I 
115TH CONGRESS 
1ST SESSION 
H. R. 822 
To amend the Internal Revenue Code of 1986 to make improvements in 
the earned income tax credit. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 2, 2017 
Mr. NEAL (for himself, Ms. PELOSI, Ms. DELAURO, Mr. LEVIN, Mr. LEWIS 
of Georgia, Mr. THOMPSON of California, Mr. LARSON of Connecticut, 
Mr. BLUMENAUER, Mr. KIND, Mr. PASCRELL, Mr. CROWLEY, Mr. 
DANNY K. DAVIS of Illinois, Ms. SA´NCHEZ, Ms. SEWELL of Alabama, Mr. 
KEATING, Ms. NORTON, Ms. FUDGE, Ms. SCHAKOWSKY, Ms. CLARK of 
Massachusetts, Mr. KENNEDY, Mr. HOYER, Mr. DOGGETT, Ms. 
DELBENE, and Mr. COHEN) introduced the following bill; which was re-
ferred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to make 
improvements in the earned income tax credit. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Earned Income Tax Credit Improvement and Simplifica-
tion Act 2017’’. 
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(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Strengthening the earned income tax credit for individuals with no 
qualifying children. 
Sec. 3. Taxpayer eligible for credit for individuals with no qualifying children 
if qualifying children do not have valid Social Security num-
bers. 
Sec. 4. Credit allowed in case of certain separated spouses. 
Sec. 5. Taxpayer eligible for credit without qualifying child if qualifying child 
claimed by another member of family. 
Sec. 6. Elimination of disqualified investment income test. 
SEC. 2. STRENGTHENING THE EARNED INCOME TAX CRED-
IT FOR INDIVIDUALS WITH NO QUALIFYING 
CHILDREN. 
(a) CREDIT FOR CERTAIN INDIVIDUALS OVER AGE 
21.— 
(1) IN GENERAL.—Section 32(c)(1) of the In-
ternal Revenue Code of 1986 is amended by adding 
at the end the following new subparagraph: 
‘‘(G) SPECIAL RULE FOR WORKING INDI-
VIDUALS OVER AGE 20 AND WITHOUT QUALI-
FYING CHILD.— 
‘‘(i) IN GENERAL.—In the case of an 
individual (or, if the individual is married, 
either the individual or the individual’s 
spouse) who— 
‘‘(I) has attained the age of 21 
but not attained age 25 before the 
close of the taxable year, and 
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‘‘(II) is not a full-time student at 
any time during the taxable year, 
paragraph (1)(A)(ii)(II) shall not apply for 
purposes of determining whether such indi-
vidual is an eligible individual. 
‘‘(ii) STUDENT.—For purposes of this 
subparagraph, an individual shall be con-
sidered a full-time student if such indi-
vidual is carrying more than 1⁄2 the normal 
full-time work load for the course of study 
the individual is pursuing.’’. 
(2) INFORMATION
RETURN
MATCHING.—Not 
later than 1 year after the date of the enactment of 
this Act, the Secretary of the Treasury shall develop 
and implement procedures for checking an individ-
ual’s claim for a credit under section 32 of the In-
ternal Revenue Code of 1986, by reason of sub-
section (c)(1)(G) thereof, against any information 
return made with respect to such individual under 
section 6050S (relating to returns relating to higher 
education tuition and related expenses). 
(b) INCREASED CREDIT.— 
(1) CREDIT PERCENTAGE AND PHASEOUT PER-
CENTAGE.—The table contained in section 32(b)(1) 
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of such Code is amended by striking ‘‘7.65’’ each 
place it appears and inserting ‘‘15.3’’. 
(2) EARNED INCOME AMOUNT AND PHASEOUT 
AMOUNT.— 
(A) IN GENERAL.—The table contained in 
section 32(b)(2)(A) of such Code is amended— 
(i) by striking ‘‘$4,220’’ and inserting 
‘‘$8,820’’, and 
(ii) by striking ‘‘$5,280’’ and insert-
ing ‘‘$10,425’’. 
(B) INFLATION
ADJUSTMENTS.—Section 
32(j)(1)(B) of such Code is amended— 
(i) by inserting ‘‘except as provided in 
clause (iii)’’ in clause (i) before ‘‘in the 
case of amounts’’, 
(ii) by striking ‘‘and’’ at the end of 
clause (i), by striking the period at the end 
of clause (ii) and inserting ‘‘, and’’, and by 
adding at the end the following new clause: 
‘‘(iii) in the case of the $8,820 and 
$10,425 amounts in subsection (b)(2)(A), 
by substituting ‘calendar year 2012’ for 
‘calendar year 1992’ in subparagraph (B) 
of such section 1.’’. 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 3. TAXPAYER ELIGIBLE FOR CREDIT FOR INDIVID-
UALS WITH NO QUALIFYING CHILDREN IF 
QUALIFYING CHILDREN DO NOT HAVE VALID 
SOCIAL SECURITY NUMBERS. 
(a) IN GENERAL.—Section 32(c)(1)(F) of the Inter-
nal Revenue Code of 1986 is amended to read as follows: 
‘‘(F) INDIVIDUALS WHO DO NOT INCLUDE 
TIN, ETC., OF ANY QUALIFYING CHILD.—In the 
case of any eligible individual who has one or 
more qualifying children, if— 
‘‘(i) no qualifying child of such indi-
vidual is taken into account under sub-
section (b) by reason of paragraph (3)(D), 
and 
‘‘(ii) no child of such individual is 
taken into account for purposes of any 
other child tax benefit under this chapter, 
for purposes of the credit allowed under this 
section, such individual may be considered an 
eligible individual without a qualifying child.’’. 
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(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 4. CREDIT ALLOWED IN CASE OF CERTAIN SEPA-
RATED SPOUSES. 
(a) IN GENERAL.—Section 32(d) of the Internal Rev-
enue Code of 1986 is amended— 
(1) by striking ‘‘MARRIED INDIVIDUALS.—In 
the case of’’ and inserting the following: ‘‘MARRIED 
INDIVIDUALS.— 
‘‘(1) IN GENERAL.—In the case of’’, and 
(2) by adding at the end the following new 
paragraph: 
‘‘(2) 
SPECIAL
RULE
FOR
SEPARATED 
SPOUSE.—An individual shall not be treated as mar-
ried for purposes of this section if such individual— 
‘‘(A) is married (within the meaning of 
section 7703(a)) and files a separate return for 
the taxable year, 
‘‘(B) lives with a qualifying child of the in-
dividual for more than one-half of such taxable 
year, and 
‘‘(C)(i) during the last 6 months such tax-
able year, does not have the same principal 
place of abode as the individual’s spouse, or 
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‘‘(ii) has a legally binding separation 
agreement with the individual’s spouse and is 
not a member of the same household with the 
individual’s spouse by the end of the taxable 
year.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 5. TAXPAYER ELIGIBLE FOR CREDIT WITHOUT QUALI-
FYING 
CHILD 
IF 
QUALIFYING 
CHILD 
CLAIMED BY ANOTHER MEMBER OF FAMILY. 
(a) IN GENERAL.—Section 32(c)(1) of the Internal 
Revenue Code of 1986, as amended by section 2, is 
amended by adding at the end the following new subpara-
graph: 
‘‘(H) TAXPAYER
ELIGIBLE
FOR
CREDIT 
WITHOUT
QUALIFYING
CHILD
IF
QUALIFYING 
CHILD CLAIMED BY ANOTHER MEMBER OF FAM-
ILY.— 
‘‘(i) IN GENERAL.—If— 
‘‘(I) an individual is claimed as a 
qualifying child by an eligible indi-
vidual for any taxable year of such eli-
gible individual beginning in a cal-
endar year, and 
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‘‘(II) such individual is the quali-
fying child of another eligible indi-
vidual for any taxable year beginning 
in such calendar year, 
such other eligible individual may be treat-
ed as an eligible individual without a quali-
fying child for purposes of this section for 
such taxable year. 
‘‘(ii) EXCEPTION
FOR
QUALIFYING 
CHILD CLAIMED BY PARENT.—If an indi-
vidual is claimed as a qualifying child for 
any taxable year by a parent of such child, 
clause (i) shall not apply with respect to 
any other custodial parent of such child.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 6. ELIMINATION OF DISQUALIFIED INVESTMENT IN-
COME TEST. 
(a) IN GENERAL.—Section 32 of the Internal Rev-
enue Code of 1986 is amended by striking subsection (i). 
(b) CONFORMING AMENDMENTS.— 
(1) Section 32(j)(1)(B)(i) of such Code is 
amended by striking ‘‘subsections (b)(2)(A) and 
(i)(1)’’ and inserting ‘‘subsection (b)(2)(A)’’. 
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(2) Section 32(j)(2) of such Code is amended— 
(A) by striking paragraph (2), and 
(B) by striking ‘‘ROUNDING.—’’ and all 
that follows through ‘‘If any dollar amount’’ 
and inserting the following: ‘‘ROUNDING.—If 
any dollar amount’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
Æ 
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