‘‘(1) IN GENERAL.—The term ‘small business’ 
means, with respect to any taxable year, any em-
ployer if— 
‘‘(A) such employer employed an average 
of at least 2 but not more than 50 employees 
on business days during the most recent cal-
endar year ending before such taxable year, and 
‘‘(B) such employer employed at least 2 
employees on the first day of the taxable year. 
‘‘(2) EMPLOYERS NOT IN EXISTENCE IN PRE-
CEDING YEAR.—In the case of an employer which 
was not in existence throughout the calendar year 
referred to in paragraph (1), the determination 
under paragraph (1) shall be based on the average 
number of employees that it is reasonably expected 
such employer will employ on business days in the 
taxable year. 
‘‘(3) SPECIAL RULES.— 
‘‘(A) CONTROLLED
GROUPS.—For pur-
poses of this subsection, all persons treated as 
a single employer under subsection (b), (c), 
(m), or (o) of section 414 shall be treated as 1 
employer. 
‘‘(B) PREDECESSORS.—Any reference in 
this subsection to an employer shall include a 
VerDate Nov 24 2008 
02:43 Jan 31, 2009
Jkt 079200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H767.IH
H767
rfrederick on PROD1PC67 with BILLS
reference to any predecessor of such em-
ployer.’’. 
(b) DENIAL OF DOUBLE BENEFIT.—Section 280C of 
such Code (relating to certain expenses for which credits 
are allowable) is amended by adding at the end the fol-
lowing new subsection: 
‘‘(g) CREDIT FOR SMALL BUSINESSES PROVIDING 
CONTINUING FINANCIAL EDUCATION TO EMPLOYEES.— 
No deduction shall be allowed for that portion of the ex-
penses paid or incurred during the taxable year which is 
equal to the credit determined for the taxable year under 
sections 45R(a). In the case of persons treated as a single 
employer under section 45R(d)(3)(A), this subsection shall 
be applied under rules prescribed by the Secretary similar 
to the rules applicable under subsections (a) and (b) of 
section 52.’’. 
(c) CREDIT TO BE PART OF GENERAL BUSINESS 
CREDIT.—Section 38(b) of such Code is amended by strik-
ing ‘‘plus’’ at the end of paragraph (34), by striking the 
period at the end of paragraph (35) and inserting ‘‘, plus’’, 
and by adding at the end the following new paragraph: 
‘‘(36) in the case of an eligible small business 
(as defined in section 45R(d)), the continuing finan-
cial education credit under section 45R(a).’’. 
VerDate Nov 24 2008 
02:43 Jan 31, 2009
Jkt 079200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H767.IH
H767
rfrederick on PROD1PC67 with BILLS
(d) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
of such Code is amended by adding at the end the fol-
lowing new item: 
‘‘Sec. 45R. Small businesses providing continuing financial education to em-
ployees.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2008. 
SEC. 4. PREFERENCE IN FEDERAL CONTRACTS, LOANS, 
AND OTHER ASSISTANCE FOR SMALL BUSI-
NESSES 
AND 
CORPORATIONS 
PROVIDING 
CONTINUING FINANCIAL EDUCATION TO EM-
PLOYEES. 
(a) PREFERENCE.—In the case of any Federal con-
tract or any Federal financial or nonfinancial assistance, 
an eligible small business or an eligible corporation shall 
be given a preference when submitting a bid or proposal 
for the contract or applying for such assistance. 
(b) DEFINITIONS.—In this section: 
(1) ELIGIBLE SMALL BUSINESS.—The term ‘‘el-
igible small business’’ has the meaning provided in 
section 45R(b) of the Internal Revenue Code of 
1986. 
(2) ELIGIBLE CORPORATION.—The term ‘‘eligi-
ble corporation’’ means any corporation— 
VerDate Nov 24 2008 
02:43 Jan 31, 2009
Jkt 079200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6201
E:\BILLS\H767.IH
H767
rfrederick on PROD1PC67 with BILLS
(A) that employs 50 or more employees; 
and 
(B) that provides without charge a quali-
fied continuing financial education program to 
its employees throughout the taxable year. 
(3) QUALIFIED CONTINUING FINANCIAL EDU-
CATION PROGRAM.—The term ‘‘qualified continuing 
financial education program’’ has the meaning pro-
vided in section 45R(c) of the Internal Revenue 
Code of 1986. 
(4) FEDERAL FINANCIAL OR NONFINANCIAL AS-
SISTANCE.—The term ‘‘Federal financial or non-
financial assistance’’ means— 
(A) all programs and activities involving 
Federal financial and nonfinancial assistance 
and benefits, as covered by Executive Order No. 
12549 and guidelines implementing that order; 
and 
(B) procurement programs and activities, 
including Federal contracts for the procurement 
of goods or services. 
(c) EFFECTIVE
DATE.—The preference required 
under subsection (a) shall be applied beginning on Janu-
ary 1, 2010. 
Æ 
VerDate Nov 24 2008 
02:43 Jan 31, 2009
Jkt 079200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6301
E:\BILLS\H767.IH
H767
rfrederick on PROD1PC67 with BILLS