Referred to the House Committee on Ways and Means.
The bill amends the Internal Revenue Code to remove federal income taxation of unemployment compensation for taxable years beginning after December 31, 2024. It applies to amounts received after that date and thus excludes unemployment benefits from gross income for federal income tax purposes.
Supporters emphasize direct relief; opponents emphasize revenue loss and incentives.
Relative to its intended legislative type, this bill is a narrowly focused substantive change to the Internal Revenue Code that is mechanically precise in its statutory amendment and effective-dating but is minimal in ancillary detail.
The bill amends the Internal Revenue Code to remove federal income taxation of unemployment compensation for taxable years beginning after December 31, 2024.
It applies to amounts received after that date and thus excludes unemployment benefits from gross income for federal income tax purposes.
Narrow and administrable but costly and lacking offsets; easier in lower chamber, difficult to clear a divided or supermajority-requiring upper chamber.
Relative to its intended legislative type, this bill is a narrowly focused substantive change to the Internal Revenue Code that is mechanically precise in its statutory amendment and effective-dating but is minimal in ancillary detail.
Supporters emphasize direct relief; opponents emphasize revenue loss and incentives.
These are examples from the analysis, not a ranked list of the most-affected groups.
Supporters emphasize direct relief; opponents emphasize revenue loss and incentives.
Likely broadly supportive: this reduces the tax burden on people receiving unemployment benefits and increases net income during joblessness.
Viewed as strengthening the social safety net and correcting a regressive tax outcome.
Mixed but cautiously favorable if fiscal impacts are addressed.
Sees value in targeted relief, but wants cost estimates and offsets to avoid widening deficits.
Likely opposed: views this as an untargeted tax break that reduces revenue and may weaken work incentives.
Prefers limiting federal expansion and preserving fiscal discipline.
Reached or meaningfully advanced
Reached or meaningfully advanced
Still ahead
Still ahead
Still ahead
Narrow and administrable but costly and lacking offsets; easier in lower chamber, difficult to clear a divided or supermajority-requiring upper chamber.
The bill has not accumulated any surfaced votes yet.
Supporters emphasize direct relief; opponents emphasize revenue loss and incentives.
Narrow and administrable but costly and lacking offsets; easier in lower chamber, difficult to clear a divided or supermajority-requiring u…
Relative to its intended legislative type, this bill is a narrowly focused substantive change to the Internal Revenue Code that is mechanically precise in its statutory amendment and effective-dating but is minimal in a…
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