BillTrack50 logo
Free Signup Login
Bill

Bill > HR5475

US HR5475

US HR5475
No Tax on Overtime for All Workers Act

summary

Introduced
09/18/2025
In Committee
09/18/2025
Crossed Over
Passed
Dead

Introduced Session

119th Congress

Bill Summary

A BILL To amend the Internal Revenue Code of 1986 to allow a deduction for certain overtime compensation.

AI Summary

This bill amends the Internal Revenue Code to create a tax deduction for certain overtime compensation, allowing workers to receive a tax break on extra earnings from overtime work. Specifically, the bill defines "qualified overtime compensation" in two ways: first, as overtime pay required under the Fair Labor Standards Act that exceeds an employee's regular rate, and second, as compensation paid above an employee's regular rate under a pre-agreed arrangement with an employer. For the second category, the overtime must either exceed a standard work period of at least 40 hours per 7-day period, or, in the case of employees covered by the Railway Labor Act, involve hours beyond scheduled or anticipated duty hours. The bill's provisions would take effect for taxable years beginning after December 31, 2024, meaning workers could start claiming this deduction on their 2025 tax returns. The aim of the legislation appears to be providing financial relief to workers who put in additional hours beyond their standard work schedule, potentially incentivizing overtime work and offering some tax benefit to employees who work extra hours.

Committee Categories

Budget and Finance

Sponsors (53)

Nicole Malliotakis (R)*,  Mark Alford (R),  Don Bacon (R),  Jack Bergman (R),  Mike Bost (R),  Brendan Boyle (D),  Robert Bresnahan (R),  Nikki Budzinski (D),  Kat Cammack (R),  Mike Carey (R),  Don Davis (D),  Chris Deluzio (D),  Debbie Dingell (D),  Chuck Edwards (R),  Sarah Elfreth (D),  Brian Fitzpatrick (R),  John Garamendi (D),  Andrew Garbarino (R),  Laura Gillen (D),  Carlos Giménez (R),  Steven Horsford (D),  Val Hoyle (D),  Tom Kean (R),  Timothy Kennedy (D),  Jen Kiggans (R),  Nick LaLota (R),  Nick Langworthy (R),  Mike Lawler (R),  Mike Levin (D),  Stephen Lynch (D),  Ryan Mackenzie (R),  Seth Magaziner (D),  Sarah McBride (D),  Michael McCaul (R),  Max Miller (R),  Frank Mrvan (D),  Joe Neguse (D),  Eleanor Holmes Norton (D),  Nellie Pou (D),  Josh Riley (D),  Michael Rulli (R),  María Salazar (R),  Derek Schmidt (R),  Chris Smith (R),  Pete Stauber (R),  Tom Suozzi (D),  Emilia Sykes (D),  Jill Tokuda (D),  Derrick Van Orden (R),  Eugene Vindman (D),  Ann Wagner (R),  James Walkinshaw (D),  Maxine Waters (D), 

Last Action

Referred to the House Committee on Ways and Means. (on 09/18/2025)

Bill Topics

Labor and Employment
  • ‐ Fair Labor Standards
Macroeconomics
  • ‐ Taxation, Tax Policy, and Tax Reform
(2 Companion Bills)

bill text

bill summary

Loading...

bill summary

Loading...

bill summary

Document Type Source Location Created
State Bill Page https://www.congress.gov/bill/119th-congress/house-bill/5475/all-info 09/19/2025
BillText https://www.congress.gov/119/bills/hr5475/BILLS-119hr5475ih.pdf 10/04/2025
Loading...