[Congressional Record Volume 141, Number 31 (Thursday, February 16, 1995)]
[Extensions of Remarks]
[Page E367]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


      INTRODUCTION OF BUSINESS MEALS DEDUCTION FAIRNESS LEGISLATION

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                          HON. RICHARD E. NEAL

                            of massachusetts

                    in the house of representatives

                      Wednesday, February 15, 1995
  Mr. NEAL. Mr. Speaker, today Mrs. Johnson, Mr. Jefferson, and I are 
introducing legislation which will repeal an unintended tax on hard-
working, middle income Americans--truckers, long-haul bus drivers, 
train conductors, and other people regulated by the Department of 
Transportation.
  The Omnibus Budget Reconciliation Act of 1993 [OBRA] contained a 
provision which reduced the deductible portion of business meals and 
entertainment expenses from 80 percent to 50 percent. This legislation 
would allow employees who are required by Federal law and regulations 
for safety reasons to make mandatory rest periods away from home. 
Simply, this legislation restores the deduction to 80 percent for 
truckers, long-haul bus drivers, train conductors, and others regulated 
by the Department of Transportation.
  When the meals deduction was reduced from 100 percent to 80 percent, 
the crews of commercial vessels and people working on oil rigs were 
exempted. The reason for this exemption was that these individuals are 
required by law to be away from home and ``eat out.'' This reasoning 
should continue to apply because those required by Federal law and 
regulations for safety reasons to take mandatory rest benefits away 
from home should be allowed to deduct these expenses. These meals are 
for safety reasons, not social reasons.
  We need to pass this legislation to correct this tax injustice. This 
legislation allows the deduction of legitimate expenses required by 
Federal regulations. These are ordinary and necessary businesses, not 
lavish or extravagant expenses. I urge you to support this legislation.


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