OPTIONAL BENEFITS FOR CERTAIN SCHOOL EMPLOYEES.

SEC. 302. OPTIONAL BENEFITS FOR CERTAIN SCHOOL EMPLOYEES. (a) In General.— (1) Subclause (I) of section 3304(a)(6)(A)(ii) of the Internal Revenue Code of 1986 is amended by striking “shall be denied” and inserting “may be denied”. (2) Subparagraph (A) of section 3304(a)(6) of such Code is amended by striking “and” at the end of clauses (iii) and (iv) and by inserting after clause (v) the following new clause: “(vi) with respect to services described in clause (ii), clauses (iii) and (iv) shall be applied by substituting ‘may be denied’ for ‘shall be denied’, and”. (b) Effective Date.— The amendments made by this section shall apply in the case of compensation paid for weeks beginning on or after the date of the enactment of this Act.