I 

113TH CONGRESS 

1ST SESSION H. R. 2051 

To amend the Internal Revenue Code of 1986 to assist in the support 

of children living in poverty by allowing a refundable credit to grandparents of those children for the purchase household items for the benefit 

of those children, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 17, 2013 

Mr. VEASEY (for himself, Mr. GENE GREEN of Texas, and Mr. GRIJALVA) 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 assist 

in the support of children living in poverty by allowing 

a refundable credit to grandparents of those children 

for the purchase household items for the benefit of those 

children, and for other purposes. 

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 ‘‘Grandparents Tax 

5 Credit Act of 2013’’. 


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1 SEC. 2. REFUNDABLE CREDIT FOR HOUSEHOLD ITEMS 

2 PURCHASED BY GRANDPARENTS FOR 

3 GRANDCHILDREN LIVING IN POVERTY. 

4 (a) IN GENERAL.—Subpart C of part IV of sub5 chapter A of chapter 1 of the Internal Revenue Code of 

6 1986 (relating to refundable credits) is amended by insert7 ing after section 36B the following new section: 

8 ‘‘SEC. 36C. CREDIT FOR HOUSEHOLD ITEMS PURCHASED BY 

9 GRANDPARENTS FOR GRANDCHILDREN LIV10 ING IN POVERTY. 

11 ‘‘(a) IN GENERAL.—In the case of an eligible indi12 vidual, there shall be allowed as a credit against the tax 

13 imposed by this subtitle an amount equal to the amount 

14 paid or incurred by the taxpayer during the taxable year 

15 for household items for the benefit of an qualified child. 

16 ‘‘(b) MAXIMUM CREDIT.—The credit allowed by this 

17 section for the taxable year shall not exceed $500. 

18 ‘‘(c) DEFINITIONS AND SPECIAL RULES.—For pur19 poses of this section— 

20 ‘‘(1) ELIGIBLE INDIVIDUAL.—The term ‘eligible 

21 individual’ means, with respect to any child, any in22 dividual who is a grandparent of such child. 

23 ‘‘(2) HOUSEHOLD ITEMS.—The term ‘household 

24 items’ includes food, clothing, and other items typi25 cally used by or for the benefit of children. 


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1 ‘‘(3) QUALIFIED CHILD.—The term ‘qualified 

2 child’ means any individual if— 

3 ‘‘(A) such individual has not attained the 

4 age of 18 as of the close of the calendar year 

5 in which the taxable year of the taxpayer be6 gins, 

7 ‘‘(B) for more than one-half of such tax8 able year, such individual has the same prin9 cipal place of abode as— 

10 ‘‘(i) the taxpayer, and 

11 ‘‘(ii) at least 1 parent of such child, 

12 ‘‘(C) such parent is entitled to claim, and 

13 claims, a deduction for such child under section 

14 151 (relating to allowance of deductions for 

15 personal exemptions), 

16 ‘‘(D) the modified adjusted gross income 

17 (as defined in section 24(b)) of such parent (or 

18 parents in the case of a joint return) does not 

19 exceed 300 percent of the Federal poverty level 

20 (as determined in accordance with criteria es21 tablished by the Director of the Office of Man22 agement and Budget), and 

23 ‘‘(E) such place of abode is in the United 

24 States. 


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1 ‘‘(4) GRANDPARENTS.—An older individual 

2 shall be treated as a grandparent of another indi3 vidual only if such individual is— 

4 ‘‘(A) a biological descendant of the older 

5 individual, or 

6 ‘‘(B) an adopted child (within the meaning 

7 of section 152(f)(1)(B)) of a biological descend8 ant of the older individual. 

9 ‘‘(d) IDENTIFICATION REQUIREMENTS.— 

10 ‘‘(1) IN GENERAL.—A qualifying child shall not 

11 be taken into account under this section unless the 

12 taxpayer includes the name, age, and TIN of the 

13 qualifying child on the return of tax for the taxable 

14 year. 

15 ‘‘(2) OTHER METHODS.—The Secretary may 

16 prescribe other methods for providing the informa17 tion described in paragraph (1).’’. 

18 (b) CONFORMING AMENDMENTS.— 

19 (1) Section 6211(b)(4)(A) of such Code is 

20 amended by inserting ‘‘36C,’’ after ‘‘36B,’’. 

21 (2) Paragraph (2) of section 1324(b) of title 

22 31, United States Code, is amended by inserting 

23 ‘‘36C,’’ after ‘‘36B,’’. 

24 (3) The table of sections for subpart C of part 

25 IV of subchapter A of chapter 1 of the Internal RevVerDate Mar 15 2010 20:49 May 24, 2013 Jkt 029200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2051.IH H2051

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1 enue Code of 1986 is amended by inserting after the 

2 item relating to section 36C the following new item: 

‘‘Sec. 36C. Credit for household items purchased by grandparents for grandchildren living in poverty.’’. 

3 (c) EFFECTIVE DATE.—The amendments made by 

4 this section shall apply to taxable years beginning after 

5 December 31, 2013. 

Æ 


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