Bill · H.R. 1691· House(119-HR-1691)
Employee Business Expense Deduction Reinstatement Act of 2025
- Introduced
- 2/27/2025
- Last activity
- 2/27/2025 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Glenn Grothman
- Cosponsors
- - 1 - 0
- Introduced
- In Committee
What this bill would do
This bill, known as the "Employee Business Expense Deduction Reinstatement Act of 2025," seeks to amend the Internal Revenue Code of 1986. It aims to allow certain unreimbursed employee expenses to be used as miscellaneous itemized deductions. Specifically, it targets expenses related to food, lodging, travel, or transportation incurred while performing services as an employee. The bill would allow individuals to take into account 85 percent of these specific unreimbursed expenses. It also proposes a change to the application of subsection (a) by substituting the floor from 2 percent to 1 percent.
Yes· 3 of 7
Would middle-income households be better off under this?+5
Middle-income families can deduct 85 percent of certain unreimbursed job-related costs.
Does this cut taxes for middle-income families?+5
The bill allows for the deduction of 85 percent of unreimbursed work-related expenses like travel and lodging.
Would high-income households be better off under this?+4
The bill provides new itemized deduction opportunities for high earners with unreimbursed expenses.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Tax Deductions for Work Expenses: Under Section 2(a)(2)(A), individuals may be able to take into account 85 percent of unreimbursed miscellaneous itemized deductions for food, lodging, travel, or transportation expenses paid or incurred in connection with their job.
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Adjusted Deduction Floor: Per Section 2(a)(2)(B), the floor for subsection (a) would be changed by substituting '1 percent' for '2 percent', which modifies how the deduction is applied.
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Refund Opportunities: Section 2(c) provides that if the period of limitation on a credit or refund expires before the end of a 1-year period following the Act's enactment, a refund or credit may still be made or allowed if the claim is filed before that 1-year period closes.
Potential Negative Impacts for People
- Limited Expense Coverage: According to Section 2(a)(2)(A), the deduction is specifically limited to 85 percent of unreimbursed food, lodging, travel, or transportation expenses incurred in connection with the performance of services as an employee.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Middle Class Households+5Good For High Income Households+4Good For Middle Aged+3Good For Union Workers+3Good For Young Adults+3Good For Low Income Households+2
- Economy And Finance
- Reduces Middle Class Taxes+5
- 2/27/2025
- Referred to the House Committee on Ways and Means.
- 1 Cosponsor added.
- Introduced in House
Andy HarrisRepublican · Maryland