S3076-118

1. Short title This Act may be cited as the Disability Employment Incentive Act.

2. Expansion of work opportunity credit to include individuals receiving disability benefits under the Social Security Act Subsection (d) of section 51 of the Internal Revenue Code of 1986 is amended— in paragraph (1)— in subparagraph (I), by striking or at the end, in subparagraph (J), by striking the period at the end and inserting , or, and by adding at the end the following new subparagraph: a qualified disability insurance beneficiary. by adding at the end the following new paragraph: The term qualified disability insurance beneficiary means any individual who receives, for any month ending within the 60-day period ending on the hiring date— monthly insurance benefits under section 202 of the Social Security Act (42 U.S.C. 402) based on such individual's disability (as defined in section 223(d) of such Act), or disability insurance benefits under section 223 of such Act (42 U.S.C. 423). Section 3111(e) of the Internal Revenue Code of 1986 is amended— in the heading, by inserting or qualified disability insurance beneficiaries after qualified veterans, in paragraph (1)— by inserting or a qualified disability insurance beneficiary after a qualified veteran, and by inserting or such qualified disability insurance beneficiary after such qualified veteran, in paragraph (2), by inserting and qualified disability insurance beneficiaries after all qualified veterans, in paragraph (3)(C), by inserting or a qualified disability insurance beneficiary after a qualified veteran, in paragraph (4)— by inserting or any qualified disability insurance beneficiary after any qualified veteran, and by inserting or such qualified disability insurance beneficiary after such qualified veteran, in paragraph (5)— in subparagraph (A), by striking and at the end, in subparagraph (B), by striking the period at the end and inserting , and, and by adding at the end the following: the term qualified disability insurance beneficiary has the same meaning given such term by section 51(d)(16). by adding at the end the following: In the case of any qualified tax-exempt organization which, for any period, employs any individual under a special certificate, for purposes of determining the amount of any credit allowed under paragraph (1), such determination shall not include any wages paid to any qualified disability insurance beneficiary during such period. For purposes of this paragraph, the term special certificate means a special certificate issued under section 14(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)). Section 52(c)(2) of such Code is amended— in the heading, by inserting or qualified disability insurance beneficiaries after qualified veterans, and by inserting or qualified disability insurance beneficiaries after qualified veterans. There are hereby appropriated to the Federal Old-Age and Survivors Trust Fund and the Federal Disability Insurance Trust Fund established under section 201 of the Social Security Act (42 U.S.C. 401) amounts equal to the reduction in revenues to the Treasury by reason of the amendments made by paragraphs (1) and (2). Amounts appropriated by the preceding sentence shall be transferred from the general fund at such times and in such manner as to replicate to the extent possible the transfers which would have occurred to such Trust Fund had such amendments not been enacted. The amendments made by this section shall apply to individuals who begin work for the employer after December 31, 2023. (K)a qualified disability insurance beneficiary., and (16)Qualified disability insurance beneficiaryThe term qualified disability insurance beneficiary means any individual who receives, for any month ending within the 60-day period ending on the hiring date—(A)monthly insurance benefits under section 202 of the Social Security Act (42 U.S.C. 402) based on such individual's disability (as defined in section 223(d) of such Act), or(B)disability insurance benefits under section 223 of such Act (42 U.S.C. 423).. (C)the term qualified disability insurance beneficiary has the same meaning given such term by section 51(d)(16)., and (6)14(c) certificate holders(A)In generalIn the case of any qualified tax-exempt organization which, for any period, employs any individual under a special certificate, for purposes of determining the amount of any credit allowed under paragraph (1), such determination shall not include any wages paid to any qualified disability insurance beneficiary during such period.(B)Special certificateFor purposes of this paragraph, the term special certificate means a special certificate issued under section 14(c) of the Fair Labor Standards Act of 1938 (29 U.S.C. 214(c))..