Tax Fairness for Tribal Youth Act of 2019

Bill: 116-hr-2810
Sponsor: full_name: Rep. Moore, Gwen [D-WI-4]
Introduced: 2019-05-16
Policy area: Taxation
Subjects: Disability and paralysis

Federal-Indian relations

Income tax rates

Tax treatment of families
Latest action: action_date: 2019-05-16
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2019-05-16
action_desc: Introduced in House
text: <p><b>Tax Fairness for Tribal Youth Act of 2019</b></p> <p>This bill treats certain payments made by Indian tribal governments to children as earned income of the child for the purposes of the kiddie tax (the tax on the unearned income of children). This has the effect of exempting the payments from the tax. The bill applies to taxable years beginning after December 31, 2017.</p>

tv_txt: I 116th CONGRESS 1st Session H. R. 2810 IN THE HOUSE OF REPRESENTATIVES May 16, 2019 Ms. Moore (for herself, Mr. Estes , Mr. Calvert , Mr. Carbajal , Mr. Cárdenas , Mr. Cole , Mr. Cook , Mrs. Craig , Ms. Haaland , Mr. Kind , Mr. Ruiz , Ms. Shalala , Mr. Young , Mr. Kildee , and Mr. Cisneros ) 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 treat certain payments made by Indian tribal governments as earned income for purposes of the kiddie tax.

1. Short title This Act may be cited as the Tax Fairness for Tribal Youth Act of 2019 . 2. Certain payments made by Indian tribal governments treated as earned income for kiddie tax (a) In general Section 1(g)(4)(C) of the Internal Revenue Code of 1986 is amended to read as follows: (C) Treatment of certain amounts as earned income For purposes of this subsection, each of the following amounts shall be treated as earned income of the child referred to in paragraph (1) to the extent included in the gross income of such child: (i) Distributions from qualified disability trusts Any amount included in the gross income of such child under section 652 or 662 by reason of being a beneficiary of a qualified disability trust (as defined in section 642(b)(2)(C)(ii)). (ii) Certain Indian tribal payments Any payment made by an Indian tribal government (as defined in section 139E(c)(1)), or from a trust of which the Indian tribal government is treated as the owner under subpart E of part I of subchapter J, to such child if— (I) such child is an enrolled member of the tribe with respect to such Indian tribal government, and (II) such payment is received by such child by reason of such enrollment. . (b) Application to alternative minimum tax Section 59(j)(1)(A) of such Code is amended by inserting and including amounts treated as earned income under section 1(g)(4)(C) after section 911(d)(2) . (c) Effective date The amendment made by this section shall apply to taxable years beginning after December 31, 2017.