Minimum Wage Fairness Act

To provide for an increase in the Federal minimum wage and to amend the Internal Revenue Code of 1986 to extend increased expensing limitations and the treatment of certain real property as section 179 property. 1. Short title This Act may be cited as the Minimum Wage Fairness Act 2. Minimum wage increases (a) Minimum wage (1) In general Section 6(a)(1) of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 206(a)(1) (1) except as otherwise provided in this section, not less than— (A) $8.20 an hour, beginning on the first day of the sixth month that begins after the date of enactment of the Minimum Wage Fairness Act (B) $9.15 an hour, beginning 1 year after that first day; (C) $10.10 an hour, beginning 2 years after that first day; and (D) beginning on the date that is 3 years after that first day, and annually thereafter, the amount determined by the Secretary pursuant to subsection (h); . (2) Determination based on increase in the consumer price index Section 6 of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 206 (h) (1) Each year, by not later than the date that is 90 days before a new minimum wage determined under subsection (a)(1)(D) is to take effect, the Secretary shall determine the minimum wage to be in effect pursuant to this subsection for the subsequent 1-year period. The wage determined pursuant to this subsection for a year shall be— (A) not less than the amount in effect under subsection (a)(1) on the date of such determination; (B) increased from such amount by the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (United States city average, all items, not seasonally adjusted), or its successor publication, as determined by the Bureau of Labor Statistics; and (C) rounded to the nearest multiple of $0.05. (2) In calculating the annual percentage increase in the Consumer Price Index for purposes of paragraph (1)(B), the Secretary shall compare such Consumer Price Index for the most recent month, quarter, or year available (as selected by the Secretary prior to the first year for which a minimum wage is in effect pursuant to this subsection) with the Consumer Price Index for the same month in the preceding year, the same quarter in the preceding year, or the preceding year, respectively. . (b) Base minimum wage for tipped employees Section 3(m)(1) of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 203(m)(1) (1) the cash wage paid such employee, which for purposes of such determination shall be not less than— (A) for the 1-year period beginning on the first day of the sixth month that begins after the date of enactment of the Minimum Wage Fairness Act (B) for each succeeding 1-year period until the hourly wage under this paragraph equals 70 percent of the wage in effect under section 6(a)(1) for such period, an hourly wage equal to the amount determined under this paragraph for the preceding year, increased by the lesser of— (i) $0.95; or (ii) the amount necessary for the wage in effect under this paragraph to equal 70 percent of the wage in effect under section 6(a)(1) for such period, rounded to the nearest multiple of $0.05; and (C) for each succeeding 1-year period after the year in which the hourly wage under this paragraph first equals 70 percent of the wage in effect under section 6(a)(1) for the same period, the amount necessary to ensure that the wage in effect under this paragraph remains equal to 70 percent of the wage in effect under section 6(a)(1), rounded to the nearest multiple of $0.05; and . (c) Publication of notice Section 6 of the Fair Labor Standards Act of 1938 (as amended by subsection (a)) ( 29 U.S.C. 206 (i) Not later than 60 days prior to the effective date of any increase in the minimum wage determined under subsection (h) or required for tipped employees in accordance with subparagraph (B) or (C) of section 3(m)(1), as amended by the Minimum Wage Fairness Act . (d) Effective date The amendments made by subsections (a) and (b) shall take effect on the first day of the sixth month that begins after the date of enactment of this Act. 3. Extension of increased expensing limitations and treatment of certain real property as section 179 property (a) In general (1) Dollar limitation Section 179(b)(1) (A) by striking in 2010, 2011, 2012, or 2013 after 2009 and before 2017 (B) by striking 2013 2016 (2) Reduction in limitation Section 179(b)(2) of such Code is amended— (A) by striking in 2010, 2011, 2012, or 2013 after 2009 and before 2017 (B) by striking 2013 2016 (b) Computer software Section 179(d)(1)(A)(ii) 2014 2017 (c) Election Section 179(c)(2) of the Internal Revenue Code of 1986 is amended by striking 2014 2017 (d) Special rules for treatment of qualified real property (1) In general Section 179(f)(1) in 2010, 2011, 2012, or 2013 after 2009 and before 2017 (2) Carryover limitation (A) In general Section 179(f)(4) of such Code is amended by striking 2013 2016 (B) Conforming amendment The heading of subparagraph (C) of section 179(f)(4) of such Code is amended by striking 2010, 2011 and years before (e) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2013. April 9, 2014 Read the second time and placed on the calendar

Summary: Minimum Wage Fairness Act - Amends the Fair Labor Standards Act of 1938 (FLSA) to increase the federal minimum wage for employees to: (1) $8.20 an hour beginning on the first day of the sixth month after the enactment of this Act, (2) $9.15 an hour beginning one year after the date of such initial increase, (3) $10.10 an hour beginning two years after such date, and (4) the amount determined by the Secretary of Labor (based on increases in the Consumer Price Index) beginning three years after such date and annually thereafter. Increases the federal minimum wage for tipped employees to $3.00 an hour for one year beginning on the first day of the sixth month after the enactment of this Act. Provides a formula for subsequent annual adjustments of the minimum wage for tipped employees until it equals 70% of the wage in effect under FLSA for other employees. Directs the Secretary of Labor, 60 days before any increase in the minimum wage, to publish it in the Federal Register and on the Department of Labor's website. Amends the Internal Revenue Code to extend through taxable years beginning before 2017: (1) the increase to $500,000 of the expensing allowance for business assets, including computer software; and (2) the treatment of qualified real property (i.e., leasehold improvement property, restaurant property, and retail improvement property) as depreciable business property.