I 

116TH CONGRESS 

2D SESSION H. R. 9017 

To temporarily allow a deduction for the trade or business expenses of 

employees. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 17, 2020 

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

Committee on Ways and Means 

A BILL 

To temporarily allow a deduction for the trade or business 

expenses of employees. 

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 ‘‘Home Office Deduc5 tion Act of 2020’’. 

6 SEC. 2. TEMPORARY DEDUCTION FOR TRADE OR BUSINESS 

7 EXPENSES OF EMPLOYEES. 

8 (a) IN GENERAL.—For purposes of the Internal Rev9 enue Code of 1986— 


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1 (1) the qualified employee trade or business de2 ductions of any taxpayer for any taxable year shall 

3 not be treated as itemized deductions, and 

4 (2) in the case of an taxpayer who does not 

5 elect to itemize such taxpayer’s deductions for any 

6 taxable year, the taxable income of such taxpayer for 

7 such taxable shall be reduced by the qualified em8 ployee trade or business deductions of such taxpayer 

9 for such taxable year. 

10 (b) QUALIFIED EMPLOYEE TRADE OR BUSINESS DE11 DUCTIONS.—For purposes of this section— 

12 (1) IN GENERAL.—The term ‘‘qualified em13 ployee trade or business deductions’’ means so much 

14 of the taxpayer’s employee trade or business deduc15 tions for the taxable year as exceed 2 percent the 

16 taxpayer’s adjusted gross income (as defined in sec17 tion 62 of the Internal Revenue Code of 1986) for 

18 such taxable year. 

19 (2) EMPLOYEE TRADE OR BUSINESS DEDUC20 TIONS.—The term ‘‘employee trade or business de21 ductions’’ means so much of the deductions allowed 

22 by section 162 of the Internal Revenue Code of 1986 

23 (determined without regard to section 67(g) of such 

24 Code) as are attributable to amounts paid or in25 curred— 


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1 (A) in the trade or business of being an 

2 employee, and 

3 (B) during the period beginning on March 

4 13, 2020, and ending on December 31, 2020. 

5 (c) PHASE-OUT BASED ON MODIFIED ADJUSTED

6 GROSS INCOME.— 

7 (1) IN GENERAL.—In the case of any taxpayer 

8 for any taxable year, the amount of qualified em9 ployee trade or business deductions taken into ac10 count under subsection (a) (determined without re11 gard to this subsection) shall be reduced (but not 

12 below zero) by the amount which bears the same 

13 ratio to the amount of such deductions (as so deter14 mined) as— 

15 (A) the excess of— 

16 (i) the taxpayer’s modified adjusted 

17 gross income for such taxable year, over 

18 (ii) $200,000 ($400,000 in the case of 

19 a joint return), bears to 

20 (B) $50,000 ($100,000 in the case of a 

21 joint return). 

22 (2) MODIFIED ADJUSTED GROSS INCOME.—For 

23 purposes of this subsection, the term ‘‘modified ad24 justed gross income’’ means the adjusted gross in25 come of the taxpayer (as defined in section 62 of the 


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1 Internal Revenue Code of 1986) for the taxable year 

2 increased by any amount excluded from gross in3 come under sections 911, 931, and 933 of such 

4 Code. 

Æ 


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