[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1819 Introduced in Senate (IS)]







107th CONGRESS
  1st Session
                                S. 1819

To provide that members of the Armed Forces performing services in the 
Republic of Korea shall be entitled to tax benefits in the same manner 
  as if such services were performed in a combat zone, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           December 13, 2001

  Mr. Biden (for himself, Mr. Sessions, Mr. Cleland, Mr. Cochran, and 
  Mr. Dayton) introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
To provide that members of the Armed Forces performing services in the 
Republic of Korea shall be entitled to tax benefits in the same manner 
  as if such services were performed in a combat zone, and for other 
                               purposes.

    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 INDIVIDUALS 
              PERFORMING SERVICES IN CERTAIN HARDSHIP DUTY AREAS.

    (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) Definitions.--For purposes of this section--
            (1) Qualified hardship duty area.--The term ``qualified 
        hardship duty area'', with respect to a member of the Armed 
        Forces, means any area within the Republic of Korea in which 
        the member performs active duty that qualifies the member for 
        hardship duty pay.
            (2) Hardship duty pay.--The term ``hardship duty pay'' 
        means the special pay provided for under section 305 of title 
        37, United States Code.
    (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 the Republic of Korea while 
deployed away from such individual's permanent duty station, the term 
``qualified hardship duty area'' includes, during the period for which 
such entitlement 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 January 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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