H. R. 1748
IN THE HOUSE OF REPRESENTATIVES
March 28, 2007
Mr. Wamp (for himself, Mr. Udall of Colorado, Mr. Kind, and Mr. Ramstad) introduced the following bill; which was referred to the Committee on Ways and Means
To amend the Internal Revenue Code of 1986 to expand workplace health incentives by equalizing the tax consequences of employee athletic facility use.
This Act may be cited as the
Workforce Health Improvement Program Act of 2007.
Employer-provided off-premises health club services
Treatment as fringe benefit
Subparagraph (A) of section 132(j)(4) of the Internal Revenue Code of 1986 (relating to on-premises gyms and other athletic facilities) is amended to read as follows:
Gross income shall not include—
the value of any on-premises athletic facility provided by an employer to the employer’s employees, and
so much of the fees, dues, or membership expenses paid by an employer to an athletic or fitness facility described in subparagraph (C) on behalf of the employer’s employees as does not exceed $900 per employer per year.
Athletic facilities described
Paragraph (4) of section 132(j) of such Code is amended by adding at the end the following new subparagraph:
Certain athletic or fitness facilities described
For purposes of subparagraph (A)(ii), an athletic or fitness facility described in this subparagraph is a facility—
providing instruction in a program of physical exercise, offering facilities for the preservation, maintenance, encouragement, or development of physical fitness, or serving as the site of such a program of a State or local government,
which is not a private club owned and operated by its members,
which does not offer golf, hunting, sailing, or riding facilities,
whose health or fitness facility is not incidental to its overall function and purpose, and
which is fully compliant with the State of jurisdiction and Federal anti-discrimination laws.
Exclusion applies to highly compensated employees only if no discrimination
Paragraph (1) of section 132(j) of such Code is amended—
Paragraphs (1) and (2) of subsection (a) and inserting
Paragraphs (1) and (2) of subsection (a) and paragraph (4) of subsection
in the heading by
subsection (a)(1) and (2) and inserting
Employer deduction for dues to certain athletic facilities
Paragraph (3) of section 274(a) of such Code (relating to
denial of deduction for club dues) is amended by adding at the end the
following new sentence:
The preceding sentence shall not apply to so
much of the fees, dues, or membership expenses paid to athletic or fitness
facilities (within the meaning of section 132(j)(4)(C)) as does not exceed $900
per employee per year..
Section 274(e)(4) of such Code is amended by inserting
the first sentence of before
The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.