I 
113TH CONGRESS 
2D SESSION 
H. R. 4204 
To amend the Internal Revenue Code of 1986 to provide a credit against 
tax for job training expenses of employers. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 11, 2014 
Mr. MAFFEI 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 
a credit against tax for job training expenses of employers. 
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 ‘‘Jobs and Opportunity 
Bonus Tax Credit Act of 2014’’ or the ‘‘JOB Tax Credit 
Act’’. 
SEC. 2. JOBS AND OPPORTUNITY BONUS CREDIT. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
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ing program’ means any of the following written 
plans of study and training: 
‘‘(A) An apprenticeship program registered 
and certified with the Secretary of Labor under 
section 1 of the National Apprenticeship Act 
(29 U.S.C. 50). 
‘‘(B) A program licensed, registered, or 
certified by the workforce investment board or 
apprenticeship agency or council of a State or 
administered in compliance with apprenticeship 
laws of a State. 
‘‘(C) A program conducted by a vocational 
or technical education school, community col-
lege, industrial or trade training organization, 
or labor organization. 
‘‘(D) A program which conforms to ap-
prentice training programs developed or admin-
istered by an employer trade group or com-
mittee. 
‘‘(E) An industry sponsored or adminis-
tered program which is clearly identified and 
commonly recognized. 
‘‘(d) ELIGIBLE EMPLOYEE.—For purposes of this 
section, the term ‘eligible employee’ means any employee 
of the employer, who while participating in the job skills 
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training program is employed on average at least 40 hours 
of service per week. 
‘‘(e) RECAPTURE OF CREDIT FOR EMPLOYEE NOT 
PERFORMING MINIMUM SERVICE.— 
‘‘(1) IN
GENERAL.—In the case of any em-
ployee with respect to whom a credit is allowed 
under this section and whose employment is termi-
nated by the employer (other than by reason of such 
employee’s gross misconduct) before the end of the 
2-year period beginning on the first day of the em-
ployee’s study or training with respect to which a 
credit is allowed under this section, the tax of the 
taxpayer under this chapter for the taxable year dur-
ing which such termination occurs shall be increased 
by an amount equal to— 
‘‘(A) the aggregate decrease in the credits 
allowed under section 38 for all prior taxable 
years which would have resulted if the job 
training program expenses with respect to such 
employee had been zero, multiplied by 
‘‘(B) the inclusion ratio. 
‘‘(2) INCLUSION RATIO.—For purposes of this 
subsection, the inclusion ratio is the ratio which— 
‘‘(A) an amount equal to the difference 
of— 
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‘‘(i) the number of days in the 2-year 
period, over 
‘‘(ii) the number of days such em-
ployee was employed by the employer dur-
ing such 2-year period, bears to 
‘‘(B) the number of days in the 2-year pe-
riod. 
‘‘(f) CONTROLLED GROUPS.—For purposes of this 
section, all persons treated as a single employer under sub-
section (b), (c), (m), or (o) of section 414 shall be treated 
as a single employer. 
‘‘(g) TERMINATION.—The section shall not apply 
amounts paid or incurred during taxable years beginning 
after December 31, 2017.’’. 
(b) CREDIT TO BE PART OF GENERAL BUSINESS 
CREDIT.—Subsection (b) of section 38 of such Code is 
amended by striking ‘‘plus’’ at the end of paragraph (35), 
by striking the period at the end of paragraph (36) and 
inserting ‘‘, plus’’, and by adding at the end the following 
new paragraph: 
‘‘(37) the jobs and opportunity bonus credit de-
termined under section 45S(a).’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
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of such Code is amended by adding at the end the fol-
lowing new item: 
‘‘Sec. 45S. Jobs and opportunity bonus credit.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2014. 
Æ 
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