110TH CONGRESS 

1ST SESSION S. 1532

AN ACT

To extend tax relief to the residents and businesses of an 

area with respect to which a major disaster has been 

declared by the President under section 401 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (FEMA–1699–DR) by reason of severe storms 

and tornados beginning on May 4, 2007, and determined 

by the President to warrant individual or individual and 

public assistance from the Federal Government under 

such Act.

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 ‘‘Kansas Disaster Tax Re5 lief Assistance Act’’.
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1 SEC. 2. TEMPORARY TAX RELIEF FOR KIOWA COUNTY, KAN2 SAS AND SURROUNDING AREA. 

3 The following provisions of or relating to the Internal 

4 Revenue Code of 1986 shall apply, in addition to the areas 

5 described in such provisions, to an area with respect to 

6 which a major disaster has been declared by the President 

7 under section 401 of the Robert T. Stafford Disaster Re8 lief and Emergency Assistance Act (FEMA–1699–DR, as 

9 in effect on the date of the enactment of this Act) by rea10 son of severe storms and tornados beginning on May 4, 

11 2007, and determined by the President to warrant indi12 vidual or individual and public assistance from the Federal 

13 Government under such Act with respect to damages at14 tributed to such storms and tornados: 

15 (1) SUSPENSION OF CERTAIN LIMITATIONS ON

16 PERSONAL CASUALTY LOSSES.—Section 1400S(b)(1) 

17 of the Internal Revenue Code of 1986, by sub18 stituting ‘‘May 4, 2007’’ for ‘‘August 25, 2005’’. 

19 (2) EXTENSION OF REPLACEMENT PERIOD FOR

20 NONRECOGNITION OF GAIN.—Section 405 of the 

21 Katrina Emergency Tax Relief Act of 2005, by sub22 stituting ‘‘on or after May 4, 2007, by reason of the 

23 May 4, 2007, storms and tornados’’ for ‘‘on or after 

24 August 25, 2005, by reason of Hurricane Katrina’’. 

25 (3) EMPLOYEE RETENTION CREDIT FOR EM26 PLOYERS AFFECTED BY MAY 4 STORMS AND TOR-
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1 NADOS.—Section 1400R(a) of the Internal Revenue 

2 Code of 1986—

3 (A) by substituting ‘‘May 4, 2007’’ for 

4 ‘‘August 28, 2005’’ each place it appears, 

5 (B) by substituting ‘‘January 1, 2008’’ for 

6 ‘‘January 1, 2006’’ both places it appears, and 

7 (C) only with respect to eligible employers 

8 who employed an average of not more than 200 

9 employees on business days during the taxable 

10 year before May 4, 2007. 

11 (4) SPECIAL ALLOWANCE FOR CERTAIN PROP12 ERTY ACQUIRED ON OR AFTER MAY 5, 2007.—Section 

13 1400N(d) of such Code—

14 (A) by substituting ‘‘qualified Recovery As15 sistance property’’ for ‘‘qualified Gulf Oppor16 tunity Zone property’’ each place it appears, 

17 (B) by substituting ‘‘May 5, 2007’’ for 

18 ‘‘August 28, 2005’’ each place it appears, 

19 (C) by substituting ‘‘December 31, 2008’’ 

20 for ‘‘December 31, 2007’’ in paragraph 

21 (2)(A)(v), 

22 (D) by substituting ‘‘December 31, 2009’’ 

23 for ‘‘December 31, 2008’’ in paragraph 

24 (2)(A)(v), 
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1 (E) by substituting ‘‘May 4, 2007’’ for 

2 ‘‘August 27, 2005’’ in paragraph (3)(A), 

3 (F) by substituting ‘‘January 1, 2009’’ for 

4 ‘‘January 1, 2008’’ in paragraph (3)(B), and 

5 (G) determined without regard to para6 graph (6) thereof. 

7 (5) INCREASE IN EXPENSING UNDER SECTION

8 179.—Section 1400N(e) of such Code, by sub9 stituting ‘‘qualified section 179 Recovery Assistance 

10 property’’ for ‘‘qualified section 179 Gulf Oppor11 tunity Zone property’’ each place it appears. 

12 (6) EXPENSING FOR CERTAIN DEMOLITION AND

13 CLEAN-UP COSTS.—Section 1400N(f) of such 

14 Code—

15 (A) by substituting ‘‘qualified Recovery As16 sistance clean-up cost’’ for ‘‘qualified Gulf Op17 portunity Zone clean-up cost’’ each place it ap18 pears, and 

19 (B) by substituting ‘‘beginning on May 4, 

20 2007, and ending on December 31, 2009’’ for 

21 ‘‘beginning on August 28, 2005, and ending on 

22 December 31, 2007’’ in paragraph (2) thereof. 

23 (7) TREATMENT OF PUBLIC UTILITY PROPERTY

24 DISASTER LOSSES.—Section 1400N(o) of such Code. 
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1 (8) TREATMENT OF NET OPERATING LOSSES

2 ATTRIBUTABLE TO STORM LOSSES.—Section 

3 1400N(k) of such Code—

4 (A) by substituting ‘‘qualified Recovery As5 sistance loss’’ for ‘‘qualified Gulf Opportunity 

6 Zone loss’’ each place it appears, 

7 (B) by substituting ‘‘after May 3, 2007, 

8 and before on January 1, 2010’’ for ‘‘after Au9 gust 27, 2005, and before January 1, 2008’’ 

10 each place it appears, 

11 (C) by substituting ‘‘May 4, 2007’’ for 

12 ‘‘August 28, 2005’’ in paragraph (2)(B)(ii)(I) 

13 thereof, 

14 (D) by substituting ‘‘qualified Recovery 

15 Assistance property’’ for ‘‘qualified Gulf Oppor16 tunity Zone property’’ in paragraph (2)(B)(iv) 

17 thereof, and 

18 (E) by substituting ‘‘qualified Recovery As19 sistance casualty loss’’ for ‘‘qualified Gulf Op20 portunity Zone casualty loss’’ each place it ap21 pears. 

22 (9) TREATMENT OF REPRESENTATIONS RE23 GARDING INCOME ELIGIBILITY FOR PURPOSES OF

24 QUALIFIED RENTAL PROJECT REQUIREMENTS.—Sec25 tion 1400N(n) of such Code. 
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1 (10) SPECIAL RULES FOR USE OF RETIREMENT

2 FUNDS.—Section 1400Q of such Code—

3 (A) by substituting ‘‘qualified Recovery As4 sistance distribution’’ for ‘‘qualified hurricane 

5 distribution’’ each place it appears, 

6 (B) by substituting ‘‘on or after May 4, 

7 2007, and before January 1, 2009’’ for ‘‘on or 

8 after August 25, 2005, and before January 1, 

9 2007’’ in subsection (a)(4)(A)(i), 

10 (C) by substituting ‘‘qualified storm dis11 tribution’’ for ‘‘qualified Katrina distribution’’ 

12 each place it appears, 

13 (D) by substituting ‘‘after November 4, 

14 2006, and before May 5, 2007’’ for ‘‘after Feb15 ruary 28, 2005, and before August 29, 2005’’ 

16 in subsection (b)(2)(B)(ii), 

17 (E) by substituting ‘‘beginning on May 4, 

18 2007, and ending on November 5, 2007’’ for 

19 ‘‘beginning on August 25, 2005, and ending on 

20 February 28, 2006’’ in subsection (b)(3)(A), 

21 (F) by substituting ‘‘qualified storm indi22 vidual’’ for ‘‘qualified Hurricane Katrina indi23 vidual’’ each place it appears, 
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1 (G) by substituting ‘‘December 31, 2007’’ 

2 for ‘‘December 31, 2006’’ in subsection 

3 (c)(2)(A), 

4 (H) by substituting ‘‘beginning on June 4, 

5 2007, and ending on December 31, 2007’’ for 

6 ‘‘beginning on September 24, 2005, and ending 

7 on December 31, 2006’’ in subsection 

8 (c)(4)(A)(i), 

9 (I) by substituting ‘‘May 4, 2007’’ for 

10 ‘‘August 25, 2005’’ in subsection (c)(4)(A)(ii), 

11 and 

12 (J) by substituting ‘‘January 1, 2008’’ for 

13 ‘‘January 1, 2007’’ in subsection (d)(2)(A)(ii). 

Passed the Senate May 25, 2007. 

Attest:

Secretary. 
110TH CONGRESS 

1ST SESSION S. 1532

AN ACT

To extend tax relief to the residents and businesses 

under such Act.public assistance from the Federal Government President to warrant individual or individual and ginning on May 4, 2007, and determined by the DR) by reason of severe storms and tornados beand Emergency Assistance Act (FEMA–1699–401 of the Robert T. Stafford Disaster Relief has been declared by the President under section of an area with respect to which a major disaster