[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2618 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2618

To clarify the accounting treatment for Federal income tax purposes of 
  deposits and similar amounts received by a tour operator for a tour 
                       arranged by such operator.


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                    IN THE HOUSE OF REPRESENTATIVES

                             July 24, 2001

   Mr. Shaw introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To clarify the accounting treatment for Federal income tax purposes of 
  deposits and similar amounts received by a tour operator for a tour 
                       arranged by such operator.

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

SECTION 1. METHOD OF ACCOUNTING FOR DEPOSITS RECEIVED BY ACCRUAL BASIS 
              TOUR OPERATORS.

    In the case of a tour operator using an accrual method of 
accounting, amounts received from or on behalf of passengers in advance 
of the departure of a tour arranged by such operator--
            (1) shall be treated as properly accounted for under the 
        Internal Revenue Code of 1986 if they are accounted for under a 
        method permitted by Section 3 of Revenue Procedure 71-21, and
            (2) for purposes of Revenue Procedure 71-21, shall be 
        deemed earned as of the date the tour departs.
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