[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6317 Introduced in House (IH)]







109th CONGRESS
  2d Session
                                H. R. 6317

 To amend the Internal Revenue Code of 1986 to impose an excise tax on 
any tax-exempt organization which accepts any contribution which may be 
used to relocate property held by the organization if the relocation is 
          contrary to the intent of the donor of the property.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           November 13, 2006

 Mr. Gerlach 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 impose an excise tax on 
any tax-exempt organization which accepts any contribution which may be 
used to relocate property held by the organization if the relocation is 
          contrary to the intent of the donor of the property.

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

SECTION 1. EXCISE TAX PENALTY ON TAX-EXEMPT ORGANIZATIONS ACCEPTING 
              CONTRIBUTIONS WHICH MAY BE USED TO RELOCATE PROPERTY HELD 
              BY THE ORGANIZATION IF THE RELOCATION IS CONTRARY TO THE 
              INTENT OF THE DONOR OF THE PROPERTY.

    (a) In General.--Chapter 41 of the Internal Revenue Code of 1986 
(relating to public charities) is amended by adding at the end the 
following new section:

``SEC. 4913. TAX ON ORGANIZATIONS ACCEPTING CONTRIBUTIONS WHICH MAY BE 
              USED TO RELOCATE PROPERTY HELD BY THE ORGANIZATION IF THE 
              RELOCATION IS CONTRARY TO THE INTENT OF THE DONOR OF THE 
              PROPERTY.

    ``(a) Tax Imposed.--
            ``(1) In general.--There is hereby imposed on the 
        disqualified contributions of any organization to which this 
        section applies a tax equal to 100 percent of the amount of 
        such contributions. The tax imposed by this section shall be 
        paid by the organization.
            ``(2) Organizations to which section applies.--This section 
        shall apply to any organization described in section 501(c)(3) 
        and exempt from tax under section 501(a) if such organization 
        holds property--
                    ``(A) which was donated to such organization (or 
                any other organization so described), and
                    ``(B) with respect to which there is written 
                evidence of the donor's intent that the property not be 
                relocated from the site identified by the donor.
    ``(b) Disqualified Contribution.--For purposes of this section, the 
term `disqualified contribution' means any contribution received by an 
organization unless the contribution is permanently set aside to carry 
out--
            ``(1) the exempt purposes of the organization with respect 
        to property referred to in subsection (a)(2) at the location 
        intended by the donor of the property, or
            ``(2) other exempt purposes of the organization which are 
        unrelated to such property.
    ``(c) Exception.--The tax imposed by subsection (a) shall not apply 
to any contribution if, before the contribution is received, there is a 
determination by a court of competent jurisdiction that the relocation 
of such property is the only reasonable, appropriate, and economically 
viable alternative to preserve and protect the property.''.
    (b) Clerical Amendment.--The table of sections for chapter 41 of 
such Code is amended by adding at the end the following new item:

``Sec. 4913. Tax on organizations accepting contributions which may be 
                            used to relocate property held by the 
                            organization if the relocation is contrary 
                            to the intent of the donor of the 
                            property.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to contributions made after December 31, 2005.
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