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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8318 Introduced in House (IH)]

<DOC>

118th CONGRESS
  2d Session
                                H. R. 8318

   To amend the Internal Revenue Code of 1986 to treat Indian Tribal 
Governments in the same manner as State governments for certain Federal 
                 tax purposes, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                              May 8, 2024

 Ms. Moore of Wisconsin (for herself, Mr. Schweikert, Mr. Kildee, Mr. 
   Kelly of Pennsylvania, Ms. DelBene, Mr. Cole, Mr. Kilmer, and Mr. 
  Moolenaar) introduced the following bill; which was referred to the 
   Committee on Ways and Means, and in addition to the Committee on 
Education and the Workforce, for a period to be subsequently determined 
 by the Speaker, in each case for consideration of such provisions as 
        fall within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL

 
   To amend the Internal Revenue Code of 1986 to treat Indian Tribal 
Governments in the same manner as State governments for certain Federal 
                 tax purposes, and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Tribal Tax and 
Investment Reform Act of 2024''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Treatment of Indian tribes as States with respect to excise 
                            taxes and bond issuance.
Sec. 4. Treatment of pension and employee benefit plans maintained by 
                            Tribal Governments.
Sec. 5. Treatment of Tribal foundations and charities like charities 
                            funded and controlled by other governmental 
                            funders and sponsors.
Sec. 6. Improving effectiveness of Tribal child support enforcement 
                            agencies.
Sec. 7. Recognizing Indian tribal governments for purposes of 
                            determining under the adoption credit 
                            whether a child has special needs.
Sec. 8. New markets tax credit for tribal area investments.
Sec. 9. Inclusion of Indian areas as difficult development areas for 
                            purposes of certain buildings.
Sec. 10. Tribal general welfare and trust programs clarification.
Sec. 11. Indian employment tax credit.
Sec. 12. Exclusion from gross income for payments under Indian health 
                            service loan repayment program.
Sec. 13. Exclusion of certain amounts received under Indian Health 
                            Professions Scholarships Program.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) There is a unique Federal legal and political 
        relationship between the United States and Indian Tribes.
            (2) Indian Tribes have the responsibility and authority to 
        provide governmental programs and services to Tribal citizens, 
        develop Tribal economies, and build community infrastructure to 
        ensure that Indian reservation lands serve as livable, 
        permanent homes.
            (3) The United States Constitution, United States Federal 
        Court decisions, Executive orders, and numerous other Federal 
        laws and regulations recognize that Indian Tribes are 
        governments, retaining the inherent authority to tax and 
        operate as other governments, including (inter alia) financing 
        projects with government bonds and maintaining eligibility for 
        general tax exemptions via their government status.
            (4) Codifying tax parity with respect to Tribal Governments 
        is consistent with Federal treaties recognizing the sovereignty 
        of Tribal Governments.
            (5) That Indian Tribes face historic disadvantages in 
        accessing the underlying capital to build the necessary 
        infrastructure for job creation, and that certain statutory 
        restrictions on Tribal governance further inhibit Tribes' 
        ability to develop strong governance and economies.
            (6) Indian Tribes are sometimes excluded from the Internal 
        Revenue Code of 1986 in key provisions which results in unfair 
        tax treatment for Tribal citizens or unequal enforcement 
        authority for Tribal enforcement agencies.
            (7) Congress is vested with the authority to regulate 
        commerce with Indian Tribes, and hereby exercises that 
        authority in a manner which furthers Tribal self-governance, 
        and in doing so, further affirms the United States government-
        to-government relationship with Indian Tribes.

SEC. 3. TREATMENT OF INDIAN TRIBES AS STATES WITH RESPECT TO EXCISE 
              TAXES AND BOND ISSUANCE.

    (a) Repeal of Essential Governmental Function Requirements.--
Section 7871 of the Internal Revenue Code of 1986 is amended by 
striking subsections (b) and (e) and redesignating subsections (c), 
(d), and (f) as subsections (b), (c), and (d), respectively.
    (b) Special Rules for Tax-Exempt Bonds.--Subsection (b) of section 
7871 of such Code, as redesignated by subsection (a), is amended to 
read as follows:
    ``(b) Special Rules for Tax-Exempt Bonds.--
            ``(1) In general.--In applying section 146 to bonds issued 
        by Indian Tribal Governments, the Secretary shall annually--
                    ``(A) establish a national bond volume cap based on 
                the greater of--
                            ``(i) the amount determined under section 
                        146(d)(1)(A), determined by substituting `the 
                        national Tribal population estimates supplied 
                        annually by the Secretary of the Interior, as 
                        measured by the total number of enrolled Tribal 
                        citizens of each tribe'for `State population', 
                        and
                            ``(ii) the minimum State ceiling amount in 
                        section 146(d)(1)(B) (as adjusted in accordance 
                        with the cost of living provision in section 
                        146(d)(2)), and
                    ``(B) under regulations prescribed by the 
                Secretary, allocate such national bond volume cap among 
                all Indian Tribal Governments seeking such an 
                allocation in a particular year.
            ``(2) Application of geographic restriction.--In the case 
        of national bond volume cap allocated under paragraph (1), 
        section 146(k)(1) shall not apply to the extent that such cap 
        is used with respect to financing for a facility located on 
        qualified Indian lands.
            ``(3) Restriction on financing of certain gaming 
        facilities.--No portion of proceeds from an obligation issued 
        by an Indian Tribal Government (or subdivision thereof) under 
        section 103 may be used with respect to the financing of any 
        portion of a building in which class II or class III gaming (as 
        defined in section 4 of the Indian Gaming Regulatory Act (25 
        U.S.C. 2703)) is conducted or housed or any property actually 
        used in the conduct of such gaming.
            ``(4) Definitions and special rules.--For purposes of this 
        subsection--
                    ``(A) Indian tribal government.--The term `Indian 
                Tribal Government' means the recognized governing body 
                of any Indian or Alaska Native tribe, band, nation, 
                pueblo, village, community, component band, or 
                component reservation, individually identified 
                (including parenthetically) pursuant to section 104 of 
                the Federally Recognized Indian Tribe List Act of 1994 
                (25 U.S.C. 5131).
                    ``(B) Intertribal consortia, etc.--Under 
                regulations prescribed by the Secretary, an Indian 
                Tribal Government (or a partnership of Indian Tribal 
                Governments) may authorize an intertribal consortium, 
                an organization, or an Alaska Native regional or 
                village corporation, as defined in, or established 
                pursuant to, the Alaska Native Claims Settlement Act, 
                to plan for, coordinate or otherwise administer 
                services, finances, functions, or activities on its 
                behalf under this subsection, except that the 
                authorized entity shall have the rights and 
                responsibilities of the authorizing Indian Tribal 
                Government (or Indian Tribal Governments) only to the 
                extent provided in the authorizing resolution.
                    ``(C) Qualified indian lands.--The term `qualified 
                Indian lands' means--
                            ``(i) Indian lands within the meaning of 
                        section 29(j)(8) of the Stevenson-Wydler 
                        Technology Innovation Act of 1980 (15 U.S.C. 
                        3722b(j)(8)),
                            ``(ii) land held in fee simple by an Indian 
                        Tribal Government,
                            ``(iii) land held by incorporated Native 
                        groups, regional corporations, and village 
                        corporations under the provisions of the Alaska 
                        Native Claims Settlement Act (43 U.S.C. 1601 et 
                        seq.),
                            ``(iv) Hawaiian Home Lands (as defined in 
                        section 801 of the Native American Housing 
                        Assistance and Self-Determination Act of 1996 
                        (25 U.S.C. 4221), and
                            ``(v) under regulations prescribed by the 
                        Secretary, lands where the facility is to be 
                        placed in service in connection with--
                                    ``(I) the active conduct of a trade 
                                or business by an Indian Tribe on, 
                                contiguous to, within reasonable 
                                proximity of, or with a substantial 
                                connection to lands described in clause 
                                (i), (ii), (iii), or (iv), or
                                    ``(II) infrastructure (including 
                                roads, power lines, water systems, 
                                railroad spurs, and communication 
                                facilities) serving lands described in 
                                clause (i), (ii), (iii), or (iv).''.
    (c) Conforming Amendments.--
            (1) Section 7871(a) of such Code is amended--
                    (A) in paragraph (2) by striking ``subject to 
                subsection (b),'', and
                    (B) in paragraph (4) by striking ``subsection (c)'' 
                and inserting ``subsection (b)''.
            (2) Subparagraph (B) of section 45(c)(9) of such Code is 
        amended to read as follows:
                    ``(B) Indian tribe.--For purposes of this 
                paragraph, the term `Indian Tribe' means any Indian 
                Tribe, band, nation, or other organized group or 
                community which is recognized as eligible for the 
                special programs and services provided by the United 
                States to Indians because of their status as 
                Indians.''.
    (d) Effective Date.--
            (1) Tax-exempt bonds.--The amendments made by this section 
        shall apply to obligations issued in calendar years beginning 
        after the date of the enactment of this Act.
            (2) Excise taxes.--The amendments made by this section with 
        respect to any excise tax referred to in section 7871(a)(2) of 
        such Code shall take effect on and after the first day of the 
        first calendar quarter beginning more than 60 days after the 
        date of the enactment of this Act.

SEC. 4. TREATMENT OF PENSION AND EMPLOYEE BENEFIT PLANS MAINTAINED BY 
              TRIBAL GOVERNMENTS.

    (a) Amendments to the Internal Revenue Code of 1986.--
            (1) Qualified public safety employee.--Section 72(t)(10)(B) 
        of the Internal Revenue Code of 1986 (defining qualified public 
        safety employee) is amended by--
                    (A) striking ``or political subdivision of a 
                State'' and inserting ``, political subdivision of a 
                State, or Indian tribal government''; and
                    (B) striking ``such State or political 
                subdivision'' and inserting ``such State, political 
                subdivision, or Indian tribal government''.
            (2) Governmental plan.--The last sentence of section 414(d) 
        of such Code (defining governmental plan) is amended to read as 
        follows: ``The term `governmental plan' includes a plan 
        established or maintained for its employees by an Indian tribal 
        government, an agency, instrumentality, or subdivision of an 
        Indian tribal government, or an entity established under 
        Federal, State, or Tribal law which is wholly owned or 
        controlled by any of the foregoing.''.
            (3) Exempt governmental deferred compensation plan.--
        Section 3121(v)(3) of such Code (defining governmental deferred 
        compensation plan) is amended by inserting ``by an Indian 
        tribal government, an agency, instrumentality, or subdivision 
        of an Indian tribal government, or an entity established under 
        Federal, State, or Tribal law which is wholly owned or 
        controlled by any of the foregoing,'' after ``political 
        subdivision thereof,''.
            (4) Grandfather of certain deferred compensation plans.--
        Section 457 of such Code is amended by adding at the end the 
        following new subsection:
    ``(h) Certain Tribal Government Plans Grandfathered.--Plans 
established before the date of enactment of this subsection and 
maintained by an Indian tribal government, an agency, instrumentality, 
or subdivision of an Indian tribal government, or an entity established 
under Federal, State, or Tribal law which is wholly owned or controlled 
by any of the foregoing, in compliance with subsection (b) shall be 
treated as if established by an eligible employer under subsection 
(e)(1)(A). Such plans may be maintained in compliance with section 457 
or may be converted to or merged into a section 401(k) cash or deferred 
arrangement maintained by such government, agency, instrumentality, 
subdivision, or entity.''.
            (5) Long-term, part-time workers.--Section 401(k)(15)(C) of 
        such Code is amended to read as follows:
                    ``(C) Application of standards to certain employees 
                and plans.--The provisions of paragraph (2)(D)(ii) 
                shall not apply to--
                            ``(i) employees described in section 
                        410(b)(3), and
                            ``(ii) a governmental plan within the 
                        meaning of section 414(d)).''.
    (b) Enforcement Moratorium Related to Pension Protection Act of 
2006.--
            (1) In general.--No Indian tribal government, an agency, 
        instrumentality, or subdivision of an Indian tribal government, 
        or an entity established under Federal, State, or Tribal law 
        which is wholly owned or controlled by any of the foregoing, 
        shall be subject to a Federal agency enforcement action based 
        on changes under the Internal Revenue Code of 1986 or Employee 
        Retirement Income and Security Act of 1974 enacted under the 
        Pension Protection Act of 2006, for any periods prior to the 
        publication of agency regulations thereunder.
            (2) Indian tribal government.--For purposes of this 
        subsection, the term ``Indian tribal government'' has the 
        meaning given such term in section 7701(a)(40) of the Internal 
        Revenue Code of 1986.
            (3) Regulatory guidance.--The Secretary shall work with the 
        Tribal Advisory Committee established pursuant to section 3 of 
        the Tribal General Welfare Exclusion Act of 2014, and in 
        consultation with Indian tribal governments and relevant 
        governmental agencies, to develop regulatory guidance under 
        this section.
    (c) Uniform Protections and Fiduciary Standards for Tribal Plans.--
            (1) In general.--Chapter 77 of such Code is amended by 
        adding at the end the following:

``SEC. 7531. UNIFORM PROTECTIONS AND FIDUCIARY STANDARDS FOR TRIBAL 
              PENSION PLANS.

    ``(a) In General.--A Tribal pension plan shall be subject to the 
uniform protections and fiduciary standards for Tribal pension plans.
    ``(b) Personal Liability.--
            ``(1) In general.--Any person who is a fiduciary with 
        respect to a Tribal pension plan who breaches any of the 
        responsibilities, obligations, or duties imposed upon 
        fiduciaries by the uniform protection and fiduciary standards 
        for Tribal pension plans, shall be personally liable to make 
        good to such plan any losses to the plan resulting from each 
        such breach, and to restore to such plan any profits of such 
        fiduciary which have been made through use of assets of the 
        plan by the fiduciary, and shall be subject to such other 
        equitable or remedial relief as the court may deem appropriate, 
        including removal of such fiduciary.
            ``(2) No liability for prior breach.--No fiduciary shall be 
        liable with respect to a breach of fiduciary duty under this 
        section if such breach was committed before the fiduciary 
        became a fiduciary or after the fiduciary ceased to be a 
        fiduciary.
    ``(c) Nondiscrimination.--
            ``(1) No interference with protected rights.--It shall be 
        unlawful for any person to discharge, fine, suspend, expel, 
        discipline, or discriminate against a participant or 
        beneficiary for exercising any right to which the participant 
        or beneficiary is entitled under the provisions of a Tribal 
        pension plan or under the uniform protection and fiduciary 
        standards for Tribal pension plans, or for the purpose of 
        interfering with the attainment of any right to which such 
        participant or beneficiary may become entitled under such plan 
        or the uniform protection and fiduciary standards for Tribal 
        pension plans.
            ``(2) Nondiscrimination.--Contributions or benefits 
        provided under a Tribal pension plan shall not discriminate in 
        favor of highly compensated employees (within the meaning of 
        section 414(q)).
    ``(d) Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Tribal pension plan.--The term `Tribal pension plan' 
        means any qualified employer retirement plan (as defined in 
        section 72(d)(1)(G)) which--
                    ``(A) is a governmental plan (as defined in section 
                414(d)),
                    ``(B) has at least 500 active participants, and
                    ``(C) is established or maintained for the 
                employees of an Indian tribal government, an agency, 
                instrumentality, or subdivision of an Indian tribal 
                government, or an entity established under Federal, 
                State, or Tribal law which is wholly owned or 
                controlled by any of the foregoing.
            ``(2) Uniform protection and fiduciary standards for tribal 
        pension plans.--The term `uniform protections and fiduciary 
        standards for Tribal pension plans' means that in connection 
        with a fiduciary's duties with respect to a Tribal pension plan 
        the fiduciary shall discharge those duties--
                    ``(A) solely in the interest of the participants 
                and beneficiaries,
                    ``(B) for the exclusive purpose of providing 
                benefits to participants and beneficiaries,
                    ``(C) to defray reasonable expenses of 
                administering the plan,
                    ``(D) with the care, skill, prudence, and diligence 
                under the circumstances then prevailing that a prudent 
                person acting in a like capacity and familiar with such 
                matters would use in the conduct of an enterprise of a 
                like character and with like aims,
                    ``(E) by diversifying the investments of the plan 
                so as to minimize the risk of large losses, unless 
                under the circumstances it is clearly prudent not to do 
                so, and
                    ``(F) in accordance with the documents and 
                instruments governing the plan insofar as such 
                documents and instruments are consistent with the 
                requirements of the preceding subparagraphs.
            ``(3) Control over assets by participant or beneficiary.--
        In the case of a Tribal pension plan which provides for 
        individual accounts and permits a participant or beneficiary to 
        exercise control over the assets in their account, if a 
        participant or beneficiary exercises control over the assets in 
        their account--
                    ``(A) such participant or beneficiary shall not be 
                deemed to be a fiduciary by reason of such exercise, 
                and
                    ``(B) no person who is otherwise a fiduciary shall 
                be liable under this section for any loss, or by reason 
                of any breach, which results from such participant's or 
                beneficiary's exercise of control.
    ``(e) Notice Requirements.--The plan administrator for any Tribal 
pension plan shall cause to be furnished to each participant covered 
under the plan a summary plan description. The summary plan description 
and any notice of material modifications shall be provided or made 
available to participants within a reasonable period following the 
effective date of a participant's coverage or the effective date of 
material changes to the plan, as applicable. The summary plan 
description shall--
            ``(1) be written in a manner calculated to be understood by 
        the average plan participant,
            ``(2) be sufficiently accurate and comprehensive to 
        reasonably apprise such participants and beneficiaries of their 
        rights and obligations under the plan, and
            ``(3) specify any material modification in the terms to the 
        plan made after the previous summary plan description.
    ``(f) Persons Empowered To Bring a Civil Action.--In the case of a 
Tribal pension plan, a civil action may be brought--
            ``(1) by a participant or beneficiary to recover benefits 
        due under the terms of the plan, to enforce rights under the 
        terms of the plan, or to clarify rights to future benefits 
        under the terms of the plan;
            ``(2) by a participant, beneficiary, or fiduciary for 
        relief for any loss for which a fiduciary is personally liable 
        under this section; and
            ``(3) by a participant, beneficiary, or fiduciary--
                    ``(A) to enjoin any act or practice which violates 
                any provision of the uniform protection and protections 
                and fiduciary standards for Tribal pension plans, or
                    ``(B) to obtain other appropriate equitable 
                relief--
                            ``(i) to redress such violations, or
                            ``(ii) to enforce any provisions of the 
                        uniform protections and fiduciary standards for 
                        Tribal pension plans or the terms of the plan.
    ``(g) Status of Tribal Pension Plan as Entity.--A Tribal pension 
plan may sue or be sued under this section as an entity. Service of 
summons, subpoena, or other legal process of a court upon a trustee or 
an administrator of a Tribal pension plan in such capacity shall 
constitute service upon the Tribal pension plan. Any money judgment 
under this section against a Tribal pension plan shall be enforceable 
only against the plan as an entity and shall not be enforceable against 
any other person or entity.
    ``(h) Jurisdiction.--Enforcement actions related to the uniform 
protections and fiduciary standards for Tribal pension plans shall be 
in the applicable Tribal court unless the Indian tribal government has 
opted to limit Tribal court jurisdiction for such actions in favor of 
Federal court enforcement. In the absence of an established Tribal 
court, or for Indian tribal governments who have elected to limit their 
Tribal court's jurisdiction to exclude claims for enforcing the uniform 
protections and fiduciary standards for Tribal pension plans, a 
participant or beneficiary may seek enforcement in the district court 
of the United States for the district where the plan has its principal 
office, or in the United States District for the District of Columbia. 
When applicable, the district courts of the United States shall have 
jurisdiction without respect to the amount in controversy or the 
citizenship of the parties.
    ``(i) Attorney's Fees and Costs.--The court, in its discretion, may 
allow an award of reasonable attorney's fees and costs to a 
participant, beneficiary, or fiduciary who prevails in an action to 
enforce the uniform protections and fiduciary standards for Tribal 
pension plans.
    ``(j) Coordination With Other Tribal Laws and Protections.--Nothing 
in this section shall preempt or otherwise prevent an Indian Tribe from 
adopting additional laws and protections not inconsistent with this 
section.
    ``(k) Regulations.--The Secretary shall work with the Tribal 
Advisory Committee established pursuant to section 3 of the Tribal 
General Welfare Exclusion Act of 2014, and in consultation with Indian 
tribal governments and relevant governmental agencies, to develop 
regulatory guidance under this section, as well as the enforcement of 
such standards.''.
            (2) Clerical amendment.--The table of sections for chapter 
        77 of such Code is amended by adding at the end the following 
        new item:

``Sec. 7531. Uniform protections and fiduciary standards for Tribal 
                            pension plans.''.
    (d) Conforming Amendment.--The last sentence of section 3(32) of 
the Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1002(32)) is amended to read as follows: ``The term `governmental plan' 
includes a plan established or maintained for its employees by an 
Indian tribal government, an agency, instrumentality, or subdivision of 
an Indian tribal government, or an entity established under Federal, 
State, or Tribal law which is wholly owned or controlled by any of the 
foregoing.''.
    (e) Effective Date.--The amendments made by this section shall 
apply to years beginning after the date of the enactment of this Act.
    (f) Transition Provisions.--The Secretary of the Treasury (or the 
Secretary's delegate) shall, in consultation with the Tribal Advisory 
Committee established under section 3 of the Tribal General Welfare 
Exclusion Act of 2014 (26 U.S.C. 139E note), and in consultation with 
Indian tribal governments, develop guidance on the transition of plans 
to meet requirements added or changed by the amendments made by this 
section, including publication of transition relief if appropriate. The 
Secretary of the Treasury (or the Secretary's delegate) is authorized 
to extend deadlines imposed by the Internal Revenue Code of 1986 to 
reflect any such transition relief (and to coordinate such transition 
relief with relevant governmental agencies) as well as time for plan 
sponsors to adopt amendments and implement required changes.

SEC. 5. TREATMENT OF TRIBAL FOUNDATIONS AND CHARITIES LIKE CHARITIES 
              FUNDED AND CONTROLLED BY OTHER GOVERNMENTAL FUNDERS AND 
              SPONSORS.

    (a) In General.--Section 170(b)(1)(A) of the Internal Revenue Code 
of 1986 is amended by adding at the end the following: ``For purposes 
of clause (vi), the term `governmental unit' includes an Indian tribal 
government, an agency, instrumentality, or subdivision of an Indian 
tribal government, or an entity established under Federal, State, or 
Tribal law which is wholly owned or controlled by any of the 
foregoing.''.
    (b) Certain Supporting Organizations.--Section 509(a) of such Code 
is amended by adding at the end the following: ``For purposes of 
paragraph (3), an organization described in paragraph (2) shall be 
deemed to include an Indian tribal government, an agency, 
instrumentality, or subdivision of an Indian tribal government, or an 
entity established under Federal, State, or Tribal law which is wholly 
owned or controlled by any of the foregoing .''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

SEC. 6. IMPROVING EFFECTIVENESS OF TRIBAL CHILD SUPPORT ENFORCEMENT 
              AGENCIES.

    (a) Amendment to the Social Security Act.--Section 464 of the 
Social Security Act (42 U.S.C. 664) is amended by adding at the end the 
following:
    ``(d) Applicability to Indian Tribes and Tribal Organizations 
Eligible for a Grant Under This Part.--This section, except for the 
requirement to distribute amounts in accordance with section 457, shall 
apply to an Indian Tribe or Tribal organization eligible for a grant 
under section 455(f) in the same manner in which this section applies 
to a State with a plan approved under this part.''.
    (b) Amendment to the Internal Revenue Code.--Subsection (c) of 
section 6402 of the Internal Revenue Code of 1986 is amended by adding 
at the end the following: ``For purposes of this subsection, any 
reference to a State shall include a reference to any Indian Tribe or 
Tribal organization described in section 464(d) of the Social Security 
Act.''.

SEC. 7. RECOGNIZING INDIAN TRIBAL GOVERNMENTS FOR PURPOSES OF 
              DETERMINING UNDER THE ADOPTION CREDIT WHETHER A CHILD HAS 
              SPECIAL NEEDS.

    (a) In General.--Section 23(d)(3) of the Internal Revenue Code of 
1986 (defining child with special needs) is amended--
            (1) in subparagraph (A), by inserting ``or Indian tribal 
        government'' after ``a State''; and
            (2) in subparagraph (B), by inserting ``or Indian tribal 
        government'' after ``such State''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

SEC. 8. NEW MARKETS TAX CREDIT FOR TRIBAL AREA INVESTMENTS.

    (a) Additional Allocations for Tribal Area.--
            (1) In general.--Section 45D(f) of the Internal Revenue 
        Code of 1986 is amended by adding at the end the following new 
        paragraph:
            ``(4) Additional allocations for tribal area investments.--
                    ``(A) In general.--In the case of each calendar 
                year after 2024, there is (in addition to any 
                limitation under any other paragraph of this 
                subsection) a new markets tribal area tax credit 
                limitation of $175,000,000 which shall be allocated by 
                the Secretary as provided in paragraph (2) except--
                            ``(i) that such allocation shall only be 
                        allocated with respect to qualified tribal area 
                        investments, and
                            ``(ii) in addition to the priorities 
                        described in paragraph (2), the Secretary may 
                        give priority to any entity with a record of 
                        having successfully provided capital or 
                        technical assistance in tribal statistical 
                        areas.
                    ``(B) Carryover of unused new markets tribal area 
                tax credit limitation.--
                            ``(i) In general.--If the new markets 
                        tribal area tax credit limitation under 
                        subparagraph (A) for any calendar year exceeds 
                        the amount of such limitation allocated by the 
                        Secretary for such calendar year, such 
                        limitation for the succeeding calendar year 
                        shall be increased by the amount of such 
                        excess.
                            ``(ii) Limitation on carryover.--No amount 
                        of new markets tribal area tax credit 
                        limitation may be carried under clause (i) past 
                        the 5th calendar year following the calendar 
                        year in which such amount of new markets tribal 
                        area tax credit limitation arose.
                            ``(iii) Transfer of expired new markets 
                        tribal area tax credit limitation to general 
                        limitation.--In the case of any amount of new 
                        markets tribal area tax credit limitation which 
                        would (but for clause (ii)) be carried under 
                        clause (i) to the 6th calendar year following 
                        the calendar year in which such amount of new 
                        markets tribal area credit limitation arose, 
                        the new market tax credit limitation under 
                        paragraph (1) for such 6th calendar year shall 
                        be increased by the amount of such new markets 
                        tribal area tax credit limitation.
                    ``(C) Allocations restricted to qualified tribal 
                area investments.--In the case of any new markets 
                tribal area tax credit limitation--
                            ``(i) subsection (b)(1)(B) shall be applied 
                        by substituting `qualified tribal area 
                        investments' for `qualified low-income 
                        community investments', and
                            ``(ii) subsections (b)(2) and (g)(3)(B) 
                        shall be applied separately with respect to 
                        such limitation.
                    ``(D) Qualified tribal area investments.--For 
                purposes of this paragraph, the term `qualified tribal 
                area investment' means--
                            ``(i) any capital or equity investment in, 
                        or loan to, any qualified active tribal 
                        community business,
                            ``(ii) the purchase from another community 
                        development entity of any loan made by such 
                        entity which is a qualified tribal area 
                        investment,
                            ``(iii) financial counseling and other 
                        services specified in regulations prescribed by 
                        the Secretary to businesses located in, and 
                        residents of, tribal statistical areas, and
                            ``(iv) any equity investment in, or loan 
                        to, any qualified community development entity 
                        if substantially all of the proceeds of such 
                        investment or loan are used by such qualified 
                        community development entity to make qualified 
                        tribal area investments.
                    ``(E) Qualified active tribal community business.--
                For purposes of this paragraph--
                            ``(i) In general.--The term `qualified 
                        active tribal community business' has the 
                        meaning which would be given the term 
                        `qualified active low-income community 
                        business' under subsection (d)(2) if `tribal 
                        statistical area' were substituted for `low-
                        income community' each place it appears 
                        therein.
                            ``(ii) Inclusion of certain qualified 
                        active low-income community businesses which 
                        serve tribal areas.--The term `qualified active 
                        tribal community business' includes any 
                        qualified active low-income community business 
                        which--
                                    ``(I) provides good or services to 
                                a significant population of Tribal, 
                                Alaska Native village, or Native 
                                Hawaiian community members, who are 
                                residents of a tribal statistical area, 
                                and
                                    ``(II) obtains a written statement 
                                from one or more relevant Indian tribal 
                                governments (as defined in section 
                                7871(b)(4)(A)) (or, in the case of 
                                Native Hawaiian community members, the 
                                Department of Hawaiian Home Lands, as 
                                defined in section 801 of the Native 
                                American Housing Assistance and Self-
                                Determination Act of 1996 (25 U.S.C. 
                                4221)) that documents the eligibility 
                                of such qualified active low-income 
                                community business with respect to the 
                                requirement of subclause (I).
                    ``(F) Tribal statistical area.-- For purposes of 
                this paragraph, the term `tribal statistical area' 
                means any low-income community which is located in any 
                area determined by the Secretary, after consultation 
                with the Bureau of the Census, as a Tribal Census 
                Tract, Oklahoma Tribal Statistical Area, Tribal-
                Designated Statistical Area, Alaska Native Village 
                Statistical Area, or Hawaiian Home Lands.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to new markets tribal area tax credit limitation 
        determined for calendar years after December 31, 2024.
    (b) Educational and Technical Assistance Related to Qualified 
Tribal Area Investments.--Section 45D of such Code is amended by 
redesignating subsection (i) as subsection (j) and by inserting after 
subsection (h) the following new subsection:
    ``(i) Education and Technical Assistance Related to Investments 
With Respect to Tribal Statistical Areas.--Not later than 180 days 
after the date of the enactment of this paragraph, the Secretary, after 
consultation with the Office of Tribal and Native Affairs, the 
Community Development Financial Institutions Fund, and other 
appropriate Federal agencies, shall establish a program to provide 
educational and technical assistance to qualified community development 
entities with respect to--
            ``(1) applications for, and the appropriate use of--
                    ``(A) new markets tribal area tax credit 
                limitation, and
                    ``(B) new markets tax credit limitation with 
                respect to investments with respect to tribal 
                statistical areas, and
            ``(2) in the case of any qualified community development 
        entity which has been allocated limitation described in 
        subparagraph (A) or (B) of paragraph (1), technical issues 
        specifically associated with investments with respect to tribal 
        statistical areas.''.

SEC. 9. INCLUSION OF INDIAN AREAS AS DIFFICULT DEVELOPMENT AREAS FOR 
              PURPOSES OF CERTAIN BUILDINGS.

    (a) In General.--Subclause (I) of section 42(d)(5)(B)(iii) of the 
Internal Revenue Code of 1986 is amended by inserting before the period 
the following: ``, and any Indian area''.
    (b) Indian Area.--Clause (iii) of section 42(d)(5)(B) of such Code 
is amended by redesignating subclause (II) as subclause (IV) and by 
inserting after subclause (I) the following new subclauses:
                                    ``(II) Indian area.--For purposes 
                                of subclause (I), the term `Indian 
                                area' means any Indian area (as defined 
                                in section 4(11) of the Native American 
                                Housing Assistance and Self 
                                Determination Act of 1996 (25 U.S.C. 
                                4103(11))).
                                    ``(III) Special rule for buildings 
                                in indian areas.--In the case of an 
                                area which is a difficult development 
                                area solely because it is an Indian 
                                area, a building shall not be treated 
                                as located in such area unless such 
                                building is assisted or financed under 
                                the Native American Housing Assistance 
                                and Self Determination Act of 1996 (25 
                                U.S.C. 4101 et seq.) or the project 
                                sponsor is an Indian Tribe (as defined 
                                in section 45A(c)(6)), a tribally 
                                designated housing entity (as defined 
                                in section 4(22) of such Act (25 U.S.C. 
                                4103(22))), or wholly owned or 
                                controlled by such an Indian Tribe or 
                                tribally designated housing entity.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to buildings placed in service after December 31, 2024.

SEC. 10. TRIBAL GENERAL WELFARE AND TRUST PROGRAMS CLARIFICATION.

    (a) In General.--Section 1612(b) of the Social Security Act (42 
U.S.C. 1382a(b)) is amended by striking ``; and'' at the end of 
paragraph (25), by striking the period at the end of paragraph (26) and 
inserting ``; and'', and by adding at the end the following new 
paragraph:
            ``(27) any Indian general welfare benefit (as defined in 
        section 139E of the Internal Revenue Code of 1986).''.
    (b) Exclusion From Resources.--Section 1613(a) of the Social 
Security Act (42 U.S.C. 1382b(a)) is amended by striking ``; and'' at 
the end of paragraph (16) and by inserting after paragraph (17) the 
following new paragraphs:
            ``(18) for the 9-month period beginning after the month in 
        which received, any Indian general welfare benefit (within the 
        meaning of section 139E of the Internal Revenue Code of 1986); 
        and
            ``(19) any grantor trust established by an Indian tribe for 
        the benefit of Indians and for which the Indian tribe is the 
        grantor (within the meaning of subpart E of part 1 of 
        subchapter J of chapter 1 of the Internal Revenue Code of 
        1986).''.

SEC. 11. INDIAN EMPLOYMENT TAX CREDIT.

    (a) Extension.--Section 45A of the Internal Revenue Code of 1986 is 
amended by striking subsection (f).
    (b) Modification of Determination of Amount of Credit.--Paragraph 
(2) of section 45A(a) of such Code is amended to read as follows:
            ``(2) the quotient of--
                    ``(A) the sum of the qualified wages and qualified 
                employee health insurance costs which were paid or 
                incurred by the employer (or any predecessor) during 
                the two most recent calendar years ending before the 
                beginning of such taxable year, divided by
                    ``(B) 2.''.
    (c) Increased Limitation.--Section 45A(b)(3) of such Code is 
amended by striking ``$20,000'' and inserting ``$30,000''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.

SEC. 12. EXCLUSION FROM GROSS INCOME FOR PAYMENTS UNDER INDIAN HEALTH 
              SERVICE LOAN REPAYMENT PROGRAM.

    (a) In General.--Paragraph (4) of section 108(f) of the Internal 
Revenue Code of 1986 is amended by inserting ``under section 108 of the 
Indian Health Care Improvement Act,'' after ``338I of such Act,''.
    (b) Clerical Amendment.--The heading for section 108(f)(4) of such 
Code is amended by inserting ``, indian health service loan repayment 
program,'' before ``and certain''.
    (c) Effective Date.--The amendments made by this section shall 
apply to payments made after the date of the enactment of this Act.

SEC. 13. EXCLUSION OF CERTAIN AMOUNTS RECEIVED UNDER INDIAN HEALTH 
              PROFESSIONS SCHOLARSHIPS PROGRAM.

    (a) In General.--Paragraph (2) of section 117(c) of the Internal 
Revenue Code of 1986 is amended by striking ``or'' at the end of 
subparagraph (B), by striking the period at the end of subparagraph (C) 
and inserting ``, or'', and by adding at the end the following new 
subparagraph:
                    ``(D) the Indian Health Professions Scholarships 
                Program under section 104 of the Indian Health Care 
                Improvement Act.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to amounts received in taxable years beginning after December 31, 
2024.
                                 <all>
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