1. Short title This Act may be cited as the Reducing Long-Term Unemployment Act . 2. Payroll tax exemption for hiring long-term unemployed individuals (a) Extension Paragraph (1) of section 3111(d) of the Internal Revenue Code of 1986 is amended by inserting or on the day after the date of the enactment of the Reducing Long-Term Unemployment Act and ending on December 31, 2018, after December 31, 2010, . (b) Modification (1) Unemployment requirement Subparagraph (B) of section 3111(d)(3) of such Code is amended to read as follows: (B) certifies by signed affidavit (under penalties of perjury) that such individual, during the entire 27-week period ending on the hiring date— (i) was in receipt of unemployment compensation under State or Federal law, or (ii) was unemployed and would have been so in receipt but for having exhausted the right to such unemployment compensation during such period, . (2) Limitation Subsection (d) of section 3111 of such Code is amended by adding at the end the following new paragraph: (6) Limitation The aggregate reduction in tax imposed under subsection (a) by reason of paragraph (1) with respect to each qualified individual in the employer’s employ shall not exceed $5,000. . (c) Application to railroad retirement taxes (1) Extension Paragraph (1) of section 3221(c) of such Code is amended by inserting or on the day after the date of the enactment of the Reducing Long-Term Unemployment Act and ending on December 31, 2018, after December 31, 2010, . (2) Modification (A) Unemployment requirement Subparagraph (B) of section 3221(c)(3) of such Code is amended to read as follows: (B) certifies by signed affidavit (under penalties of perjury) that such individual, during the entire 27-week period ending on the hiring date— (i) was in receipt of unemployment compensation under State or Federal law, or (ii) was unemployed and would have been so in receipt but for having exhausted the right to such unemployment compensation during such period, . (3) Limitation Subsection (c) of section 3221 of