I 
115TH CONGRESS 
1ST SESSION H. R. 2420 
To amend the Internal Revenue Code of 1986 to provide for tax preferred 
savings accounts for individuals under age 26, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 11, 2017 
Mr. ROUZER 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 
for tax preferred savings accounts for individuals under 
age 26, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. YOUNG SAVERS ACCOUNTS. 
(a) ESTABLISHMENT OF ACCOUNTS.— 
(1) IN GENERAL.—Section 408A of the Internal 
Revenue Code of 1986 (relating to Roth IRAs) is 
amended by adding at the end the following new 
subsection: 
‘‘(g) YOUNG SAVERS ACCOUNT.— 
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‘‘(1) IN GENERAL.—Except as provided in this 
subsection, a young savers account shall be treated 
in the same manner as a Roth IRA. 
‘‘(2) YOUNG SAVERS ACCOUNT.—For purposes 
of this subsection, the term ‘young savers account’ 
means, with respect to any taxable year, a Roth IRA 
which is established and maintained on behalf of an 
individual who has not attained age 26 before the 
close of the taxable year. 
‘‘(3) CONTRIBUTION LIMITS.— 
‘‘(A) LIMIT ON ACCOUNTS WITH RESPECT 
TO INDIVIDUAL.—In the case of any contribu-
tions for any taxable year to one or more young 
savers accounts established and maintained on 
behalf of an individual, the amount determined 
with respect to such individual under subsection 
(c)(2)(A) shall be treated as the amount in ef-
fect for the taxable year under section 
219(b)(5) (determined without regard to sub-
paragraph (B) thereof). 
‘‘(B) LIMIT ON CONTRIBUTORS.—The ag-
gregate amount of qualified young saver con-
tributions an individual may make for any tax-
able year to all young savers accounts shall not 
exceed the deductible amount in effect for the 
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taxable year under section 219(b)(5) (deter-
mined without regard to subparagraph (B) 
thereof). 
‘‘(C) SPECIAL RULE FOR RECONTRIBUTION 
OF AMOUNT DISTRIBUTED FOR HIGHER EDU-
CATION
EXPENSES.—In the case of a young 
savers account from which an individual re-
ceives 
a 
distribution 
to 
which 
section 
72(t)(2)(E) applies (or would have applied had 
such distribution been includible in gross in-
come), subparagraphs (A) and (B) shall not 
apply to any contribution made by such indi-
vidual to a Roth IRA of such individual (and 
there shall not be taken into account under sub-
section (c)(2) any such contribution) to the ex-
tent such contribution does not exceed the ex-
cess (if any) of— 
‘‘(i) the aggregate amount of such dis-
tributions made during the 20-year period 
ending on the date of the contribution to 
which this subparagraph is applied, over 
‘‘(ii) the aggregate amount of con-
tributions to which this subparagraph ap-
plies for all taxable years. 
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‘‘(4) QUALIFIED
CONTRIBUTIONS.—For pur-
poses of this subsection, the term ‘qualified young 
saver contribution’ means a contribution by an indi-
vidual (with respect to whom a young savers account 
is not established and maintained during the taxable 
year) to a young savers account established and 
maintained on behalf of another individual.’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2017. 
Æ 
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