I
104TH CONGRESS
1ST SESSION
H. R. 825
To amend the Internal Revenue Code of 1986 to allow taxpayers to designate
$1 of their income tax liability and some or all of their income tax
refunds, and to contribute additional amounts, for purposes of rehabilita-
tion and treatment in combating the war on drugs.
IN THE HOUSE OF REPRESENTATIVES
FEBRUARY 3, 1995
Mr. STEARNS introduced the following bill; which was referred to the Commit-
tee on Ways and Means and, in addition, to the Committee on Commerce,
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 allow tax-
payers to designate $1 of their income tax liability and
some or all of their income tax refunds, and to contribute
additional amounts, for purposes of rehabilitation and
treatment in combating the war on drugs.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. DESIGNATION OF AMOUNTS FOR WAR ON
DRUGS.
(a) IN GENERAL.—Subchapter A of chapter 61 of the
Internal Revenue Code of 1986 (relating to returns and
records) is amended by adding at the end thereof the fol-
lowing new part:
‘‘PART IX—DESIGNATION FOR WAR ON DRUGS
‘‘Sec. 6097. Designation.
‘‘SEC. 6097. DESIGNATION.
‘‘(a) IN GENERAL.—Every taxpayer may, with re-
spect to the tax imposed by chapter 1, designate that—
‘‘(1) if such individual’s adjusted income tax li-
ability for the taxable year is $1 or more, $1 be paid
over to the Drug Rehabilitation and Treatment
Trust Fund,
‘‘(2) a specified portion (not less than $1) of
any overpayment of such tax be paid over to such
Trust Fund, and
‘‘(3) any cash contribution which the taxpayer
includes with such return, be paid over to such
Trust Fund.
‘‘(b) MANNER AND TIME OF DESIGNATION.—A des-
ignation under subsection (a) may be made with respect
to any taxable year only at the time of filing the return
of tax imposed by chapter 1 for such taxable year. Such
designation shall be made on the 1st page of the return
or on the page bearing the taxpayer’s signature.
‘‘(c) SPECIAL RULES.—
‘‘(1) DESIGNATION
OF
INCOME
TAX
LIABIL-
ITY.—
‘‘(A) JOINT RETURNS.—In the case of a
joint return having an adjusted income tax li-
ability of $2 or more, each spouse may des-
ignate that $1 be paid over to such Trust
Fund.
‘‘(B) ADJUSTED INCOME TAX LIABILITY.—
For purposes of this section, the term ‘adjusted
income tax liability’ means income tax liability
(as defined in section 6096(b)) reduced by any
amount designated under section 6096 (relating
to designation of income tax payments to Presi-
dential Election Campaign Fund).
‘‘(2) 
OVERPAYMENTS
TREATED
AS
RE-
FUNDED.—For purposes of this title, any portion of
an overpayment of tax designated under subsection
(a) shall be treated as being refunded to the tax-
payer as of the last date prescribed for filing the re-
turn of tax imposed by chapter 1 (determined with-
out regard to extensions) or, if later, the date the re-
turn is filed.’’
(b) CLERICAL AMENDMENT.—The table of parts for
such subchapter A is amended by adding at the end there-
of the following new item:
‘‘Part IX. Designation for war on drugs.’’
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to taxable years ending after the
date of the enactment of this Act.
SEC. 2. DRUG REHABILITATION AND TREATMENT TRUST
FUND.
(a) IN GENERAL.—Subchapter A of chapter 98 of the
Internal Revenue Code of 1986 (relating to trust fund
code) is amended by adding at the end thereof the follow-
ing new section:
‘‘SEC. 9512. DRUG REHABILITATION AND TREATMENT
TRUST FUND.
‘‘(a) CREATION OF TRUST FUND.—There is estab-
lished in the Treasury of the United States a trust fund
to be known as the ‘Drug Rehabilitation and Treatment
Trust Fund’, consisting of such amounts as may be appro-
priated or credited to such Trust Fund as provided in this
section or section 9602(b).
‘‘(b) TRANSFERS TO TRUST FUND.—There are here-
by appropriated to the Drug Rehabilitation and Treatment
Trust Fund amounts equivalent to the amounts des-
ignated under section 6097 (relating to designation for
war on drugs).
‘‘(c) EXPENDITURES.—As provided in appropriation
Acts, amounts in the Drug Rehabilitation and Treatment
Trust Fund shall be available for allotments to the States,