Working Class Bonus Tax Relief Act of 2024

HR 9800, the Working Class Bonus Tax Relief Act of 2024, creates a new tax deduction for individual workers receiving bonuses. It allows a deduction equal to up to 15% of an individual’s non-bonus wages from the same employer, but only for those earning under $100,000 annually (or $150,000 for heads of household, $200,000 for married couples filing jointly). The deduction applies to bonuses received after the bill’s enactment and expires after December 31, 2029. This provision directly affects low-to-moderate-income wage earners who receive employer bonuses, making it easier for them to reduce taxable income.