[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1277 Introduced in House (IH)]







108th CONGRESS
  1st Session
                                H. R. 1277

  To amend the Internal Revenue Code of 1986 to allow a deduction for 
 ground rent paid on land on which a qualified residence of a taxpayer 
         is located and which is allotted or Indian-owned land.


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                    IN THE HOUSE OF REPRESENTATIVES

                             March 13, 2003

 Mr. Hayworth (for himself, Mr. Becerra, and Mrs. Bono) 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 allow a deduction for 
 ground rent paid on land on which a qualified residence of a taxpayer 
         is located and which is allotted or Indian-owned land.

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

SECTION 1. DEDUCTION FOR GROUND RENT ON INDIAN-OWNED LAND, ETC., ON 
              WHICH A QUALIFIED RESIDENCE OF A TAXPAYER IS LOCATED.

    (a) In General.--Paragraph (3) of section 163(h) of the Internal 
Revenue Code of 1986 (defining qualified residence interest) is amended 
by adding at the end the following new subparagraph:
                    ``(E) Ground rent on indian-owned land, etc.--
                Ground rent paid by a taxpayer during the taxable year 
                on any lease of land shall be treated as qualified 
                residence interest paid by the taxpayer if--
                            ``(i) a qualified residence of the taxpayer 
                        is located on such land, and
                            ``(ii) such land is owned by an Indian 
                        tribe or held in trust by the United States for 
                        the benefit of an Indian tribe or one or more 
                        members of an Indian tribe as an allotment or 
                        otherwise.
                For purposes of the preceding sentence, the term 
                `Indian tribe' means any Indian tribe, band, nation, or 
                other organized group or community which is recognized 
                as eligible for the special programs and services 
                provided by the United States to Indians because of 
                their status as Indians.''
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after the date of the enactment of this Act.
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