I 
109TH CONGRESS 
2D SESSION 
H. R. 5123 
To amend the Internal Revenue Code of 1986 to simplify and provide greater 
uniformity for child-related tax benefits and to eliminate the potential 
for abuse created by the uniform definition of child in the Working 
Families Tax Relief Act of 2004. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 6, 2006 
Mr. DOGGETT (for himself, Mr. RANGEL, Mr. STARK, Mr. LEVIN, Mr. 
MCDERMOTT, Mr. LEWIS of Georgia, Mr. MCNULTY, Mr. JEFFERSON, 
Mr. BECERRA, Mr. POMEROY, Mrs. JONES of Ohio, Mr. THOMPSON of 
California, Mr. LARSON of Connecticut, Mr. EMANUEL, Mr. ALLEN, Mr. 
CONYERS, Mr. GRIJALVA, Mr. HINCHEY, Ms. EDDIE BERNICE JOHNSON 
of Texas, Mr. SHERMAN, Ms. SLAUGHTER, and Ms. SOLIS) 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 simplify 
and provide greater uniformity for child-related tax bene-
fits and to eliminate the potential for abuse created 
by the uniform definition of child in the Working Fami-
lies Tax Relief Act of 2004. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
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SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Tax Equity for Chil-
dren and the Working Poor Act of 2006’’. 
SEC. 2. REPEAL OF UNIFORM DEFINITION OF CHILD. 
(a) IN GENERAL.—Title II of the Working Families 
Tax Relief Act of 2004 (relating to uniform definition of 
child), and the amendments made by such title, and sec-
tion 404 of the Gulf Opportunity Zone Act of 2005, and 
the amendments made by such section, are hereby re-
pealed. 
(b) ADMINISTRATION OF INTERNAL REVENUE CODE 
OF 1986.—The Internal Revenue Code of 1986 shall be 
applied and administered as if the provisions, and amend-
ments, specified in subsection (a) had never been enacted. 
(c) 
CONFORMING
AMENDMENT.—Section 
1361(c)(1)(C) of such Code is amended by striking ‘‘any 
eligible foster child of an individual (within the meaning 
of section 152(f)(1)(C))’’ and inserting ‘‘any foster child 
(as defined in section 152(b)(2)) of an individual’’. 
(d) EFFECTIVE DATE.—This section shall apply to 
taxable years beginning after December 31, 2006. 
SEC. 3. SIMPLIFICATION OF AND UNIFORM RULES FOR 
CHILD-RELATED TAX BENEFITS. 
(a) WAIVER OF INCOME TEST FOR ALL YOUNG DE-
PENDENTS.—Subparagraph (B) of section 151(c)(1) of 
the Internal Revenue Code of 1986 (relating to general 
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rule for additional exemption for dependents), as amended 
by section 2 of this Act, is amended by striking ‘‘who is 
a child of the taxpayer and’’. 
(b) CHILD CREDIT.—Paragraph (1) of section 24(c) 
of such Code (defining qualifying child), as amended by 
section 2 of this Act, is amended to read as follows: 
‘‘(1) QUALIFYING CHILD.—The term ‘qualifying 
child’ means any individual if— 
‘‘(A) the taxpayer is allowed a deduction 
under section 151 with respect to such indi-
vidual for the taxable year, and 
‘‘(B) such individual has not attained the 
age of 17 as of the close of the calendar year 
in which the taxable year of the taxpayer be-
gins.’’. 
(c) EARNED INCOME CREDIT.—Clause (i) of section 
32(c)(3)(B) of such Code (relating to general rule defining 
relationship test), as amended by section 2 of this Act, 
is amended by adding at the end the following flush sen-
tence: ‘‘An individual shall be treated as bearing a rela-
tionship to the taxpayer described in the preceding sen-
tence if the taxpayer is entitled to a deduction under sec-
tion 151(c) for such individual.’’. 
(d) CONFORMING AMENDMENTS.— 
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(1) Section 151(c) of such Code, as amended by 
section 2 of this Act, is amended by striking para-
graph (3). 
(2) Section 152(b)(2) of such Code, as amended 
by section 2 of this Act, is amended— 
(A) by striking ‘‘(if such child satisfies the 
requirements of subsection (a)(9) with respect 
to such individual)’’, and 
(B) by adding at the end the following new 
sentence: ‘‘For purposes of the preceding sen-
tence, the term ‘foster child’ means an indi-
vidual who is placed with the taxpayer by an 
authorized placement agency or by judgment, 
decree, or other order of any court of competent 
jurisdiction.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2006. 
Æ 
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