Tax Relief for Working Americans Act of 1998

TABLE OF CONTENTS:

Title I: Provisions Primarily Affecting Individuals

Title II: Provisions Primarily Affecting Businesses

Subtitle A: Certain Expiring Provisions Modified and

Made Permanent

Subtitle B: Credit for Clinical Testing Research

Expenses Attributable to Certain Qualified Academic

Institutions Including Teaching Hospitals

Tax Relief for Working Americans Act of 1998 - Title I: Provisions Primarily Affecting Individuals - Amends the Internal Revenue Code to make the basic standard deduction for married individuals twice the deduction for unmarried individuals.

(Sec. 102) Provides for the full deduction for health insurance costs of individuals not eligible to participate in employer-subsidized health plans.

(Sec. 103) Revises provisions concerning the aggregate amount of nonrefundable personal credits allowed to provide that the aggregate amount of such credits shall not exceed the sum of the taxpayer's regular tax liability and the alternative minimum tax.

(Sec. 104) Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to increase, for any taxable year ending after 1998 and before 2000, the monthly exempt amount for individuals who have attained retirement age.

Title II: Provisions Primarily Affecting Businesses - Subtitle A: Certain Expiring Provisions Modified and Made Permanent - Makes permanent the credit for increasing research activities. Increases the alternative incremental credit rate.

(Sec. 202) Makes permanent the work opportunity credit. Sets forth, as a general rule, that the amount equal to the work opportunity credit amount with respect to any wages paid for any calendar quarter by an eligible tax-exempt employer shall be treated as payment by such employer of such employer's tax liability for such calendar quarter.

(Sec. 203) Extends permanently the special rule for contributions of stock for which market quotations are readily available.

(Sec. 204) Excludes from the definition of "foreign personal holding company income" income which is derived in the active conduct by a controlled foreign corporation of a banking, financing, or similar business, subject to stated conditions.

Subtitle B: Credit for Clinical Testing Research Expenses Attributable to Certain Qualified Academic Institutions Including Teaching Hospitals - Establishes a medical innovation credit equal to 20 percent of the excess (if any) of: (1) the qualified medical innovation expenses for the taxable year; over (2) the medical innovation base period amount. Defines terms.