,i  #aafth ,,congress  #ast ,session    
,h4 ,r4 #dgbh  ,,in ,,the ,,house ,,of  
,,representatives  ,october #ag1        
#bjai,ms4 ,moore 7for herself1 ,mr4     
,estes1 ,mr4 ,cisneros1 ,mr4 ,young1    
,mr4 ,panetta1 ,mr4 ,cole1 ,mr4 ,kildee1
 ,mr4 ,calvert1 ,ms4 ,davids of ,kansas1
 ,mr4 ,steube1 and ,ms4 ,haaland7       
introduced the following bill2 which was
 referred to the ,committee on ,ways and
 ,means  ,a ,,bill  ,to amend the       
,internal ,revenue ,code of #aihf to    
modify the taxation of unearned income  
of certain children4  #a4 ,short title  
,this ,act may be cited as the ,youth   
,tax ,fairness ,act of #bjai4  #b4      
,modification of taxation of unearned   
income of certain children  7a7 ,certain
 income treated as earned income for    
purposes of kiddie tax ,section         
#a7;g77#d77;,c7 of the ,internal        
,revenue ,code of #aihf is amended to   
read as follows3  7,c7 ,treatment of    
certain amounts as earned income ,for   
purposes of this subsection1 each of    

following amounts shall be treated as   
earned income of the child referred to  
in paragraph 7#a7 to the extent included
 in the gross income of such child3  7i7
 ,distributions from qualified          
disability trusts ,any amount included  
in the gross income of such child under 
section #feb or #ffb by reason of being 
a beneficiary of a qualified disability 
trust 7as defined in section            
#fdb7;b77#b77;,c77ii774  7ii7 ,certain  
military survivor benefits ,any benefit 
under laws administered by the          
,secretary of ,defense or the ,secretary
 of ,veterans ,affairs which is received
 by such child by reason of the child   
being the survivor of a deceased member 
of the ,armed ,forces or of a deceased  
veteran4  7iii7 ,certain first responder
 survivor benefits ,any payment made by 
,federal1 ,state1 or local government to
 such child if such payment is made by  
reason of the death of the parent of    
such child during such parent's service 
as a law enforcement officer1           

firefighter1 paramedic1 or emergency    
medical technician4  7iv7 ,certain      
,indian tribal payments ,any payment    
made by an ,indian tribal government 7as
 defined in section #aci;,e7c77#a771 or 
from a trust of which the ,indian tribal
 government is treated as the owner     
under subpart ,e of part ,i of          
subchapter ,j1 to such child if--  7,i7 
such child is an enrolled member of the 
tribe with respect to such ,indian      
tribal government1 and  7,,ii7 such     
payment is received by such child by    
reason of such enrollment4  7v7 ,certain
 scholarships or fellowship grants ,any 
scholarship or fellowship grant which is
 received by such child if-- 7,i7 such  
child is a candidate for a degree at an 
educational organization described in   
section #agj7;b77#a77;,a77ii71 and      
7,,ii7 such scholarship or grant        
supports such candidacy4  7vi7 ,alaska  
,permanent ,fund dividends ,any ,alaska 
,permanent ,fund dividend4  7vii7       
,social security benefits ,any social   

security benefit 7as defined in section 
#hf7;d774  4  7b7 ,repeal of temporary  
rule for taxation of unearned income of 
certain children ,section #a7;j7 of such
 ,code is amended by striking paragraph 
7#d74  7c7 ,application to alternative  
minimum tax  7#a7 ,in general ,section  
#ei7;j77#a77;,a7 of such ,code is       
amended by inserting and including      
amounts treated as earned income under  
section #a7;g77#d77;,c7 after section   
#iaa7;d77#b74  7#b7 ,suspension of      
kiddie tax limitation on alternative    
minimum tax exemption during period of  
increased exemption ,section            
#ee7;d77#d77;,a7 of such ,code is       
amended by striking and at the end of   
clause 7i77,,ii71 by striking the period
 at the end of clause 7ii77,,iii7 and   
inserting 1 and1 and by adding at the   
end the following new clause3  7iii7    
subsection 7j7 of section #ei shall not 
apply4  4  7d7 ,effective dates  7#a7   
,in general ,except as otherwise        
provided in this subsection1 the        

amendments made by this section shall   
apply to taxable years beginning after  
,december #ca1 #bjag4  7#b7 ,repeal of  
temporary rule for taxation of unearned 
income of certain children  7,a7 ,in    
general ,except as provided in          
subparagraph 7,b71 the amendment made by
 subsection 7b7 shall apply to taxable  
years beginning after ,december #ca1    
#bjah4  7,b7 ,elective retroactive      
application ,in the case of a taxpayer  
who elects the application of this      
subparagraph 7at such time and in such  
manner as the ,secretary of the         
,treasury 7or the ,secretary's designee7
 may provide71 the amendment made by    
subsection 7b7 shall apply to taxable   
years beginning after ,december #ca1    
#bjag4