SEC. 2. EMPLOYER CREDIT FOR WAGES PAID TO EMPLOY-
EES WHO PERFORM VOLUNTEER DISASTER 
RELIEF SERVICES. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to business related credits) is amended by 
inserting after section 45M the following new section: 
‘‘SEC. 45N. EMPLOYER CREDIT FOR WAGES PAID TO EM-
PLOYEES WHO PERFORM VOLUNTEER DIS-
ASTER RELIEF SERVICES. 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
employee disaster relief volunteer services credit deter-
mined under this section for the taxable year is an amount 
equal to 50 percent of the wages paid or incurred by the 
taxpayer during the taxable year to any employee of the 
taxpayer while such employee is performing qualified dis-
aster relief services. 
‘‘(b) LIMITATIONS.— 
‘‘(1) MAXIMUM CREDIT OF $3,000 PER MONTH 
PER EMPLOYEE.—The credit determined under this 
section with respect to services performed by an em-
ployee shall not exceed $100 per day of qualified dis-
aster relief services. 
‘‘(2) MINIMUM PERIOD OF CREDITABLE SERV-
ICE.—A day of qualified disaster relief services of an
employee may be taken into account under this sec-
tion only if— 
‘‘(A) such services are performed for at 
least 8 hours of such day, and 
‘‘(B) such day is within a 7-day period on 
at least 5 days of which the requirement of sub-
paragraph (A) is met. 
‘‘(3) MAXIMUM PERIOD OF CREDITABLE SERV-
ICE.—The period of qualified disaster relief services 
performed by an employee which may be taken into 
account under this section for the taxable year shall 
not exceed 90 days. 
‘‘(c) EMPLOYER MUST MAINTAIN WAGES AND BENE-
FITS.—No credit shall be determined under this section 
for wages paid or incurred by the taxpayer during any pe-
riod unless the wages and benefits provided by the tax-
payer for such period are the same as they would be were 
the employee not performing qualified disaster relief serv-
ices and were performing such employee’s normal services 
for the employer. 
‘‘(d) DEFINITIONS.—For purposes of this section— 
‘‘(1) QUALIFIED DISASTER RELIEF SERVICES.— 
The term ‘qualified disaster relief services’ means 
any service furnished by an employee of the taxpayer 
if—
‘‘(A) the services are performed for an or-
ganization— 
‘‘(i) which is determined by the Fed-
eral Emergency Management Agency as a 
bona fide disaster relief organization, and 
‘‘(ii) which is determined by the Sec-
retary to have adequate recordkeeping and 
reporting procedures to make determina-
tions under this section, 
‘‘(B) the services are performed in the area 
of a Presidentially declared disaster (as defined 
in section 1003(h)(3)) or in support of recovery 
efforts from such a disaster and are so certified 
by such organization, and 
‘‘(C) the employee receives no additional 
compensation for performing such services and 
the employer receives no compensation for such 
services. 
‘‘(2) WAGES.—The term ‘wages’ has the mean-
ing given to such term by section 51(c). 
‘‘(e) CONTROLLED GROUPS.—Rules similar to the 
rules of section 1397(b) shall apply for purposes of this 
section.’’
(b) DENIAL OF DOUBLE BENEFIT.—Subsection (a) 
of section 280C of such Code is amended by inserting 
‘‘45N(a),’’ after ‘‘45A(a),’’. 
(c) CREDIT MADE PART OF GENERAL BUSINESS 
CREDIT.— 
(1) IN GENERAL.—Subsection (b) of section 38 
of such Code (relating to current year business cred-
it) is amended by striking ‘‘plus’’ at the end of para-
graph (23), by striking the period at the end of 
paragraph (24) and inserting ‘‘, plus’’, and by add-
ing at the end thereof the following new paragraph: 
‘‘(25) the employee disaster relief volunteer 
services credit determined under section 45N(a).’’. 
(2) DEDUCTION FOR CERTAIN UNUSED BUSI-
NESS CREDITS.—Subsection (c) of section 196 of 
such Code is amended by striking ‘‘and’’ at the end 
of paragraph (12), by striking the period at the end 
of paragraph (13) and inserting ‘‘, and’’, and by 
adding after paragraph (13) the following new para-
graph: 
‘‘(14) the employee disaster relief volunteer 
services credit determined under section 45N(a).’’. 
(d) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1