I 
112TH CONGRESS 
1ST SESSION H. R. 2868 
To amend the Internal Revenue Code of 1986 to provide payroll tax relief 
to encourage the hiring of unemployed individuals, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 8, 2011 
Mr. DOLD 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 
payroll tax relief to encourage the hiring of unemployed 
individuals, 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. SHORT TITLE. 
This Act may be cited as the ‘‘Unemployed Workers 
Hiring Act of 2011’’. 
SEC. 2. TEMPORARY PAYROLL TAX REDUCTION FOR NEWLY 
HIRED EMPLOYEES. 
(a) EMPLOYER.— 
(1) IN
GENERAL.—Paragraph (1) of section 
3111(d) of the Internal Revenue Code of 1986 is 
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amended by striking so much as precedes subpara-
graph (A) and inserting the following: 
‘‘(1) IN
GENERAL.—Subsection (a) shall not 
apply to wages paid by a qualified employer with re-
spect to employment of any qualified individual dur-
ing the 1-year period beginning with the date the in-
dividual’s employment with the employer began for 
services performed—’’. 
(2) QUALIFIED INDIVIDUAL.—Paragraph (3) of 
section 3111(d) of such Code is amended— 
(A) by striking subparagraphs (A) and (B) 
and inserting the following new subparagraphs: 
‘‘(A) begins employment with a qualified 
employer during the 2-year period beginning 
after the date of the enactment of the Unem-
ployed Workers Hiring Act of 2011, 
‘‘(B) certifies by signed affidavit, under 
penalties of perjury, that such individual on the 
day before the date the employee begins work 
for the employer was in receipt of unemploy-
ment compensation under State or Federal law 
or was unemployed and had exhausted the right 
to such unemployment compensation,’’, and 
(B) by striking ‘‘and’’ at the end of sub-
paragraph (C), by striking the period at the end 
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‘‘(B) DUE
DATE.—The increase in tax 
under subparagraph (A) shall be paid over to 
the Secretary— 
‘‘(i) not later than 30 days after the 
date such individual first ceases to be a 
qualified individual during such 1-year pe-
riod, and 
‘‘(ii) in the same manner as deposits 
are made under section 6302 of taxes im-
posed on such employer under subsection 
(a) with respect to individuals in his em-
ploy.’’. 
(4) EMPLOYEE.—Section 3201 of such Code is 
amended by redesignating subsection (c) as sub-
section (d) and by inserting after subsection (b) the 
following new subsection: 
‘‘(c) TEMPORARY EXEMPTION FOR NEWLY HIRED 
UNEMPLOYED INDIVIDUALS.—In the case of a qualified 
individual (as defined in section 3221(c)(3)) employed by 
a qualified employer (as defined in section 3221(c)(2), the 
applicable percentage with respect to compensation re-
ceived during the 1-year period beginning with the date 
such qualified individual’s employment with such employer 
began shall be equal to the rate of tax in effect under sec-
tion 3101(b) for the calendar year.’’. 
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(d) GUIDANCE.—The Secretary of the Treasury shall 
provide such guidance as is necessary or appropriate to 
carry out the purposes of the amendments made by this 
section. 
(e) TRANSFERS TO FEDERAL OLD-AGE AND SUR-
VIVORS INSURANCE TRUST FUND.—There are hereby ap-
propriated to the Federal Old-Age and Survivors Trust 
Fund and the Federal Disability Insurance Trust Fund 
established under section 201 of the Social Security Act 
(42 U.S.C. 401) amounts equal to the reduction in reve-
nues to the Treasury by reason of the amendments made 
by subsections (a) and (b). Amounts appropriated by the 
preceding sentence shall be transferred from the general 
fund at such times and in such manner as to replicate 
to the extent possible the transfers which would have oc-
curred to such Trust Fund had such amendments not 
been enacted. 
(f) TRANSFERS TO SOCIAL SECURITY EQUIVALENT 
BENEFIT ACCOUNT.—There are hereby appropriated to 
the Social Security Equivalent Benefit Account estab-
lished under section 15A(a) of the Railroad Retirement 
Act of 1974 (45 U.S.C. 231n–1(a)) amounts equal to the 
reduction in revenues to the Treasury by reason of the 
amendments made by subsection (c). Amounts appro-
priated by the preceding sentence shall be transferred 
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from the general fund at such times and in such manner 
as to replicate to the extent possible the transfers which 
would have occurred to such Account had such amend-
ments not been enacted. 
(g) EFFECTIVE DATE.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendments made by this subsection 
shall apply to wages paid after the date of the enact-
ment of this Act. 
(2) 
RAILROAD
RETIREMENT
TAXES.—The 
amendments made by subsection (c) shall apply to 
compensation paid after the date of the enactment 
of this Act. 
Æ 
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