[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 2362 Introduced in Senate (IS)]







110th CONGRESS
  1st Session
                                S. 2362

  To amend the Internal Revenue Code of 1986 to provide an additional 
      standard deduction for real property taxes for nonitemizers.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           November 15, 2007

   Mr. Bayh (for himself, Mr. Feingold, Ms. Stabenow, Mr. Nelson of 
Nebraska, and Mr. Biden) 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 provide an additional 
      standard deduction for real property taxes for nonitemizers.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Property Tax Fairness Act of 2007''.

SEC. 2. ADDITIONAL STANDARD DEDUCTION FOR REAL PROPERTY TAXES FOR 
              NONITEMIZERS.

    (a) In General.--Section 63(c)(1) (defining standard deduction) is 
amended by striking ``and'' at the end of subparagraph (A), by striking 
the period at the end of subparagraph (B) and inserting ``, and'', and 
by adding at the end the following new subparagraph:
                    ``(C) in the case of any taxable year beginning in 
                2007 or 2008, the real property tax deduction.''.
    (b) Definition.--Section 63(c) is amended by adding at the end the 
following new paragraph:
            ``(8) Real property tax deduction.--For purposes of 
        paragraph (1), the real property tax deduction is equal to the 
        amount of State and local real property taxes (within the 
        meaning of section 164) paid or accrued by the taxpayer during 
        the taxable year which do not exceed $350 ($700 in the case of 
        a joint return).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2006.

SEC. 3. BROKER REPORTING OF CUSTOMER'S BASIS IN SECURITIES 
              TRANSACTIONS.

    (a) In General.--Section 6045 of the Internal Revenue Code of 1986 
(relating to returns of brokers) is amended by adding at the end the 
following new subsection:
    ``(g) Additional Information Required in the Case of Securities 
Transactions.--
            ``(1) In general.--If a broker is otherwise required to 
        make a return under subsection (a) with respect to any 
        applicable security, the broker shall include in such return 
        the information described in paragraph (2).
            ``(2) Additional information required.--
                    ``(A) In general.--The information required under 
                paragraph (1) to be shown on a return with respect to 
                an applicable security of a customer shall include for 
                each reported applicable security the customer's 
                adjusted basis in such security.
                    ``(B) Exemption from requirement.--The Secretary 
                shall issue such regulations or guidance as necessary 
                concerning the application of the requirement under 
                subparagraph (A) in cases in which a broker in making a 
                return does not have sufficient information to meet 
                such requirement with respect to the reported 
                applicable security. Such regulations or guidance may--
                            ``(i) require such other information 
                        related to such adjusted basis as the Secretary 
                        may prescribe, and
                            ``(ii) exempt classes of cases in which the 
                        broker does not have sufficient information to 
                        meet either the requirement under subparagraph 
                        (A) or the requirement under clause (i).
            ``(3) Information transfers.--To the extent provided in 
        regulations, there shall be such exchanges of information 
        between brokers as such regulations may require for purposes of 
        enabling such brokers to meet the requirements of this 
        subsection.
            ``(4) Definitions.--For purposes of this subsection, the 
        term `applicable security' means any--
                    ``(A) security described in subparagraph (A) or (C) 
                of section 475(c)(2),
                    ``(B) interest in a regulated investment company 
                (as defined in section 851), or
                    ``(C) other financial instrument designated in 
                regulations prescribed by the Secretary.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to returns the due date for which (determined without regard to 
extensions) is after December 31, 2009, with respect to securities 
acquired after December 31, 2008.
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