Revenue Code of 1986 is amended by striking 5 or more and inserting 8 or more . (e) Payroll tax credit portion Paragraph (2) of section 41(h) of the Internal Revenue Code of 1986 is amended— (1) by striking subparagraph (C), (2) by adding or at the end of subparagraph (A), and (3) by striking , or at the end of subparagraph (B) and inserting a period. (f) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2019. 3. Inclusion of employee training expenses (a) In general Paragraph (1) of section 41(b) of the Internal Revenue Code of 1986 is amended— (1) by striking and at the end of subparagraph (A), (2) by striking the period at the end of subparagraph (B) and inserting , and , and (3) by adding at the end the following new subparagraph: (C) employee training expenses. . (b) Employee training expenses Subsection (b) of section 41 of the Internal Revenue Code of 1986 is amended— (1) by redesignating paragraph (4) as paragraph (5), and (2) by inserting after paragraph (3) the following new paragraph: (4) Employee training expenses (A) In general The term employee training expenses means any wages paid or incurred to an employee in connection with training for the employee to perform qualified services described in clause (i) or (ii) of paragraph (2)(B). Such term does not include wages paid or incurred in connection with general employer training which does not specifically pertain to such qualified services. (B) Wages, etc For purposes of this paragraph— (i) In general The term wages shall not include any amount taken into account under paragraph (2)(A)(i). (ii) Rules The rules of paragraph (2)(D) shall apply. . (c) Effective date The amendments made by this section shall apply to expenses paid or incurred in taxable years beginning after December 31, 2019. 4. Increased credit rate for certain research activities (a) In general Section 41 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: (i) Special rules for