[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3785 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 3785

To amend the Internal Revenue Code of 1986 to exempt from personal use 
rules the use of vacation property as a residence for persons displaced 
                         by Hurricane Katrina.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 15, 2005

Mrs. Jo Ann Davis of Virginia 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 exempt from personal use 
rules the use of vacation property as a residence for persons displaced 
                         by Hurricane Katrina.

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

SECTION 1. USE OF VACATION HOMES BY PERSONS DISPLACED BY HURRICANE 
              KATRINA.

    (a) In General.--Section 280A of the Internal Revenue Code of 1986 
(relating to disallowance of certain expenses in connection with 
business use of home, rental of vacation homes, etc.) is amended by 
adding at the end the following:
    ``(h) Use of Dwelling Unit by Persons Displaced by Disaster.--
            ``(1) In general.--For purposes of subsection (d), in the 
        case of any taxable year beginning in 2005, a taxpayer shall 
        not be treated as using a dwelling unit for personal purposes 
        by reason of an arrangement for any period if for such period 
        such dwelling unit--
                    ``(A) is used by a natural person who is displaced 
                by Hurricane Katrina, and
                    ``(B) is provided free of charge by the taxpayer 
                for use as such person's principal residence.
            ``(2) Special rule relating to allocation of expenses.--For 
        purposes of subsection (e), a dwelling unit shall be treated as 
        rented at fair rental on any day of the taxable year on which 
        paragraph (1) applies to the use of such dwelling unit.''.
    (b)  Effective Date.--The amendment made by subsection (a) shall 
apply to taxable years ending after the date of the enactment of this 
Act.
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