{"format":1,"id":"118-hr-7024","congress":118,"number":"H.R. 7024","kind":"bill","group":"bills","title":"Tax Relief for American Families and Workers Act of 2024","title_source":"Short Title(s) as Passed House","official_title":"To make improvements to the child tax credit, to provide tax incentives to promote economic growth, to provide special rules for the taxation of certain residents of Taiwan with income from sources within the United States, to provide tax relief with respect to certain Federal disasters, to make improvements to the low-income housing tax credit, and for other purposes.","titles":[{"type":"Official Title as Introduced","title":"To make improvements to the child tax credit, to provide tax incentives to promote economic growth, to provide special rules for the taxation of certain residents of Taiwan with income from sources within the United States, to provide tax relief with respect to certain Federal disasters, to make improvements to the low-income housing tax credit, and for other purposes."},{"type":"Display Title","title":"Tax Relief for American Families and Workers Act of 2024"},{"type":"Short Title(s) from PCS (Placed on Senate Calendar) bill text","title":"Tax Relief for American Families and Workers Act of 2024"},{"type":"Short Titles for portions of this bill from PCS (Placed on Senate Calendar) bill text","title":"United States-Taiwan Expedited Double-Tax Relief Act"},{"type":"Short Titles for portions of this bill from PCS (Placed on Senate Calendar) bill text","title":"Federal Disaster Tax Relief Act of 2024"},{"type":"Short Titles for portions of this bill from PCS (Placed on Senate Calendar) bill text","title":"United States-Taiwan Tax Agreement Authorization Act"},{"type":"Short Title(s) as Introduced for portions of this bill","title":"Federal Disaster Tax Relief Act of 2024"},{"type":"Short Title(s) as Introduced","title":"Tax Relief for American Families and Workers Act of 2024"},{"type":"Short Title(s) as Introduced for portions of this bill","title":"United States-Taiwan Tax Agreement Authorization Act"},{"type":"Short Title(s) as Introduced for portions of this bill","title":"United States-Taiwan Expedited Double-Tax Relief Act"},{"type":"Short Title(s) as Reported to House","title":"Tax Relief for American Families and Workers Act of 2024"},{"type":"Short Title(s) as Reported to House for portions of this bill","title":"United States-Taiwan Tax Agreement Authorization Act"},{"type":"Short Title(s) as Reported to House for portions of this bill","title":"United States-Taiwan Expedited Double-Tax Relief Act"},{"type":"Short Title(s) as Reported to House for portions of this bill","title":"Federal Disaster Tax Relief Act of 2024"},{"type":"Short Title(s) as Passed House for portions of this bill","title":"Federal Disaster Tax Relief Act of 2024"},{"type":"Short Title(s) as Passed House","title":"Tax Relief for American Families and Workers Act of 2024"},{"type":"Short Title(s) as Passed House for portions of this bill","title":"United States-Taiwan Tax Agreement Authorization Act"},{"type":"Short Title(s) as Passed House for portions of this bill","title":"United States-Taiwan Expedited Double-Tax Relief Act"}],"outcome":"passed_house","law_number":null,"introduced":"2024-01-17","chambers":{"house":{"status":"roll_call","date":"2024-01-31","vote":{"id":"118-2024-h30","question":"On Motion to Suspend the Rules and Pass, as Amended","title":"Tax Relief for American Families and Workers Act","result":"Passed","yea":357,"nay":70,"present":0,"not_voting":5,"source":"https://clerk.house.gov/evs/2024/roll030.xml"}},"senate":{"status":"na","date":null,"vote":null}},"president":{"status":"na","date":null},"vice_president_tie_breaker":null,"latest_action":{"text":"Motion by Senator Schumer to reconsider the vote by which cloture on the motion to proceed to the measure was not invoked (Record Vote No. 230) made in Senate.","date":"2024-08-01"},"nominees":null,"amendments":[],"other_votes":[{"chamber":"senate","date":"2024-08-01","question":"On Cloture on the Motion to Proceed","title":"Motion to Invoke Cloture on the Motion to Proceed to H.R. 7024","result":"Cloture on the Motion to Proceed Rejected","yea":48,"nay":44,"present":0,"not_voting":8,"kind":"procedural","source":"https://www.senate.gov/legislative/LIS/roll_call_votes/vote1182/vote_118_2_00230.xml"}],"crs_summary":{"date":"2024-01-31","stage":"Passed House","blocks":[{"k":"h","t":"Tax Relief for American Families and Workers Act of 2024"},{"k":"p","t":"TITLE I--TAX RELIEF FOR WORKING FAMILIES"},{"k":"p","t":"This title modifies the calculation of the refundable portion of the child tax credit to require the multiplication of the credit amount in calendar years 2023-2025 by the number of qualifying children. The maximum refundable amount per child of such credit is increased to $1,800 in 2023, $1,900 in 2024, and $2,000 in 2025, with an inflation adjustment beginning after 2023."},{"k":"p","t":"The title allows taxpayers to elect in 2024 and 2025 to use prior year earned income in calculating their earned income tax credit"},{"k":"p","t":"TITLE II--AMERICAN INNOVATION AND GROWTH"},{"k":"p","t":"This title allows taxpayers to delay the date on which they must begin deducting their domestic research or experimental research costs over a five-year period until 2026. Taxpayers may therefore expense such costs incurred between 2022-2026."},{"k":"p","t":"The title extends the allowance for depreciation, amortization, or depletion in determining the limitation of the business interest deduction. It also extends 100% bonus depreciation and increases the limitations on expensing of depreciable business assets."},{"k":"p","t":"TITLE III--INCREASING GLOBAL COMPETITIVENESS"},{"k":"p","t":"Subtitle A--United States-Taiwan Expedited Double-Tax Relief Act"},{"k":"p","t":"United States-Taiwan Expedited Double-Tax Relief Act"},{"k":"p","t":"This subtitle sets forth special rules for the taxation of certain residents of Taiwan, including rules for the reduction of withholding taxes, the application of permanent establishment rules, the treatment of income from employment, and the determination of Taiwanese residency, including rules for dual residents."},{"k":"p","t":"Subtitle B--United States-Taiwan Tax Agreement Authorization Act"},{"k":"p","t":"United States-Taiwan Tax Agreement Authorization Act"},{"k":"p","t":"This subtitle grants the President authority to negotiate and enter into a U.S.-Taiwan tax agreement after the tax provisions of this title are enacted and effective."},{"k":"p","t":"TITLE IV--ASSISTANCE FOR DISASTER-IMPACTED COMMUNITIES"},{"k":"p","t":"Federal Disaster Tax Relief Act of 2024"},{"k":"p","t":"This title excludes from gross income, for income tax purposes, compensation for losses or damages due to certain wildfires. It applies only to payments received by a taxpayer after 2019 and before 2026."},{"k":"p","t":"The title also excludes payment for compensation for losses or damages from the derailment of a train in East Palestine, Ohio, on February 3, 2023."},{"k":"p","t":"TITLE V--MORE AFFORDABLE HOUSING"},{"k":"p","t":"This title increases the low-income housing tax credit ceiling to 12.5% for calendar years 2023-2025. It also lowers the bond-financing threshold to 30% for projects financed by bonds issued before 2026."},{"k":"p","t":"TITLE VI--TAX ADMINISTRATION AND ELIMINATING FRAUD"},{"k":"p","t":"This title increases the threshold for reporting income earned by an independent contractor from $600 to $1,000, with an adjustment to the increased amount for inflation."},{"k":"p","t":"The title increases penalties for aiding and abetting the understatement of tax liability with respect to the COVID-related employee retention tax credit."}],"words":436},"summary":{"main_subject":{"text":"Amends the Internal Revenue Code on the child tax credit, business deductions and depreciation, taxation of certain residents of Taiwan, tax treatment of disaster-related payments, the low-income housing credit, and information reporting and COVID-related employee retention credit enforcement.","cites":[{"label":"Title I","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-HC0DABDAA8BCB412CB3C6D927D67C7E01"},{"label":"Title II","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H45496C74825C4DECA8E3DA2704C20439"},{"label":"Title III","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H82252ACCB634439C90A5A886EE4193B6"},{"label":"Title IV","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-HCD900556FEE14E1A8760E577E4FF3A64"},{"label":"Title V","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-HF340F2A7C985455FBAD104206E6D1948"},{"label":"Title VI","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H7CACCEB84F7C4254BEB9A4050B433878"}]},"core_areas":["Refundable portion of the child tax credit","Deductions and depreciation for business research, interest and assets","Taxation of qualified residents of Taiwan and a US-Taiwan tax agreement","Tax exclusion for wildfire and East Palestine derailment payments","Low-income housing tax credit financing rules","Information reporting threshold and COVID-related employee retention credit enforcement"],"what_it_does":[{"text":"Sets the per-child limit on the refundable portion of the child tax credit at $1,800 for taxable year 2023, $1,900 for 2024, and $2,000 for 2025.","cite":{"label":"Sec. 102","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-HC8B2AFC395A84CE5B3EBB33D2123FFB6"}},{"text":"Adds Code section 174A, which allows a deduction for domestic research or experimental expenditures paid or incurred in the taxable year, and applies section 174 to such expenditures only in taxable years beginning after December 31, 2025.","cite":{"label":"Sec. 201","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H4075223D141441E9A23A83B2F53B8A5D"}},{"text":"Adds Code section 894A, which sets special rules for qualified residents of Taiwan, including an applicable percentage of 10 percent for interest and royalties and 15 percent for dividends, and applies only to periods for which the Secretary determines Taiwan provides reciprocal benefits.","cite":{"label":"Sec. 302","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H4CFB38B4420A4B06A76B221AB79C7941"}},{"text":"Excludes qualified wildfire relief payments from gross income when received in taxable years beginning after December 31, 2019, and before January 1, 2026.","cite":{"label":"Sec. 403","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H78EB6B4386EE472B94658C6CF965BBAC"}},{"text":"Changes the low-income housing credit rule so the credit is not limited by the volume cap when 30 percent or more of a building's aggregate basis is financed by qualified obligations, in addition to the existing 50 percent test.","cite":{"label":"Sec. 502","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H19711F151AFD4A13B62B1CEEE044BEF8"}},{"text":"Raises the information reporting threshold in Code section 6041(a) from $600 to $1,000, with an inflation adjustment for calendar years after 2024, for payments made after December 31, 2023.","cite":{"label":"Sec. 601","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H49393EE91A5E45749BA0AADC5200EEFA"}}],"unexpected":[{"category":"place_specific_amount","items":[{"cite":{"label":"Sec. 302","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H4CFB38B4420A4B06A76B221AB79C7941"},"heading":"Special rules for taxation of certain residents of Taiwan","effect":"Adds a new tax code section that sets a 10 percent rate on certain U.S.-source interest and royalties, 15 percent or 10 percent on dividends, and a $30,000 entertainer receipts limit for qualified residents of Taiwan, with no tax on qualified wages.","amount":null,"quote":"the term applicable percentage means 10 percent"}]},{"category":"selective_carve_out","items":[{"cite":{"label":"Sec. 404","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-HDECA31B9707B47839F116357665C6918"},"heading":"East Palestine disaster relief payments","effect":"Treats payments received for losses from one named train derailment, from government agencies or a named railway and related parties, as qualified disaster relief payments under section 139(b), for amounts received on or after February 3, 2023.","amount":null,"quote":"East Palestine train derailment payments shall be treated as qualified disaster relief payments for purposes of section 139(b) of the Internal Revenue Code of 1986."},{"cite":{"label":"Sec. 602","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H427EDFCF13014EB688008887E44862AD"},"heading":"Enforcement provisions with respect to COVID-related employee retention credits","effect":"Among its COVID-related employee retention credit enforcement rules, the definition of COVID–ERTC promoter excludes certified professional employer organizations.","amount":null,"quote":"The term COVID–ERTC promoter shall not include a certified professional employer organization (as defined in section 7705)."},{"cite":{"label":"Sec. 201","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh#toc-H4075223D141441E9A23A83B2F53B8A5D"},"heading":"Deduction for domestic research and experimental expenditures","effect":"The new temporary research expensing rule does not apply to expenditures paid or incurred to find the existence, location, extent, or quality of ore or other mineral deposits, including oil and gas.","amount":null,"quote":"This section shall not apply to any expenditure paid or incurred for the purpose of ascertaining the existence, location, extent, or quality of any deposit of ore or other mineral (including oil and gas)."}]}],"version":{"type":"Engrossed in House","date":"2024-01-31","rule":"passed","href":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text/eh"},"current":true,"model":"claude-sonnet-5-5","approved":"2026-10-02","approved_by":"checks"},"sources":{"congress_gov":"https://www.congress.gov/bill/118th-congress/house-bill/7024","text":"https://www.congress.gov/bill/118th-congress/house-bill/7024/text"},"card":{"image":"card/item/118-hr-7024.png","v":"f21cce2dee61","alt":"Votes on Record. H.R. 7024, 118th Congress: Tax Relief for American Families and Workers Act of 2024. House: 357 Yea, 70 Nay. Outcome: Passed House, 31 Jan 2024."}}