,,ii  #aacth ,,congress  #b;d ,session  
,s4 #bach  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,march #ac1    
#bjad ,mrs4 ,shaheen introduced the     
following bill2 which was read twice and
 referred to the ,committee on ,finance 
,a ,,bill  ,to provide a payroll tax    
holiday for newly hired veterans4  #a4  
,short title ,this ,act may be cited as 
the ,veterans ,hiring ,act4  #b4        
,employee payroll tax holiday for newly 
hired veterans  7a7 ,in general         
,subsection 7d7 of section #caaa of the 
,internal ,revenue ,code of #aihf is    
amended to read as follows3  7d7        
,special exemption for eligible veterans
 hired during certain calendar quarters 
7#a7 ,in general ,subsection 7a7 shall  
not apply to #ej percent of the wages   
paid by the employer with respect to    
employment during the holiday period of 
any eligible veteran for services       
performed-- 7,a7 in a trade or business 
of the employer1 or  7,b7 in the case of
 an employer exempt from tax under      

section #eja7;a71 in furtherance of the 
activities related to the purpose or    
function constituting the basis of the  
employer's exemption under such section4
  7#b7 ,holiday period ,for purposes of 
this subsection1 the term holiday period
 means the period of #d consecutive     
calendar quarters beginning with the    
first day of the first calendar quarter 
beginning after the date of the         
enactment of the ,veterans ,hiring ,act4
  7#c7 ,eligible veteran ,for purposes  
of this subsection-- 7,a7 ,in general   
,the term eligible veteran means a      
veteran who-- 7i7 begins work for the   
employer during the holiday period1     
7ii7 was discharged or released from the
 ,armed ,forces of the ,united ,states  
under conditions other than             
dishonorable1 and  7iii7 is not an      
individual described in section         
#ea7;i77#a7 7applied by substituting    
employer for taxpayer each place it     
appears74  7,b7 ,veteran ,the term      
veteran means any individual who-- 7i7  

has served on active duty 7other than   
active duty for training7 in the ,armed 
,forces of the ,united ,states for a    
period of more than #ahj days1 or has   
been discharged or released from active 
duty in the ,armed ,forces of the       
,united ,states for a service-connected 
disability 7within the meaning of       
section #aja of title #ch1 ,united      
,states ,code71  7ii7 has not served on 
extended active duty 7as such term is   
used in section #ea7;d77#c77;,b77 in the
 ,armed ,forces of the ,united ,states  
on any day during the #fj-;day period   
ending on the hiring date1 and  7iii7   
provides to the employer a copy of the  
individual's ,,dd ,form #bad1           
,certificate of ,release or ,discharge  
from ,active ,duty1 that includes the   
nature and type of discharge4  7#d7     
,election ,an employer may elect not to 
have this subsection apply4 ,such       
election shall be made in such manner as
 the ,secretary may require4  7#e7      
,coordination with work opportunity     

credit ,for coordination with the work  
opportunity credit1 see section         
#ea7c77;,d74  4  7b7 ,coordination with 
work opportunity credit  7#a7 ,in       
general ,paragraph 7#c7 of section #ea  
of the ,internal ,revenue ,code of #aihf
 is amended by adding at the end the    
following new subparagraph3  7,d7       
,denial of credit for veterans subject  
to #ej percent payroll tax holiday ,if  
section #caaa7;d77#a7 7as amended by the
 ,veterans ,hiring ,act7 applies to any 
wages paid by an employer1 the term     
qualified veteran does not include any  
individual who begins work for the      
employer during the holiday period 7as  
defined in section #caaa7;d77#b77 unless
 the employer makes an election not to  
have section #caaa7;d7 apply4  4  7#b7  
,conforming amendment ,subsection 7c7 of
 section #ea of such ,code is amended by
 striking paragraph 7#e74