Tax Cuts and Jobs Middle Class Enhancement Act

Bill: 115-hr-5372
Sponsor: full_name: Rep. Mitchell, Paul [R-MI-10]
Introduced: 2018-03-21
Policy area: Taxation
Subjects: Bank accounts, deposits, capital

Commuting

Corporate finance and management

Disability and paralysis

Egypt

Gambling

Health care costs and insurance

Housing finance and home ownership

Income tax credits

Income tax deductions

Income tax exclusion

Income tax rates

Interest, dividends, interest rates

Middle East

Military personnel and dependents

Pedestrians and bicycling

State and local taxation

Student aid and college costs

Tax treatment of families

Transfer and inheritance taxes

Transportation costs

Wages and earnings
Latest action: action_date: 2018-03-21
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2018-03-21
action_desc: Introduced in House
text: <p><b>Tax Cuts and Jobs Middle Class Enhancement Act </b></p> <p>This bill amends the Internal Revenue Code to exclude from gross income up to $5,000 received by an individual as a bonus after December 22, 2017, and before January 1, 2019. The bill defines a "bonus" as amounts paid to an employee other than amounts obligated under an employment contract. </p> <p>The bill makes permanent the tax reductions and other provisions for individuals that were enacted in P.L 115-97 (commonly known as the Tax Cuts and Jobs Act) and are scheduled to expire at the end of 2025.</p> <p>The bill also: </p> <ul> <li>increases the standard deduction, </li> <li> makes permanent the reduction in the adjusted gross income threshold that must be exceeded before a taxpayer is allowed to claim an itemized deduction for medical expenses, and</li> <li> increases the refundable portion of the child tax credit. </li> </ul>

tv_txt: I 115th CONGRESS 2d Session H. R. 5372 IN THE HOUSE OF REPRESENTATIVES March 21, 2018 Mr. Mitchell 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 permanent certain provisions of Public Law 115–97, and for other purposes.

1. Short title This Act may be cited as the Tax Cuts and Jobs Middle Class Enhancement Act . 2. Exclusion of 2018 bonuses from gross income (a) In general Gross income shall not include amounts received by an individual as a bonus after December 22, 2017, and before January 1, 2019. (b) Limitation The amount of gain excluded from gross income under subsection (a) with respect to an individual shall not exceed $5,000. (c) Bonus defined For purposes of this section, the term bonus means amounts paid to an employee other than amounts obligated under an employment contract. 3. Certain provisions of Public Law 115–97 made permanent Any provision of subtitle A or B of Public Law 115–97 , or any amendment made by such a provision, that terminates on December 31, 2025, shall not terminate on such date. 4. Increase in standard deduction (a) In general Section 63(c)(7) of the Internal Revenue Code of 1986 is amended— (1) in subparagraph (A), by striking and at the end of clause (i), by striking $12,000 in clause (ii) and inserting $13,000 , by striking the period at the end of clause (ii) and inserting , and , and by adding at the end the following new clause: (iii) by substituting $26,000 for 200 percent of the dollar amount in effect under subparagraph (C) for the taxable year , and (2) in subparagraph (B)(ii), by striking the $18,000 and $12,000 amounts and inserting the dollar amounts . (b) Effective date The amendments made by this section shall take effect as if included in the enactment of section 11021 of Public Law 115–97 . 5. Reduction in medical expense deduction floor (a) In general Section 213 of the Internal Revenue Code of 1986 is amended— (1) in subsection (a), by striking 10 percent and inserting 7.5 percent , and (2) by striking subsection (f). (b) Minimum tax preference not To apply Section 56(b)(1) is amended by striking subparagraph (B). (c) Effective date The amendments made by this section shall take effect as if included in the enactment of section 11027 of Public Law 115–97 . 6. Increase in refundable portion of the child tax credit (a) In general Section 24 of the Internal Revenue Code of 1986 is amended— (1) in subsection (d)(1)(A), by inserting , subsection (h)(4), after this subsection , and (2) in subsection (h), by striking paragraph (5) and redesignating paragraphs (6) and (7) as paragraph (5) and (6), respectively. (b) Conforming amendments Paragraphs (1) and (4)(C) of section 24(h) of the Internal Revenue Code of 1986 are each amended by striking (7) and inserting (6) . (c) Effective date The amendments made by this section shall take effect as if included in the enactment of section 11022 of Public Law 115–97 .