[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 1032 Introduced in Senate (IS)]

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116th CONGRESS
  1st Session
                                S. 1032

To amend the Internal Revenue Code of 1986 to modify the definition of 
  income for purposes of determining the tax-exempt status of certain 
                             corporations.


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                   IN THE SENATE OF THE UNITED STATES

                             April 4, 2019

Mr. Portman (for himself and Ms. Smith) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

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                                 A BILL


 
To amend the Internal Revenue Code of 1986 to modify the definition of 
  income for purposes of determining the tax-exempt status of certain 
                             corporations.

    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 ``Revitalizing Underdeveloped Rural 
Areas and Lands (RURAL) Act''.

SEC. 2. MODIFICATION OF INCOME FOR PURPOSES OF DETERMINING TAX-EXEMPT 
              STATUS OF CERTAIN ORGANIZATIONS.

    (a) In General.--Section 501(c)(12) of the Internal Revenue Code of 
1986 is amended by adding at the end the following new subparagraph:
                    ``(J) In the case of a mutual or cooperative 
                telephone or electric company described in this 
                paragraph, subparagraph (A) shall be applied without 
                taking into account any income received or accrued 
                from--
                            ``(i) any grant, contribution, or 
                        assistance provided pursuant to the Robert T. 
                        Stafford Disaster Relief and Emergency 
                        Assistance Act or any similar grant, 
                        contribution, or assistance by any local, 
                        State, or regional governmental entity for the 
                        purpose of relief, recovery, or restoration 
                        from, or preparation for, a disaster or 
                        emergency, or
                            ``(ii) any grant or contribution by any 
                        governmental entity (other than a contribution 
                        in aid of construction or any other 
                        contribution as a customer or potential 
                        customer) the purpose of which is substantially 
                        related to providing, constructing, restoring, 
                        or relocating electric, communication, 
                        broadband, internet, or other utility 
                        facilities or services.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2017.
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