[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1289 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                S. 1289

To amend the Internal Revenue Code of 1986 to provide that the capital 
    gain treatment under section 631(b) of such Code shall apply to 
          outright sales of timber held for more than 1 year.


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                   IN THE SENATE OF THE UNITED STATES

                             June 28, 1999

 Mr. Sessions (for himself and Mr. Coverdell) introduced the following 
  bill; which was read twice and referred to the Committee on Finance

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                                 A BILL


 
To amend the Internal Revenue Code of 1986 to provide that the capital 
    gain treatment under section 631(b) of such Code shall apply to 
          outright sales of timber held for more than 1 year.

    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 ``Timber Tax Simplification Act of 
1999''.

SEC. 2. CAPITAL GAIN TREATMENT UNDER SECTION 631(B) TO APPLY WHETHER OR 
              NOT OWNER RETAINS ECONOMIC INTEREST.

    (a) In General.--Subsection (b) of section 631 of the Internal 
Revenue Code of 1986 (relating to disposal of timber with a retained 
economic interest) is amended--
            (1) by inserting ``and Outright Sales of Timber'' after 
        ``Economic Interest'' in the subsection heading, and
            (2) by striking ``such owner retains an economic interest 
        in such timber'' and inserting ``such owner either retains an 
        economic interest in such timber or makes an outright sale of 
        such timber''.
    (b) Effective Date.--The amendments made by this section shall 
apply to sales after the date of the enactment of this Act.
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