S. 1286
119th CONGRESS 1st Session
To amend the Internal Revenue Code of 1986 to allow workers an above-the-line deduction for union dues and expenses and to allow a miscellaneous itemized deduction for workers for all unreimbursed expenses incurred in the trade or business of being an employee.
IN THE SENATE OF THE UNITED STATES · April 3, 2025 · Sponsor: Ms. Smith · Committee: Committee on Finance
Table of contents
- SEC. 1. Short title
- SEC. 2. Allowance of deduction for certain expenses of the trade or business of being an employee
SEC. 1. Short title
This Act may be cited as the "Tax Fairness for Workers Act".
SEC. 2. Allowance of deduction for certain expenses of the trade or business of being an employee
(a) Above-the-Line deduction for union dues and expenses
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 union dues and expenses." (Section 62(a)(1))
(b) Allowance of miscellaneous itemized deduction for other expenses of the trade or business of being an employee
of the Internal Revenue Code of 1986 is amended— (Section 67(g)) (1) by striking and inserting “.—
(1) Notwithstanding subsection (a), except as provided in paragraph (2),; and
(2) by adding at the end the following:
(2) Exception for expenses of the trade or business of being an employee (A) 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) 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, 2024.