This will create a tax break for business revenue created from 1 a.m. to 5 a.m. The purpose is to encourage businesses to hire more labor (during these times) and force revenue to be pushed into the marketplace through hourly wages, spurring economic growth. Demand-side economics will additionally prove to increase consumer spending.
The IRS may have businesses report the "Tax Free Time Zone" revenue daily though the internet to prevent fraud. Internet sales will not be subject to the tax-break as internet purchases overnight will not create jobs or force more labor hours into the workforce.