To amend the Internal Revenue Code of 1986 to provide a deduction for certain newborn expenses.

To amend the Internal Revenue Code of 1986 to provide a deduction for certain newborn expenses. 1. Deduction for certain newborn expenses (a) In general Part VII of subchapter B of chapter 1 214. Certain newborn expenses (a) In general In the case of an individual, there shall be allowed as a deduction the qualified newborn expenses paid by the taxpayer for a qualifying child of the taxpayer during the taxable year which includes the date of such child’s birth. (b) Limitations (1) Maximum deduction The qualified newborn expenses taken into account under subsection (a) with respect to any qualifying child shall not exceed $5,000. (2) Limitation based on modified adjusted gross income No deduction shall be allowed under subsection to any taxpayer for any taxable year if such taxpayer’s modified adjusted gross income for such taxable year exceeds $100,000 ($200,000, in the case of a joint return). (3) Modified adjusted gross income For purposes of this subsection, the term modified adjusted gross income (c) Qualified newborn expenses For purposes of this section, the term qualified newborn expenses (d) Social security number requirements (1) Taxpayer No deduction shall be allowed under subsection (a) for any taxable year unless the taxpayer includes the social security number of the taxpayer (in the case of a joint return, the social security number of either spouse) on the return of tax for such taxable year. (2) Qualifying child Qualified newborn expenses of a qualifying child shall not be taken into account under this section for any taxable year unless the taxpayer includes the social security number of such qualifying child on the return of tax for such taxable year. (3) Social security number For purposes of this subsection— (A) In general The term social security number (i) to a citizen of the United States or pursuant to subclause (I) (or that portion of subclause (III) that related to subclause (I)) of section 205(c)(2)(B)(i) of the Social Security Act, and (ii) before the due date of the return of tax on which such number is required to be included. (B) Adoption taxpayer identification numbers For purposes of paragraph (2), in the case of a qualifying child who is adopted or placed for adoption, the term social security number (e) Election To determine deduction for taxable year following birth year If the taxpayer elects (at such time and in such manner as the Secretary may provide) the application of this subsection with respect to any qualifying child, subsection (a) shall be applied with respect to such qualifying child by substituting the taxable year immediately following the taxable year the taxable year (f) Qualifying child For purposes of this section, the term qualifying child (g) Termination No credit shall be allowed under this section for any taxable year beginning after December 31, 2029. . (b) Deduction allowed whether or not taxpayer itemizes Section 62(a) of such Code is amended by inserting after paragraph (7) the following new paragraph: (8) Certain newborn expenses The deduction allowed by section 214. . (c) Omission of correct social security number treated as a mathematical or clerical error Section 6213(g)(2) of such Code is amended by striking and , and (W) an omission of a correct social security number under paragraph (1) or (2) of section 214(d) to be included on the return. . (d) Clerical amendment Part VII of subchapter B of chapter 1 of such Code is amended by inserting after the item relating to section 213 the following new item: Sec. 214. Certain newborn expenses. . (e) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2024.

Summary: This bill allows individual taxpayers a tax deduction from gross income (above-the-line deduction) through 2029 for their qualified newborn expenses, up to $5,000. The deduction is not available for taxpayers whose modified adjusted gross income exceeds $100,000 ($200,000 in the case of a joint return). The bill defines qualified newborn expenses to include amounts paid for infant formula, baby bottles, diapers, infant car seats, baby strollers, and cribs. Taxpayers must include their social security number on their tax returns to qualify for the deduction.