[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5707 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 5707

  To amend the Internal Revenue Code of 1986 to exclude debt held by 
            certain insurance companies from capital assets.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 26, 2023

  Mr. Feenstra (for himself and Ms. Sewell) 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 exclude debt held by 
            certain insurance companies from capital assets.

    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 ``Secure Family Futures Act of 2023''.

SEC. 2. DEBT NOT TREATED AS CAPITAL ASSET FOR APPLICABLE INSURANCE 
              COMPANIES.

    (a) Exclusion From Capital Assets.--Section 1221(a) of the Internal 
Revenue Code of 1986 is amended by striking ``or'' at the end of 
paragraph (7), by striking the period at the end of paragraph (8) and 
inserting ``; or'', and by adding at the end the following new 
paragraph:
            ``(9) any note, bond, debenture, or other evidence of 
        indebtedness held by an applicable insurance company.''.
    (b) Applicable Insurance Company Defined.--Section 1221(b) of such 
Code is amended by redesignating paragraph (4) as paragraph (5) and by 
inserting after paragraph (3) the following new paragraph:
            ``(4) Applicable insurance company.--for purposes of 
        subsection (a)(9), the term `applicable insurance company' 
        means, with respect to any taxable year--
                    ``(A) any insurance company other than an insurance 
                company--
                            ``(i) with respect to which an election is 
                        in effect under section 831(b)(2)(A)(iii) or 
                        835(a) for such taxable year,
                            ``(ii) which is a foreign corporation 
                        described in section 842, or
                            ``(iii) which is an organization to which 
                        section 833 applies for such taxable year, or
                    ``(B) a face-amount certificate company registered 
                under the Investment Company Act of 1940.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to dispositions after the date of the enactment of this section.
    (d) Transition Rule.--For taxable years beginning after the date of 
the enactment of this section, a taxpayer may treat a capital loss 
carryover properly attributable to the disposition of an asset 
described in section 1221(a)(9) (as added by subsection (a)) prior to 
such date as a net operating loss carryover.
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