,i  #aaith ,,congress  #ast ,session    
,h4 ,r4 #cbdi  ,,in ,,the ,,house ,,of  
,,representatives  ,may #g1 #bjbe,ms4   
,moore of ,wisconsin 7for herself1 ,mr4 
,davis of ,illinois1 ,ms4 ,chu1 ,ms4    
,velzquez1 ,ms4 ,mc,collum1 and ,mr4    
,latimer7 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 qualified business income   
deduction4  #a4 ,short title  ,this ,act
 may be cited as the ,mom and ,pop ,tax 
,relief ,act4  #b4 ,modification of     
#aii;,a deduction  7a7 ,deduction       
allowed for first #be1jjj of qualified  
business income  7#a7 ,in general       
,section #aii;,a7b77#a7 of the ,internal
 ,revenue ,code of #aihf is amended to  
read as follows3  7#a7 ,in general ,the 
term combined qualified business income 
amount means1 with respect to any       
taxable year1 an amount equal to the    
lesser of--  7,a7 the sum of the        
taxpayer's qualified business income for

 each qualified trade or business       
carried on by the taxpayer1 or  7,b7    
#be1jjj4  4  7#b7 ,conforming amendments
  7,a7 ,section #aii;,a7a77#b7 of such  
,code is amended by striking #bj percent
 of4  7,b7 ,section #aii;,a7b7 of such  
,code is amended by striking paragraph  
7#b74  7b7 ,consolidated taxpayer level 
adjusted gross income limitation        
,section #aii;,a7b7 of such ,code1 as   
amended by subsection 7a71 is amended-- 
7#a7 by striking paragraph 7#c71 and    
7#b7 by inserting after paragraph 7#a7  
the following new paragraph3  7#b7      
,adjusted gross income limitation ,the  
combined qualified business income of   
the taxpayer for the taxable year shall 
be reduced 7but not below zero7 by so   
much of the amount by which the adjusted
 gross income of the taxpayer exceeds   
#bjj1jjj 7#djj1jjj in the case of a     
joint return74  4  7c7 ,simplification  
with respect to loss carryover ,section 
#aii7;c7 of such ,code is amended by    
striking paragraph 7#b74  7d7 ,other    

conforming amendments  7#a7 7,a7        
,section #aii;,a7b7 of such ,code is    
amended by striking paragraph 7#d74     
7,b7 ,section #aii;,a7g77#a77;,b77ii7 of
 such ,code is amended to read as       
follows3  7ii7 ,w-#b wages ,for purposes
 of this subparagraph--  7,i7 ,in       
general ,the term ,w-#b wages means1    
with respect to any person for any      
taxable year of such person1 the amounts
 described in paragraphs 7#c7 and 7#h7  
of section #fjea7;a7 paid by such person
 with respect to employment of employees
 by such person during the calendar year
 ending during such taxable year4       
7,,ii7 ,must be properly allocable to   
domestic production gross receipts ,the 
,w-#b wages of the taxpayer shall not   
include any amount which is not properly
 allocable to domestic production gross 
receipts for purposes of paragraph      
7#c77;,a74  7,,iii7 ,return ,requirement
 ,such term shall not include any amount
 which is not properly included in a    
return filed with the ,social ,security 

,administration on or before the #fjth  
day after the due date 7including       
extensions7 for such return4  4  7,c7   
,section #aii;,a7f77#a7 of such ,code is
 amended--  7i7 by inserting and at the 
end of subparagraph 7,a77i71  7ii7 by   
striking 1 and at the end of            
subparagraph 7,a77ii71  7iii7 by        
striking clause 7iii71  7iv7 by striking
 ,for purposes of clause 7iii7 and all  
that follows through ,for purposes of   
this subparagraph and inserting ,for    
purposes of this subparagraph1 and  7v7 
by striking subparagraph 7,b7 and       
redesignating subparagraph 7,c7 as      
subparagraph 7,b74  7#b7 7,a7 ,section  
#aii;,a7b7 of such ,code is amended by  
striking paragraph 7#e74  7,b7 ,section 
#aii;,a7g77#e7 of such ,code is amended 
by adding at the end the following new  
subparagraph3  7,f7 ,acquisitions1      
,dispositions1 and ,short ,taxable      
,years ,the ,secretary shall provide for
 the application of this subsection in  
cases of a short taxable year or where  

the taxpayer acquires1 or disposes of1  
the major portion of a trade or business
 or the major portion of a separate unit
 of a trade or business during the      
taxable year4  4  7#c7 ,section         
#aii;,a7b7 of such ,code is amended by  
striking paragraph 7#f74  7#d7 7,a7     
,section #aii;,a7b7 of such ,code is    
amended by redesignating paragraph 7#g7 
as paragraph 7#c74  7,b7 ,section       
#aii;,a7b77#c7 of such ,code 7as so     
redesignated7 is amended by striking    
under paragraph 7#b7 and inserting under
 paragraph 7#a77;,a74  7#e7 ,section    
#aii;,a7d7 of such ,code is amended to  
read as follows3  7d7 ,qualified trade  
or business ,for purposes of this       
section1 the term qualified trade or    
business means any trade or business    
other than the trade or business of     
performing services as an employee4  4  
7#f7 ,section #aii;,a7e7 of such ,code  
is amended to read as follows3  7e7     
,taxable income defined ,for purposes of
 this section1 except as otherwise      

provided in subsection 7g77#b77;,b71    
taxable income shall be computed without
 regard to any deduction allowable under
 this section4  4  7e7 ,effective date  
,the amendments made by this section    
shall apply to taxable years beginning  
after ,december #ca1 #bjbe4