To amend the Harmonized Tariff Schedule of the United States to correct the tariff treatment of certain silver and gold bars, and for other purposes.

Summary: Amends the Harmonized Tariff Schedule of the United States to grant duty-free treatment of certain imported silver and gold bars. 
Amends the Internal Revenue Code to exclude certain bullion (currently, coins only) from treatment as a collectible subject to tax as a distribution from an individual retirement account.

SECTION 1. TARIFF TREATMENT OF CERTAIN SILVER AND GOLD BARS.

    (a) In General.--Subchapter II of chapter 71 of the Harmonized 
Tariff Schedule of the United States is amended--
            (1) by striking subheading 7106.92.00 and inserting in 
        numerical sequence the following new subheadings and superior 
        text thereto, with such text having the same degree of 
        indentation as subheading 7106.91:
      

``       7106.92              Semimanufacture                                                                   
                               d:                                                                               
         7106.92.10            In bar or bar-                                                                   
                                like shape,                                                                     
                                having a                                                                        
                                purity of                                                                       
                                99.5 percent                                                                    
                                or higher and                                                                   
                                not otherwise                                                                   
                                marked or                                                                       
                                decorated                                                                       
                                than with                                                                       
                                weight,                                                                         
                                purity or                                                                       
                                other                                                                           
                                identifying                                                                     
                                information..  Free                                      Free                   
         7106.92.50            Other:........  4.8%                 Free (A, CA, E, IL,                         
                                                                     J, MX)              65%                    
                                                                                                              ''
                                                                                                               ;

            (2) by striking subheading 7108.13.50 and inserting in 
        numerical sequence the following new subheadings and superior 
        text thereto, with such text having the same degree of 
        indentation as subheading 7108.13.10:
      

``      7108.13.55            Other:                                                                            
                               In bar or bar-                                                                   
                                like shape,                                                                     
                                having a                                                                        
                                purity of                                                                       
                                99.5 percent                                                                    
                                or higher                                                                       
                                and not                                                                         
                                otherwise                                                                       
                                marked or                                                                       
                                decorated                                                                       
                                than with                                                                       
                                weight,                                                                         
                                purity or                                                                       
                                other                                                                           
                                identifying                                                                     
                                information.  Free                                      Free                    
        7108.13.70             Other........  6.6%                 Free (CA, E, IL, J,                          
                                                                    MX)                 65%                  '';
                                                                                                             and

            (3) by striking subheadings 7115.90.10 through 7115.90.50 
        and inserting in numerical sequence the following new 
        subheadings and superior text, with the article description for 
        subheading 7115.90.15 having the same degree of indentation as 
        the article description of subheading 7116.10.10:
      

``       7115.90.15           Gold, not clad                                                                    
                               with precious                                                                    
                               metal, in bar                                                                    
                               or bar-like                                                                      
                               shape, having                                                                    
                               a purity of                                                                      
                               99.5 percent                                                                     
                               or higher and                                                                    
                               not otherwise                                                                    
                               marked or                                                                        
                               decorated than                                                                   
                               with weight,                                                                     
                               purity or                                                                        
                               other                                                                            
                               identifying                                                                      
                               information...  Free                                      Free                   
         7115.90.25           Silver, not                                                                       
                               clad with                                                                        
                               precious                                                                         
                               metal, in bar                                                                    
                               or bar-like                                                                      
                               shape, having                                                                    
                               a purity of                                                                      
                               99.5 percent                                                                     
                               or higher and                                                                    
                               not otherwise                                                                    
                               marked or                                                                        
                               decorated than                                                                   
                               with weight,                                                                     
                               purity or                                                                        
                               other                                                                            
                               identifying                                                                      
                               information...  Free                                      Free                   
                              Other:                                                                            
         7115.90.30            Of gold,                                                                         
                                including                                                                       
                                metal clad                                                                      
                                with gold....  6.2%                 Free (A, CA, E, IL,                         
                                                                     J, MX)              110%                   
         7115.90.40            Of silver,                                                                       
                                including                                                                       
                                metal clad                                                                      
                                with silver..  4.8%                 Free (A, CA, E, IL,                         
                                                                     J, MX)              65%                    
         7115.90.60            Other.........  6.4%                 Free (A, CA, E, IL,                         
                                                                     J, MX)              65%                    
                                                                                                              ''

    (b) Staged Rate Reductions.--Any staged rate reduction that was 
proclaimed by the President before the date of the enactment of this 
Act to take effect on or after the date of the enactment of this Act--
            (1) of a rate of duty set forth in subheading 7106.92.00 of 
        the Harmonized Tariff Schedule of the United States shall apply 
        to the corresponding rate of duty in subheading 7106.92.50 of 
        such Schedule (as added by subsection (a)(1));
            (2) of a rate of duty set forth in subheading 7108.13.50 
        shall apply to the corresponding rate of duty in subheading 
        7108.13.70 of such Schedule (as added by subsection (a)(2));
            (3) of a rate of duty set forth in subheading 7115.90.10 
        shall apply to the corresponding rate of duty in subheading 
        7115.90.30 of such Schedule (as added by subsection (a)(3));
            (4) of a rate of duty set forth in subheading 7115.90.20 
        shall apply to the corresponding rate of duty in subheading 
        7115.90.40 of such Schedule (as added by subsection (a)(3)); 
        and
            (5) of a rate of duty set forth in subheading 7115.90.50 
        shall apply to the corresponding rate of duty in subheading 
        7115.90.60 of such Schedule (as added by subsection (a)(3)).
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to goods that are entered, or withdrawn from 
warehouse for consumption, on or after the date that is 15 days after 
the date of enactment of this Act.

SEC. 2. CERTAIN COINS AND BULLION NOT TREATED AS COLLECTIBLES.

    (a) In General.--Paragraph (3) of section 408(m) of the Internal 
Revenue Code of 1986 (relating to exception for certain coins) is 
amended to read as follows:
            ``(3) Exception for certain coins and bullion.--For 
        purposes of this subsection, the term `collectible' shall not 
        include--
                    ``(A) any coin certified by a recognized grading 
                service and traded on a nationally recognized 
                electronic network, or listed by a recognized wholesale 
                reporting service, and--
                            ``(i) which is or was at any time legal 
                        tender in the country of issuance, or
                            ``(ii) issued under the laws of any State, 
                        and
                    ``(B) any gold, silver, platinum, or palladium 
                bullion (whether fabricated in the form of a coin or 
                otherwise) of a fineness equal to or exceeding the 
                minimum fineness required for metals which may be 
                delivered in satisfaction of a regulated futures 
                contract (as defined in section 1256(g)(1)) traded on a 
                contract market designated by the Commodity Futures 
                Trading Commission under the Commodity Exchange Act,
        if such coin or bullion is in the physical possession of a 
        trustee described under subsection (a) of this section.''
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 1995.