A bill to provide extensions for certain expiring provisions of the Internal Revenue Code of 1986, and for other purposes.

Summary: Tax Relief Extension Act of 2003 - Amends the Internal Revenue Code to extend provisions concerning: (1) parity in the application of certain limits to mental health benefits; (2) the credit for electricity produced from certain renewable resources; (3) the work opportunity credit; (4) the welfare-to-work credit; (5) the taxable income limit on percentage depletion for oil and natural gas produced from marginal properties; (6) qualified zone academy bonds; (7) the cover over tax on distilled spirits; (8) the deduction for corporate donations of computer technology; (9) the credit for qualified electric vehicles; (10) the deduction for clean-fuel vehicles and certain refueling property; (11) the deduction for certain expenses of school teachers; (12) the availability of medical savings accounts; (13) the expensing of environmental remediation costs; (14) the expansion of the work opportunity tax credit to the New York Liberty Zone; (15) the temporary special rules for taxation of life insurance companies; (16) certain tax incentives for investment in the District of Columbia; (17) the combined employment tax reporting program; (18) transfers of excess pension assets to retiree health accounts; and (19) IRS user fees.

Adds to the definition of taxable vaccines any vaccine against hepatitis A and any trivalent vaccine against influenza.

SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE.

    (a) Short Title.--This Act may be cited as the ``Tax Relief 
Extension Act of 2003''.
    (b) Amendment of 1986 Code.--Except as otherwise expressly 
provided, whenever in this Act an amendment or repeal is expressed in 
terms of an amendment to, or repeal of, a section or other provision, 
the reference shall be considered to be made to a section or other 
provision of the Internal Revenue Code of 1986.

           TITLE I--EXTENSIONS OF CERTAIN EXPIRING PROVISIONS

SEC. 101. PARITY IN THE APPLICATION OF CERTAIN LIMITS TO MENTAL HEALTH 
              BENEFITS.

    (a) In General.--Paragraph (2) of section 9812(f) is amended by 
striking ``December 31, 2003'' and inserting ``June 30, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on January 1, 2004.

SEC. 102. CREDIT FOR ELECTRICITY PRODUCED FROM CERTAIN RENEWABLE 
              RESOURCES.

    (a) In General.--Subparagraphs (A), (B), and (C) of section 
45(c)(3) are each amended by striking ``January 1, 2004'' and inserting 
``July 1, 2004''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply to facilities placed in service after December 31, 2003.

SEC. 103. WORK OPPORTUNITY CREDIT.

    (a) In General.--Subparagraph (B) of section 51(c)(4) is amended by 
striking ``December 31, 2003'' and inserting ``June 30, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to individuals who begin work for the employer after December 31, 
2003.

SEC. 104. WELFARE-TO-WORK CREDIT.

    (a) In General.--Subsection (f) of section 51A is amended by 
striking ``December 31, 2003'' and inserting ``June 30, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to individuals who begin work for the employer after December 31, 
2003.

SEC. 105. TAXABLE INCOME LIMIT ON PERCENTAGE DEPLETION FOR OIL AND 
              NATURAL GAS PRODUCED FROM MARGINAL PROPERTIES.

    (a) In General.--Subparagraph (H) of section 613A(c)(6) is 
amended--
            (1) by striking ``January 1, 2004'' and inserting ``July 1, 
        2004'', and
            (2) by adding at the end the following new sentence: ``In 
        the case of any taxable year beginning after December 31, 2003, 
        which includes June 30, 2004, any increase in the allowance for 
        depletion by reason of this subparagraph shall be equal to the 
        amount which bears the same ratio to the increase in such 
        allowance determined without regard to this sentence as the 
        number of days in the taxable year before July 1, 2004, bears 
        to the total number of days in such taxable year.''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply to taxable years beginning after December 31, 2003.

SEC. 106. QUALIFIED ZONE ACADEMY BONDS.

    (a) In General.--Paragraph (1) of section 1397E(e) is amended by 
inserting ``$200,000,000 for the period beginning after December 31, 
2003, and before July 1, 2004,'' after ``2003,''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to obligations issued after December 31, 2003.

SEC. 107. COVER OVER OF TAX ON DISTILLED SPIRITS.

    (a) In General.--Paragraph (1) of section 7652(f) is amended by 
striking ``January 1, 2004'' and inserting ``July 1, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to articles brought into the United States after December 31, 
2003.

SEC. 108. DEDUCTION FOR CORPORATE DONATIONS OF COMPUTER TECHNOLOGY.

    (a) Extension of Deduction.--Section 170(e)(6)(G) (relating to 
termination) is amended by striking ``contribution made during any 
taxable year beginning after December 31, 2003'' and inserting 
``contribution made after June 30, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to contributions made after December 31, 2003.

SEC. 109. CREDIT FOR QUALIFIED ELECTRIC VEHICLES.

    (a) In General.--Section 30 is amended--
            (1) in subsection (b)(2)--
                    (A) by striking ``December 31, 2003,'' and 
                inserting ``June 30, 2004,'',
                    (B) in subparagraph (A), by striking ``calendar 
                year 2004'' and inserting ``after June 30, 2004, and 
                before July 1, 2005'',
                    (C) in subparagraph (B), by striking ``calendar 
                year 2005'' and inserting ``after June 30, 2005, and 
                before July 1, 2006'', and
                    (D) in subparagraph (C), by striking ``calendar 
                year 2006'' and inserting ``after June 30, 2006, and 
                before July 1, 2007'', and
            (2) in subsection (e), by striking ``December 31, 2006'' 
        and inserting ``June 30, 2007''.
    (b) Conforming Amendment.--Clause (iii) of section 280F(a)(1)(C) is 
amended by striking ``January 1, 2007'' and inserting ``July 1, 2007''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2003.

SEC. 110. DEDUCTION FOR CLEAN-FUEL VEHICLES AND CERTAIN REFUELING 
              PROPERTY.

    (a) In General.--Section 179A is amended--
            (1) in subsection (b)(1)(B)--
                    (A) by striking ``December 31, 2003,'' and 
                inserting ``June 30, 2004,'',
                    (B) in clause (i), by striking ``calendar year 
                2004'' and inserting ``after June 30, 2004, and before 
                July 1, 2005'',
                    (C) in clause (ii), by striking ``calendar year 
                2005'' and inserting ``after June 30, 2005, and before 
                July 1, 2006'', and
                    (D) in clause (iii), by striking ``calendar year 
                2006'' and inserting ``after June 30, 2006, and before 
                July 1, 2007'', and
            (2) in subsection (f), by striking ``December 31, 2006'' 
        and inserting ``June 30, 2007''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply to property placed in service after December 31, 2003.

SEC. 111. DEDUCTION FOR CERTAIN EXPENSES OF SCHOOL TEACHERS.

    (a) In General.--Subparagraph (D) of section 62(a)(2) is amended--
            (1) by inserting ``and the period beginning after December 
        31, 2003, and before July 1, 2004,'' after ``2003,'', and
            (2) by inserting ``for each taxable year or $125 for such 
        period'' after ``$250''.
    (b) Effective Date.--The amendments made by subsection (a) shall 
apply to expenses paid or incurred after December 31, 2003.

SEC. 112. AVAILABILITY OF MEDICAL SAVINGS ACCOUNTS.

    (a) In General.--Paragraphs (2) and (3)(B) of section 220(i) 
(defining cut-off year) are each amended by striking ``2003'' each 
place it appears and inserting ``2004''.
    (b) Conforming Amendments.--
            (1) Paragraph (2) of section 220(j) is amended by striking 
        ``1998, 1999, 2001, or 2002'' each place it appears and 
        inserting ``1998, 1999, 2001, 2002, or 2003''.
            (2) Subparagraph (A) of section 220(j)(4) is amended by 
        striking ``and 2002'' and inserting ``2002, and 2003''.
    (c) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2004.

SEC. 113. EXPENSING OF ENVIRONMENTAL REMEDIATION COSTS.

    (a) Extension of Termination Date.--Subsection (h) of section 198 
is amended by striking ``December 31, 2003'' and inserting ``June 30, 
2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to expenditures paid or incurred after December 31, 2003.

SEC. 114. EXPANSION OF WOTC TO NEW YORK LIBERTY ZONE.

    (a) In General.--Subclause (I) of section 1400L(a)(2)(D)(iv) is 
amended by inserting ``or the period beginning after December 31, 2003, 
and before July 1, 2004'' after ``2003''.
    (b) Conforming Amendment.--Subclause (II) of section 
1400L(a)(2)(D)(iv) is amended by inserting ``or period described in 
subclause (I)'' after ``year''.
    (c) Effective Date.--The amendments made by this section shall 
apply to individuals who begin work for the employer after December 31, 
2003.

SEC. 115. TEMPORARY SPECIAL RULES FOR TAXATION OF LIFE INSURANCE 
              COMPANIES.

    (a) In General.--Subsection (j) of section 809 is amended by 
striking ``or 2003'' and inserting ``2003, or 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to taxable years beginning after December 31, 2003.

SEC. 116. TAX INCENTIVES FOR INVESTMENT IN THE DISTRICT OF COLUMBIA.

    (a) Designation of Zone.--Subsection (f) of section 1400 is amended 
by striking ``December 31, 2003'' both places it appears and inserting 
``June 30, 2004''.
    (b) Tax-Exempt Economic Development Bonds.--Subsection (b) of 
section 1400A is amended by striking ``December 31, 2003'' and 
inserting ``June 30, 2004''.
    (c) Zero Percent Capital Gains Rate.--
            (1) In general.--Subsection (b) of section 1400B is amended 
        by striking ``January 1, 2004'' each place it appears and 
        inserting ``July 1, 2004''.
            (2) Conforming amendments.--
                    (A) Section 1400B(e)(2) is amended--
                            (i) by striking ``December 31, 2008'' and 
                        inserting ``June 30, 2009'', and
                            (ii) by striking ``2008'' in the heading 
                        and inserting ``june 2009''.
                    (B) Section 1400B(g)(2) is amended by striking 
                ``December 31, 2008'' and inserting ``June 30, 2009''.
                    (C) Section 1400F(d) is amended by striking 
                ``December 31, 2008'' and inserting ``June 30, 2009''.
    (d) First-Time Homebuyer Credit.--Subsection (i) of section 1400C 
is amended by striking ``January 1, 2004'' and inserting ``July 1, 
2004''.
    (e) Effective Date.--The amendments made by this section shall take 
effect on January 1, 2004.

SEC. 117. COMBINED EMPLOYMENT TAX REPORTING PROGRAM.

    (a) In General.--Paragraph (1) of section 976(b) of the Taxpayer 
Relief Act of 1997 is amended by striking ``for a period ending with 
the date which is 5 years after the date of the enactment of this Act'' 
and inserting ``during the period ending before July 1, 2004''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to disclosures on or after the date of the enactment of this Act.

                      TITLE II--REVENUE PROVISIONS

SEC. 201. ADDITION OF VACCINES AGAINST HEPATITIS A TO LIST OF TAXABLE 
              VACCINES.

    (a) In General.--Section 4132(a)(1) (defining taxable vaccine) is 
amended by redesignating subparagraphs (I), (J), (K), and (L) as 
subparagraphs (J), (K), (L), and (M), respectively, and by inserting 
after subparagraph (H) the following new subparagraph:
                    ``(I) Any vaccine against hepatitis A.''.
    (b) Conforming Amendment.--Section 9510(c)(1)(A) is amended by 
striking ``October 18, 2000'' and inserting ``the date of the enactment 
of the Tax Relief Extension Act of 2003''.
    (c) Effective Date.--
            (1) Sales, etc.--The amendments made by this section shall 
        apply to sales and uses on or after the first day of the first 
        month which begins more than 4 weeks after the date of the 
        enactment of this Act.
            (2) Deliveries.--For purposes of paragraph (1) and section 
        4131 of the Internal Revenue Code of 1986, in the case of sales 
        on or before the effective date described in such paragraph for 
        which delivery is made after such date, the delivery date shall 
        be considered the sale date.

SEC. 202. ADDITION OF VACCINES AGAINST INFLUENZA TO LIST OF TAXABLE 
              VACCINES.

    (a) In General.--Section 4132(a)(1) (defining taxable vaccine), as 
amended by this Act, is amended by adding at the end the following new 
subparagraph:
                    ``(N) Any trivalent vaccine against influenza.''.
    (b) Effective Date.--
            (1) Sales, etc.--The amendment made by this section shall 
        apply to sales and uses on or after the later of--
                    (A) the first day of the first month which begins 
                more than 4 weeks after the date of the enactment of 
                this Act, or
                    (B) the date on which the Secretary of Health and 
                Human Services lists any vaccine against influenza for 
                purposes of compensation for any vaccine-related injury 
                or death through the Vaccine Injury Compensation Trust 
                Fund.
            (2) Deliveries.--For purposes of paragraph (1) and section 
        4131 of the Internal Revenue Code of 1986, in the case of sales 
        on or before the effective date described in such paragraph for 
        which delivery is made after such date, the delivery date shall 
        be considered the sale date.

SEC. 203. EXTENSION OF TRANSFERS OF EXCESS PENSION ASSETS TO RETIREE 
              HEALTH ACCOUNTS.

    (a) Amendment of Internal Revenue Code of 1986.--Paragraph (5) of 
section 420(b) (relating to expiration) is amended by striking 
``December 31, 2005'' and inserting ``December 31, 2013''.
    (b) Amendments of ERISA.--
            (1) Section 101(e)(3) of the Employee Retirement Income 
        Security Act of 1974 (29 U.S.C. 1021(e)(3)) is amended by 
        striking ``Tax Relief Extension Act of 1999'' and inserting 
        ``Tax Relief Extension Act of 2003''.
            (2) Section 403(c)(1) of such Act (29 U.S.C. 1103(c)(1)) is 
        amended by striking ``Tax Relief Extension Act of 1999'' and 
        inserting ``Tax Relief Extension Act of 2003''.
            (3) Paragraph (13) of section 408(b) of such Act (29 U.S.C. 
        1108(b)(3)) is amended--
                    (A) by striking ``January 1, 2006'' and inserting 
                ``January 1, 2014'', and
                    (B) by striking ``Tax Relief Extension Act of 
                1999'' and inserting ``Tax Relief Extension Act of 
                2003''.

SEC. 204. EXTENSION OF IRS USER FEES.

    (a) In General.--Section 7528(c) (relating to termination) is 
amended by striking ``December 31, 2004'' and inserting ``December 31, 
2011''.
    (b) Effective Date.--The amendment made by this section shall apply 
to requests after the date of the enactment of this Act.