I 
116TH CONGRESS 
1ST SESSION 
H. R. 801 
To amend the Internal Revenue Code of 1986 to allow for a credit against 
tax for employers of reservists. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 25, 2019 
Mr. RYAN (for himself and Mr. PALAZZO) 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 allow for 
a credit against tax for employers of reservists. 
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 ‘‘Reserve Component 
Employer Incentive, Compensation, and Relief Act of 
2019’’. 
SEC. 2. RESERVIST EMPLOYMENT CREDIT. 
(a) ALLOWANCE OF CREDIT.—Subpart D of part IV 
of subchapter A of chapter 1 of the Internal Revenue Code 
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‘‘(2) DAYS OF SERVICE.—For purposes of para-
graph (1), days of service shall only be taken into 
account with respect to a qualified reservist em-
ployed by an eligible employer to the extent such 
days are during a period of employment of such re-
servist by such employer. 
‘‘(3) QUALIFIED RESERVIST.—The term ‘quali-
fied reservist’ means, with respect to a taxable year, 
an individual who is, at any time during such tax-
able year, a member of the National Guard or a re-
serve component of the Armed Forces, as named in 
section 10101 of title 10, United States Code (ex-
cept for a member of the Individual Ready Reserve). 
‘‘(4) OTHER DEFINITIONS.—The terms ‘reserve 
component’, ‘active service’, ‘full-time National 
Guard duty’, ‘active Guard and Reserve duty’, and 
‘inactive-duty training’ have the meanings given 
such terms in section 101 of title 10, United States 
Code. The term ‘National Guard’ has the meaning 
given such term in section 101(3) of title 32, United 
States Code. The term ‘service in the uniformed 
services’ has the meaning given such term in section 
4303 of title 38, United States Code. 
‘‘(c) ELECTION TO HAVE CREDIT NOT APPLY.— 
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‘‘(1) IN GENERAL.—A taxpayer may elect to 
have this section not apply for any taxable year. 
‘‘(2) OTHER RULES.—Rules similar to the rules 
of paragraphs (2) and (3) of section 51(j) shall 
apply for purposes of this subsection.’’. 
(b) CREDIT PART OF GENERAL BUSINESS CREDIT.— 
Section 38(b) of the Internal Revenue Code of 1986 is 
amended by striking ‘‘plus’’ at the end of paragraph (31), 
by striking the period at the end of paragraph (32) and 
inserting ‘‘, plus’’, and by adding at the end the following 
new paragraph: 
‘‘(33) in the case of an eligible employer (as de-
fined in section 45T(c)), the reservist employment 
credit determined under section 45T(a).’’. 
(c) CREDIT ALLOWED AGAINST AMT.—Subpara-
graph (B) of section 38(c)(4) of the Internal Revenue 
Code of 1986 is amended by redesignating clauses (x) 
through (xii) as clauses (xi) through (xiii), respectively, 
and by inserting after clause (ix) the following new clause: 
‘‘(x) the credit determined under sec-
tion 45T,’’. 
(d) CONFORMING AMENDMENTS.— 
(1) DENIAL
OF
DOUBLE
BENEFIT.—Section 
280C(a) of the Internal Revenue Code of 1986 is 
amended by inserting ‘‘45T(a),’’ after ‘‘45S(a),’’. 
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(2) ELECTION TO HAVE CREDIT NOT APPLY.— 
Section 6501(m) of the Internal Revenue Code of 
1986 is amended by inserting ‘‘45T(d),’’ after 
‘‘45S(h),’’. 
(3) CLERICAL AMENDMENT.—The table of sec-
tions for subpart D of part IV of subchapter A of 
chapter 1 of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new 
item: 
‘‘Sec. 45T. Reservist employment credit.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to wages paid in taxable years be-
ginning after December 31, 2019. 
Æ 
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