I 
110TH CONGRESS 
1ST SESSION H. R. 1403 
To amend the Internal Revenue Code of 1986 to provide a 2 percent tax 
reduction for members of the Armed Forces who serve in a combat zone. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 8, 2007 
Mr. CARNEY (for himself and Mr. PLATTS) introduced the following bill; which 
was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to provide 
a 2 percent tax reduction for members of the Armed 
Forces who serve in a combat zone. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. DEDUCTION FOR MEMBERS OF THE ARMED 
FORCES WHO SERVE IN A COMBAT ZONE. 
(a) IN GENERAL.—Part VII of subchapter B of chap-
ter 1 of the Internal Revenue Code of 1986 (relating to 
additional itemized deductions) is amended by redesig-
nating section 224 as section 225 and by inserting after 
section 223 the following new section: 
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‘‘SEC. 224. MEMBERS OF THE ARMED FORCES WHO SERVE 
IN A COMBAT ZONE. 
‘‘(a) IN GENERAL.—In the case of an eligible combat 
zone service member, there shall be allowed as a deduction 
an amount equal to 2 percent of the taxpayer’s adjusted 
gross income (determined without regard to this section). 
‘‘(b) LIMITATION.—The deduction allowed under sub-
section (a) with respect to a taxpayer for any taxable year 
shall not exceed $2,000. 
‘‘(c) ELIGIBLE COMBAT ZONE SERVICE MEMBER.— 
For purposes of this section— 
‘‘(1) IN GENERAL.—The term ‘eligible combat 
zone service member’ means any individual who, as 
of the close of the taxable year (and taking into ac-
count all periods prior to such taxable year), has 
served on active duty in a combat zone as a member 
of the Armed Forces for an aggregate period of 90 
days or more. 
‘‘(2) TREATMENT OF HOSPITALIZATIONS.—Any 
period of hospitalization as a result of wounds, dis-
ease, or injury incurred while serving in a combat 
zone shall be treated for purposes of this section as 
service on active duty in a combat zone. 
‘‘(3) EXCEPTION.—Such term shall not include 
any individual for any taxable year if such individual 
has been, at any time prior to the close of such tax-
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able year, discharged or released from military, 
naval, or air service under dishonorable conditions. 
‘‘(4) COMBAT ZONE.—The term ‘combat zone’ 
has the meaning given such term under section 
112(c)(2). 
‘‘(d) SPECIAL RULES FOR JOINT RETURNS.—In the 
case of a joint return— 
‘‘(1) the taxpayer shall be treated as an eligible 
combat zone service member for purposes of this 
section if either spouse is such a member, and 
‘‘(2) if both spouses are eligible combat zone 
service members (determined without regard to 
paragraph (1)), subsection (b) shall be applied by 
doubling the dollar amount in effect under such sub-
section.’’. 
(b) DEDUCTION
ALLOWED
IN
COMPUTING
AD-
JUSTED GROSS INCOME.—Subsection (a) of section 62 of 
such Code is amended by inserting before the last sentence 
the following new paragraph: 
‘‘(22) MEMBERS OF THE ARMED FORCES WHO 
SERVE IN A COMBAT ZONE.—The deduction allowed 
by section 224.’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for part VII of subchapter B of chapter 1 of such Code 
is amended by redesignating the item relating to section 
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224 as an item relating to section 225 and inserting before 
such item the following new item: 
‘‘Sec. 224. Members of the Armed Forces who serve in a combat zone.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2006. 
Æ 
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