Bill Details
HR.1691 - 119th Congress
Status
Latest action
2025-02-27 - Referred to the House Committee on Ways and Means.
Introduced Date
2025-02-27
Policy Area
Taxation
Committees
View committees (1)
Sponsors
Cosponsors
View cosponsors (1)
6
0
0
AI Summary This summary was generated by AI from the bill text. AI can get information wrong.
This bill would bring back a tax break for some workers who pay certain job costs out of pocket and are not reimbursed by their employer. It would let employees count part of their unreimbursed food, lodging, travel, and transportation costs as itemized deductions again. The bill also lowers the amount of these expenses that must be reached before the deduction can be used, and it would apply the change as if it were part of the 2017 tax law changes. In short, the bill is meant to make it easier for employees to deduct some work-related expenses on their taxes.
- It would allow taxpayers to count 85% of certain unreimbursed employee expenses for food, lodging, travel, and transportation.
- It would change the current deduction limit by using a 1% floor instead of a 2% floor.
- The bill would extend the rule through 2027.
- It would also allow some refunds or credits to be claimed for a limited time after the bill becomes law, even if the normal filing deadline has passed.
Official Summaries
No summaries available
Current Full Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1691 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 1691
To amend the Internal Revenue Code of 1986 to allow unreimbursed
employee expenses to be taken into account as miscellaneous itemized
deductions.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 27, 2025
Mr. Grothman (for himself and Mr. Harris of Maryland) introduced the
following bill; which was referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to allow unreimbursed
employee expenses to be taken into account as miscellaneous itemized
deductions.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Employee Business Expense Deduction
Reinstatement Act of 2025''.
SEC. 2. UNREIMBURSED EMPLOYEE EXPENSES TAKEN INTO ACCOUNT AS
MISCELLANEOUS ITEMIZED DEDUCTION.
(a) In General.--Section 67(g) of the Internal Revenue Code of 1986
is amended--
(1) by striking ``Through 2025.--Notwithstanding subsection
(a)'' and inserting the following; ``Through 2027.--
``(1) In general.--Notwithstanding subsection (a), and
except to the extent provided in paragraph (2)'', and
(2) by adding at the end the following new paragraph:
``(2) Exception for unreimbursed food, lodging, travel, or
transportation expenses of employees.--For such taxable years--
``(A) In general.--An individual may take into
account under subsection (a) 85 percent of any
miscellaneous itemized deductions for the taxable year
which are unreimbursed food, lodging, travel, or
transportation expenses paid or incurred by the
individual in connection with the performance of
services as an employee.
``(B) Modified floor.--Subsection (a) shall be
applied by substituting `1 percent' for `2 percent'.''.
(b) Effective Date.--The amendment made by this section shall take
effect as if included in section 11045 of Public Law 115-97 (commonly
known as the Tax Cuts and Jobs Act).
(c) Extension of Statute of Limitation on Credit or Refund.--If the
period of limitation on a credit or refund resulting from the
amendments made by subsection (a) expires before the end of the 1-year
period beginning on the date of the enactment of this Act, refund or
credit of such overpayment (to the extent attributable to such
amendments) may, nevertheless, be made or allowed if claim therefor is
filed before the close of such 1-year period.
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