H.R. 5215 (108th): Senior Elder Care Relief and Empowerment (SECURE) Act

108th Congress, 2003–2004. Text as of Oct 05, 2004 (Introduced).

Status & Summary | PDF | Source: GPO

HR 5215 IH

108th CONGRESS

2d Session

H. R. 5215

To amend the Internal Revenue Code of 1986 to allow a nonrefundable tax credit for elder care expenses.

IN THE HOUSE OF REPRESENTATIVES

October 5, 2004

Mr. BURNS 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 a nonrefundable tax credit for elder care expenses.

    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 ‘Senior Elder Care Relief and Empowerment (SECURE) Act’.

SEC. 2. CREDIT FOR ELDER CARE.

    (a) IN GENERAL- Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 25B the following new section:

‘SEC. 25C. ELDER CARE EXPENSES.

    ‘(a) ALLOWANCE OF CREDIT- In the case of an individual, there shall be allowed as a credit against the tax imposed by this chapter 50 percent of so much of the qualified elder care expenses paid or incurred by the taxpayer with respect to each qualified senior citizen as exceeds $1,000.

    ‘(b) QUALIFIED SENIOR CITIZEN- For purposes of this section, the term ‘qualified senior citizen’ means an individual--

      ‘(1) who has attained normal retirement age (as determined under section 216 of the Social Security Act) before the close of the taxable year,

      ‘(2) who is a chronically ill individual (within the meaning of section 7702B(c)(2)(B)), and

      ‘(3) who is--

        ‘(A) the taxpayer,

        ‘(B) a family member (within the meaning of section 529(e)(2)) of the taxpayer, or

        ‘(C) a dependent (within the meaning of section 152) of the taxpayer.

    ‘(c) QUALIFIED ELDER CARE EXPENSES- For purposes of this section--

      ‘(1) IN GENERAL- The term ‘qualified elder care expenses’ means expenses paid or incurred by the taxpayer with respect to the qualified senior citizen for--

        ‘(A) qualified long-term care services (as defined in section 7702B(c)),

        ‘(B) respite care, or

        ‘(C) adult day care.

      ‘(2) EXCEPTIONS- The term ‘qualified elder care expenses’ does not include--

        ‘(A) any expense to the extent such expense is compensated for by insurance or otherwise, and

        ‘(B) any expense paid to a nursing facility (as defined in section 1919 of the Social Security Act).

    ‘(d) OTHER DEFINITIONS AND SPECIAL RULES-

      ‘(1) ADULT DAY CARE- The term ‘adult day care’ means care provided for a qualified senior citizen through a structured, community-based group program which provides health, social, and other related support services on a less than 16-hour per day basis.

      ‘(2) RESPITE CARE- The term ‘respite care’ means planned or emergency care provided to a qualified senior citizen in order to provide temporary relief to a caregiver of such senior citizen.

      ‘(3) MARRIED INDIVIDUALS- Rules similar to the rules of paragraphs (2), (3), and (4) of section 21(e) shall apply for purposes of this section.

      ‘(4) NO DOUBLE BENEFIT- No deduction or other credit under this chapter shall take into account any expense taken into account for purposes of determining the credit under this section.

      ‘(5) IDENTIFYING INFORMATION REQUIRED WITH RESPECT TO SERVICE PROVIDER- No credit shall be allowed under subsection (a) for any amount paid to any person unless--

        ‘(A) the name, address, and taxpayer identification number of such person are included on the return claiming the credit, or

        ‘(B) if such person is an organization described in section 501(c)(3) and exempt from tax under section 501(a), the name and address of such person are included on the return claiming the credit.

      In the case of a failure to provide the information required under the preceding sentence, the preceding sentence shall not apply if it is shown that the taxpayer exercised due diligence in attempting to provide the information so required.

      ‘(6) IDENTIFYING INFORMATION REQUIRED WITH RESPECT TO QUALIFIED SENIOR CITIZENS- No credit shall be allowed under this section with respect to any qualified senior citizen unless the TIN of such senior citizen is included on the return claiming the credit.’.

    (b) CONFORMING AMENDMENTS-

      (1) Section 6213(g)(2)(H) (relating to mathematical or clerical error) is amended by inserting ‘, section 25C (relating to elder care expenses),’ after ‘employment)’.

      (2) The table of sections for subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after the item relating to section 25B the following new item:

      ‘Sec. 25C. Elder care expenses.’.

    (c) EFFECTIVE DATE- The amendments made by this section shall apply to expenses incurred in taxable years beginning after December 31, 2003.