I
107TH CONGRESS
1ST SESSION
H. R. 1673
To amend the Internal Revenue Code of 1986 to allow taxpayers to designate
that part or all of any income tax refund be paid over for use in
medical research conducted through the Department of Veterans Affairs.
IN THE HOUSE OF REPRESENTATIVES
MAY 2, 2001
Mr. BILIRAKIS (for himself, Mr. SMITH of New Jersey, and Mr. MORAN of
Kansas) introduced the following bill; which was referred to the Com-
mittee on Ways and Means, and in addition to the Committee on
Vetrans’s Affairs, 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 that part or all of any income tax
refund be paid over for use in medical research con-
ducted through the Department of Veterans Affairs.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Veterans Medical Re-
search Assistance Voluntary Option Act’’.
SEC. 2. DESIGNATION OF INCOME TAX OVERPAYMENTS TO
FUND MEDICAL RESEARCH.
(a) GENERAL RULE.—Subchapter A of chapter 61 of
the Internal Revenue Code of 1986 (relating to returns
and records) is amended by adding at the end the fol-
lowing new part:
‘‘PART IX—DESIGNATION OF IN-
COME 
TAX 
OVERPAYMENTS
TO 
FUND 
MEDICAL 
RE-
SEARCH
‘‘Sec. 6097. Designation of income tax overpayments.
‘‘SEC. 6097. DESIGNATION OF INCOME TAX OVERPAYMENTS.
‘‘(a) GENERAL RULE.—Every taxpayer who makes a
return of the tax imposed by chapter 1 for any taxable
year may designate that a specified portion (not less than
$1) of any overpayment of tax for such taxable year shall
be used for medical research conducted through the De-
partment of Veterans Affairs.
‘‘(b) MANNER AND TIME OF DESIGNATION.—Any
designation under subsection (a) for any taxable year shall
be made—
‘‘(1) at the time of filing the return of the tax
imposed by chapter 1 for such taxable year, and
‘‘(2) in such manner as the Secretary may by
regulation prescribe, except that such designation
shall be made either on the first page of the return
or on the page bearing the taxpayer’s signature.
‘‘(c) TREATMENT OF AMOUNTS DESIGNATED.—For
purposes of this title, the amount designated by any tax-
payer under subsection (a)—
‘‘(1) shall be treated as being refunded to such
taxpayer as of the last date prescribed for filing the
return of tax imposed by chapter 1 (determined
without regard to extensions) or, if later, the date
the return is filed, and
‘‘(2) shall be treated as a contribution made by
such taxpayer on such date to the United States.’’
(b) CLERICAL AMENDMENT.—The table of parts for
subchapter A of chapter 61 of such Code is amended by
adding at the end thereof the following new item:
‘‘Part IX. Designation of income tax overpayments to fund med-
ical research.’’
(c) EFFECTIVE DATE.—The amendments made by
this section shall apply to taxable years beginning after
December 31, 2001.
SEC. 3. DEPARTMENT OF VETERANS AFFAIRS MEDICAL
AND PROSTHETIC RESEARCH GIFT FUND.
Section 7303 of title 38, United States Code, is
amended by adding at the end the following new sub-
section:
‘‘(e)(1) There is established in the Treasury of the
United States an account to be known as the ‘Department
of Veterans Affairs Medical and Prosthetic Research Gift
Fund’ (in this subsection referred to as the ‘Fund’), con-
sisting of such amounts as may be transferred or credited
to the account under this subsection.
‘‘(2) The Secretary of the Treasury shall, from time
to time, transfer to the Fund the amounts designated
under section 6097 of the Internal Revenue Code of 1986.
Amounts that otherwise would be appropriated for the De-
partment of Veterans Affairs may not be offset by the
amount of such transfers to the Fund.
‘‘(3) Amounts in the Fund shall be available, as pro-
vided in appropriations Acts, for purposes of medical re-
search conducted through the Veterans Health Adminis-
tration.
‘‘(4)(A) The Secretary of the Treasury shall invest
such portion of the account established by paragraph (1)
as is not, in the judgment of the Secretary, required to
meet current withdrawals. Such investments may be made
only in interest-bearing obligations of the United States.
For such purpose, such obligations may be acquired—
‘‘(i) on original issue at the issue price; or
‘‘(ii) by purchase of outstanding obligations at
the market price.
‘‘(B) Any obligation acquired by the account may be
sold at the market price.
‘‘(C) The interest on, and the proceeds from the sale
or redemption of, any obligations held in the account shall
be credited to and form part of the account.’’.
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