GUARDIANSHIP OF A DISABLED INDIVIDUAL.

    ``(a) In General.--In the case of an individual, there shall be 
allowed as a credit against the tax imposed by this subtitle an amount 
equal to the qualified legal guardianship expenses paid or incurred by 
the taxpayer during the taxable year.
    ``(b) Dollar Limitation.--The credit allowed under subsection (a) 
to any taxpayer with respect to any disabled individual for any taxable 
year shall not exceed the excess of--
            ``(1) $5,000, over
            ``(2) the aggregate amount allowed as credit under 
        subsection (a) to such taxpayer with respect to such disabled 
        individual for all prior taxable years.
    ``(c) Phaseout Based on Adjusted Gross Income.--The dollar 
limitation applicable under subsection (b) shall be reduced by the 
amount which bears the same ratio to such dollar limitation (determined 
without regard to this subsection) as--
            ``(1) the excess of--
                    ``(A) the taxpayer's adjusted gross income, over
                    ``(B) $75,000 (twice such amount in the case of a 
                joint return), bears to
            ``(2) $15,000 (twice such amount in the case of a joint 
        return).
    ``(d) Qualified Legal Guardianship Expenses.--For purposes of this 
section, the term `qualified legal guardianship expenses' means amounts 
paid or incurred by an individual as legal expenses in establishing 
such individual as the legal guardian of a disabled individual.
    ``(e) Disabled Individual.--For purposes of this section, the term 
`disabled individual' means any individual who is disabled (within the 
meaning of section 1614(a)(3) of the Social Security Act).''.
    (b) Conforming Amendments.--
            (1) Section 6211(b)(4)(A) of such Code is amended by 
        inserting ``36C,'' after ``36B,''.
            (2) Section 1324(b)(2) of title 31, United States Code, is 
        amended by inserting ``36C,'' after ``36B,''.
            (3) The table of sections for subpart C of part IV of 
        subchapter A of chapter 1 of the Internal Revenue Code of 1986 
        is amended by inserting after the item relating to section 36B 
        the following new item:

``Sec. 36C. Credit for legal expenses paid with respect to establishing 
                            guardianship of a disabled individual.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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