II 

116TH CONGRESS 

2D SESSION S. 4031 

To amend the Internal Revenue Code of 1986 to establish a temporary 

nonrefundable personal tax credit for travel, hospitality, and entertainment expenses, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JUNE 22, 2020 

Ms. MCSALLY introduced the following bill; which was read twice and referred 

to the Committee on Finance 

A BILL 

To amend the Internal Revenue Code of 1986 to establish 

a temporary nonrefundable personal tax credit for travel, 

hospitality, and entertainment expenses, 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 ‘‘American Tax Rebate 

5 and Incentive Program Act’’ or the ‘‘American TRIP 

6 Act’’. 


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•S 4031 IS

1 SEC. 2. TEMPORARY NONREFUNDABLE PERSONAL CREDIT 

2 FOR TRAVEL, HOSPITALITY, AND ENTERTAIN3 MENT EXPENSES. 

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

6 1986 is amended by inserting after section 25D the fol7 lowing new section: 

8 ‘‘SEC. 25E. TRAVEL, HOSPITALITY, AND ENTERTAINMENT 

9 EXPENSES. 

10 ‘‘(a) IN GENERAL.—In the case of an individual, 

11 there shall be allowed as a credit against the tax imposed 

12 by this chapter for the taxable year an amount equal to 

13 the lesser of— 

14 ‘‘(1) any eligible expenses paid or incurred by 

15 the taxpayer during such taxable year, or 

16 ‘‘(2) an amount equal to— 

17 ‘‘(A) $4,000 ($8,000 in the case of a joint 

18 return), plus 

19 ‘‘(B) an amount equal to the product of 

20 $500 multiplied by the number of qualifying 

21 children (within the meaning of section 24(c)) 

22 of the taxpayer. 

23 ‘‘(b) ELIGIBLE EXPENSES.— 

24 ‘‘(1) IN GENERAL.—For purposes of this sec25 tion, the term ‘eligible expenses’ means any expenses 

26 which are paid or incurred by the taxpayer during 


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1 any period of qualifying travel which are related to 

2 any of the following: 

3 ‘‘(A) Food and beverages. 

4 ‘‘(B) Lodging. 

5 ‘‘(C) Transportation. 

6 ‘‘(D) Live entertainment events (including 

7 sporting events). 

8 ‘‘(E) Expenses related to attending a con9 ference or business meeting. 

10 ‘‘(2) QUALIFYING TRAVEL.— 

11 ‘‘(A) IN GENERAL.—For purposes of this 

12 section, the term ‘qualifying travel’ means any 

13 travel— 

14 ‘‘(i) which occurs within the United 

15 States (including any territory or posses16 sion of the United States), 

17 ‘‘(ii) for which the final destination is 

18 not less than 50 miles from the principal 

19 residence of the taxpayer (within the 

20 meaning of section 121), and 

21 ‘‘(iii) which occurs after December 31, 

22 2019, and before January 1, 2022. 

23 ‘‘(B) VACATION HOME.—For purposes of 

24 subparagraph (A)(ii), the final destination may 

25 include any other residence owned by the taxVerDate Sep 11 2014 22:25 Jul 03, 2020 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S4031.IS S4031

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1 payer which is not the principal residence of the 

2 taxpayer, except that any expenses paid or in3 curred by the taxpayer for lodging (as described 

4 in paragraph (1)(B)) with respect to such resi5 dence shall not be included as eligible expenses 

6 under this section. 

7 ‘‘(C) USE OF PERSONAL VEHICLE.—With 

8 respect to a motor vehicle used for qualifying 

9 travel which is owned or leased by the taxpayer, 

10 the amount of any vacation expenses described 

11 in paragraph (1)(C) with respect to the use of 

12 such motor vehicle shall be determined using 

13 the standard mileage rate in effect under sec14 tion 162(a) at the time of such use. 

15 ‘‘(c) EXCLUSION OF BUSINESS TRAVEL EX16 PENSES.—No credit shall be allowed under subsection (a) 

17 with respect to any expenses with respect to which a de18 duction is allowed or allowable to the taxpayer under sec19 tion 162(a)(2). 

20 ‘‘(d) REGULATIONS.—The Secretary shall prescribe 

21 such regulations or other guidance as may be necessary 

22 to carry out the purposes of this section, including rules 

23 for itemization of any eligible expenses claimed by the tax24 payer (in such form and manner as is deemed appropriate 


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1 by the Secretary) for purposes of the credit allowed under 

2 this section.’’. 

3 (b) CLERICAL AMENDMENT.—The table of sections 

4 for subpart A of part IV of subchapter A of chapter 1 

5 of the Internal Revenue Code of 1986 is amended by in6 serting after the item relating to section 25D the following 

7 new item: 

‘‘Sec. 25E. Travel, hospitality, and entertainment expenses.’’. 

8 SEC. 3. DESTINATION MARKETING ORGANIZATION GRANT 

9 PROGRAM. 

10 (a) IN GENERAL.—The Secretary shall establish a 

11 program to provide grants to each State to support des12 tination marketing organizations. 

13 (b) AMOUNT.—The amount of the grant that shall 

14 be provided to each State shall be— 

15 (1) determined in such manner as is deemed 

16 appropriate by the Secretary, and 

17 (2) disbursed by the Secretary to such State 

18 not later than 30 days after the date of enactment 

19 of this Act. 

20 (c) USE OF FUNDS.—Any funds provided to a State 

21 under this section shall be transferred by such State to 

22 any destination marketing organizations located within 

23 such State, in such manner as is determined appropriate 

24 by such State. 

25 (d) DEFINITIONS.— 


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1 (1) DESTINATION MARKETING ORGANIZA2 TION.—The term ‘‘destination marketing organiza3 tion’’ means a nonprofit entity, a State, or a polit4 ical subdivision of a State (including any instrumen5 tality of such entities) engaged in marketing and 

6 promoting communities and facilities to businesses 

7 and leisure travelers through a range of activities, 

8 including— 

9 (A) assisting with the location of meeting 

10 and convention sites; 

11 (B) providing travel information on area 

12 attractions, lodging accommodations, and res13 taurants; 

14 (C) providing maps; and 

15 (D) organizing group tours of local histor16 ical, recreational, and cultural attractions. 

17 (2) SECRETARY.—The term ‘‘Secretary’’ means 

18 the Secretary of Commerce. 

19 (3) STATE.—The term ‘‘State’’ means any of 

20 the 50 States, the District of Columbia, the Com21 monwealth of Puerto Rico, the Virgin Islands, 

22 Guam, American Samoa, and the Commonwealth of 

23 the Northern Mariana Islands. 

24 (e) GUIDANCE.—Not later than 30 days after the 

25 date of enactment of this Act, the Secretary shall prescribe 


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1 such rules and guidance as may be necessary to carry out 

2 the purposes of this section, including any measures as 

3 are deemed appropriate for purposes of ensuring appro4 priate transfer of funds by States under subsection (c). 

5 (f) AUTHORIZATION OF APPROPRIATIONS.—To carry 

6 out the purposes of this section, there is authorized to be 

7 appropriated $50,000,000 for fiscal year 2021, to remain 

8 available until expended. 

Æ 


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