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H.R. 3042 104th Congress House

Tax-Free Savings and Investment Income Act

Official title: To amend the Internal Revenue Code of 1986 to allow individuals an exclusion from gross income for certain amounts of unearned income.

Introduced: March 7, 1996 Introduced by: Cleo Fields Democratic · Louisiana See on congress.gov
Taxation AnnuitiesFinance and Financial SectorIncomeIncome tax
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InvestmentsLabor and EmploymentRetirement incomeSaving and investmentTax exclusion
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This bill died when the 104th Congress ended
It never became law before the 104th Congress (1995–1996) adjourned, and bills don't carry over to the next Congress. It would have to be reintroduced. You can still save it for reference, but it won't receive updates.
 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Mar 7, 1996
Referred to the House Committee on Ways and Means.
Mar 7, 1996
Introduced in House
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 Latest action March 7, 1996

Referred to the House Committee on Ways and Means.

 Plain-English summary Congressional Research Service

Tax-Free Savings and Investment Income Act - Amends the Internal Revenue Code to exclude from gross income up to $5,000 ($10,000 in the case of a joint return) of unearned income. Defines unearned income to mean income other than income from: (1) wages, salaries, tips, and other employee compensation; and (2) earned income from self-employment. Includes pension and annuity income in such definition. Makes ineligible for the exclusion: (1) certain nonresident aliens; and (2) estates and trusts.

 Bill text 1 version

Source documents hosted by congress.gov.

 Committees of jurisdiction 1
 Cosponsors 1
All 1 Democratic 1
D
Norton, Eleanor Holmes
District of Columbia · May 7, 1996
Cite this page click to expand
APA
U.S. Congress. (2026). H.R. 3042: Tax-Free Savings and Investment Income Act. 104th Congress. Open America. https://openamerica.io/bill/104-HR-3042/
MLA
"H.R. 3042: Tax-Free Savings and Investment Income Act." 104th Congress, 2026, Open America, https://openamerica.io/bill/104-HR-3042/.
Bluebook (legal)
H.R. 3042, 104th Cong. (2026), https://openamerica.io/bill/104-HR-3042/.
Markdown link
[H.R. 3042: Tax-Free Savings and Investment Income Act](https://openamerica.io/bill/104-HR-3042/)
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