The Take Responsibility for Workers and Families Act: Division T—Revenue Provisions

Summary

A number of recently introduced legislative proposals seek to alleviate the adverse economic effects of the COVID-19 outbreak. One such proposal, the Take Responsibility for Workers and Families Act (H.R. 6379), was introduced in the House on March 23, 2020. The proposal includes a number of provisions that would make changes to the tax system, including modifications that would

provide a one-time payment to households;

temporarily expand the earned income tax credit, child tax credit, and dependent care tax credit;

provide employer payroll tax credits for certain hospital expenses and for expanded sick and family leave programs;

modify the tax treatment of certain retirement fund withdrawals; and

allow net operating loss carrybacks for businesses.

This report briefly summarizes the major provisions included in Titles I through IV of Division T of H.R. 6379. Title I makes a number of tax changes affecting health-related activity; Title II includes economic assistance provisions for individuals and businesses; Title III modifies tax filing deadlines; and Title IV makes changes to the tax treatment of retirement funds. Links to CRS resources that offer additional information are provided as relevant. Legislative discussions concerning this legislation and other stimulus proposals are ongoing.

The Senate has considered a separate proposal, the Coronavirus Aid, Relief, and Economic Security (CARES) Act. More on the CARES Act can be found in CRS Report R46279, The Coronavirus Aid, Relief, and Economic Security (CARES) Act—Tax Relief for Individuals and Businesses, coordinated by Molly F. Sherlock.

This is the latest in a series of legislative packages addressing the COVID-19 outbreak. Two bills have already been enacted into law: the Coronavirus Preparedness and Response Supplemental Appropriations Act, 2020 (P.L. 116-123) and the Families First Coronavirus Response Act (P.L. 116-127). [Suppressed]