OPTIONS Act

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 8314 Introduced in House (IH)] <DOC> 119th CONGRESS 2d Session H. R. 8314 To amend the Internal Revenue Code of 1986 to establish that employers may offer employees a choice among tax-favored employer contributions. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES April 15, 2026 Mr. Steube (for himself and Ms. DelBene) 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 establish that employers may offer employees a choice among tax-favored employer contributions. 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 ``Optimizing Participant Tax Incentives through Optional Noncash Selections Act'' or the ``OPTIONS Act''. SEC. 2. EXCLUSION OF CERTAIN EMPLOYER-PROVIDED BENEFITS UNDER A QUALIFIED BENEFIT OPTIONS PLAN. (a) In General.--Part III of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 125 the following new section: ``SEC. 125A. QUALIFIED BENEFIT OPTIONS PLANS. ``(a) In General.--Except as provided in subsection (c), no amount shall be included in the gross income of a participant in a qualified benefit options plan solely because, under the plan, the participant may choose among the benefits of the plan. ``(b) Qualified Benefit Options Plan.--For purposes of this section-- ``(1) In general.--The term `qualified benefit options plan' means a written plan or arrangement offered by an employer to employees and former employees (including retired employees) of the employer, under which participants-- ``(A) may elect to allocate employer contributions among qualified benefits, and ``(B) may not elect to recei