# 114-hr-4770: To amend the Internal Revenue Code of 1986 to provide appropriate rules for the application of the deduction for income attributable to domestic production activities with respect to certain contract manufacturing or production arrangements.

114-hr-4770, To amend the Internal Revenue Code of 1986 to provide appropriate rules for the application of the deduction for income attributable to domestic production activities with respect to certain contract manufacturing or production arrangements., is a 114th Congress bill sponsored by PATRICK TIBERI (R-OH); status Referred to the House Committee on Ways and Means. (as of 2025-11-18).

- Canonical: https://policyrisk.com/legislation/114-hr-4770
- As of: 2025-11-18
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 114-hr-4770
- Congress: 114
- Title: To amend the Internal Revenue Code of 1986 to provide appropriate rules for the application of the deduction for income attributable to domestic production activities with respect to certain contract manufacturing or production arrangements.
- Status: Referred to the House Committee on Ways and Means.
- Introduced: 2016-03-16
- Sponsor: PATRICK TIBERI (R-OH)
- Cosponsors: 20
- Policy area: Taxation
- Touches household money: no
- Last recorded action: 2025-11-18

## Summary

This bill amends the Internal Revenue Code to specify rules for applying the deduction for income from domestic production activities to contract manufacturing or production arrangements. In a contract manufacturing or production arrangement, a person contracts with one or more unrelated persons for the manufacture, production, growth, or extraction of an item of qualifying production property (tangible personal property, computer software, and sound recordings) or film. The qualifying production property must be manufactured, produced, grown, or extracted in whole or significant part within the United States. In an arrangement in which any person makes a substantial contribution through the activities of its employees within the United States to the manufacture, production, growth, or extraction of qualifying production property: (1) the person shall be treated as engaging in the activity, and (2) the domestic production gross receipts of the person shall include the gross receipts received under the arrangement for the activities. The Internal Revenue Service must prescribe regulations that include specified factors for determining a substantial contribution. A person with an economic risk of loss of more than 50% of the direct material costs necessary to the manufacture, production, growth, or extraction of the qualifying production is deemed to make a substantial contribution. The parties to an arrangement may agree in writing to: (1) make only one person eligible for the deduction, or (2) apply the rules retroactively to tax years in which only one person claimed the deduction.

## Cosponsors (20)

- Rep. Neal, Richard E. [D-MA-1] (D-MA), 2016-03-16T00:00:00.000Z
- Rep. Stivers, Steve [R-OH-15] (R-OH), 2016-03-16T00:00:00.000Z
- Rep. Beatty, Joyce [D-OH-3] (D-OH), 2016-03-16T00:00:00.000Z
- Rep. Roskam, Peter J. [R-IL-6] (R-IL), 2016-03-23T00:00:00.000Z
- Rep. Renacci, James B. [R-OH-16] (R-OH), 2016-04-13T00:00:00.000Z
- Rep. Boustany, Charles W., Jr. [R-LA-3] (R-LA), 2016-05-11T00:00:00.000Z
- Rep. Smith, Jason [R-MO-8] (R-MO), 2016-05-18T00:00:00.000Z
- Rep. Larson, John B. [D-CT-1] (D-CT), 2016-05-26T00:00:00.000Z
- JIM MCDERMOTT (D-WA), 2016-06-07T00:00:00.000Z
- Rep. Kind, Ron [D-WI-3] (D-WI), 2016-06-13T00:00:00.000Z
- Rep. Dold, Robert J. [R-IL-10] (R-IL), 2016-06-16T00:00:00.000Z
- Sen. Young, Todd [R-IN] (R-IN), 2016-06-21T00:00:00.000Z
- JOSEPH CROWLEY (D-NY), 2016-06-21T00:00:00.000Z
- Rep. Black, Diane [R-TN-6] (R-TN), 2016-06-21T00:00:00.000Z
- Rep. Noem, Kristi L. [R-SD-At Large] (R-SD), 2016-07-06T00:00:00.000Z
- Rep. Paulsen, Erik [R-MN-3] (R-MN), 2016-07-18T00:00:00.000Z
- Rep. Reed, Tom [R-NY-23] (R-NY), 2016-09-26T00:00:00.000Z
- Rep. Joyce, David P. [R-OH-14] (R-OH), 2016-09-28T00:00:00.000Z
- Rep. Jenkins, Lynn [R-KS-2] (R-KS), 2016-11-16T00:00:00.000Z
- Rep. Jordan, Jim [R-OH-4] (R-OH), 2016-12-02T00:00:00.000Z

## Related bills

- 114-hr-2903: Craft Beverage Modernization and Tax Reform Act of 2015
- 114-hr-699: Email Privacy Act
- 114-hr-5621: To posthumously award a Congressional Gold Medal to Lawrence Eugene "Larry" Doby in recognition of his achievements and contributions to American major league…
- 114-hr-4938: Free File Act of 2016
- 114-hr-4514: Combating BDS Act of 2016
- 114-hr-3929: Office of Strategic Services Congressional Gold Medal Act

## Sources
- [114-hr-4770 on Congress.gov](https://www.congress.gov/bill/114th-congress/house-bill/4770)

## Related
- [114-hr-2903: Craft Beverage Modernization and Tax Reform Act of 2015](https://policyrisk.com/legislation/114-hr-2903)
- [114-hr-699: Email Privacy Act](https://policyrisk.com/legislation/114-hr-699)
- [114-hr-5621: To posthumously award a Congressional Gold Medal to Lawrence Eugene "Larry" Dob…](https://policyrisk.com/legislation/114-hr-5621)
- [114-hr-4938: Free File Act of 2016](https://policyrisk.com/legislation/114-hr-4938)
- [114-hr-4514: Combating BDS Act of 2016](https://policyrisk.com/legislation/114-hr-4514)
- [114-hr-3929: Office of Strategic Services Congressional Gold Medal Act](https://policyrisk.com/legislation/114-hr-3929)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/114-hr-4770 (as of 2025-11-18).