I 116TH CONGRESS 1ST SESSION H. R. 4157 To amend the Internal Revenue Code of 1986 to exclude the portion of a lump-sum social security benefit payment that relates to periods prior to the taxable year from the determination of household income. IN THE HOUSE OF REPRESENTATIVES AUGUST 2, 2019 Mr. NEGUSE (for himself and Mr. GOLDEN) 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 exclude the portion of a lump-sum social security benefit payment that relates to periods prior to the taxable year from the determination of household income. 1 Be it enacted by the Senate and House of Representa- 2 tives of the United States of America in Congress assembled, 3 SECTION 1. SHORT TITLE. 4 This Act may be cited as the ‘‘Fairness in Social Se- pamtmann on DSKBFK8HB2PROD with BILLS 5 curity Act of 2019’’. VerDate Sep 11 2014 23:39 Aug 15, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H4157.IH H4157 2 1 SEC. 2. TREATMENT OF LUMP-SUM SOCIAL SECURITY BEN- 2 EFITS 3 COME. 4 IN DETERMINING HOUSEHOLD IN- (a) IN GENERAL.—Section 36B(d)(2) of the Internal 5 Revenue Code of 1986 is amended by adding at the end 6 the following new subparagraph: 7 ‘‘(C) EXCLUSION 8 SUM SOCIAL SECURITY BENEFITS.— 9 ‘‘(i) IN GENERAL.—The term ‘modi- 10 fied adjusted gross income’ shall not in- 11 clude so much of any lump-sum social se- 12 curity benefit payment as is attributable to 13 months ending before the beginning of the 14 taxable year. 15 ‘‘(ii) LUMP-SUM 16 BENEFIT PAYMENT.—For 17 subparagraph, the term ‘lump-sum social 18 security benefit payment’ means any pay- 19 ment of social security benefits (as defined 20 in section 86(d)(1)) which constitutes more 21 than 1 month of such benefits. 22 pamtmann on DSKBFK8HB2PROD with BILLS OF PORTION OF LUMP- ‘‘(iii) ELECTION SOCIAL purposes of this TO INCLUDE EX- 23 CLUDABLE 24 elect (at such time and in such manner as 25 the Secretary may provide) to have this AMOUNT.—A taxpayer may •HR 4157 IH VerDate Sep 11 2014 SECURITY 23:39 Aug 15, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H4157.IH H4157 3 1 subparagraph not apply for any taxable 2 year.’’. 3 (b) EFFECTIVE DATE.—The amendment made by 4 this section shall apply to taxable years beginning after 5 December 31, 2018. pamtmann on DSKBFK8HB2PROD with BILLS Æ •HR 4157 IH VerDate Sep 11 2014 23:39 Aug 15, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H4157.IH H4157