[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1205 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 1205

To amend the Internal Revenue Code of 1986 to treat distributions from 
    publicly traded partnerships as qualifying income of regulated 
                         investment companies.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 20, 1997

 Mr. Thomas (for himself and Mr. Crane) 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 treat distributions from 
    publicly traded partnerships as qualifying income of regulated 
                         investment companies.

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

SECTION 1. DISTRIBUTIONS FROM PUBLICLY TRADED PARTNERSHIPS TREATED AS 
              QUALIFYING INCOME OF REGULATED INVESTMENT COMPANIES.

    (a) In General.--Paragraph (2) of section 851(b) of the Internal 
Revenue Code of 1986 (defining regulated investment company) is amended 
by inserting ``distributions or other income derived from a publicly 
traded partnership (as defined in section 7704(b),'' after ``dividends, 
interest,''.
    (b) Source Flow-Through Rule Not To Apply.--The next to the last 
sentence of section 851(b) of such Code is amended by inserting 
``(other than a publicly traded partnership (as defined in section 
7704(b)))'' after ``derived from a partnership''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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