Section 1 Short title
This Act may be cited as the “Investing in Older Americans Act of 2016”.
Investing in Older Americans Act of 2016
A BILL
To amend the Internal Revenue Code of 1986 to provide a work opportunity tax credit for the older long-term unemployed recipient, and for other purposes.
Sec. 2 Extension and modification of work opportunity tax credit
Credit made permanent— Section 51(c) of the Internal Revenue Code of 1986 is amended by striking paragraph (4) and redesignating paragraph (5) as paragraph (4).
Credit for hiring older long-Term unemployment recipients—
In general— Section 51(d)(1) of such Code is amended by striking “or” at the end of subparagraph (H), by striking the period at the end of subparagraph (I) and inserting “, or”, and by adding at the end the following new subparagraph:
“(J) a qualified older long-term unemployment recipient.”
Qualified older long-term unemployment recipient— Section 51(d) of such Code is amended by adding at the end the following new paragraph:
“(15) Qualified older long-term unemployment recipient—The term qualified older long-term unemployment recipient means any individual who is certified by the designated local agency—
“(A) as having attained age 55 on the hiring date, and
“(B) as being a qualified long-term unemployment recipient.”
Limitation on wages taken into account— Section 51(b)(3) of such Code is amended—
by striking “subsection (d)(3)(A)(iv), and” and inserting “subsection (d)(3)(A)(iv),”, and
by striking “subsection (d)(3)(A)(ii)(II))” and inserting “subsection (d)(3)(A)(ii)(II), and $14,000 in the case of any individual who is a qualified older long-term unemployment recipient by reason of subsection (d)(15))”.
Inflation adjustment— Section 51(b) of such Code is amended by adding at the end the following:
“(4) Adjustment for inflation—In the case of any taxable year beginning after 2016, the $14,000 dollar amount contained in paragraph (3) relating to qualified older long-term unemployment recipients shall be increased by an amount equal to the product of—
“(A) such dollar amount, and
“(B) the cost of living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins determined by substituting “calendar year 2015” for “calendar year 1992” in subparagraph (B) thereof.”
Effective date— The amendments made by this section shall apply to individuals who begin work for the employer after December 31, 2015.