Govwatch

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9626 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 9626

 To amend the Internal Revenue Code of 1986 to eliminate the State and 
                 local tax deduction marriage penalty.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                              July 9, 2026

Mr. Gottheimer 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 eliminate the State and 
                 local tax deduction marriage penalty.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. ELIMINATION OF STATE AND LOCAL TAX DEDUCTION MARRIAGE 
              PENALTY.

    (a) In General.--Section 164(b)(7)(A)(ii) of the Internal Revenue 
Code of 1986 is amended by striking ``2026, $40,400,'' and inserting 
the following: ``2026--
                                    ``(I) except as provided in 
                                subclauses (II) and (III), $40,400,
                                    ``(II) in the case of a joint 
                                return, 200 percent of the dollar 
                                amount under subclause (I), and
                                    ``(III) in the case of a married 
                                individual filing a separate return, 50 
                                percent of the dollar amount under 
                                subclause (I),''.
    (b) Modified Adjusted Gross Income Threshold Amount.--Section 
164(b)(7)(B)(ii)(II) of such Code is amended by striking ``2026, 
$505,000, and'' and inserting the following: ``2026--
                                    ``(aa) except as provided in 
                                subitems (bb) and (cc), $505,000,
                                    ``(bb) in the case of a joint 
                                return, 200 percent of the dollar 
                                amount under subitem (aa), and
                                    ``(cc) in the case of a married 
                                individual filing a separate return, 50 
                                percent of the dollar amount under 
                                subitem (aa), and''.
    (c) Conforming Amendments.--
            (1) Subparagraphs (A)(iii) and (B)(ii)(III) of section 
        164(b)(7) of such Code are each amended--
                    (A) by inserting ``with respect to the filling 
                status of the taxpayer for the taxable year,'' before 
                ``101 percent'', and
                    (B) by inserting ``, with respect to such filing 
                status,'' after ``in effect''.
            (2) Section 164(b)(6)(B) of such Code is amended by 
        striking ``(half the applicable limitation amount in the case 
        of a married individual filing a separate return)''.
            (3) Section 164(b)(7)(A)(iv) of such Code is amended by 
        inserting ``(half such amount in the case of a married 
        individual filing a separate return)''.
            (4) Section 164(b)(7)(B)(i) of such Code is amended by 
        striking ``(half the threshold amount in the case of a married 
        individual filing a separate return)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2026.
                                 <all>
To amend the Internal Revenue Code of 1986 to eliminate the State and local tax deduction marriage penalty.

Full Text
