[Congressional Record (Bound Edition), Volume 160 (2014), Part 3]
[Senate]
[Pages 4092-4093]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2807. Mrs. GILLIBRAND submitted an amendment intended to be 
proposed by her to the bill S. 1086, to reauthorize and improve the 
Child Care and Development Block Grant Act of 1990, and for other 
purposes; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. ABOVE-THE-LINE DEDUCTION FOR CHILD CARE EXPENSES.

       (a) In General.--Part VII of subchapter A of chapter 1 of 
     the Internal Revenue Code of 1986 is amended--
       (1) by redesignating section 224 as section 225, and
       (2) by inserting after section 223 the following new 
     section:

     ``SEC. 224. CHILD CARE DEDUCTION.

       ``(a) Allowance of Deduction.--In the case of an individual 
     for which there are 1 or more qualifying children with 
     respect to such individual for the taxable year, there shall 
     be allowed as a deduction an amount equal to the employment-
     related expenses paid by such individual during the taxable 
     year.
       ``(b) Dollar Limitations.--
       ``(1) In general.--The amount allowed as a deduction under 
     subsection (a) with respect to the taxpayer for any taxable 
     year shall not exceed--
       ``(A) $7,000, if there is 1 qualifying child with respect 
     to the taxpayer for such taxable year, or
       ``(B) $14,000, if there are 2 or more qualifying children 
     with respect to the taxpayer for such taxable year.
       ``(2) Adjustment for inflation.--In the case of a taxable 
     year beginning after 2015, each of the dollar amounts in 
     paragraph (1) 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 such taxable 
     year begins, determined by substituting `calendar year 2014' 
     for `calendar year 1992' in subparagraph (B) thereof.

     If any amount as adjusted under the preceding sentence is not 
     a multiple of $100, such amount shall be rounded to the next 
     highest multiple of $100.
       ``(c) Definitions and Special Rules.--For purposes of this 
     section--
       ``(1) Qualifying child.--The term `qualifying child' means 
     a dependent of the taxpayer (as defined in section 
     152(a)(1))--
       ``(A) who has not attained age 13, or
       ``(B) who is physically or mentally incapable of caring for 
     himself or herself.
       ``(2) Employment-related expenses.--The term `employment-
     related expenses' has the meaning given such term by section 
     21(b)(2), applied as if the terms `qualifying child' and 
     `qualifying children,' within the meaning of this section, 
     were substituted for the terms `qualifying individual' and 
     `qualifying individuals', respectively.
       ``(3) Special rules.--Rules similar to the rules of 
     paragraphs (1), (2), (3), (4), (5), (6), (9), and (10) of 
     section 21(e) shall apply.
       ``(d) Denial of Double Benefit.--
       ``(1) In general.--No deduction shall be allowed under this 
     section for any expense with respect to which a credit is 
     claimed by the taxpayer under section 21.
       ``(2) Coordination rule.--For coordination with a dependent 
     care assistance program, see section 129(e)(7).''.
       (b) Deduction Allowed Above-the-line.--Subsection (a) of 
     section 62 of the Internal Revenue Code of 1986 is amended by 
     inserting after paragraph (21) the following new paragraph:
       ``(22) Child care deduction.--The deduction allowed by 
     section 224.''.
       (c) Conforming Amendment.--Subsection (e) of section 213 of 
     the Internal Revenue Code of 1986 is amended by inserting ``, 
     or as a deduction under section 224,'' after ``section 21''.
       (d) Clerical Amendment.--The table of sections for part VII 
     of subchapter A of chapter 1 of the Internal Revenue Code of 
     1986 is amended by striking the item relating to section 224 
     and by inserting the following new items:
       ``Sec. 224. Child care deduction.
       ``Sec. 225. Cross reference.''.
       (e) Effective Date.--The amendments made by this section 
     shall apply to expenses paid or incurred in taxable years 
     beginning after December 31, 2014.
                                 ______
                                 
  SA 2808. Mr. MURPHY submitted an amendment intended to be proposed by 
him to the bill S. 1086, to reauthorize and improve the Child Care and 
Development Block Grant Act of 1990, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the end, add the following:

     SEC. __. INCREASE IN DOLLAR LIMITATION ON EXCLUSION FOR 
                   EMPLOYER-PROVIDED DEPENDENT CARE ASSISTANCE.

       (a) In General.--Subparagraph (A) of section 129(a)(2) of 
     the Internal Revenue Code of 1986 is amended by striking 
     ``shall not exceed'' and all that follows and inserting the 
     following: ``shall not exceed--
       ``(i) in the case of a taxpayer whose modified adjusted 
     gross income for such taxable

[[Page 4093]]

     year is less than $100,000 (twice such amount in the case of 
     a joint return), $10,000 (half such amount in the case of a 
     separate return by a married individual), and
       ``(ii) in any other case, $5,000 (half such amount in the 
     case of a separate return by a married individual).''.
       (b) Modified Adjusted Gross Income.--Paragraph (2) of 
     section 129(a) of such Code is amended by adding at the end 
     the following new subparagraph:
       ``(D) Modified adjusted gross income.--For purposes of this 
     paragraph, the term `modified adjusted gross income' means 
     the adjusted gross income of the taxpayer for the taxable 
     year increased by any amount excluded from gross income under 
     section 911, 931, or 933.''.
       (c) Inflation Adjustment.--Paragraph (2) of section 129(a) 
     of such Code, as amended by subsection (b), is amended by 
     adding at the end the following new subparagraph:
       ``(E) Inflation adjustment.--In the case of any taxable 
     year beginning in a calendar year after 2014, each dollar 
     amount contained in subparagraph (A) shall be increased by an 
     amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) 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.

     Any increase determined under the preceding sentence shall be 
     rounded to the nearest multiple of $50.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2013.

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