Signed by President Bill Clinton

Vote Smart's Synopsis:

Vote to adopt a conference report of a bill that increases minimum wage, establishes tax credits for workers on welfare, and revises tax laws for businesses, among other provisions.

Highlights:

• Increases the minimum wage rate from $4.25 per hour to $4.75 per hour during the year beginning on October 1, 1996 and to $5.15 per hour beginning September 1, 1997.

• Allows an employer to waive the minimum wage increase for any employee less than 20 years old during the first 90 days of their employment and pay $4.25 per hour.

• Exempts certain computer professionals from minimum wage and overtime requirements when they earn at least $27.63 an hour.

• Increases incrementally the expense treatment of small businesses to $25,000 by 2003.

• Establishes SIMPLE, a savings incentive match plan where employers match the deposits of an employee up to a certain amount and gives employees the option of receiving cash or depositing the employers money into the account.

• Decreases the work credit for certain veterans, ex-felons, high-risk youths, and food stamp recipients from 40% to 35%, and renames the program as the Work Opportunity Tax Credit.

• Establishes the Social Security Retirement age as a uniform retirement age.

• Extends the Airport and Airway Trust fund excise tax until January 1, 1997.

• Exempts a qualified State tuition program from taxation.

• Allows the President to provide duty-free treatment for an eligible product or products to a beneficiary developing country when certain conditions apply concerning the country's government, the value of goods exported to the United States, the economic conditions of the country, and other similar factors.

• Redefines small business corporations (S Corporations) for tax purposes as having as many as 75 stockholders instead of 35.

• Phases out the Puerto Rico and possession tax credit for certain U.S. businesses operating in Puerto Rico.

• Allows punitive damages for injury or illness to be taxed.

• Allows damages for emotional distress to be taxed.

• Repeals the diesel fuel tax rebate to purchasers of diesel-powered automobiles and light trucks.

Full Bill Text

Vote Smart's Synopsis:

Vote to adopt a conference report of a bill that increases minimum wage, establishes tax credits for workers on welfare, and revises tax laws for businesses, among other provisions.

Highlights:

• Increases the minimum wage rate from $4.25 per hour to $4.75 per hour during the year beginning on October 1, 1996 and to $5.15 per hour beginning September 1, 1997.

• Allows an employer to waive the minimum wage increase for any employee less than 20 years old during the first 90 days of their employment and pay $4.25 per hour.

• Exempts certain computer professionals from minimum wage and overtime requirements when they earn at least $27.63 an hour.

• Increases incrementally the expense treatment of small businesses to $25,000 by 2003.

• Establishes SIMPLE, a savings incentive match plan where employers match the deposits of an employee up to a certain amount and gives employees the option of receiving cash or depositing the employers money into the account.

• Decreases the work credit for certain veterans, ex-felons, high-risk youths, and food stamp recipients from 40% to 35%, and renames the program as the Work Opportunity Tax Credit.

• Establishes the Social Security Retirement age as a uniform retirement age.

• Extends the Airport and Airway Trust fund excise tax until January 1, 1997.

• Exempts a qualified State tuition program from taxation.

• Allows the President to provide duty-free treatment for an eligible product or products to a beneficiary developing country when certain conditions apply concerning the country's government, the value of goods exported to the United States, the economic conditions of the country, and other similar factors.

• Redefines small business corporations (S Corporations) for tax purposes as having as many as 75 stockholders instead of 35.

• Phases out the Puerto Rico and possession tax credit for certain U.S. businesses operating in Puerto Rico.

• Allows punitive damages for injury or illness to be taxed.

• Allows damages for emotional distress to be taxed.

• Repeals the diesel fuel tax rebate to purchasers of diesel-powered automobiles and light trucks.

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that increases minimum wage, establishes tax credits for workers on welfare, and revises tax laws for businesses, among other provisions.

Highlights:

• Increases the minimum wage rate from $4.25 per hour to $4.75 per hour during the year beginning on July 1, 1996 and to $5.15 per hour beginning January 1, 1997.

• Allows an employer to waive the minimum wage increase for any employee less than 20 years old during the first 90 days of their employment and pay $4.25 per hour.

• Exempts certain computer professionals from minimum wage and overtime requirements when they earn at least $27.63 per hour.

• Increases incrementally the expense treatment of small businesses to $25,000 by 2003.

• Redefines small business corporations (S Corporations) for tax purposes as those having a maximum of 75 stockholders instead of 35.

• Establishes SIMPLE, a savings incentive match plan where employers match the deposits of an employee up to a certain amount and gives employees the option of receiving cash or depositing the employers money into the account.

• Decreases the work credit for certain veterans, ex-felons, high-risk youths, and food stamp recipients from 40% to 35%, and renames the program as the Work Opportunity Tax Credit.

• Establishes the Social Security Retirement age as a uniform retirement age.

• Extends the Airport and Airway Trust fund excise tax.

• Exempts a qualified State tuition program from taxation.

• Phases out the Puerto Rico and possession tax credit for certain U.S. businesses operating in Puerto Rico.

• Allows punitive damages for injury or illness to be taxed.

• Allows damages for emotional distress to be taxed.

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that increases minimum wage, establishes tax credits for workers on welfare, and revises tax laws for businesses, among other provisions.

Highlights:

• Increases the minimum wage rate from $4.25 per hour to $4.75 per hour during the year beginning July 1, 1996, and to $5.15 per hour beginning January 1, 1997.

• Allows an employer to waive the minimum wage increase for any employee less than 20 years old during the first 90 days of his or her employment, and pay $4.25 per hour.

• Exempts certain computer professionals from minimum wage and overtime requirements when they earn at least $27.63 an hour.

• Increases incrementally the expense treatment for small businesses to $25,000 by 2003.

• Allows employers to take out taxes for both reported and unreported employee tips.

• Redefines small business corporations (S Corporations) for tax purposes as those having a maximum of 75 stockholders instead of 35.

• Establishes SIMPLE, a savings incentive match plan where employers match the deposits of an employee up to a certain amount, and employees have the option of receiving cash or depositing the employers money into the account.

• Decreases the work credit for certain veterans, ex-felons, high-risk youths, and food stamp recipients from 40% to 35%, and renames the program as the Work Opportunity Tax Credit.

• Establishes the Social Security Retirement age as a uniform retirement age.

• Phases out the Puerto Rico and possession tax credit for certain U.S. businesses operating in Puerto Rico.

• Allows punitive damages for injury or illness to be taxed.

• Allows damages for emotional distress to be taxed.

• Repeals the diesel fuel tax rebate for purchasers of diesel-powered automobiles and light trucks.

Full Bill Text

Full Bill Text