Trump accounts contribution pilot program

(a) In general Subchapter B of chapter 65 is amended by adding at the end the following new section: 6434. Trump accounts contribution pilot program (a) In general In the case of any taxpayer with respect to whom an eligible individual is a qualifying child, there shall be allowed a one-time credit of $1,000 with respect to each such eligible individual who is a qualifying child of such taxpayer which shall be payable by the Secretary only to the Trump account with respect to which such eligible individual is the account beneficiary. (b) Account established by Secretary (1) In general In the case of any eligible individual that the Secretary determines is not the account beneficiary of any Trump account as of the qualifying date of such eligible individual, the Secretary shall establish an account for the benefit of such eligible individual. (2) Qualifying date For purposes of paragraph (1), the term qualifying date means, with respect to an eligible individual, the first date on which a return of tax is filed by an individual with respect to whom such eligible individual is a qualifying child with respect to the taxable year to which such return relates. (3) Notification In the case of any eligible individual for the benefit of whom the Secretary establishes an account under paragraph (1), the Secretary shall— (A) notify any individual with respect to whom such eligible individual is a qualifying child for the taxable year described in paragraph (2) of the establishment of such account, and (B) shall provide an opportunity to such individual to elect to decline the application of this subsection to such qualifying child. (4) Determination of default trustee For purposes of selecting a trustee for an account established under paragraph (1), the Secretary shall take into account— (A) the history of reliability and regulatory compliance of such trustee, (B) the customer service experience of such trustee, (C) the costs imposed by such trustee on the account or account beneficiary, and (D) to the extent practicable, the preferences of any individual described in paragraph (3)(A) with respect to such eligible individual. (c) Eligible individual For purposes of subsection (a), the term eligible individual means an individual— (1) who is born after December 31, 2024, and before January 1, 2029, and (2) who is a United States citizen at birth. (d) Social security number required (1) In general No credit shall be allowed under subsection (a) to a taxpayer unless such taxpayer includes on the return of tax for the taxable year— (A) such individual’s social security number, (B) if such individual is married, the social security number of such individual’s spouse, and (C) the social security number of the eligible individual with respect to whom such credit is allowed. (2) Social security number defined For purposes of paragraph (1), the term social security number shall have the meaning given such term in section 24(h)(7). (e) Definitions For purposes of this section— (1) Qualifying child The term qualifying child has the meaning given such term in section 152(c). (2) Trump account; account beneficiary The terms Trump account and account beneficiary have the meaning given such terms in section 530A(b).. (b) Penalty for negligent claim or fraudulent claim Part I of subchapter A of chapter 68 of subtitle F is amended by adding at the end the following new section: 6659. Improper claim for Trump account contribution pilot program credit (a) In general In the case of any taxpayer that makes an excessive claim for a credit under section 6434— (1) if such excess is a result of negligence or disregard of the rules or regulations, there shall be imposed a penalty of $500, or (2) if such excess is a result of fraud, there shall be imposed a penalty of $1,000. (b) Definitions The terms negligence and disregard have the same meaning as when such terms are used in section 6662.. (c) Omission of correct social security number treated mathematical or clerical error Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended by striking and at the end of subparagraph (Y), by striking the period at the end of subparagraph (Z) and inserting, and, and by inserting after subparagraph (Z) the following new subparagraph: (AA) an omission of a correct social security number required under section 6434(d)(1) (relating to the Trump accounts contribution pilot program).. (d) Clerical amendments (1) The table of sections for subchapter B of chapter 65 is amended by adding at the end the following new item: Sec. 6434. Trump accounts contribution pilot program.. (2) The table of sections for part I of subchapter A of chapter 68 of subtitle F is amended by inserting after the item relating to section 6658 the following new item: Sec. 6659. Improper claim for Trump account contribution pilot program credit.. (e) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2024.

(a) In general Subchapter B of chapter 65 is amended by adding at the end the following new section: 6434. Trump accounts contribution pilot program (a) In general In the case of any taxpayer with respect to whom an eligible individual is a qualifying child, there shall be allowed a one-time credit of $1,000 with respect to each such eligible individual who is a qualifying child of such taxpayer which shall be payable by the Secretary only to the Trump account with respect to which such eligible individual is the account beneficiary. (b) Account established by Secretary (1) In general In the case of any eligible individual that the Secretary determines is not the account beneficiary of any Trump account as of the qualifying date of such eligible individual, the Secretary shall establish an account for the benefit of such eligible individual. (2) Qualifying date For purposes of paragraph (1), the term qualifying date means, with respect to an eligible individual, the first date on which a return of tax is filed by an individual with respect to whom such eligible individual is a qualifying child with respect to the taxable year to which such return relates. (3) Notification In the case of any eligible individual for the benefit of whom the Secretary establishes an account under paragraph (1), the Secretary shall— (A) notify any individual with respect to whom such eligible individual is a qualifying child for the taxable year described in paragraph (2) of the establishment of such account, and (B) shall provide an opportunity to such individual to elect to decline the application of this subsection to such qualifying child. (4) Determination of default trustee For purposes of selecting a trustee for an account established under paragraph (1), the Secretary shall take into account— (A) the history of reliability and regulatory compliance of such trustee, (B) the customer service experience of such trustee, (C) the costs imposed by such trustee on the account or account beneficiary, and (D) to the extent practicable, the preferences of any individual described in paragraph (3)(A) with respect to such eligible individual. (c) Eligible individual For purposes of subsection (a), the term eligible individual means an individual— (1) who is born after December 31, 2024, and before January 1, 2029, and (2) who is a United States citizen at birth. (d) Social security number required (1) In general No credit shall be allowed under subsection (a) to a taxpayer unless such taxpayer includes on the return of tax for the taxable year— (A) such individual’s social security number, (B) if such individual is married, the social security number of such individual’s spouse, and (C) the social security number of the eligible individual with respect to whom such credit is allowed. (2) Social security number defined For purposes of paragraph (1), the term social security number shall have the meaning given such term in section 24(h)(7). (e) Definitions For purposes of this section— (1) Qualifying child The term qualifying child has the meaning given such term in section 152(c). (2) Trump account; account beneficiary The terms Trump account and account beneficiary have the meaning given such terms in section 530A(b).. (b) Penalty for negligent claim or fraudulent claim Part I of subchapter A of chapter 68 of subtitle F is amended by adding at the end the following new section: 6659. Improper claim for Trump account contribution pilot program credit (a) In general In the case of any taxpayer that makes an excessive claim for a credit under section 6434— (1) if such excess is a result of negligence or disregard of the rules or regulations, there shall be imposed a penalty of $500, or (2) if such excess is a result of fraud, there shall be imposed a penalty of $1,000. (b) Definitions The terms negligence and disregard have the same meaning as when such terms are used in section 6662.. (c) Omission of correct social security number treated mathematical or clerical error Section 6213(g)(2), as amended by the preceding provisions of this Act, is amended by striking and at the end of subparagraph (Y), by striking the period at the end of subparagraph (Z) and inserting, and, and by inserting after subparagraph (Z) the following new subparagraph: (AA) an omission of a correct social security number required under section 6434(d)(1) (relating to the Trump accounts contribution pilot program).. (d) Clerical amendments (1) The table of sections for subchapter B of chapter 65 is amended by adding at the end the following new item: Sec. 6434. Trump accounts contribution pilot program.. (2) The table of sections for part I of subchapter A of chapter 68 of subtitle F is amended by inserting after the item relating to section 6658 the following new item: Sec. 6659. Improper claim for Trump account contribution pilot program credit.. (e) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2024.