IB 

Union Calendar No. 793 

118TH CONGRESS 

2D SESSION H. R. 9461 

[Report No. 118–944] 

To amend the Internal Revenue Code of 1986 to allow a credit against 

tax for charitable donations to nonprofit organizations providing workforce training. 

IN THE HOUSE OF REPRESENTATIVES 

SEPTEMBER 6, 2024 

Mr. SMUCKER introduced the following bill; which was referred to the 

Committee on Ways and Means 

DECEMBER 24, 2024 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

[For text of introduced bill, see copy of bill as introduced on September 6, 2024] 


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A BILL 

To amend the Internal Revenue Code of 1986 to allow a 

credit against tax for charitable donations to nonprofit 

organizations providing workforce training. 


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1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘USA Workforce Invest5 ment Act’’. 

6 SEC. 2. TAX CREDIT FOR CONTRIBUTIONS OF INDIVIDUALS 

7 TO WORKFORCE DEVELOPMENT OR APPREN8 TICESHIP TRAINING PROGRAMS. 

9 (a) ALLOWANCE OF CREDIT.— 

10 (1) IN GENERAL.—Subpart A of part IV of sub11 chapter A of chapter 1 of the Internal Revenue Code 

12 of 1986 is amended by inserting after section 25E the 

13 following new section: 

14 ‘‘SEC. 25F. CONTRIBUTIONS TO WORKFORCE DEVELOP15 MENT AND APPRENTICESHIP TRAINING PRO16 GRAMS. 

17 ‘‘(a) ALLOWANCE OF CREDIT.—In the case of an indi18 vidual, there shall be allowed as a credit against the tax 

19 imposed by this chapter for the taxable year an amount 

20 equal to the aggregate amount of qualified contributions 

21 made by the taxpayer during the year. 

22 ‘‘(b) LIMITATIONS.— 

23 ‘‘(1) IN GENERAL.—The credit allowed under 

24 subsection (a) to any taxpayer for any taxable year 

25 shall not exceed an amount equal to the lesser of— 


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1 ‘‘(A) 25 percent of the sum of the amounts 

2 described in paragraphs (1) and (2) of section 

3 26(a) for such taxable year, or 

4 ‘‘(B) $150,000. 

5 ‘‘(2) ALLOCATION OF VOLUME CAP.—The credit 

6 allowed under subsection (a) to any taxpayer for any 

7 taxable year shall not exceed the amount of the vol8 ume cap allocated by the Secretary to such taxpayer 

9 under subsection (f) with respect to qualified con10 tributions made by the taxpayer during the taxable 

11 year. 

12 ‘‘(3) REDUCTION BASED ON STATE CREDIT.—The 

13 amount allowed as a credit under subsection (a) for 

14 a taxable year shall be reduced by the amount allowed 

15 as a credit on any State tax return of the taxpayer 

16 for qualified contributions made by the taxpayer dur17 ing the taxable year. 

18 ‘‘(c) DEFINITIONS.—For purposes of this section— 

19 ‘‘(1) QUALIFIED CONTRIBUTION.—The term 

20 ‘qualified contribution’ means a charitable contribu21 tion (as defined by section 170(c)) to a workforce de22 velopment or apprenticeship training organization in 

23 the form of cash or marketable securities if such con24 tribution is designated by such organization to be 


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1 used only for the purpose of providing workforce de2 velopment or apprenticeship training programs. 

3 ‘‘(2) WORKFORCE DEVELOPMENT OR APPREN4 TICESHIP TRAINING ORGANIZATION.—The term ‘work5 force development or apprenticeship training organi6 zation’ means any organization which— 

7 ‘‘(A) is described in section 501(c)(3), is ex8 empt from tax under section 501(a), and is not 

9 a private foundation, and 

10 ‘‘(B) is included on a list of providers pre11 pared under subsection (d) of section 122 of the 

12 Workforce Innovation and Opportunity Act (29 

13 U.S.C. 3152) by reason of having been deter14 mined to be eligible to offer a program under 

15 such section. 

16 ‘‘(3) WORKFORCE DEVELOPMENT OR APPREN17 TICESHIP TRAINING PROGRAM.—The term ‘workforce 

18 development or apprenticeship training program’ 

19 means a program to provide training services (within 

20 the meaning of section 134(c)(3) of the Workforce In21 novation and Opportunity Act (29 U.S.C. 

22 3174(c)(3))). 

23 ‘‘(d) DENIAL OF DOUBLE BENEFIT.—Any qualified 

24 contribution for which a credit is allowed under this section 


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1 shall not be taken into account as a charitable contribution 

2 for purposes of section 170. 

3 ‘‘(e) CARRYFORWARD OF UNUSED CREDIT.— 

4 ‘‘(1) IN GENERAL.—If the credit allowable under 

5 subsection (a) for any taxable year exceeds the limita6 tion imposed by section 26(a) for such taxable year 

7 reduced by the sum of the credits allowable under this 

8 subpart (other than this section, section 23, and sec9 tion 25D), such excess shall be carried to the suc10 ceeding taxable year and added to the credit allowable 

11 under subsection (a) for such taxable year. 

12 ‘‘(2) LIMITATION.—No credit may be carried for13 ward under this subsection to any taxable year fol14 lowing the fifth taxable year after the taxable year in 

15 which the credit arose. For purposes of the preceding 

16 sentence, credits shall be treated as used on a first-in 

17 first-out basis. 

18 ‘‘(f) VOLUME CAP.— 

19 ‘‘(1) IN GENERAL.—The volume cap applicable 

20 under this section shall be $5,000,000,000 for each of 

21 calendar years 2025 through 2028, and zero for cal22 endar years thereafter. Such amount shall be allocated 

23 by the Secretary as provided in paragraph (2) to tax24 payers with respect to qualified contributions made 

25 by such taxpayers, except that 10 percent of such 


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1 amount shall be divided evenly among the States, and 

2 shall be available with respect to individuals residing 

3 in such States. 

4 ‘‘(2) FIRST-COME, FIRST-SERVE.—For purposes 

5 of applying the volume cap under this section, such 

6 volume cap for any calendar year shall be allocated 

7 by the Secretary on a first-come, first-serve basis, as 

8 determined based on the time (during such calendar 

9 year) at which the taxpayer made the qualified con10 tribution with respect to which the allocation is made. 

11 The Secretary shall not make any allocation of vol12 ume cap for any calendar year after December 31 of 

13 such calendar year. 

14 ‘‘(3) REAL-TIME INFORMATION.—For purposes of 

15 this section, the Secretary shall develop a system to 

16 track the amount of qualified contributions made dur17 ing the calendar year for which a credit may be 

18 claimed under this section, with such information to 

19 be updated in real time. 

20 ‘‘(4) ANNUAL INCREASES.— 

21 ‘‘(A) IN GENERAL.—In the case of the cal22 endar year after a high use calendar year, the 

23 dollar amount otherwise in effect under sub24 section (a) for such calendar year shall be equal 


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1 to 105 percent of the dollar amount in effect for 

2 such high use calendar year. 

3 ‘‘(B) HIGH USE CALENDAR YEAR.—For 

4 purposes of this subsection, the term ‘high use 

5 calendar year’ means any calendar year for 

6 which 90 percent or more of the volume cap in 

7 effect for such calendar year under subsection (a) 

8 is allocated to taxpayers. 

9 ‘‘(C) PREVENTION OF DECREASES IN AN10 NUAL VOLUME CAP.—The volume cap in effect 

11 under subsection (a) for any calendar year shall 

12 not be less than the volume cap in effect under 

13 such subsection for the preceding calendar year. 

14 ‘‘(D) PUBLICATION OF ANNUAL VOLUME

15 CAP.—The Secretary shall make publicly avail16 able the dollar amount of the volume cap in ef17 fect under subsection (a) for each calendar year. 

18 ‘‘(5) STATES.—For purposes of this subsection, 

19 the term ‘State’ includes the District of Columbia.’’. 

20 (2) CONFORMING AMENDMENTS.— 

21 (A) Section 25(e)(1)(C) of such Code is 

22 amended by striking ‘‘and 25D’’ and inserting ‘‘, 

23 25D, and 25F’’. 

24 (B) The table of sections for subpart A of 

25 part IV of subchapter A of chapter 1 of such 


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1 Code is amended by inserting after the item re2 lating to section 25E the following new item: 

‘‘Sec. 25F. Contributions to workforce development and apprenticeship training 

programs.’’. 

3 (b) EFFECTIVE DATE.—The amendments made by this 

4 section shall apply to taxable years ending after December 

5 31, 2024. 


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Union Calendar No. 793 

118TH CONGRESS 

2D SESSION H. R. 9461 

[Report No. 118–944] 

A BILL 

To amend the Internal Revenue Code of 1986 to 

force training. tions to nonprofit organizations providing workallow a credit against tax for charitable donaDECEMBER 24, 2024 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 


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