H.R. 4019 (109th): To amend title 4 of the United States Code to clarify the treatment of self-employment for purposes ...
...of the limitation on State taxation of retirement income.
109th Congress, 2005–2006. Text as of Oct 07, 2005 (Reported by House Committee).
Status & Summary | PDF | Source: GPO
HR 4019 RH
To amend title 4 of the United States Code to clarify the treatment of self-employment for purposes of the limitation on State taxation of retirement income.
October 7, 2005
Mr. CANNON introduced the following bill; which was referred to the Committee on the Judiciary
June 29, 2006
Additional sponsors: Mr. ENGLISH of Pennsylvania, Mr. SESSIONS, Mr. KELLER, Mr. FEENEY, Mr. MARCHANT, Mr. CHABOT, Mr. PENCE, Mr. HENSARLING, Mr. COBLE, Mr. FORBES, Mr. BAKER, Mr. BOUCHER, Mr. TANNER, Mr. MATHESON, Mr. ROYCE, Mr. HOLDEN, Mr. SOUDER, Ms. HART, Mr. PRICE of Georgia, Ms. GINNY BROWN-WAITE of Florida, Mr. GOODLATTE, and Mr. CAMP of Michigan
June 29, 2006
Reported with an amendment, committed to the Committee of the Whole House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
To amend title 4 of the United States Code to clarify the treatment of self-employment for purposes of the limitation on State taxation of retirement income.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
[Struck out->] SECTION 1. CLARIFICATION OF TREATMENT OF SELF-EMPLOYMENT FOR PURPOSES OF THE LIMITATION ON STATE TAXATION OF RETIREMENT INCOME. [<-Struck out]
[Struck out->] (a) In General- Section 114(b)(1)(i) of title 4, United States Code, is amended by-- [<-Struck out]
[Struck out->] (1) inserting `and any plan, program, or arrangement providing for retirement benefits to a retired partner (treated as such under applicable tax laws)' after `section 3121(v)(2)(C) of such Code', [<-Struck out]
[Struck out->] (2) inserting `which may include income described in subparagraphs (A) through (H)' after `(not less frequently than annually', and [<-Struck out]
[Struck out->] (3) adding at the end the following: `The fact that benefits may be adjusted from time to time pursuant to the plan to limit total disbursements under a predetermined formula, or to provide cost of living or similar adjustments, will not cause the period benefits provided under the plan to fail the `substantially equal period payments' test.'. [<-Struck out]
[Struck out->] (b) Application- The amendments made by this section apply to amounts received after December 31, 1995. [<-Struck out]
SECTION 1. CLARIFICATION OF TREATMENT OF SELF-EMPLOYMENT FOR PURPOSES OF THE LIMITATION ON STATE TAXATION OF RETIREMENT INCOME.
(a) In General- Section 114(b)(1)(I) of title 4, United States Code, is amended--
(1) by inserting `(or any plan, program, or arrangement that is in writing, that provides for retirement payments in recognition of prior service to be made to a retired partner, and that is in effect immediately before retirement begins)' after `section 3121(v)(2)(C) of such Code',
(2) by inserting `which may include income described in subparagraphs (A) through (H)' after `(not less frequently than annually',
(3) by adding at the end the following:
`The fact that payments may be adjusted from time to time pursuant to such plan, program, or arrangement to limit total disbursements under a predetermined formula, or to provide cost of living or similar adjustments, will not cause the periodic payments provided under such plan, program, or arrangement to fail the `substantially equal periodic payments' test.', and
(4) by adding at the end the following:
`(4) For purposes of this section, the term `retired partner' is an individual who is described as a partner in section 7701(a)(2) of the Internal Revenue Code of 1986 and who is retired under such individual's partnership agreement.'.
(b) Application- The amendments made by this section apply to amounts received after December 31, 1995.
Union Calendar No. 304
To amend title 4 of the United States Code to clarify the treatment of self-employment for purposes of the limitation on State taxation of retirement income.