[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 1116 Introduced in Senate (IS)]

103d CONGRESS
  1st Session
                                S. 1116

To amend the Internal Revenue Code of 1986 to clarify the deduction for 
       expenses of certain home offices, and for other purposes.


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                   IN THE SENATE OF THE UNITED STATES

                June 16 (legislative day, June 15), 1993

   Mr. Burns introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to clarify the deduction for 
       expenses of certain home offices, and for other purposes.

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

SECTION 1. CLARIFICATION OF DEDUCTION FOR EXPENSES OF CERTAIN HOME 
              OFFICES.

    (a) In General.--Subsection (c) of section 280A of the Internal 
Revenue Code of 1986 (relating to exceptions for certain business or 
rental use; limitation on deductions for such use) is amended by adding 
at the end the following new paragraph:
            ``(7) Treatment of home office as principal place of 
        business.--For purposes of paragraph (1)(A), if--
                    ``(A) management or administrative activities are 
                essential to the trade or business of the taxpayer,
                    ``(B) the only available office for such activities 
                is in the dwelling unit of the taxpayer,
                    ``(C) such office is essential to such trade or 
                business, and
                    ``(D) the taxpayer spends a substantial amount of 
                time in such office,
        the portion of such dwelling unit which is used exclusively on 
        a regular basis for such office shall be treated as the 
        principal place of business for such trade or business.''
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to taxable years beginning on, before, or after the date of the 
enactment of this Act.

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