What This Bill Does · Plain English
Summary · Congress.gov
Fairness for the Trades Act This bill expands the expenses that may be paid for with tax-free distributions from a qualified tuition program (known as a 529 plan) to include those incurred to purchase business property in certain industries. (Some limitations apply.) Under the bill, tax-free 529 plan distributions may be used to pay for certain property for use by the plan beneficiary in industries within the following industry groups (as classified in the North American Industry Classification System): timber tract operations; forest nurseries and gathering of forest products; logging; fishing; hunting and trapping; support activities for forestry; residential and nonresidential building construction; utility system construction; land subdivision; highway, street, and bridge construction; other heavy and civil engineering construction; foundation, structure, and building exterior contracting; building equipment contracting; building finishing contracting; other specialty trade contracting; automotive repair and maintenance; electronic and precision equipment repair and maintenance; commercial and industrial machinery and equipment (except automotive and electronic) repair and maintenance; and personal and household goods repair and maintenance.
Action Timeline
2025-01-28
Referred to the House Committee on Ways and Means.
2025-01-28
Introduced in House
2025-01-28
Introduced in House
Frequently Asked Questions
Did HR.808 pass?
HR.808 is still alive. Current stage: COMMITTEE. Pass likelihood: 36%.
What does HR.808 do?
Fairness for the Trades Act This bill expands the expenses that may be paid for with tax-free distributions from a qualified tuition program (known as a 529 plan) to include those incurred to purchase business property in certain industries. (Some limitations apply.) Under the bill, tax-free 529 plan distributions may be used to pay for certain property for use by the plan beneficiary in industries within the following industry groups (as classified in the North American Industry Classification System): timber tract operations; forest nurseries and gathering of forest products; logging; fishin…
Who sponsored HR.808?
HR.808 was sponsored by Marie Gluesenkamp Perez (D-Washington).
Full Bill Text
119 HR 808 IH: Fairness for the Trades Act U.S. House of Representatives 2025-01-28 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. I 119th CONGRESS 1st Session H. R. 808 IN THE HOUSE OF REPRESENTATIVES January 28, 2025 Ms. Perez (for herself and Mr. Edwards ) 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 permit qualified business trade expenses to be treated as qualified higher education expenses for purposes of 529 accounts. 1. Short title This Act may be cited as the Fairness for the Trades Act . 2. Qualified business trade expenses treated as qualified higher education expenses for purposes of 529 accounts (a) In general Section 529(e)(3) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph: (C) Qualified business trade expenses The term qualified higher education expenses includes qualified business trade expenses (as defined in subsection (f)). . (b) Qualified business trade expenses Section 529 is amended by redesignating subsection (f) as subsection (g) and by inserting after subsection (e) the following new subsection: (f) Qualified business trade expenses For purposes of this section— (1) In general The term qualified post business trade expenses means amounts paid by the designated beneficiary for specified business property used by the designated beneficiary in a qualified trade field. (2) Specified business property The term specified business property means tangible property (other than buildings) which is of a character subject to the allowance for depreciation. (3) Qualified trade field The term qualified trade field means any field which is described by one of the following National industry codes of the North American Industry Classification System: 113110, 113210, 113310, 114111, 114112, 114119, 114210, 115310, 236115, 236116, 236117, 236118, 236210, 236220, 237110, 237120, 237130, 237210, 237310, 237990, 238110, 238120, 238130, 238140, 238150, 238160, 238170, 238190, 238210, 238220, 238290, 238310, 238320, 238330, 238340, 238350, 238390, 238910, 238990, 811111, 811114, 811198, 811210, 811310, 811411, 811412, 811420, 811430, or 811490. . (c) Effective date The amendments made by this section shall apply to expenses paid in taxable years beginning after the date of the enactment of this Act.
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