I 

110TH CONGRESS 

2D SESSION H. R. 5703 

To amend the Internal Revenue Code of 1986 to provide that elderly and 

disabled individuals receiving in-home care under certain government 

programs are not liable for the payment of employment taxes with 

respect to the providers of such care, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 3, 2008 

Mr. LEWIS of Georgia 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 provide 

that elderly and disabled individuals receiving in-home 

care under certain government programs are not liable 

for the payment of employment taxes with respect to 

the providers of such care, 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 ‘‘Elderly Care Tax Act 

5 of 2008’’. 


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1 SEC. 2. ELDERLY AND DISABLED INDIVIDUALS RECEIVING 

2 IN-HOME CARE UNDER CERTAIN GOVERN3 MENT PROGRAMS NOT SUBJECT TO EMPLOY4 MENT TAX PROVISIONS. 

5 (a) IN GENERAL.—Chapter 25 (relating to general 

6 provisions relating to employment taxes) is amended by 

7 adding at the end the following new section: 

8 ‘‘SEC. 3511. ELDERLY AND DISABLED INDIVIDUALS RECEIV9 ING IN-HOME CARE UNDER CERTAIN GOV10 ERNMENT PROGRAMS. 

11 ‘‘(a) IN GENERAL.—In the case of amounts paid 

12 under a home care service program to a home care service 

13 provider by the fiscal administrator of such program— 

14 ‘‘(1) the home care service recipient shall not be 

15 liable for the payment of any taxes imposed under 

16 this subtitle with respect to amounts paid for the 

17 provision of services under such program, and 

18 ‘‘(2) the fiscal administrator shall be so liable. 

19 ‘‘(b) DEFINITIONS.—For purposes of this section— 

20 ‘‘(1) HOME CARE SERVICE PROGRAM.—The 

21 term ‘home care service program’ means a State or 

22 local government program— 

23 ‘‘(A) any portion of which is funded with 

24 Federal funds, and 


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1 ‘‘(B) under which domestic services are 

2 provided to elderly or disabled individuals in 

3 their homes. 

4 Such term shall not include any program to the ex5 tent home care service recipients make payments to 

6 the home care service providers for such in-home do7 mestic services. 

8 ‘‘(2) HOME CARE SERVICE PROVIDER.—The 

9 term ‘home care service provider’ means any indi10 vidual who provides domestic services to a home care 

11 service recipient under a home care service program. 

12 ‘‘(3) HOME CARE SERVICE RECIPIENT.—The 

13 term ‘home care service recipient’ means any indi14 vidual receiving domestic services under a home care 

15 service program. 

16 ‘‘(4) FISCAL ADMINISTRATOR.—The term ‘fiscal 

17 administrator’ means any person or governmental 

18 entity who pays amounts under a home care service 

19 program to home care service providers for the pro20 vision of domestic services under such program. 

21 ‘‘(c) RETURNS BY FISCAL ADMINISTRATOR.—For 

22 purposes of this section— 

23 ‘‘(1) IN GENERAL.—Returns relating to taxes 

24 imposed or amounts required to be withheld under 


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1 this subtitle shall be made under the identifying 

2 number of the fiscal administrator. 

3 ‘‘(2) IDENTIFICATION OF SERVICE RECIPI4 ENT.—The fiscal administrator shall, to the extent 

5 required under regulations prescribed by the Sec6 retary, make a return setting forth— 

7 ‘‘(A) the name and address of each home 

8 care service recipient for whom amounts are 

9 paid by such fiscal administrator under the 

10 home care services program, and 

11 ‘‘(B) such other information as the Sec12 retary may require. 

13 ‘‘(d) REGULATIONS.—The Secretary may prescribe 

14 such regulations or other guidance as may be necessary 

15 to carry out the purposes of this section, including requir16 ing deposits of any tax imposed under this subtitle.’’. 

17 (b) SERVICE RECIPIENT IDENTIFICATION RETURN

18 TREATED AS INFORMATION RETURN.—Paragraph (3) of 

19 section 6724(d) of such Code is amended by striking 

20 ‘‘and’’ at the end of subparagraph (C)(ii), by striking the 

21 period at the end of subparagraph (D)(ii) and inserting 

22 ‘‘, and’’, and by adding at the end the following new sub23 paragraph: 

24 ‘‘(E) any requirement under section 

25 3511(c)(2).’’. 


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1 (c) CLERICAL AMENDMENT.—The table of sections 

2 for chapter 25 is amended by adding at the end the fol3 lowing new item: 

‘‘Sec. 3511. Elderly and disabled individuals receiving in-home care under certain government programs.’’. 

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

5 this section shall apply to amounts paid after December 

6 31, 2008. 

Æ 


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