Eligible fire responders could leave income out of federal tax calculations

A qualifying taxpayer could leave the first $100,000 of ordinary income out when calculating federal income tax. The rules cover full-time employees in defined fire protection activities and volunteer first responders who meet the bill's requirements. Employees must work full-time in defined fire protection activities during the tax year and have at least five combined years of full-time work in those activities by the start of that year. Volunteers must serve continuously with the same eligible employer for the five years before submitting their letter. Each year, they must meet the employer's active-member minimum, or volunteer at least 200 hours if the employer has no minimum. Volunteers must be certified in fire protection activities by a state, local government, or tribal jurisdiction. During the tax year, they must submit to the Secretary a letter from their employer's head. The letter must give their join date, attest that they meet the service and activity requirements, and include a copy of their certification. The exclusion would apply to tax years beginning after the date this proposal is enacted.