I 
109TH CONGRESS 
1ST SESSION H. R. 1517 
To amend the Internal Revenue Code of 1986 to repeal the 1993 income 
tax increase on Social Security benefits. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 6, 2005 
Mr. SAM JOHNSON of Texas (for himself, Mr. HERGER, Mr. RYAN of Wis-
consin, Mr. SENSENBRENNER, Mr. NEY, Mr. STEARNS, and Mr. SIM-
MONS) 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 repeal 
the 1993 income tax increase on Social Security benefits. 
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 ‘‘Social Security Bene-
fits Tax Relief Act of 2005’’.
SEC. 2. REPEAL OF 1993 INCOME TAX INCREASE ON SOCIAL 
SECURITY BENEFITS. 
(a) RESTORATION OF PRIOR LAW FORMULA.—Sub-
section (a) of section 86 of the Internal Revenue Code of 
1986 is amended to read as follows: 
‘‘(a) IN GENERAL.—Gross income for the taxable 
year of any taxpayer described in subsection (b) (notwith-
standing section 207 of the Social Security Act) includes 
Social Security benefits in an amount equal to the lesser 
of— 
‘‘(1) one-half of the Social Security benefits re-
ceived during the taxable year, or 
‘‘(2) one-half of the excess described in sub-
section (b)(1).’’ 
(b) REPEAL OF ADJUSTED BASE AMOUNT.—Sub-
section (c) of section 86 of such Code is amended to read 
as follows: 
‘‘(c) BASE AMOUNT.—For purposes of this section, 
the term ‘base amount’ means— 
‘‘(1) except as otherwise provided in this sub-
section, $25,000, 
‘‘(2) $32,000 in the case of a joint return, and 
‘‘(3) zero in the case of a taxpayer who— 
‘‘(A) is married as of the close of the tax-
able year (within the meaning of section 7703)
but does not file a joint return for such year, 
and 
‘‘(B) does not live apart from his spouse at 
all times during the taxable year.’’ 
(c) CONFORMING AMENDMENTS.— 
(1) Subparagraph (A) of section 871(a)(3) of 
such Code is amended by striking ‘‘85 percent’’ and 
inserting ‘‘50 percent’’. 
(2)(A) Subparagraph (A) of section 121(e)(1) 
of the Social Security Amendments of 1983 (Public 
Law 98–21) is amended— 
(i) by striking ‘‘(A) There’’ and inserting 
‘‘There’’; 
(ii) by striking ‘‘(i)’’ immediately following 
‘‘amounts equivalent to’’; and 
(iii) by striking ‘‘, less (ii)’’ and all that 
follows and inserting a period. 
(B) Paragraph (1) of section 121(e) of such Act 
is amended by striking subparagraph (B). 
(C) Paragraph (3) of section 121(e) of such Act 
is amended by striking subparagraph (B) and by re-
designating subparagraph (C) as subparagraph (B). 
(D) Paragraph (2) of section 121(e) of such 
Act is amended in the first sentence by striking 
‘‘paragraph (1)(A)’’ and inserting ‘‘paragraph (1)’’.
(d) EFFECTIVE DATES.— 
(1) IN
GENERAL.—Except as otherwise pro-
vided in this subsection, the amendments made by 
this section shall apply to taxable years beginning 
after December 31, 2004. 
(2) SUBSECTION (c)(1).—The amendment made 
by subsection (c)(1) shall apply to benefits paid after 
December 31, 2004. 
(3) SUBSECTION
(c)(2).—The amendments 
made by subsection (c)(2) shall apply to tax liabil-
ities for taxable years beginning after December 31, 
2004. 
SEC. 3. MAINTENANCE OF TRANSFERS TO HOSPITAL IN-
SURANCE TRUST FUND. 
(a) IN GENERAL.—There are hereby appropriated to 
the Hospital Insurance Trust Fund established under sec-
tion 1817 of the Social Security Act amounts equal to the 
reduction in revenues to the Treasury by reason of the 
enactment of this Act. Amounts appropriated by the pre-
ceding 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 occurred 
to such Trust Fund had this Act not been enacted. 
(b) REPORTS.—The Secretary of the Treasury or the 
Secretary’s delegate shall annually report to the Com-
mittee on Ways and Means of the House of Representa-
tives and the Committee on Finance of the Senate the 
amounts and timing of the transfers under this section. 
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