[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 2173 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 2173 To amend the Internal Revenue Code of 1986 to allow for deductions for the performance of certain services by a taxpayer, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES March 18, 2025 Ms. Budzinski (for herself and Mr. Garbarino) 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 for deductions for the performance of certain services by a taxpayer, and for other purposes. 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 ``Tools Tax Deduction Act''. SEC. 2. ALLOWANCE OF DEDUCTION FOR CERTAIN EXPENSES OF BEING AN EMPLOYEE. (a) Above-the-Line Deduction for Certain Expenses.--Section 62(a)(1) of the Internal Revenue Code of 1986 is amended by adding at the end the following new sentence: ``The limitation under the preceding sentence shall not apply to deductions which are attributable to a trade or business consisting of the performance of services by the taxpayer as an employee if such deductions are for construction tools, personal protective clothing and gear, and other expenses in connection with such place of employment which are necessary for such individual to be able to work.''. (b) Allowance of Miscellaneous Itemized Deduction for Other Expenses of the Trade or Business of Being an Employee.--Section 67(g) of the Internal Revenue Code of 1986 is amended-- (1) by striking ``2025.--Notwithstanding subsection (a),'' and inserting ``2025.-- ``(1) In general.--Notwithstanding subsection (a), except as provided in paragraph (2),'', and (2) by adding at the end the following: ``(2) Exceptions for expenses of the trade or business of being an employee.-- ``(A) In general.--Paragraph (1) shall not apply to miscellaneous itemized deductions for any taxable year which are itemized deductions attributable to a trade or business carried on by the taxpayer which consists of the performance of services by the taxpayer as an employee. ``(B) Application of 2-percent test.--In applying subsection (a) for any taxable year to which this paragraph applies, only the itemized deductions described in subparagraph (A) shall be taken into account as miscellaneous itemized deductions.''. (c) Effective Date.--The amendments made by this section shall apply to taxable years beginning after December 31, 2025. <all>