110 HR 4368 IH: To amend the Internal Revenue Code of 1986 to provide U.S. House of Representatives 2007-12-11 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. 4368 IN THE HOUSE OF REPRESENTATIVES December 11, 2007 Mr. Barton of Texas (for himself and Mr. Boucher) 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 special disposition rules for unused benefits in flexible spending arrangements of individuals called to active duty.

1.

Special disposition rules for unused benefits in flexible spending arrangements of individuals called to active duty

(a)

In general

Section 125 of the Internal Revenue Code of 1986 (relating to cafeteria plans) is amended by redesignating subsections (h) and (i) as subsection (i) and (j), respectively, and by inserting after subsection (g) the following new subsection: (h)

Special rule for unused benefits in flexible spending arrangements of individuals called to active duty

(1)

In general

For purposes of this title, a plan or other arrangement shall not fail to be treated as a flexible spending arrangement merely because such arrangement provides for qualified reservist distributions. (2)

Qualified reservist distribution

For purposes of this subsection, the term qualified reservist distribution means, any distribution to an individual if— (A)such individual was (by reason of being a member of a reserve component (as defined in section 101 of title 37, United States Code)) ordered or called to active duty for a period in excess of 179 days or for an indefinite period, and (B)such distribution is made during the period beginning on the date of such order or call and ending on the last date that distributions could otherwise be made under such arrangement for the plan year which includes the date of such order or call. . (b)

Effective date

The amendment made by this section shall apply to distributions made after the date of the enactment of this Act.