IV 

115TH CONGRESS 

1ST SESSION H. CON. RES. 97 

Directing the Clerk of the House of Representatives to make corrections 

in the enrollment of H.R. 1. 

IN THE HOUSE OF REPRESENTATIVES 

DECEMBER 18, 2017 

Mr. POLIS submitted the following concurrent resolution; which was referred 

to the Committee on Ways and Means, and in addition to the Committee 

on House Administration, 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 

CONCURRENT RESOLUTION 

Directing the Clerk of the House of Representatives to make 

corrections in the enrollment of H.R. 1. 

1 Resolved by the House of Representatives (the Senate 

2 concurring), That in the enrollment of the bill H.R. 1, the 

3 Clerk of the House of Representatives shall add at the 

4 end of title I the following new subtitle: 


lotter on DSKBCFDHB2PROD with BILLS
2 

•HCON 97 IH 

1 ‘‘Subtitle E—Miscellaneous 

2 ‘‘SEC. 15001. EXPANSION OF LIMITATION ON DEDUCTIONS 

3 FOR EXPENDITURES FOR LOBBYING CON4 GRESS. 

5 ‘‘(a) IN GENERAL.—Section 162(e) is amended in 

6 paragraph (1)(D), by inserting ‘, or with a Senator, a Rep7 resentative in, or a Delegate or Resident Commissioner 

8 to, the Congress (or a senior staff member for such Sen9 ator, Representative, Delegate, or Resident Commis10 sioner),’ after ‘executive branch official’. 

11 ‘‘(b) EFFECTIVE DATE.—The amendments made by 

12 this section shall apply with respect to amounts paid or 

13 incurred after December 31, 2017.’’. 

14 TAX-FREE PRODUCTION OF KOMBUCHA

15 SEC. 15002. 

16 (a) EXCEPTION FROM DEFINITION OF BREWER.— 

17 Subsection (d) of section 5052 of the Internal Revenue 

18 Code of 1986 is amended to read as follows: 

19 ‘‘(d) BREWER.— 

20 ‘‘(1) IN GENERAL.—For purposes of this chap21 ter, the term ‘brewer’ means any person who brews 

22 beer or produces beer for sale. 

23 ‘‘(2) EXCEPTION.—The term ‘brewer’ shall not 

24 include any person who— 


lotter on DSKBCFDHB2PROD with BILLS
3 

•HCON 97 IH 

1 ‘‘(A) produces only beer exempt from tax 

2 under subsection (e) of section 5053, or 

3 ‘‘(B) produces only kombucha exempt from 

4 tax under subsection (i) of such section.’’. 

5 (b) EXEMPTION FROM TAX.—Section 5053 of the In6 ternal Revenue Code of 1986 is amended— 

7 (1) by redesignating subsection (i) as subsection 

8 (j); and 

9 (2) by inserting after subsection (h) the fol10 lowing new subsection: 

11 ‘‘(i) PRODUCTION OF KOMBUCHA.— 

12 ‘‘(1) IN GENERAL.—Subject to regulation pre13 scribed by the Secretary, any person may, without 

14 payment of tax, produce kombucha for consumption 

15 or sale. 

16 ‘‘(2) DEFINITION.—For purposes of this chap17 ter, the term ‘kombucha’ means a beverage which— 

18 ‘‘(A) is fermented solely by a symbiotic cul19 ture of bacteria and yeast, 

20 ‘‘(B) contains not more than 1.25 percent 

21 of alcohol by volume, 

22 ‘‘(C) is sold or offered for sale as 

23 kombucha, and 

24 ‘‘(D) is derived from— 


lotter on DSKBCFDHB2PROD with BILLS
4 

•HCON 97 IH 

1 ‘‘(i) sugar, malt or malt substitute, 

2 tea, or coffee, and 

3 ‘‘(ii) not more than 20 percent other 

4 wholesome ingredients.’’. 

5 VIRTUAL CURRENCY

6 SEC. 15003. 

7 (a) IN GENERAL.—Part III of subchapter B of chap8 ter 1 of the Internal Revenue Code of 1986 is amended 

9 by inserting after section 139G (as added by this Act) the 

10 following new section: 

11 ‘‘SEC. 139H. GAIN FROM SALE OR EXCHANGE OF VIRTUAL 

12 CURRENCY. 

13 ‘‘(a) IN GENERAL.—Gross income shall not include 

14 gain from the sale or exchange of virtual currency for 

15 other than cash or cash equivalents. 

16 ‘‘(b) LIMITATION.— 

17 ‘‘(1) IN GENERAL.—The amount of gain ex18 cluded from gross income under subsection (a) with 

19 respect to a sale or exchange shall not exceed $600. 

20 ‘‘(2) AGGREGATION RULE.—For purposes of 

21 this subsection, all sales or exchanges which are part 

22 of the same transaction (or a series of related trans23 actions) shall be treated as one sale or exchange. 

24 ‘‘(c) VIRTUAL CURRENCY.—For purposes of this sec25 tion, the term ‘virtual currency’ means a digital represenVerDate Sep 11 2014 02:11 Dec 19, 2017 Jkt 079200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\HC97.IH HC97

lotter on DSKBCFDHB2PROD with BILLS
5 

•HCON 97 IH 

1 tation of value that is used as a medium of exchange and 

2 is not otherwise currency under section 988. 

3 ‘‘(d) INFLATION ADJUSTMENT.—In the case of any 

4 taxable year beginning in a calendar year after 2018, the 

5 dollar amount in subsection (b) shall be increased by an 

6 amount equal to— 

7 ‘‘(1) such dollar amount, multiplied by 

8 ‘‘(2) the cost-of-living adjustment determined 

9 under section 1(f)(3) for the calendar year in which 

10 the taxable year begins, determined by substituting 

11 ‘calendar year 2017’ for ‘calendar year 1992’ in sub12 paragraph (B) thereof. 

13 Any increase determined under the preceding sentence 

14 shall be rounded to the nearest multiple of $50.’’. 

15 (b) CLERICAL AMENDMENT.—The table of sections 

16 for part III of subchapter B of chapter 1 of such Code 

17 is amended by inserting after the item relating to section 

18 139F the following new item: 

‘‘Sec. 139H. Gain from sale or exchange of virtual currency.’’. 

19 (c) REPORTING OF GAINS OR LOSSES.—The Sec20 retary shall issue regulations providing for information re21 turns on virtual currency transactions for which gain or 

22 loss is recognized. 

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

24 this section shall apply with respect to transactions en25 tered into after December 31, 2017. 


lotter on DSKBCFDHB2PROD with BILLS
6 

•HCON 97 IH 

1 ALLOWANCE OF DEDUCTIONS AND CREDITS RELATING TO

2 EXPENDITURES IN CONNECTION WITH MARIJUANA

3 SALES CONDUCTED IN COMPLIANCE WITH STATE

4 LAW

5 SEC. 15004. 

6 (a) IN GENERAL.—Section 280E is amended by in7 serting before the period at the end the following: ‘‘, unless 

8 such trade or business consists of marijuana sales con9 ducted in compliance with State law’’. 

10 (b) EFFECTIVE DATE.—The amendment made by 

11 this section shall apply with respect to taxable years end12 ing after the date of the enactment of this Act. 

Æ 


lotter on DSKBCFDHB2PROD with BILLS