I 
117TH CONGRESS 
2D SESSION 
H. R. 9449 
To amend the Internal Revenue Code of 1986 to exclude certain broadband 
grants from gross income. 
IN THE HOUSE OF REPRESENTATIVES 
DECEMBER 7, 2022 
Mr. PANETTA (for himself, Mr. KELLY of Pennsylvania, Ms. SEWELL, and Mr. 
FERGUSON) introduced the following bill; which was referred to the Com-
mittee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to exclude 
certain broadband grants from gross income. 
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 ‘‘Broadband Grant Tax 
Treatment Act’’. 
SEC. 2. CERTAIN GRANTS FOR BROADBAND EXCLUDED 
FROM GROSS INCOME. 
(a) IN GENERAL.—Part III of subchapter B of chap-
ter 1 of the Internal Revenue Code of 1986 is amended 
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by inserting after section 139I the following new sub-
section: 
‘‘SEC. 139J. CERTAIN BROADBAND GRANTS. 
‘‘(a) IN GENERAL.—Gross income shall not include 
any qualified broadband grant made for purposes of 
broadband deployment. 
‘‘(b) DENIAL
OF
DOUBLE
BENEFIT.—Notwith-
standing any other provision of this subtitle, no deduction 
or credit shall be allowed for, or by reason of, any expendi-
ture to the extent of the amount excluded under sub-
section (a) for any qualified broadband grant which was 
provided with respect to such expenditure. The adjusted 
basis of any property shall be reduced by the amount ex-
cluded under subsection (a) which was provided with re-
spect to such property. 
‘‘(c) QUALIFIED BROADBAND GRANT.—For purposes 
of this section, the term ‘qualified broadband grant’ 
means— 
‘‘(1) any grant or subgrant received under the 
Broadband Equity, Access, and Deployment Pro-
gram established under section 60102 of the Infra-
structure Investment and Jobs Act, 
‘‘(2) any grant or subgrant received under the 
State Digital Equity Capacity Grant Program estab-
lished under section 60304 of such Act, 
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‘‘(3) any grant received under the Digital Eq-
uity Competitive Grant Program established under 
section 60305 of such Act, 
‘‘(4) any grant received under section 60401 of 
such Act (relating to middle mile grants), 
‘‘(5) any grant received— 
‘‘(A) under the broadband loan and grant 
pilot program established by section 779 of 
Public Law 115–141 under the Rural Elec-
trification Act of 1936; and 
‘‘(B) from funds made available for such 
program under the heading ‘Distance Learning, 
Telemedicine, and Broadband Program’ under 
the heading ‘Rural Utilities Service’ under title 
I of division J of the Infrastructure Investment 
and Jobs Act, 
‘‘(6) any grant received from a State, territory, 
Tribal government, or unit of local government to 
the extent such grant was— 
‘‘(A) funded by amounts provided to the 
State or local government under section 602, 
603, or 604 of the Social Security Act, and 
‘‘(B) provided for the stated purposes of 
making investments in broadband infrastruc-
ture, or 
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