[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3692 Introduced in House (IH)]







106th CONGRESS
  2d Session
                                H. R. 3692

To amend the Internal Revenue Code of 1986 to exclude from gross income 
 amounts received on the sale of animals which are raised and sold as 
                    part of an educational program.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 16, 2000

   Mr. Paul 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 exclude from gross income 
 amounts received on the sale of animals which are raised and sold as 
                    part of an educational program.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Agriculture Education Freedom Act''.

SEC. 2. EXCLUSION FROM GROSS INCOME FOR AMOUNTS RECEIVED ON SALE OF 
              ANIMALS WHICH ARE RAISED AND SOLD AS PART OF EDUCATIONAL 
              PROGRAM.

    (a) In General.--Part III of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to items specifically excluded 
from gross income) is amended by redesignating section 139 as section 
140 and by inserting after section 138 the following new section:

``SEC. 139. PROCEEDS OF SALE OF ANIMALS RAISED AND SOLD AS PART OF 
              EDUCATIONAL PROGRAM.

    ``In the case of an individual, gross income shall not include any 
gain from the sale of any animal which is raised and sold by such 
individual as part of such individual's participation in--
            ``(1) the 4-H program under the Cooperative State Research, 
        Education, and Extension Service of the Department of 
        Agriculture,
            ``(2) the Future Farmers of America,
            ``(3) any program of an organization described in section 
        501(c) and exempt from tax under section 501(a) which is 
        similar to such 4-H program or the Future Farmers of America, 
        or
            ``(4) any program of an educational organization described 
        in section 170(b)(1)(A)(ii).''.
    (b) Clerical Amendment.--The table of sections for such part III is 
amended by striking the last item and inserting the following new 
items:

                              ``Sec. 139. Proceeds of sale of animals 
                                        raised and sold as part of 
                                        educational program.
                              ``Sec. 140. Cross references to other 
                                        Acts.''
    (c) Effective Date.--The amendments made by this section shall 
apply to sales in taxable years ending after the date of the enactment 
of this Act.
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