Mom and Pop Tax Relief Act

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 3249 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 3249 To amend the Internal Revenue Code of 1986 to modify the qualified business income deduction. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES May 7, 2025 Ms. Moore of Wisconsin (for herself, Mr. Davis of Illinois, Ms. Chu, Ms. Velazquez, Ms. McCollum, and Mr. Latimer) 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 modify the qualified business income deduction. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Mom and Pop Tax Relief Act''. SEC. 2. MODIFICATION OF 199A DEDUCTION. (a) Deduction Allowed for First $25,000 of Qualified Business Income.-- (1) In general.--Section 199A(b)(1) of the Internal Revenue Code of 1986 is amended to read as follows: ``(1) In general.--The term `combined qualified business income amount' means, with respect to any taxable year, an amount equal to the lesser of-- ``(A) the sum of the taxpayer's qualified business income for each qualified trade or business carried on by the taxpayer, or ``(B) $25,000.''. (2) Conforming amendments.-- (A) Section 199A(a)(2) of such Code is amended by striking ``20 percent of''. (B) Section 199A(b) of such Code is amended by striking paragraph (2). (b) Consolidated Taxpayer Level Adjusted Gross Income Limitation.-- Section 199A(b) of such Code, as amended by subsection (a), is amended-- (1) by striking paragraph (3), and (2) by inserting after paragraph (1) the following new paragraph: ``(2) Adjusted gross income limitation.--The combined qualified business income of the taxpayer for the taxable year shall be red