[Congressional Record (Bound Edition), Volume 157 (2011), Part 12]
[Senate]
[Pages 16991-16992]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 929. Mr. CASEY submitted an amendment intended to be proposed to 
amendment SA 927 proposed by Mr. Reid (for Mr. Tester (for himself, 
Mrs. Murray, Mr. Baucus, Ms. Stabenow, Mr. Brown of Ohio, Mr. Reid, Mr. 
Akaka, Ms. Cantwell, Mr. Leahy, Mr. Casey, Mr. Coons, Mr. Menendez, Mr. 
Kerry, Mr. Lautenberg, Mr. Merkley, Mr. Sanders, Mrs. Shaheen, Mr. 
Bennet, Mr. Webb, Mr. Begich, Ms. Landrieu, Mr. Schumer, and Mr. Brown, 
of Massachusetts)) to the bill H.R. 674, to amend the Internal Revenue 
Code of 1986 to repeal the imposition of 3 percent withholding on 
certain payments made to vendors by government entities, to modify the 
calculation of modified adjusted gross income for purposes of 
determining eligibility for certain healthcare-related programs, and 
for other purposes; which was ordered to lie on the table; as follows:


[[Page 16992]]

       At the appropriate place, insert the following:

     SEC. __. VETERANS FRANCHISE FEE CREDIT.

       (a) In General.--Subpart D of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986 is amended by 
     adding at the end the following new section:

     ``SEC. 45S. VETERANS FRANCHISE FEE CREDIT.

       ``(a) Veterans Franchise Fee Credit.--
       ``(1) In general.--For purposes of section 38, the veterans 
     franchise fee credit determined under this section for the 
     taxable year is an amount equal to 25 percent of the 
     qualified franchise fees paid or incurred by a veteran during 
     the taxable year.
       ``(2) Limitation.--The amount allowed as a credit under 
     paragraph (1) with respect to the purchase of any franchise 
     shall not exceed $100,000.
       ``(b) Reduction Where Franchise Not 100 Percent Veteran-
     owned.--In the case of any franchise in which veterans do not 
     own 100 percent of the stock or of the capital or profits 
     interests of the franchise, the credit under subsection (a) 
     shall be the credit amount determined under such subsection, 
     multiplied by the same ratio as--
       ``(1) the stock or capital or profits interests of the 
     franchise held by veterans, bears
       ``(2) to the total stock or capital or profits interests of 
     the franchise.

     For purposes of this subsection, the spouse of a veteran 
     shall be treated as a veteran.
       ``(c) Qualified Franchise Fee.--For purposes of this 
     section, the term `qualified franchise fee' means any one-
     time fee required by the franchisor when entering into a 
     franchise agreement with a veteran as the franchisee.
       ``(d) Other Definitions.--For purposes of this section, the 
     terms `franchise', `franchisee', `franchisor', and `franchise 
     fee' have the meanings given such terms in part 436 of title 
     16, Code of Federal Regulations (as in effect on January 1, 
     2009).
       ``(e) Veteran.--The term `veteran' has the meaning given 
     such term by section 101 of title 38, United States Code.
       ``(f) Election.--This section shall not apply to a taxpayer 
     for any taxable year if such taxpayer elects to have this 
     section not apply for such taxable year.''.
       (b) Credit To Be Part of General Business Credit.--Section 
     38(b) of the Internal Revenue Code of 1986 is amended by 
     striking ``plus'' at the end of paragraph (35), by striking 
     the period at the end of paragraph (36) and inserting ``, 
     plus'', and by adding at the end the following new paragraph:
       ``(37) the veterans franchise fee credit determined under 
     section 45S(a).''.
       (c) Clerical Amendment.--The table of sections for subpart 
     D of part IV of subchapter A of chapter 1 of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new item:

``Sec. 45S. Veterans franchise fee credit.''

       (d) Effective Date.--The amendments made by this section 
     shall apply to taxable years ending after December 31, 2010.
       (e) Publication of Information by Department of Veterans 
     Affairs and Small Business Administration.--The Administrator 
     of the Small Business Administration and the Secretary of 
     Veterans Affairs shall publicize in mailings and brochures 
     sent to veterans service organizations and veteran advocacy 
     groups information regarding discounted franchise fees under 
     section 45S of the Internal Revenue Code of 1986 and other 
     information about the program established under amendments 
     made by this Act.

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