Why Should I Vote On BetterDistricts?

Polling is a powerful tool to help our elected officials determine how they should vote.

Standard polling methods don't give you the control that you deserve. With BetterDistricts you can show your representative exactly how strongly a bill is supported in your community.

Send a clear signal on how you want your government to work.

H.R. 4045 - Removing Onerous Obstacles in the Tax code for Mainstreet Businesses Act
Sponsor: Andy Barr (R)
Introduced: 2017-10-12
Bill Status: Referred to the House Committee on Ways and Means.
 
Summary Not Available
Full Text


115th CONGRESS
1st Session
H. R. 4045


    To amend the Internal Revenue Code of 1986 for shareholder ownership and passive income rules of the personal holding company tax provisions.


IN THE HOUSE OF REPRESENTATIVES

October 12, 2017

    Mr. Barr (for himself and Mr. Tiberi) introduced the following bill; which was referred to the Committee on Ways and Means


A BILL

    To amend the Internal Revenue Code of 1986 for shareholder ownership and passive income rules of the personal holding company tax provisions.

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 “Removing Onerous Obstacles in the Tax code for Mainstreet Businesses Act” or as the “ROOT for Mainstreet Businesses Act”.

SEC. 2. Royalties and rents derived in the active conduct of a trade or business.

(a) Exception from definition of personal holding company.—Paragraph (c) of section 542 of the Internal Revenue Code of 1986 is amended by striking “and” at the end of subparagraph (7), by striking the period at the end of subparagraph (8) and inserting “; and”, and by adding at the end the following new paragraph:

“(9) a corporation with greater than 50 percent stock ownership (as determined in section 542(a)) held by nonresident alien individuals with no effectively connected income under section 871 or 877.”.

(b) Modifications related to definition of personal holding company income.—

(1) Paragraph (1) of section 543(a) of the Code is amended by striking “and” at the end of paragraph (D), by striking the period at the end of paragraph (E) and inserting “, and”, and by adding at the end the following new subparagraph:

“(F) Royalties and rents derived in the active conduct of a trade or business and which are received from a person other than a related person (within the meaning of section 954(d)(3)).”.

(2) Paragraph (4) of section 543(a) of such Code is amended by inserting “, which do not qualify for the active conduct of a trade or business exception in subsection (a)(1)(F)” after “Copyright royalties” in the matter preceding subparagraph (A).

(3) Paragraph (A) of section 543(a)(5) of such Code is amended by inserting “, which do not qualify for the active conduct of a trade or business exception in subsection (a)(1)(F)” after “Produced film rent”.

(4) Paragraph (3) of section 543(b) of such Code is amended by inserting “(but does not include rents derived from the active conduct of a trade or business as provided in subsection (a)(1)(F))” after “means the gross income from rents” in the matter preceding subparagraph (A).

(c) Effective date.—The amendments made by this section shall apply to taxable years ending on or after the date of the enactment of this Act.


Relevant News Stories And Blog Posts

Title Worth Reading

Vote on H.R. 4045

 

Activity in last 30 days