I 
113TH CONGRESS 
1ST SESSION H. R. 2116 
To amend the Internal Revenue Code of 1986 to make improvements in 
the earned income tax credit. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 22, 2013 
Mr. NEAL (for himself, Ms. DELAURO, Mr. LEVIN, Mr. RANGEL, Mr. 
MCDERMOTT, Mr. LEWIS, Mr. BECERRA, Mr. DOGGETT, Mr. LARSON of 
Connecticut, Mr. BLUMENAUER, Mr. PASCRELL, Mr. CROWLEY, Ms. 
SCHWARTZ, Mr. DANNY K. DAVIS of Illinois, Ms. LINDA T. SA´NCHEZ of 
California, Mr. KIND, and Mr. THOMPSON of California) 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 make 
improvements in the earned income tax credit. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘The Earned Income Tax Credit Improvement and Sim-
plification Act 2013’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
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Sec. 1. Short title; table of contents. 
Sec. 2. Certain improvements in the earned income tax credit made permanent. 
Sec. 3. Strengthening the earned income tax credit for individuals with no 
qualifying children. 
Sec. 4. Taxpayer eligible for credit for individuals with no qualifying children 
if qualifying children do not have valid Social Security number. 
Sec. 5. Credit allowed in case of certain separated spouses. 
Sec. 6. Taxpayer eligible for credit without qualifying child if qualifying child 
claimed by another member of family. 
Sec. 7. Elimination of disqualified investment income test. 
SEC. 2. CERTAIN IMPROVEMENTS IN THE EARNED INCOME 
TAX CREDIT MADE PERMANENT. 
(a) INCREASE IN CREDIT PERCENTAGE FOR THREE 
OR MORE QUALIFYING CHILDREN MADE PERMANENT.— 
Paragraph (1) of section 32(b) of the Internal Revenue 
Code of 1986 is amended to read as follows: 
‘‘(1) PERCENTAGES.—The credit percentage 
and the phaseout percentage shall be determined in 
accordance with the following table: 
‘‘In the case of 
an eligible individual with: 
The credit 
percentage is: 
The phaseout 
percentage is: 
1 qualifying child ........................................
15.98
2 qualifying children ...................................
21.06
3 or more qualifying children .....................
21.06
No qualifying children ................................
7.65 
7.65’’. 
(b) REDUCTION OF MARRIAGE PENALTY MADE PER-
MANENT.— 
(1) IN GENERAL.—Subparagraph (B) of section 
32(b)(2) of such Code is amended to read as follows: 
‘‘(B) JOINT RETURNS.— 
‘‘(i) IN GENERAL.—In the case of a 
joint return filed by an eligible individual 
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and such individual’s spouse, the phaseout 
amount determined under subparagraph 
(A) shall be increased by $5,000. 
‘‘(ii) INFLATION
ADJUSTMENT.—In 
the case of any taxable year beginning 
after 2012, the $5,000 amount in clause 
(i) shall be increased by an amount equal 
to— 
‘‘(I) such dollar amount, multi-
plied by 
‘‘(II) the cost of living adjust-
ment determined under section 1(f)(3) 
for the calendar year in which the tax-
able year begins determined by sub-
stituting ‘calendar year 2009’ for ‘cal-
endar year 1992’ in subparagraph (B) 
thereof. 
‘‘(iii) ROUNDING.—Subparagraph (A) 
of subsection (j)(2) shall apply after taking 
into account any increase under clause 
(ii).’’. 
(c) CONFORMING AMENDMENT.—Subsection (b) of 
section 32 of such Code is amended by striking paragraph 
(3). 
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(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 3. STRENGTHENING THE EARNED INCOME TAX CRED-
IT FOR INDIVIDUALS WITH NO QUALIFYING 
CHILDREN. 
(a) CREDIT FOR CERTAIN INDIVIDUALS OVER AGE 
21.— 
(1) IN
GENERAL.—Paragraph (1) of section 
32(c) of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new 
subparagraph: 
‘‘(G) SPECIAL RULE FOR WORKING INDI-
VIDUALS OVER AGE 20 AND WITHOUT QUALI-
FYING CHILD.— 
‘‘(i) IN GENERAL.—In the case of an 
individual (or, if the individual is married, 
either the individual or the individual’s 
spouse) who— 
‘‘(I) has attained the age of 21 
but not attained age 25 before the 
close of the taxable year, and 
‘‘(II) is not a full-time student at 
any time during the taxable year, 
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