[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5616 Introduced in House (IH)]







106th CONGRESS
  2d Session
                                H. R. 5616

  To amend the Internal Revenue Code of 1986 to allow a deduction to 
     taxpayers who purchase and install qualified security devices.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            November 1, 2000

 Mr. Crowley 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 allow a deduction to 
     taxpayers who purchase and install qualified security devices.

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

SECTION 1. DEDUCTION FOR PURCHASE AND INSTALLATION OF SECURITY DEVICES.

    (a) In General.--Part VI of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to itemized deductions for 
individuals and corporations) is amended by adding at the end the 
following new section:

``SEC. 199. SECURITY DEVICE PURCHASES.

    ``(a) Allowance of Deduction.--There shall be allowed as a 
deduction for the taxable year an amount equal to 100 percent of the 
amount paid by the taxpayer for the purchase of a qualifying security 
device.
    ``(b) Maximum Deduction.--The deduction allowed by subsection (a) 
for the taxable year shall not exceed $5,000.
    ``(c) Definitions.--
            ``(1) Qualifying security device.--The term `qualifying 
        security device' means a security device that is installed or 
        placed in service in a building or residence all or a portion 
        of which is owned or occupied by the taxpayer in the United 
        States.
            ``(2) Security device.--The term `security device' means 
        any of the following:
                    ``(A) An electronic access control device or other 
                similar alarms or devices.
                    ``(B) Closed-circuit television or other 
                surveillance and security cameras and equipment.
                    ``(C) Biometric controls, including automated 
                fingerprint identification systems.
                    ``(D) Locks for doors and windows, including 
                tumbler, key, and numerical or other coded devices.
                    ``(E) Components, wiring, system displays, 
                terminals, auxiliary power supplies and other equipment 
                necessary or incidental to the operation of any item 
                described in subparagraph (A), (B), (C), or (D).
            ``(3) Building.--The term `building' includes any structure 
        or part of a structure used for commercial, retail, or business 
        purposes.
            ``(4) Residence.--The term `residence' means any home, 
        condominium, cooperative unit, boat, or trailer used as a 
        dwelling by the taxpayer.
    ``(d) Basis Reduction.--For purposes of this subtitle, if a 
deduction is allowed under this section with respect to the purchase of 
a qualifying security device, the basis of such device shall be reduced 
by the amount of the deduction so allowed.''.
    (b) Conforming and Clerical Amendments.--
            (1) Section 1016(a) of such Code (relating to adjustments 
        to basis) is amended by striking ``and'' at the end of 
        paragraph (26), by striking the period and inserting ``, and'' 
        at the end of paragraph (27), and by adding at the end the 
        following new paragraph:
            ``(28) to the extent provided in section 199.''.
            (2) The table of sections for part VI of subchapter B of 
        chapter 1 of such Code is amended by adding at the end the 
        following new item:

``199. Security device purchases.''.

SEC. 2. EFFECTIVE DATE.

    The amendments made by this Act shall apply to taxable years 
beginning after December 31, 2000.
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