[Congressional Record Volume 147, Number 119 (Thursday, September 13, 2001)]
[Senate]
[Page S9397]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. BUNNING:
  S. 1423. A bill to amend the Internal Revenue Code of 1986 to provide 
tax relief for military or civilian employees of the United States who 
are victims of terrorist attacks against the United States; to the 
Committee on Finance.
  Mr. BUNNING. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1423

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

     SECTION 1. INCOME TAXES OF UNITED STATES MILITARY AND 
                   CIVILIAN EMPLOYEES WHO ARE VICTIMS OF TERRORIST 
                   ATTACKS.

       (a) In General.--Section 692(c) of the Internal Revenue 
     Code of 1986 (relating to income taxes of military or 
     civilian employees of the United States dying as a result of 
     injuries sustained overseas) is amended by striking ``outside 
     the United States''.
       (b) Conforming Amendment.--The heading of section 692(c) of 
     such Code is amended by striking ``Overseas'' and inserting 
     ``As a Result of Terroristic or Military Action''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending on or after September 11, 
     2001.

     SEC. 2. RELIEF FROM ADDITIONAL ESTATE TAX.

       (a) In General.--Section 2201 of the Internal Revenue Code 
     of 1986 is amended--
       (1) in the first sentence by inserting ``(a) In General.--
     '' before ``The additional estate tax'', and
       (2) by adding at the end the following:
       ``(b) United States Military or Civilian Employees Who Are 
     Victims of Certain Terrorist Attacks.--The additional estate 
     tax shall not apply to the transfer of the taxable estate of 
     any individual dying while in active service as a military or 
     civilian employee of the United States if such decedent dies 
     as a result of wounds or injuries incurred in a terroristic 
     or military action (as defined in section 692(c)(2)). The 
     preceding sentence shall not apply with respect to any 
     individual whom the Secretary determines was a perpetrator of 
     any such terrorist attack.''.
       (b) Clerical Amendments.--
       (1) The heading of section 2201 of such Code is amended to 
     read as follows:

     ``SEC. 2201. COMBAT ZONE-RELATED DEATHS OF MEMBERS OF THE 
                   ARMED FORCES AND DEATHS OF VICTIMS OF CERTAIN 
                   TERRORIST ATTACKS.''.

       (2) The item relating to section 2201 in the table of 
     sections for subchapter C of chapter 11 of such Code is 
     amended to read as follows:

``Sec. 2201. Combat zone-related deaths of members of the Armed Forces 
              and deaths of victims of certain terrorist attacks.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to estates of decedents dying on or after 
     September 11, 2001.
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