Termination of Deduction for Personal Exemptions Other Than Temporary Senior Deduction
Section 70103 · Sec. 70103 ·
What this chapter is about
This part ends the personal exemption for good. It adds a new $6,000 deduction for people 65 and older. That deduction runs only through 2028 and fades at higher incomes. A social security number must be given to claim it.
“by striking "2018 through 2025" in the heading and inserting "beginning after 2017",”
The section replaces 2018 through 2025 in the heading of section 151(d)(5) of the Internal Revenue Code of 1986 with beginning after 2017, and strikes the words and before January 1, 2026.
What the document actually says
“by striking "2018 through 2025" in the heading and inserting "beginning after 2017",”
That sentence, in plain words
The years 2018 through 2025 are taken out of a heading. The words beginning after 2017 are put in.
What this is about
Words setting an end date are also struck. So the rule carries on with no end year. The tax code is not indexed here.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Secretary of the TreasuryHow: statuteSec. 70103 in the PDF
What the document says
“In the case of a taxable year beginning before January 1, 2029, there shall be allowed a deduction in an amount equal to $6,000 for each qualified individual with respect to the taxpayer.”
The section adds a new subparagraph (C) to section 151(d)(5) of the Internal Revenue Code of 1986 allowing a $6,000 deduction for each qualified individual, for taxable years beginning before January 1, 2029. A qualified individual is the taxpayer if aged 65 before the close of the taxable year and, on a joint return, the taxpayer's spouse if that spouse is 65 before the close of the year. A married taxpayer within the meaning of section 7703 may use the subparagraph only if the couple files a joint return.
What the document actually says
“In the case of a taxable year beginning before January 1, 2029, there shall be allowed a deduction in an amount equal to $6,000 for each qualified individual with respect to the taxpayer.”
That sentence, in plain words
A deduction of $6,000 is allowed. It is given for each person who qualifies. It runs only for tax years that begin before January 1, 2029.
What this is about
A person qualifies at age 65. On a joint return a spouse of 65 counts too. A married taxpayer must file jointly to use it.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall”Who acts: Secretary of the TreasuryHow: statuteSec. 70103 in the PDF
What the document says
“the $6,000 amount in clause (i) shall be reduced (but not below zero) by 6 percent of so much of the taxpayer's modified adjusted gross income as exceeds $75,000 ($150,000 in the case of a joint return).”
The section reduces the $6,000 amount, but not below zero, by 6 percent of the taxpayer's modified adjusted gross income above $75,000, or $150,000 on a joint return. Modified adjusted gross income means adjusted gross income increased by any amount excluded from gross income under section 911, 931 or 933. The deduction is not allowed for a qualified individual unless the taxpayer puts that person's social security number on the return, with social security number taking the meaning given in section 24(h)(7).
What the document actually says
“the $6,000 amount in clause (i) shall be reduced (but not below zero) by 6 percent of so much of the taxpayer's modified adjusted gross income as exceeds $75,000 ($150,000 in the case of a joint return).”
That sentence, in plain words
The $6,000 shrinks as income rises. It drops by 6 cents for each dollar over $75,000. On a joint return the line is $150,000. It never drops below zero.
What this is about
Income here counts some money earned abroad. The number must also appear on the tax return. Without it the deduction is not allowed.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “is amended”Who acts: Secretary of the TreasuryHow: statuteSec. 70103 in the PDF
What the document says
“an omission of a correct social security number required under section 151(d)(5)(C) (relating to deduction for seniors).”
The section adds a new subparagraph (W) to section 6213(g)(2) of the Internal Revenue Code of 1986 treating the omission of a correct social security number required for the senior deduction as a mathematical or clerical error.
What the document actually says
“an omission of a correct social security number required under section 151(d)(5)(C) (relating to deduction for seniors).”
That sentence, in plain words
Leaving out the right social security number counts as an error. It is treated the same as a mistake in the math.
What this is about
That label matters for how the return is fixed. What follows from it is set out in the tax code. That code is not indexed here.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall apply”Who acts: Secretary of the TreasuryHow: statuteSec. 70103 in the PDF
What the document says
“The amendments made by this section shall apply to taxable years beginning after December 31, 2024.”
The section applies its amendments to taxable years beginning after December 31, 2024.
What the document actually says
“The amendments made by this section shall apply to taxable years beginning after December 31, 2024.”
That sentence, in plain words
The changes start with tax years that begin after December 31, 2024.
What this is about
Earlier tax years are not touched. The old rules still hold for them. The date is fixed in the law.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Each distinct thing the section does: strike the end date and reword the heading, create the temporary deduction for seniors, set the income limit and the social security number and joint return conditions, treat an omitted number as a math error, and fix the effective date.
The mechanical edits in subsection (b) that strike an and and replace a period so a new subparagraph can be added.
The section works by amending sections 151(d)(5) and 6213(g)(2) of the Internal Revenue Code of 1986, which are not indexed here, so what the personal exemption provision otherwise says cannot be checked against anything on this site.
