Home Office Deduction Act of 2022
Bill: H.R.6500 | Sponsor: Rep. Morelle, Joseph D. (D-NY)
Policy area: Taxation

Summary:
Home Office Deduction Act of 2022
This bill allows a tax deduction during the period beginning on March 13, 2020, and ending on December 31, 2022, for the trade or business expenses of employees who do not itemize their tax deductions. The amount of such deduction is subject to a phaseout based on the taxpayer's modified adjusted gross income.

To temporarily allow a deduction for the trade or business expenses of 
                               employees.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Home Office Deduction Act of 2022''.

SEC. 2. TEMPORARY DEDUCTION FOR TRADE OR BUSINESS EXPENSES OF 
              EMPLOYEES.

    (a) In General.--For purposes of the Internal Revenue Code of 
1986--
            (1) the qualified employee trade or business deductions of 
        any taxpayer for any taxable year shall not be treated as 
        itemized deductions, and
            (2) in the case of an taxpayer who does not elect to 
        itemize such taxpayer's deductions for any taxable year, the 
        taxable income of such taxpayer for such taxable shall be 
        reduced by the qualified employee trade or business deductions 
        of such taxpayer for such taxable year.
    (b) Qualified Employee Trade or Business Deductions.--For purposes 
of this section, the term ``qualified employee trade or business 
deductions'' means so much of the deductions allowed by section 162 of 
the Internal Revenue Code of 1986 (determined without regard to section 
67(g) of such Code) as are attributable to amounts paid or incurred--
            (1) in the trade or business of being an employee, and
            (2) during the period beginning on March 13, 2020, and 
        ending on December 31, 2022.
    (c) Phase-Out Based on Modified Adjusted Gross Income.--
            (1) In general.--In the case of any taxpayer for any 
        taxable year, the amount of qualified employee trade or 
        business deductions taken into account under subsection (a) 
        (determined without regard to this subsection) shall be reduced 
        (but not below zero) by the amount which bears the same ratio 
        to the amount of such deductions (as so determined) as--
                    (A) the excess of--
                            (i) the taxpayer's modified adjusted gross 
                        income for such taxable year, over
                            (ii) $200,000 ($400,000 in the case of a 
                        joint return), bears to
                    (B) $50,000 ($100,000 in the case of a joint 
                return).
            (2) Modified adjusted gross income.--For purposes of this 
        subsection, the term ``modified adjusted gross income'' means 
        the adjusted gross income of the taxpayer (as defined in 
        section 62 of the Internal Revenue Code of 1986) for the 
        taxable year increased by any amount excluded from gross income 
        under sections 911, 931, and 933 of such Code.
                                 <all>