II 

113TH CONGRESS 

1ST SESSION S. 1624 

To amend the Internal Revenue Code of 1986 to extend the work opportunity 

credit for hiring veterans, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

OCTOBER 30, 2013 

Mr. BLUMENTHAL (for himself, Mr. UDALL of New Mexico, Mr. MERKLEY, 

Mrs. SHAHEEN, and Mr. CARDIN) 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 extend 

the work opportunity credit for hiring veterans, 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 ‘‘VOW to Hire Heroes 

5 Extension Act of 2013’’. 

6 SEC. 2. EXTENSION OF WORK OPPORTUNITY CREDIT FOR 

7 VETERANS. 

8 (a) IN GENERAL.—Subparagraph (B) of section 

9 51(c)(4) of the Internal Revenue Code of 1986 is amended 


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1 by striking ‘‘after December 31, 2013.’’ and inserting 

2 ‘‘after— 

3 ‘‘(i) December 31, 2017, in the case 

4 of a qualified veteran, and 

5 ‘‘(ii) December 31, 2013, in the case 

6 of any other individual.’’. 

7 (b) EFFECTIVE DATE.—The amendment made by 

8 this section shall apply to individuals who begin work for 

9 the employer after December 31, 2013. 

10 SEC. 3. SIMPLIFIED CERTIFICATION OF VETERAN STATUS. 

11 (a) IN GENERAL.—Subparagraph (D) of section 

12 51(d)(13) of the Internal Revenue Code of 1986 is amend13 ed to read as follows: 

14 ‘‘(D) PRE-SCREENING OF QUALIFIED VET15 ERANS.— 

16 ‘‘(i) IN GENERAL.—Subparagraph (A) 

17 shall be applied without regard to sub18 clause (II) of clause (ii) thereof in the case 

19 of an individual seeking treatment as a 

20 qualified veteran with respect to whom the 

21 pre-screening notice contains— 

22 ‘‘(I) qualified veteran status doc23 umentation, 

24 ‘‘(II) qualified proof of unemploy25 ment compensation, and 


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1 ‘‘(III) an affidavit furnished by 

2 the individual stating, under penalty 

3 of perjury, that the information pro4 vided under subclauses (I) and (II) is 

5 true. 

6 ‘‘(ii) QUALIFIED VETERAN STATUS

7 DOCUMENTATION.—For purposes of clause 

8 (i), the term ‘qualified veteran status docu9 mentation’ means any documentation pro10 vided to an individual by the Department 

11 of Defense or the National Guard upon re12 lease or discharge from the Armed Forces 

13 which includes information sufficient to es14 tablish that such individual is a veteran. 

15 ‘‘(iii) QUALIFIED PROOF OF UNEM16 PLOYMENT COMPENSATION.—For purposes 

17 of clause (i), the term ‘qualified proof of 

18 unemployment compensation’ means, with 

19 respect to an individual, checks or other 

20 proof of receipt of payment of unemploy21 ment compensation to such individual for 

22 periods aggregating not less than 4 weeks 

23 (in the case of an individual seeking treat24 ment under paragraph (3)(A)(iii)), or not 

25 less than 6 months (in the case of an indiVerDate Mar 15 2010 01:42 Nov 01, 2013 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1624.IS S1624

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1 vidual seeking treatment under clause 

2 (ii)(II) or (iv) of paragraph (3)(A)), during 

3 the 1-year period ending on the hiring 

4 date.’’. 

5 (b) EFFECTIVE DATE.—The amendment made by 

6 this section shall apply to individuals who begin work for 

7 the employer after the date of the enactment of this Act. 

8 SEC. 4. CREDIT MADE AVAILABLE AGAINST PAYROLL 

9 TAXES IN CERTAIN CIRCUMSTANCES. 

10 (a) IN GENERAL.—Paragraph (2) of section 52(c) of 

11 the Internal Revenue Code of 1986 is amended— 

12 (1) by striking ‘‘QUALIFIED TAX-EXEMPT ORGA13 NIZATIONS’’ in the heading and inserting ‘‘CERTAIN

14 EMPLOYERS’’, and 

15 (2) by striking ‘‘by qualified tax-exempt organi16 zations’’ and inserting ‘‘by certain employers’’. 

17 (b) CREDIT ALLOWED TO CERTAIN FOR-PROFIT EM18 PLOYERS.—Subsection (e) of section 3111 of the Internal 

19 Revenue Code of 1986 is amended— 

20 (1) by inserting ‘‘or a qualified for-profit em21 ployer’’ after ‘‘If a qualified tax-exempt organiza22 tion’’ in paragraph (1), 

23 (2) by striking ‘‘with respect to whom a credit 

24 would be allowable under section 38 by reason of 


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1 section 51 if the organization were not a qualified 

2 tax-exempt organization’’ in paragraph (1), 

3 (3) by inserting ‘‘or for-profit employer’’ after 

4 ‘‘employees of the organization’’ each place it ap5 pears in paragraphs (1) and (2), 

6 (4) by inserting ‘‘in the case of a qualified tax7 exempt organization,’’ before ‘‘by only taking into 

8 account’’ in subparagraph (C) of paragraph (3), 

9 (5) by inserting ‘‘or for-profit employer’’ after 

10 ‘‘the organization’’ in paragraph (4), 

11 (6) by redesignating subparagraph (B) of para12 graph (5) as subparagraph (C) of such paragraph, 

13 by striking ‘‘and’’ at the end of subparagraph (A) of 

14 such paragraph, and by inserting after subpara15 graph (A) of such paragraph the following new sub16 paragraph: 

17 ‘‘(B) the term ‘qualified for-profit em18 ployer’ means, with respect to a taxable year, 

19 an employer not described in subparagraph (A), 

20 but only if— 

21 ‘‘(i) such employer does not have prof22 its for any of the 3 taxable years preceding 

23 such taxable year, and 


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1 ‘‘(ii) such employer elects under sec2 tion 51(j) not to have section 51 apply to 

3 such taxable year, and’’, and 

4 (7) by striking ‘‘has meaning given such term 

5 by section 51(d)(3)’’ in subparagraph (C) of para6 graph (5), as so redesignated, and inserting ‘‘means 

7 a qualified veteran (within the meaning of section 

8 51(d)(3)) with respect to whom a credit would be al9 lowable under section 38 by reason of section 51 if 

10 the employer of such veteran were not a qualified 

11 tax-exempt organization or a qualified for-profit em12 ployer’’. 

13 (c) TRANSFERS TO FEDERAL OLD-AGE AND SUR14 VIVORS INSURANCE TRUST FUND.—There are hereby ap15 propriated to the Federal Old-Age and Survivors Trust 

16 Fund and the Federal Disability Insurance Trust Fund 

17 established under section 201 of the Social Security Act 

18 (42 U.S.C. 401) amounts equal to the reduction in reve19 nues to the Treasury by reason of the amendments made 

20 by subsections (a) and (b). Amounts appropriated by the 

21 preceding sentence shall be transferred from the general 

22 fund at such times and in such manner as to replicate 

23 to the extent possible the transfers which would have oc24 curred to such Trust Fund had such amendments not 

25 been enacted. 


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1 (d) EFFECTIVE DATE.—The amendments made by 

2 subsections (a) and (b) shall apply to individuals who 

3 begin work for the employer after the date of the enact4 ment of this Act. 

5 SEC. 5. REPORT. 

6 Not later than 2 years after the date of the enact7 ment of this Act, and annually thereafter, the Commis8 sioner of Internal Revenue, in consultation with the Sec9 retary of Labor, shall report to the Congress on the effec10 tiveness and cost-effectiveness of the amendments made 

11 by sections 2, 3, and 4 in increasing the employment of 

12 veterans. Such report shall include the results of a survey, 

13 conducted, if needed, in consultation with the Veterans’ 

14 Employment and Training Service of the Department of 

15 Labor, to determine how many veterans are hired by each 

16 employer that claims the credit under section 51, by rea17 son of subsection (d)(1)(B) thereof, or 3111(e) of the In18 ternal Revenue Code of 1986. 

19 SEC. 6. TREATMENT OF POSSESSIONS. 

20 (a) PAYMENTS TO POSSESSIONS.— 

21 (1) MIRROR CODE POSSESSIONS.—The Sec22 retary of the Treasury shall pay to each possession 

23 of the United States with a mirror code tax system 

24 amounts equal to the loss to that possession by rea25 son of the amendments made by this Act. Such 


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1 amounts shall be determined by the Secretary of the 

2 Treasury based on information provided by the gov3 ernment of the respective possession of the United 

4 States. 

5 (2) OTHER POSSESSIONS.—The Secretary of 

6 the Treasury shall pay to each possession of the 

7 United States which does not have a mirror code tax 

8 system the amount estimated by the Secretary of the 

9 Treasury as being equal to the loss to that posses10 sion that would have occurred by reason of the 

11 amendments made by this Act if a mirror code tax 

12 system had been in effect in such possession. The 

13 preceding sentence shall not apply with respect to 

14 any possession of the United States unless such pos15 session establishes to the satisfaction of the Sec16 retary that the possession has implemented (or, at 

17 the discretion of the Secretary, will implement) an 

18 income tax benefit which is substantially equivalent 

19 to the income tax credit in effect after the amend20 ments made by this Act. 

21 (b) COORDINATION WITH CREDIT ALLOWED

22 AGAINST UNITED STATES INCOME TAXES.—The credit 

23 allowed against United States income taxes for any tax24 able year under the amendments made by this Act to sec25 tion 51 of the Internal Revenue Code of 1986 to any perVerDate Mar 15 2010 01:42 Nov 01, 2013 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S1624.IS S1624

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1 son with respect to any qualified veteran shall be reduced 

2 by the amount of any credit (or other tax benefit described 

3 in subsection (a)(2)) allowed to such person against in4 come taxes imposed by the possession of the United States 

5 by reason of this section with respect to such qualified 

6 veteran for such taxable year. 

7 (c) DEFINITIONS AND SPECIAL RULES.— 

8 (1) POSSESSION OF THE UNITED STATES.—For 

9 purposes of this section, the term ‘‘possession of the 

10 United States’’ includes American Samoa, Guam, 

11 the Commonwealth of the Northern Mariana Is12 lands, the Commonwealth of Puerto Rico, and the 

13 United States Virgin Islands. 

14 (2) MIRROR CODE TAX SYSTEM.—For purposes 

15 of this section, the term ‘‘mirror code tax system’’ 

16 means, with respect to any possession of the United 

17 States, the income tax system of such possession if 

18 the income tax liability of the residents of such pos19 session under such system is determined by ref20 erence to the income tax laws of the United States 

21 as if such possession were the United States. 

22 (3) TREATMENT OF PAYMENTS.—For purposes 

23 of section 1324(b)(2) of title 31, United States 

24 Code, the payments under this section shall be treatVerDate Mar 15 2010 01:42 Nov 01, 2013 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S1624.IS S1624

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1 ed in the same manner as a refund due from credit 

2 provisions described in such section. 

Æ 


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