[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3412 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 3412

To extend the tax benefits available with respect to services performed 
    in a combat zone to services performed in the Republic of Korea.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            December 5, 2001

Mr. Hostettler (for himself, Mr. Bartlett of Maryland, Mr. Cunningham, 
Mr. Taylor of Mississippi, Mr. Everett, and Mr. Calvert) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To extend the tax benefits available with respect to services performed 
    in a combat zone to services performed in the Republic of Korea.

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

SECTION 1. AVAILABILITY OF CERTAIN TAX BENEFITS FOR SERVICES AS PART OF 
              QUALIFIED HARDSHIP DUTY.

    (a) General Rule.--For purposes of the following provisions of the 
Internal Revenue Code of 1986, a qualified hardship duty area shall be 
treated in the same manner as if it were a combat zone (as determined 
under section 112 of such Code):
            (1) Section 2(a)(3) (relating to special rule where 
        deceased spouse was in missing status).
            (2) Section 112 (relating to the exclusion of certain 
        combat pay of members of the Armed Forces).
            (3) Section 692 (relating to income taxes of members of 
        Armed Forces on death).
            (4) Section 2201 (relating to members of the Armed Forces 
        dying in combat zone or by reason of combat-zone-incurred 
        wounds, etc.).
            (5) Section 3401(a)(1) (defining wages relating to combat 
        pay for members of the Armed Forces).
            (6) Section 4253(d) (relating to the taxation of phone 
        service originating from a combat zone from members of the 
        Armed Forces).
            (7) Section 6013(f)(1) (relating to joint return where 
        individual is in missing status).
            (8) Section 7508 (relating to time for performing certain 
        acts postponed by reason of service in combat zone).
    (b) Qualified Hardship Duty Area.--For purposes of this section, 
the term ``qualified hardship duty area'' means any area of Republic of 
Korea during the period (which includes the date of the enactment of 
this Act) that any member of the Armed Forces of the United States is 
entitled to special pay under section 305 of title 37, United States 
Code (relating to special pay: hardship duty pay) for services 
performed in such area and any area of the Republic of Korea during the 
time period of July 1, 2000 to December 31, 2000, notwithstanding the 
fact that members of the Armed Forces serving in the Republic of Korea 
were not authorized special pay under section 305 to title 37 until 
January 1, 2001.
    (c) Special Rule for Section 7508.--Solely for purposes of applying 
section 7508 of the Internal Revenue Code of 1986, in the case of an 
individual who is performing services in Korea while deployed away from 
such individual's permanent duty station, the term ``qualified hardship 
duty area'' includes, during the period for which the entitlement 
referred to in subsection (b) is in effect, any area in which such 
services are performed.
    (d) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), this 
        section shall take effect on July 1, 2001.
            (2) Withholding.--Subsection (a)(5) shall apply to 
        remuneration paid after the date of the enactment of this Act.
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