I 111th CONGRESS 2d Session H. R. 5437 IN THE HOUSE OF REPRESENTATIVES May 27, 2010 Mr. Crowley 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 that the treatment of tenant-stockholders in cooperative housing corporations also shall apply to stockholders of corporations that only own the land on which the residences are located.

1.

Modification of rules applicable to tenant-stockholders of cooperative housing corporations

(a)

In general

Subsection (b) of section 216 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (7)

Cooperative housing corporations owning or leasing only land

(A)

In general

The term cooperative housing corporation includes any corporation which would be a cooperative housing corporation if or situated on land owned or leased by the corporation were inserted before the comma at the end of paragraph (1)(B). (B)

Determination of whether stock is fully paid-up

In the case of a corporation which would not be a cooperative housing corporation but for subparagraph (A), the determination under paragraph (2) of whether the stock of any stockholder who owns a house situated on land owned or leased by the corporation is fully paid-up shall be based on the portion of the value of the corporation's equity in the land on which the houses are situated which is attributable to the land on which such stockholder's house is situated. (C)

Trailer parks excluded

This paragraph shall not apply if any house situated on land owned or leased by the corporation is a mobile home. . (b)

Effective date

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