110 HR 3764 IH: Peace Corps Volunteers Tax Improvement U.S. House of Representatives 2007-10-04 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I 110th CONGRESS 1st Session H. R. 3764 IN THE HOUSE OF REPRESENTATIVES October 4, 2007 Mr. McDermott (for himself and Mr. Van Hollen) 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 suspend the 5-year period relating to the exclusion of gain on the sale of a principal residence during a period of service with the Peace Corps.

1.

Short title

This Act may be cited as the Peace Corps Volunteers Tax Improvement Act of 2007.

2.

Suspension of 5-year period during service with the Peace Corps

(a)

In general

Subsection (d) of section 121 of the Internal Revenue Code of 1986 (relating to special rules) is amended by adding at the end the following new paragraph: (12)

Peace Corps

(A)

In general

At the election of an individual with respect to a property, the running of the 5-year period described in subsections (a) and (c)(1)(B) and paragraph (7) of this subsection with respect to such property shall be suspended during any period that such individual or such individual’s spouse is serving outside the United States— (i)on qualified official extended duty (as defined in paragraph (9)(C)) as an employee of the Peace Corps, or (ii)as an enrolled volunteer or volunteer leader under section 5 or 6 (as the case may be) of the Peace Corps Act (22 U.S.C. 2504, 2505). (B)

Applicable rules

For purposes of subparagraph (A), rules similar to the rules of subparagraphs (B) and (D) shall apply. . (b)

Effective date

The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 2007.

3.

Guidance with respect to expenses which may be deducted from gross income

The Secretary of the Treasury, in consultation with the Director of the Peace Corps, shall publish guidance with respect to expenses which may be deductible from gross income with respect to service as enrolled volunteers or volunteer leaders under the Peace Corps Act (22 U.S.C. 2501 et seq.), and such guidance shall be periodically updated when the Director of the Peace Corps and the Secretary determine it necessary.