[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1482 Introduced in Senate (IS)]







108th CONGRESS
  1st Session
                                S. 1482

 To amend the Internal Revenue Code of 1986 to repeal the reduction in 
       the deductible portion of expenses for business meals and 
                             entertainment.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                July 29 (legislative day, July 21), 2003

 Mr. Inouye (for himself, Mr. Stevens, and Mr. Cochran) introduced the 
 following bill; which was read twice and referred to the Committee on 
                                Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to repeal the reduction in 
       the deductible portion of expenses for business meals and 
                             entertainment.

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

SECTION 1. REPEAL OF REDUCTION IN BUSINESS MEALS AND ENTERTAINMENT TAX 
              DEDUCTION.

    (a) In General.--Section 274(n)(1) of the Internal Revenue Code of 
1986 (relating to only 50 percent of meal and entertainment expenses 
allowed as deduction) is amended by striking ``50 percent'' and 
inserting ``the applicable percentage''.
    (b) Applicable Percentage.--Section 274(n) of the Internal Revenue 
Code of 1986 is amended by striking paragraph (3) and inserting the 
following:
            ``(3) Applicable percentage.--For purposes of paragraph 
        (1), the term `applicable percentage' means the percentage 
        determined under the following table:

``For taxable years beginning                            The applicable
  in calendar year--                                    percentage is--
    2001..........................................                  68 
    2002..........................................                  74 
    2003 or thereafter............................               80.''.
    (c) Conforming Amendment.--The heading for section 274(n) of the 
Internal Revenue Code of 1986 is amended by striking ``Only 50 
percent'' and inserting ``Portion''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2002.
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