II 111th CONGRESS 1st Session S. 1763 IN THE SENATE OF THE UNITED STATES October 8, 2009 Mr. Franken (for himself, Mr. Whitehouse, and Mr. Brown) 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 deny the deduction for advertising and promotional expenses for prescription pharmaceuticals.

1.

Short title

This Act may be cited as the Protecting Americans from Drug Marketing Act.

2.

Disallowance of deduction for advertising and promotional expenses for prescription pharmaceuticals

(a)

In general

Part IX of subchapter B of chapter 1 of subtitle A of the Internal Revenue Code of 1986 (relating to items not deductible) is amended by adding at the end the following new section:

280I.

Disallowance of deduction for prescription pharmaceuticals advertising and promotional expenses

(a)

In general

No deduction shall be allowed under this chapter for expenses relating to advertising or promoting the sale and use of prescription pharmaceuticals for any taxable year. (b)

Advertising or promoting

For purposes of this section, the term advertising or promoting includes direct to consumer advertising in any media and any activity designed to promote the use of a prescription pharmaceutical directed to providers or others who may make decisions about the use of prescription pharmaceuticals (including the provision of product samples, free trials, and starter kits).

. (b)

Conforming amendment

The table of sections for such part IX of the Internal Revenue Code of 1986 is amended by adding after the item relating to section 280H the following new item: Sec. 280I. Disallowance of deduction for prescription pharmaceuticals advertising and promotional expenses. . (c)

Effective date

The amendments made by this section shall apply to amounts paid or incurred after the date of the enactment of this Act, in taxable years ending after such date.