[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1235 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 1235

To amend the Internal Revenue Code of 1986 to reduce the holding period 
           for long-term capital gain treatment to 6 months.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 27, 2001

  Mr. Foley 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 reduce the holding period 
           for long-term capital gain treatment to 6 months.

    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 ``Investment Assets Security Act of 
2001''.

SEC. 2. DECREASE IN HOLDING PERIOD REQUIRED FOR LONG-TERM CAPITAL GAIN 
              TREATMENT.

    (a) In General.--
            (1) Capital gain.--Paragraphs (1) and (3) of section 1222 
        of the Internal Revenue Code of 1986 (relating to other terms 
        relating to capital gains and losses) are each amended by 
        striking ``1 year'' and inserting ``6 months''.
            (2) Capital losses.--Paragraphs (2) and (4) of section 1222 
        of such Code are each amended by striking ``1 year'' and 
        inserting ``6 months''.
    (b) Conforming Amendments.--The following provisions of such Code 
are each amended by striking ``1 year'' each place it appears and 
inserting ``6 months'':
            (1) Section 1(h)(6)(A)
            (2) Section 166(d)(1)(B).
            (3) Section 422(a)(1).
            (4) Section 423(a)(1).
            (5) Section 584(c).
            (6) Subsections (b) and (c) of section 631.
            (7) Section 642(c)(3).
            (8) Paragraphs (1) and (2) of section 702(a).
            (9) Section 818(b)(1).
            (10) Section 852(b)(3)(B).
            (11) Section 857(b)(3)(B).
            (12) Paragraphs (11) and (12) of section 1223.
            (13) Section 1231.
            (14) Subsections (b), (d), and subparagraph (A) of 
        subsection (e)(4) of section 1233.
            (15) Section 1234(b)(1).
            (16) Section 1235(a).
            (17) Section 1246(a)(4).
            (18) Section 1247(i).
            (19) Subsections (b) and (g)(2)(C) of section 1248.
    (c) Technical Amendments.--
            (1) The first sentence of section 631(a) of such Code is 
        amended by striking ``for a period of more than 1 year'' and 
        inserting ``on the first day of such year and for a period of 
        more than 6 months before such cutting''.
            (2) Section 1231(b)(3)(B) of such Code is amended by 
        striking ``12 months'' and inserting ``6 months''.
    (d) Effective Date.--The amendments made by this section shall 
apply to dispositions after the date of the enactment of this Act.
                                 <all>