,i  #aaith ,,congress  #ast ,session    
,h4 ,r4 #fhgb  ,,in ,,the ,,house ,,of  
,,representatives  ,december #ah1       
#bjbe,mr4 ,mackenzie 7for himself and   
,mr4 ,moskowitz7 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 holiday      
bonuses from gross income1 and for other
 purposes4  #a4 ,short title ,this ,act 
may be cited as the ,holiday ,bonus ,tax
 ,relief ,act of #bjbe4  #b4 ,exclusion 
from gross income of holiday bonuses    
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,l the following new section3       
#aci,m4 ,qualified holiday bonuses  7a7 
,in general ,gross income shall not     
include any qualified holiday bonus4    
7b7 ,limitation  7#a7 ,in general ,the  
amount which may be excluded under      
subsection 7a7 with respect to any      

individual shall not exceed #b1ejj4     
7#b7 ,inflation adjustment ,in the case 
of any taxable year beginning in a      
calendar year after #bjbf1 the #b1ejj   
amount in paragraph 7#a7 shall be       
increased by an amount equal to-- 7,a7  
such dollar amount1 multiplied by  7,b7 
the cost-of-living adjustment determined
 under section #a7;f77#c7 for the       
calendar year in which the taxable year 
begins1 determined by substituting      
calendar year #bjbe for calendar year   
#bjaf in subparagraph 7,a77ii7 thereof4 
,any increase determined under the      
preceding sentence shall be rounded to  
the nearest multiple of #ajj4  7c7      
,qualified holiday bonus ,for purposes  
of this section1 the term qualified     
holiday bonus means1 with respect to a  
taxable year1 any holiday1 end-of-year1 
or similar bonus that is paid by an     
employer to an employee during the month
 of ,january1 ,november1 or ,december of
 such taxable year4  7d7 ,regulations   
,the ,secretary shall prescribe such    

regulations or other guidance as may be 
necessary to prevent reclassification of
 income as a qualified holiday bonus1   
including regulations or other guidance 
to prevent abuse of the exclusion       
allowed by this section4  4  7b7        
,qualified holiday bonuses required ,to 
be shown on ,w-#b ,section #fjea7;a7 of 
such ,code is amended by striking and at
 the end of paragraph 7#ah71 by striking
 the period at the end of paragraph     
7#ai7 and inserting 1 and1 and by       
inserting after paragraph 7#ai7 the     
following new paragraph3  7#bj7 the     
total amount of qualified holiday       
bonuses 7as defined in section          
#aci,m7c774  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,l the     
following new item3  ,sec4 #aci,m4      
,qualified holiday bonuses4  4  7d7     
,effective date ,the amendments made by 
this section shall apply to bonuses     

received on or after ,november #a1      
#bjbe1 in taxable years ending after    
such date4