I
103D CONGRESS
1ST SESSION
H. R. 528
To amend the Internal Revenue Code of 1986 to clarify the employment
status of certain fishermen.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 21, 1993
Mr. NEAL of Massachusetts (for himself and Mr. FRANK of Massachusetts)
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 clarify
the employment status of certain fishermen.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. CLARIFICATION OF EMPLOYMENT TAX STATUS
OF CERTAIN FISHERMEN.
(a) AMENDMENTS OF INTERNAL REVENUE CODE OF
1986.—
(1) DETERMINATION OF SIZE OF CREW.—Sub-
section (b) of section 3121 of the Internal Revenue
Code of 1986 (defining employment) is amended by
adding at the end thereof the following new sen-
tence:
‘‘For purposes of paragraph (20), the operating crew of
a boat shall be treated as normally made up of fewer than
10 individuals if the average size of the operating crew
on trips made during the preceding 4 calendar quarters
consisted of fewer than 10 individuals.’’
(2) 
CERTAIN
CASH
REMUNERATION
PER-
MITTED.—Subparagraph (A) of section 3121(b)(20)
of such Code is amended to read as follows:
‘‘(A) such individual does not receive any
cash remuneration other than as provided in
subparagraph (B) and other than cash remu-
neration—
‘‘(i) which does not exceed $100 per
trip;
‘‘(ii) which is contingent on a mini-
mum catch; and
‘‘(iii) which is paid solely for addi-
tional duties (such as mate, engineer, or
cook) for which additional cash remunera-
tion is traditional in the industry.’’
(3) 
CONFORMING
AMENDMENT.—Section
6050A(a) of such Code is amended by striking
‘‘and’’ at the end of paragraph (3), by striking the
period at the end of paragraph (4) and inserting ‘‘;
and’’, and by adding at the end thereof the following
new paragraph:
‘‘(5) any cash remuneration described in section
3121(b)(20)(A).’’
(b) AMENDMENT OF SOCIAL SECURITY ACT.—
(1) DETERMINATION OF SIZE OF CREW.—Sub-
section (a) of section 210 of the Social Security Act
is amended by adding at the end thereof the follow-
ing new sentence:
‘‘For purposes of paragraph (20), the operating crew of
a boat shall be treated as normally made up of fewer than
10 individuals if the average size of the operating crew
on trips made during the preceding 4 calendar quarters
consisted of fewer than 10 individuals.’’
(2) 
CERTAIN
CASH
REMUNERATION
PER-
MITTED.—Subparagraph (A) of section 210(a)(20)
of such Act is amended to read as follows:
‘‘(A) such individual does not receive any
additional compensation other than as provided
in subparagraph (B) and other than cash remu-
neration—
‘‘(i) which does not exceed $100 per
trip;
‘‘(ii) which is contingent on a mini-
mum catch; and
‘‘(iii) which is paid solely for addi-
tional duties (such as mate, engineer, or
cook) for which additional cash remunera-
tion is traditional in the industry.’’
(c) EFFECTIVE DATE.—
(1) IN GENERAL.—The amendments made by
this section shall apply to remuneration paid after
December 31, 1993.
(2) SPECIAL RULE.—The amendments made by
this section (other than subsection (a)(3)) shall also
apply to remuneration paid after December 31,
1984, and before January 1, 1994, unless the payor
treated such remuneration (when paid) as being sub-
ject to tax under chapter 21 of the Internal Revenue
Code of 1986.
Æ