[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1952 Introduced in House (IH)]







108th CONGRESS
  1st Session
                                H. R. 1952

 To amend the Internal Revenue Code of 1986 to provide that the first-
 time homebuyer credit for the District of Columbia be made permanent, 
                        and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 5, 2003

  Ms. Norton 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 provide that the first-
 time homebuyer credit for the District of Columbia be made permanent, 
                        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. SHORT TITLE.

    This Act may be cited as the ``District of Columbia $5000 Homebuyer 
Credit Act of 2003''.

SEC. 2. FIRST-TIME HOMEBUYER CREDIT FOR DISTRICT OF COLUMBIA MADE 
              PERMANENT; OTHER MODIFICATIONS.

    (a) Credit Made Permanent.--Subsection (i) of section 1400C of the 
Internal Revenue Code of 1986 (relating to first-time homebuyer credit 
for District of Columbia) is amended by striking ``, and before January 
1, 2004''.
    (b) Treatment of Purchases In Connection With Divorce.--
            (1) In general.--Subsection (c) of section 1400C of such 
        Code is amended by adding at the end the following new 
        paragraph:
            ``(4) Purchases in connection with divorce.--
        Notwithstanding paragraphs (1) and (2), an individual shall be 
        treated as a first-time homebuyer with respect to the purchase 
        of any residence if--
                    ``(A) the sale of the residence is pursuant to a 
                divorce or separation instrument (as defined in section 
                71(b)(2)) relating to such individual and such 
                individual's spouse or former spouse, and
                    ``(B) such residence was the principal residence of 
                such individual at the time of such sale or for any 
                period ending not more than a reasonable period before 
                such sale.
        The Secretary shall prescribe such regulations as may be 
        necessary to prevent the abuse of the purposes of this 
        paragraph.''
            (2) Effective date.--The amendment made by paragraph (1) 
        shall apply to purchases after the date of the enactment of 
        this Act.
    (c) Credit Allowed Against Regular Tax and Alternative Minimum 
Tax.--
            (1) In general.--Subsection (d) of section 1400C of such 
        Code is amended to read as follows:
    ``(d) Limitation Based on Amount of Tax.--
            ``(1) In general.--The credit allowed under subsection (a) 
        for the taxable year shall not exceed the excess of--
                    ``(A) the sum of the regular tax liability (as 
                defined in section 26(b)) plus the tax imposed by 
                section 55, over
                    ``(B) the sum of the credits allowable under 
                subpart A of part IV of subchapter A and section 27 for 
                the taxable year.
            ``(2) Carryover of credit.--If the credit allowable under 
        subsection (a) exceeds the limitation imposed by paragraph (1) 
        for such taxable year, such excess shall be carried to the 
        succeeding taxable year and added to the credit allowable under 
        subsection (a) for such taxable year.''
            (2) Conforming amendment.--Section 1400C of such Code is 
        amended by striking subsection (g) and by redesignating 
        subsections (h) and (i) as subsections (g) and (h), 
        respectively.
            (3) Effective date.--The amendment made by paragraph (1) 
        shall apply to taxable years beginning after the date of the 
        enactment of this Act.
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