I 

113TH CONGRESS 

1ST SESSION H. R. 3015 

To amend the Internal Revenue Code of 1986 to provide tax incentives 

for the establishment of supermarkets in certain underserved areas. 

IN THE HOUSE OF REPRESENTATIVES 

AUGUST 2, 2013 

Mr. COHEN introduced the following bill; which was referred to the Committee 

on Ways and Means 

A BILL 

To amend the Internal Revenue Code of 1986 to provide 

tax incentives for the establishment of supermarkets in 

certain underserved areas. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Supermarket Tax 

5 Credit for Underserved Areas Act’’. 

6 SEC. 2. TAX INCENTIVES FOR ESTABLISHMENT OF SUPER7 MARKETS IN CERTAIN UNDERSERVED AREAS. 

8 (a) IN GENERAL.—Subchapter Y of chapter 1 of the 

9 Internal Revenue Code of 1986 is amended by adding at 

10 the end the following new part: 


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1 ‘‘PART IV—TAX INCENTIVES FOR SUPERMARKETS 

2 IN UNDERSERVED AREAS 

‘‘Sec. 1400V–1. Increased rehabilitation credit. 

‘‘Sec. 1400V–2. Increased work opportunity tax credit. 

‘‘Sec. 1400V–3. Credit for sales of locally grown fresh fruits and vegetables. 

‘‘Sec. 1400V–4. Definitions. 

3 ‘‘SEC. 1400V–1. INCREASED REHABILITATION CREDIT. 

4 ‘‘(a) IN GENERAL.—In the case of a qualified reha5 bilitated building (as defined in section 47) which is an 

6 underserved area supermarket, subsection (a) of section 

7 47 shall be applied— 

8 ‘‘(1) by substituting ‘12 percent’ for ‘10 per9 cent’ in paragraph (1), and 

10 ‘‘(2) by substituting ‘24 percent’ for ‘20 per11 cent’ in paragraph (2). 

12 ‘‘(b) UNDERSERVED AREA SUPERMARKET.—For 

13 purposes of subsection (a), a qualified rehabilitated build14 ing shall be treated as meeting the requirements of sub15 paragraphs (A), (B), (C), and (D) of section 1400V– 

16 4(a)(2) if it is reasonable to believe that such building will 

17 meet such requirements as of the close of the taxable year 

18 in which such building is placed in service. 

19 ‘‘(c) TERMINATION.—Subsection (a) shall only apply 

20 to buildings placed in service after December 31, 2013, 

21 and before January 1, 2016. 


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1 ‘‘SEC. 1400V–2. INCREASED WORK OPPORTUNITY TAX CRED2 IT. 

3 ‘‘(a) IN GENERAL.—In the case of an individual em4 ployed in the trade or business of operating a new under5 served area supermarket, the limitation otherwise in effect 

6 under paragraph (3) of section 51(b) with respect to such 

7 individual shall be increased by $1,000. 

8 ‘‘(b) TERMINATION.—Subsection (a) shall only apply 

9 to wages paid in taxable years beginning after December 

10 31, 2013, and before January 1, 2019. 

11 ‘‘SEC. 1400V–3. CREDIT FOR SALES OF LOCALLY GROWN 

12 FRESH FRUITS AND VEGETABLES. 

13 ‘‘(a) IN GENERAL.—For purposes of section 38, the 

14 underserved area supermarket fruit and vegetable credit 

15 determined under this section for the taxable year is 15 

16 percent of the gross receipts from the retail sale of locally 

17 grown fresh fruits and vegetables in the trade or business 

18 of operating a new underserved area supermarket. 

19 ‘‘(b) TERMINATION.—Subsection (a) shall only apply 

20 to taxable years beginning after December 31, 2014, and 

21 before January 1, 2019. 

22 ‘‘SEC. 1400V–4. DEFINITIONS. 

23 ‘‘For purposes of this part— 

24 ‘‘(1) UNDERSERVED AREA SUPERMARKET.— 

25 The term ‘underserved area supermarket’ means any 

26 supermarket located in an underserved area. 


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1 ‘‘(2) NEW UNDERSERVED AREA SUPER2 MARKET.—The term ‘new underserved area super3 market’ means any underserved area supermarket 

4 which— 

5 ‘‘(A) is placed in service after December 

6 31, 2013, and 

7 ‘‘(B) was not a supermarket at any time 

8 during the 3-year period ending on the date 

9 such underserved area supermarket is placed in 

10 service. 

11 ‘‘(3) SUPERMARKET.—The term ‘supermarket’ 

12 means any building if— 

13 ‘‘(A) not less than 12,000 square feet and 

14 not more than 80,000 square feet of such build15 ing is used for selling items at retail, 

16 ‘‘(B) at least 7 percent of the square feet 

17 of such building which is used for selling items 

18 at retail is used for selling produce, meat, fish, 

19 deli, and dairy items, 

20 ‘‘(C) gross sales of items sold at retail 

21 from such building exceed $2,000,000 annually, 

22 and 

23 ‘‘(D) at least 7 percent of such gross sales 

24 are attributable to sales of produce, meat, fish, 

25 deli, and dairy items. 


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1 ‘‘(4) UNDERSERVED AREA.—The term ‘under2 served area’ means— 

3 ‘‘(A) any enterprise community or em4 powerment zone with a designation in effect 

5 under section 1391, and 

6 ‘‘(B) any renewal community with respect 

7 to which a designation was in effect under sec8 tion 1400E on December 31, 2009.’’. 

9 (b) CREDIT TO BE PART OF GENERAL BUSINESS

10 CREDIT.—Subsection (b) of section 38 of such Code (re11 lating to general business credit) is amended by striking 

12 ‘‘plus’’ at the end of paragraph (35), by striking the period 

13 at the end of paragraph (36) and inserting ‘‘, plus’’, and 

14 by adding at the end the following new paragraph: 

15 ‘‘(37) the underserved area supermarket fruit 

16 and vegetable credit determined under section 

17 1400V–3.’’. 

18 (c) CLERICAL AMENDMENT.—The table of parts for 

19 subchapter Y of chapter 1 of such Code is amended by 

20 adding at the end the following new item: 

‘‘PART IV. TAX INCENTIVES FOR SUPERMARKETS IN UNDERSERVED

AREAS.’’. 

21 (d) EFFECTIVE DATE.—The amendments made by 

22 this section shall apply to taxable years beginning after 

23 December 31, 2013. 

Æ 


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