Employee Hardship Financial Relief Act of 2013

Bill: 113-hr-1643
Sponsor: full_name: Rep. Kilmer, Derek [D-WA-6]
Introduced: 2013-04-18
Policy area: Taxation
Subjects: Appropriations

Budget deficits and national debt

Government employee pay, benefits, personnel management

Income tax exclusion

Tax administration and collection, taxpayers
Latest action: action_date: 2013-04-18
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2013-04-18
action_desc: Introduced in House
text: <p>Employee Hardship Financial Relief Act of 2013 - Amends the Internal Revenue Code to permit federal employees who are furloughed due to sequestration to make penalty-free distributions from their Thrift Savings Account Fund but only to the extent that such distributions do not exceed the aggregate reduction in compensation of such employees resulting from such furlough.</p>

tv_txt: I 113th CONGRESS 1st Session H. R. 1643 IN THE HOUSE OF REPRESENTATIVES April 18, 2013 Mr. Kilmer (for himself and Ms. Hanabusa ) 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 penalty-free withdrawals from the Federal Thrift Savings Fund to employees who are furloughed as a result of the Federal budget sequester.

1. Short title This Act may be cited as the Employee Hardship Financial Relief Act of 2013 . 2. Penalty-free withdrawals from Thrift Savings fund to Federal employees furloughed as a result of sequester (a) In general Paragraph (2) of section 72(t) of the Internal Revenue Code of 1986 (relating to subsection not to apply to certain distributions) is amended by adding at the end the following new subparagraph: (H) Distributions from thrift savings fund to furloughed Federal employees Distributions to an individual from the Thrift Savings Fund during the period— (i) beginning on the date that the individual is furloughed (as defined in section 7811(a)(5) of title 5, United States Code) because of lack of funds, and (ii) ending on the date which is 30 days after such furlough ceases for such individual, but only to the extent that the aggregate such distributions with respect to any furlough does not exceed the aggregate reduction in such individual’s compensation on account of such furlough. . (b) Effective date The amendment made by this section shall apply to distributions after the date of the enactment of this Act.