,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #befj  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,may #g1 #bjai,mr4    
,norman 7= himself1 ,mr4 ,mead[s1 ,mr4  
,fitzpatrick1 ,mr4 ,rupp]sb]g]1 ,ms4    
,%]rill1 ,ms4 ,/efanik1 ,mr4 ,cole1 &   
,mr4 ,gian=te7 introduc$ ! foll[+ bill2 
:i* 0 ref]r$ to ! ,committee on ,ways & 
,means  ,a ,,bill  ,to am5d ! ,int]nal  
,rev5ue ,code ( #aihf to exclude c]ta9  
disability-relat$ fir/ respond]         
retirem5t paym5ts f gross income4  #a4  
,%ort title ,?is ,act may be cit$ z !   
,putt+ ,fir/ ,respond]s ,fir/ ,act4  #b4
 ,exclusion ( c]ta9 disability-relat$   
fir/ respond] retirem5t paym5ts  7a7 ,9 
g5]al ,"p ,,iii ( sub*apt] ,b ( *apt] #a
 ( ! ,int]nal ,rev5ue ,code ( #aihf is  
am5d$ by ins]t+ aft] section #aci;,b !  
foll[+ new section3  #aci;,c4 ,c]ta9    
disability-relat$ fir/ respond]         
retirem5t paym5ts  7a7 ,9 g5]al ,9 !    
case ( an individual :o receives        
qualifi$ fir/ respond] retirem5t paym5ts
 = any taxable ye>1 gross income %all n 

include s mu* ( su* paym5ts z d n exce$ 
! annualiz$ excludable disability am\nt 
) respect to su* individual4  7b7       
,qualifi$ fir/ respond] retirem5t       
paym5ts ,= purposes ( ?is section1 ! t]m
 qualifi$ fir/ respond] retirem5t       
paym5ts means1 ) respect to any taxable 
ye>1 any p5sion or annuity :i* b = ?is  
section w\ld be includible 9 gross      
income = su* taxable ye> & :i* is       
receiv$--  7#a7 f a plan describ$ 9     
clause 7iii71 7iv71 7v71 or 7vi7 (      
section #djb7;c77#h77;,b71 &  7#b7 9    
connection ) su* individual's qualifi$  
fir/ respond] s]vice4  7c7 ,annualiz$   
excludable disability am\nt ,= purposes 
( ?is section-- 7#a7 ,9 g5]al ,! t]m    
annualiz$ excludable disability am\nt   
means1 ) respect to any individual1 !   
s]vice-connect$ excludable disability   
am\nts :i* are prop]ly attributable to !
 #ab-mon? p]iod imm$iately prec$+ ! date
 on :i* su* individual atta9s retirem5t 
age4  7#b7 ,s]vice-connect$ excludable  
disability am\nt ,! t]m s]vice-connect$ 

excludable disability am\nt means       
p]iodic paym5ts receiv$ by an individual
 :i*-- 7,a7 are n includible 9 su*      
individual's gross income "u section    
#ajd7;a77#a71  7,b7 are receiv$ 9       
connection ) su* individual's qualifi$  
fir/ respond] s]vice1 &  7,c7 t]m9ate :5
 su* individual atta9s retirem5t age4   
7#c7 ,special rule = p>tial-ye> paym5ts 
,9 ! case ( an individual :o only       
receives s]vice-connect$ excludable     
disability am\nts prop]ly attributable  
to a portion ( ! #ab-mon? p]iod describ$
 9 p>agraph 7#a71 su* p>agraph %all be  
appli$ by multiply+ su* am\nts by !     
ratio ( #cfe to ! numb] ( days 9 su*    
p]iod to :i* su* am\nts 7 prop]ly       
attributable4  7d7 ,qualifi$ fir/       
respond] s]vice ,= purposes ( ?is       
section1 ! t]m qualifi$ fir/ respond]   
s]vice means s]vice z a law en=cem5t    
(fic]1 firefight]1 p>am$ic1 or em]g5cy  
m$ical te*nician4  4  7b7 ,cl]ical      
am5dm5t ,! table ( sections = "p ,,iii (
 sub*apt] ,b ( *apt] #a is am5d$ by     

ins]t+ aft] ! item relat+ to section    
#aci;,b ! foll[+ new item3  ,sec4       
#aci;,c4 ,c]ta9 disability-relat$ fir/  
respond] retirem5t paym5ts4  4  7c7     
,effective date ,! am5dm5ts made by ?is 
section %all apply to am\nts receiv$ )  
respect to taxable ye>s beg9n+ aft] !   
date ( ! enactm5t ( ?is ,act4