or guaranteed loans are repaid shall be returned to the 
State or local government or other person who deposited 
the funds. 
SEC. 7. HOLDING COMPANY AND BANK EXEMPTION FROM 
TAXATION. 
The Holding Company and the Bank, including its 
franchise, its capital, reserves, and surplus, its advances, 
and its income shall be exempt from all taxation now or 
hereafter imposed by the United States, by any territory, 
dependency, or possession thereof, or by any State, coun-
ty, municipal, or local taxing authority, except that any 
real property of the Holding Company and the Bank shall 
be subject to State, territorial, county, municipal, or local 
taxation to the same extent according to its value as other 
real property is taxed. 
SEC. 8. EXTENSION AND MODIFICATION OF DIVIDENDS RE-
CEIVED DEDUCTION FOR REPATRIATED FOR-
EIGN EARNINGS USED TO PURCHASE HOLD-
ING COMPANY BONDS. 
(a) IN GENERAL.—Section 965 of the Internal Rev-
enue Code of 1986 is amended by adding at the end the 
following new subsection: 
‘‘(g) TEMPORARY EXTENSION AND MODIFICATION.— 
‘‘(1) IN GENERAL.—In the case of an election 
under this subsection, subsection (f)(1) shall be ap-
VerDate Sep 11 2014 
20:59 Oct 10, 2017
Jkt 079200
PO 00000
Frm 00009
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS
plied by substituting ‘the date of the enactment of 
subsection (g)’ for ‘the date of the enactment of this 
section’. 
‘‘(2) PERCENTAGE DEDUCTIBLE.—In the case 
of an election under this subsection, subsection 
(a)(1) shall be applied by substituting ‘100 percent’ 
for ‘85 percent’. 
‘‘(3) REQUIREMENT TO INVEST IN BONDS.—In 
the case of an election under this subsection— 
‘‘(A) subsection (b)(4) shall not apply, and 
‘‘(B) subsection (a) shall only apply to so 
much of the portion dividends received by a 
United States shareholder during the taxable 
year as does not exceed the amount paid by the 
shareholder during such taxable year for bonds 
issued under section 4(b)(2) of the Infrastruc-
ture Bank for America Act of 2017. 
‘‘(4) SPECIAL RULES.— 
‘‘(A) RECAPTURE IN CASE OF BONDS SOLD 
DURING
RECAPTURE
PERIOD.—The Secretary 
shall, by regulations, provide for recapturing 
the applicable percentage of the benefit under 
any deduction allowable by this subsection if be-
fore the end of the 10-year period beginning on 
the date of the purchase of the bond to which 
VerDate Sep 11 2014 
20:59 Oct 10, 2017
Jkt 079200
PO 00000
Frm 00010
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS
this subsection applies the taxpayer disposes of 
such bond. 
‘‘(B) 
APPLICABLE
PERCENTAGE.—For 
purposes of this paragraph, the applicable per-
centage shall be determined under the following 
table: 
‘‘In the case of a disposition 
in the following year of 
The applicable 
such 10-year period: 
percentage shall be: 
First year ..........................................................................
100 percent
Second year .......................................................................
90 percent
Third year .........................................................................
80 percent
Fourth year .......................................................................
70 percent
Fifth year ..........................................................................
60 percent
Sixth year ..........................................................................
50 percent
Seventh year ......................................................................
40 percent
Eighth year .......................................................................
30 percent
Ninth year .........................................................................
20 percent
Tenth year .........................................................................
10 percent.’’. 
(b) CONFORMING AMENDMENT.— 
(1) Section 965 of such Code is amended by 
striking ‘‘June 30, 2003’’ each place it occurs and 
inserting ‘‘June 30, 2016’’. 
(2) Subparagraph (B) of section 965(b)(3) of 
such Code is amended by striking ‘‘October 3, 
2004’’ and inserting ‘‘September 1, 2017’’. 
(c) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years ending on or after 
the date of the enactment of this Act. 
VerDate Sep 11 2014 
03:32 Oct 11, 2017
Jkt 079200
PO 00000
Frm 00011
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS
SEC. 9. INFRASTRUCTURE BANK HOLDING COMPANY CRED-
IT. 
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new 
section: 
‘‘SEC. 45S. INFRASTRUCTURE BANK HOLDING COMPANY 
CREDIT. 
‘‘(a) IN GENERAL.—For purposes of section 38, in 
the case of a taxpayer who holds a qualified Holding Com-
pany equity investment on a credit allowance date of such 
investment which occurs during the taxable year, the In-
frastructure Bank Holding Company credit determined 
under this section for such taxable year is an amount 
equal to 16 percent of the amount paid to the Holding 
Company for such investment at its original issue. 
‘‘(b) CREDIT ALLOWANCE DATE.—For purposes of 
this section, credit allowance date with respect to any 
qualified Holding Company equity investment is— 
‘‘(1) the date on which such investment is ini-
tially made, and 
‘‘(2) each of the 4 anniversary dates of such 
date thereafter. 
‘‘(c) QUALIFIED HOLDING COMPANY EQUITY IN-
VESTMENT.—For purposes of this section, the term ‘quali-
fied Holding Company equity investment’ means any eq-
VerDate Sep 11 2014 
20:59 Oct 10, 2017
Jkt 079200
PO 00000
Frm 00012
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS
uity investment originally issued by the Holding Company 
to the taxpayer under section 4(a)(1) of the Infrastructure 
Bank for America Act of 2017 not later than 3 years after 
the date of the enactment of such Act. 
‘‘(d) HOLDING COMPANY.—For purposes of this sec-
tion, the term ‘Holding Company’ means the Infrastruc-
ture Bank Holding Company established under the Infra-
structure Bank for America Act of 2017. 
‘‘(e) BASIS REDUCTION.—The basis of any qualified 
Holding Company equity investment shall be reduced by 
the amount of any credit determined under this section 
with respect to such investment.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 38(b) of such Code is amended by 
striking ‘‘plus’’ at the end of paragraph (35), by 
striking the period at the end of paragraph (36) and 
inserting ‘‘, plus’’, and by adding at the end the fol-
lowing new paragraph: 
‘‘(37) the Infrastructure Bank Holding Com-
pany credit determined under section 45S.’’. 
(2) Section 1016(a) of such Code is amended 
by striking ‘‘and’’ at the end of paragraph (36), by 
striking the period at the end of paragraph (37) and 
inserting ‘‘, and’’, and by adding at the end the fol-
lowing new paragraph: 
VerDate Sep 11 2014 
20:59 Oct 10, 2017
Jkt 079200
PO 00000
Frm 00013
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS
‘‘(38) to the extent provided in section 
45S(e).’’. 
(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. 10. DEFINITIONS. 
For purposes of this Act: 
(1) BANK.—The term ‘‘Bank’’ means the Infra-
structure Bank for America established under sec-
tion 2. 
(2) FORMATION AGENT.—The term ‘‘formation 
agent’’ means an entity selected by the Secretary. 
(3) INFRASTRUCTURE
BANK
HOLDING
COM-
PANY.—The term ‘‘Infrastructure Bank Holding 
Company’’ means the company— 
(A) by that name incorporated by the for-
mation agent; and 
(B) acting as the parent company of the 
Bank after the establishment of the Bank. 
(4) 
REVENUE-PRODUCING
INFRASTRUCTURE 
PROJECT.—The term ‘‘revenue-producing infrastruc-
ture project’’ means an infrastructure project that, 
when complete, generates revenue from user fees. 
(5) RISK
BASED
CAPITAL.—The term ‘‘risk 
based capital’’ shall have the meaning given that 
VerDate Sep 11 2014 
20:59 Oct 10, 2017
Jkt 079200
PO 00000
Frm 00014
Fmt 6652
Sfmt 6201
E:\BILLS\H3977.IH
H3977
sradovich on DSK3GMQ082PROD with BILLS