[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1418 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 1418

    To amend the Internal Revenue Code of 1986 to provide that the 
 treatment of tenant-stockholders in cooperative housing corporations 
also shall apply to stockholders of corporations that only own the land 
                  on which the residences are located.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 18, 1993

  Mrs. Lowey introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
    To amend the Internal Revenue Code of 1986 to provide that the 
 treatment of tenant-stockholders in cooperative housing corporations 
also shall apply to stockholders of corporations that only own the land 
                  on which the residences are located.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. MODIFICATION OF RULES APPLICABLE TO TENANT-STOCKHOLDERS OF 
              COOPERATIVE HOUSING CORPORATIONS.

    (a) In General.--Subsection (b) of section 216 of the Internal 
Revenue Code of 1986 is amended by adding at the end thereof the 
following new paragraph:
            ``(7) Cooperative housing corporations owning or leasing 
        only land.--
                    ``(A) In general.--The term `cooperative housing 
                corporation' includes any corporation which would be a 
                cooperative housing corporation if `or situated on land 
                owned or leased by the corporation' were inserted 
                before the comma at the end of paragraph (1)(B).
                    ``(B) Determination of whether stock is fully paid-
                up.--In the case of a corporation which would not be a 
                cooperative housing corporation but for subparagraph 
                (A), the determination under paragraph (2) of whether 
                the stock of any stockholder who owns a house situated 
                on land owned or leased by the corporation is fully 
                paid-up shall be based on the portion of the value of 
                the corporation's equity in the land on which the 
                houses are situated which is attributable to the land 
                on which such stockholder's house is situated.
                    ``(C) Trailer parks excluded.--This paragraph shall 
                not apply if any house situated on land owned or leased 
                by the corporation is a mobile home.''
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 1987.

                                 <all>