,i  #aaith ,,congress  #ast ,session    
,h4 ,r4 #efj  ,,in ,,the ,,house ,,of   
,,representatives  ,january #bj1        
#bjbe,mr4 ,bacon 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 exclude compensation 
from secondary employment for certain   
taxpayers from the income tax and       
payroll taxes4  #a4 ,short title ,this  
,act may be cited as the ,second ,job   
,tax ,relief ,act of #bjbe4  #b4        
,exclusion of compensation for certain  
secondary employment from income and    
payroll tax  7a7 ,in general ,part ,,iii
 of subchapter ,b of chapter #a of the  
,internal ,revenue ,code of #aihf is    
amended by inserting after section      
#aci;,i the following new section3      
#aci;,j4 ,earned income from additional 
employment  7a7 ,in general ,in the case
 of a qualifying taxpayer1 gross income 
shall not include secondary employment  
compensation4  7b7 ,phase-,out ,the     

amount of compensation excluded from    
gross income under subsection 7a7       
7determined without regard to this      
subsection7 shall be reduced 7but not   
below zero7 by the amount which bears   
the same ratio to the amount which is so
 excludable as-- 7#a7 the excess 7if    
any7 of-- 7,a7 the taxpayer's modified  
adjusted gross income 7as defined in    
section #cf7;b77#b77;,b77 for such      
taxable year1 over  7,b7 #ajj1jjj       
7#aej1jjj in the case of a married      
couple filing jointly71 bears to  7#b7  
#ej1jjj4  7c7 ,secondary employment     
compensation  7#a7 ,in general ,for     
purposes of this section1 the term      
secondary employment compensation means 
compensation received for employment    
during a taxable year with respect to   
which an individual has made an election
 under paragraph 7#b7 for an employer   
other than the primary employer of such 
individual4  7#b7 ,primary employer     
7,a7 ,election ,a taxpayer may elect to 
designate1 with respect to a taxable    

year1 a primary employer if such        
individual was compensated on an hourly 
basis for not less than #bjhj hours of  
work by such employer4  7,b7 ,definition
 ,for purposes of this section1 the term
 primary employer means1 with respect to
 a taxable year1 an employer designated 
by the taxpayer under subparagraph 7,a74
  7d7 ,sunset ,subsection 7a7 shall not 
apply to compensation earned in taxable 
years beginning after the date is that  
is #e years after the date of the       
enactment of this section4  4  7b7      
,application to employment taxes  7#a7  
,social security taxes  7,a7 ,in general
 ,section #caba7;a7 of such ,code is    
amended by striking or at the end of    
paragraph 7#bb71 by striking the period 
at the end of paragraph 7#bc7 and       
inserting 2 or1 and by inserting after  
paragraph 7#bc7 the following new       
paragraph3  7#bd7 any amount of         
compensation which is excludable from   
gross income under section #aci;,j4  4  
7,b7 ,trust funds held harmless ,there  

are hereby appropriated to the ,federal 
,old-,age and ,survivors ,insurance     
,trust ,fund1 the ,federal ,disability  
,insurance ,trust ,fund1 and the        
,federal ,hospital ,insurance ,trust    
,fund amounts equivalent to the         
reduction in revenues to each such      
,trust ,fund1 respectively1 by reason of
 the amendment made by subparagraph 7,a7
 7determined without regard to this     
subparagraph74 ,amounts appropriated by 
the preceding sentence shall be         
transferred from the general fund at    
such times and in such manner as to     
replicate to the extent possible the    
transfers which would have occurred to  
such ,trust ,fund had this section not  
been enacted4  7#b7 ,unemployment ,taxes
 ,section #ccjf7;b7 of such ,code is    
amended by striking or at the end of    
paragraph 7#ai71 by striking the period 
at the end of paragraph 7#bj7 and       
inserting 2 or1 and by inserting after  
paragraph 7#bj7 the following new       
paragraph3  7#ba7 any amount of         

compensation which is excludable from   
gross income under section #aci;,j4  4  
7#c7 ,wage withholding ,section         
#cdja7;a7 of such ,code is amended by   
striking or at the end of paragraph     
7#bb71 by striking the period at the end
 of paragraph 7#bc7 and inserting 2 or1 
and by inserting after paragraph 7#bc7  
the following new paragraph3  7#bd7 any 
amount of compensation which is         
excludable from gross income under      
section #aci;,j4  4  7c7 ,clerical      
amendment ,the table of sections for    
part ,,iii of subchapter ,b of chapter  
#a of such ,code is amended by inserting
 after the item relating to section     
#aci;,i the following new item3  ,sec4  
#aci;,j4 ,earned income from additional 
employment4  4  7d7 ,effective date ,the
 amendments made by this section shall  
apply to amounts received after the date
 of the enactment of this ,act4