Gulf Opportunity Zone Act of 2005

Bill: 109-hr-4440
Sponsor: Rep. McCrery, Jim [R-LA-4]
Introduced: 2005-12-06 in the House
Policy area: Taxation
Subjects: Accounting
Air pollution control
Alabama
Alternative energy sources
Annuities
Armed Forces and National Security
Arts, Culture, Religion
Building construction
Caribbean area
Charitable contributions
Citizenship
Civil service retirement
Coal
Commemorations
Commerce
Community development
Corporation taxes
Crime and Law Enforcement
Criminal investigation
Defined benefit pension plans
Depreciation and amortization
Disaster relief
Disasters
Displaced persons
Divorce
Earned income tax credit
Economics and Public Finance
Education
Emergency Management
Energy
Energy conservation
Energy efficiency
Energy research
Environmental Protection
Expatriation
Families
Federal employees
Federal law enforcement officers
Federally-guaranteed loans
Finance and Financial Sector
Floods
Florida
Foreign Trade and International Finance
Foreign corporations
Foreign investments
Foreign tax credit
Free trade
Government Operations and Politics
Government securities
Hazardous wastes
Higher education
Historic sites
History
Holding companies
Home ownership
Home repair and improvement
Housing and Community Development
Housing finance
Housing subsidies
Hurricane aftermath legislation
Hurricanes
Immigration
Income tax
Individual retirement accounts
Infrastructure
Infrastructure (Economics)
International Affairs
Investment tax credit
Labor and Employment
Latin America
Law
Liability for environmental damages
Loans
Losses
Louisiana
Low-income housing
Lumber trade
Maintenance and repair
Military pay
Minimum tax
Mississippi
Mortgages
Motion pictures
New York City
Nuclear power plants
Oil pollution
Partnerships
Pension funds
Prosecution
Public Lands and Natural Resources
Public prosecutors
Public utilities
Public utility regulation
Real estate investment
Reforestation
Refuse and refuse disposal
Relocation
Rental housing
Residential rehabilitation
Science, Technology, Communications
September 11, 2001
Service stations
Small business
Social Welfare
Social security taxes
Stockholders
Stocks
Student loan funds
Subsidiary corporations
Tax administration
Tax credits
Tax deductions
Tax evasion
Tax exclusion
Tax exemption
Tax penalties
Tax refunds
Tax returns
Tax shelters
Tax-deferred compensation plans
Tax-exempt securities
Television
Terrorism
Texas
Trade agreements
Transportation and Public Works
Travel costs
Tuition tax credits
Undercover operations
Valuation
Veterans' loans
Wages
Water pollution control

Summary:
action_date: 2005-12-06
text: 
Gulf Opportunity Zone Act of 2005 - Amends the Internal Revenue Code to: (1) establish a Gulf Opportunity Zone (GO Zone) in areas affected by Hurricane Katrina to provide tax benefits (e.g., tax-exempt bond financing, low-income housing credits, accelerated depreciation and increased expenses of business assets, extended carrybacks of net operating losses for businesses and timber producers, and tax credits for investment in a GO Zone and for the retention of employees working in a GO Zone) for individual and businesses in those areas; (2) provide federal guarantees for certain bonds issued by the states of Alabama, Louisiana, or Mississippi; (3) establish opportunity zones in areas affected by Hurricanes Rita (Rita GO Zone) and Wilma (Wilma GO Zone) and extend tax benefits currently available in the Gulf Opportunity Zone to individuals and businesses affected by Hurricanes Rita and Wilma; and (4) authorize the Secretary of the Treasury to allow the tax deduction for traveling expenses for certain taxpayers away from home for more than a year due to a major disaster.
 
Expresses the sense of Congress that the Secretary should designate a series of bonds or certificates as Gulf Coast Recovery Bonds in response to Hurricanes Katrina, Rita, and Wilma.

action_date: 2005-12-07
text: 

(This measure has not been amended since it was introduced. The summary has been expanded because action occurred on the measure.)

 
Gulf Opportunity Zone Act of 2005 - 
Title I: Establishment Of Gulf Opportunity Zone
 - (Sec. 101) Amends the Internal Revenue Code to establish a program of tax benefits for businesses and individuals in the Hurricane Katrina disaster area, to be known as the Gulf Opportunity Zone or GO Zone. Provides for similar tax benefits in areas affected by Hurricane Rita (Rita GO Zone) and Hurricane Wilma (Wilma GO Zone). 
 
Authorizes the issuance of Gulf Opportunity Zone bonds as tax-exempt facility bonds by the states of Alabama, Louisiana, and Mississippi and requires that 95 percent of the net proceeds of such bonds be used for the cost of acquisition, construction, reconstruction, and renovation of nonresidential real and residential rental property and public utility property in the GO Zone. Terminates the authority to issue such bonds after December 31, 2010.
 
Allows the issuance of mortgage revenue bonds and qualified veterans' mortgage bonds in the GO Zone on a preferential basis and increases limits for home improvement loans to $150,000.
 
Allows one additional advance refunding of existing bond obligations for states in the GO Zone.
 
Increases amounts and allocations of the low-income tax credit for 2006-2008 in the GO Zone. Designates the GO Zone as a difficult development area for purposes of increasing such credit.
 
Allows a 50% bonus depreciation allowance for GO Zone business property that is placed in service on or before December 31, 2007 (December 31, 2008, for nonresidential real and residential rental property). Exempts such depreciation allowances from the alternative minimum tax.
 
Increases or allows additional expensing allowances through 2007 for: (1) GO Zone business property; (2) demolition and cleanup costs in the GO Zone; and (3) environmental remediation costs, including GO Zone sites at which petroleum products have been released or disposed of. 
 
Allows certain small GO Zone timber producers (owning less than 500 acres) increased expensing allowances for reforestation costs incurred between August 28, 2005, and December 31, 2006.
 
Increases the tax credit for expenditures to rehabilitate buildings and historic structures in the GO Zone made prior to January 1, 2009.
 
Extends to five years the carryback period for net operating losses incurred by certain businesses and small timber producers in the GO Zone for tax years ending before 2009. Increases the limit for public utility casualty losses incurred in the GO Zone.
 
Allows a tax credit for investment in Gulf Tax Credit bonds issued by the states of Alabama, Louisiana, or Mississippi after December 31, 2005, and before January 1, 2007. Requires 95 percent of the proceeds of such bonds to be used to pay costs of existing bond obligations in such states or to make loans to political subdivisions of such states to pay local bond costs.
 
Prohibits tax-exempt financing for certain facilities in the GO Zone, including gambling facilities, private or commercial golf courses, country clubs, massage parlors, liquor stores, and racetracks.
 
(Sec. 102) Grants a limited federal guarantee for certain bonds issued by the states of Alabama, Louisiana, or Mississippi before January 1, 2008, to compensate for loss of revenues due to Hurricane Katrina and to facilitate infrastructure funding and access to capital.
 

Title II: Tax Benefits Related To Hurricanes Rita and Wilma - 
 Allows taxpayers residing in Hurricane Katrina, Rita, or Wilma disaster areas to: (1) use tax-exempt retirement plan funds, up to $100,000, to compensate for economic losses sustained due to such hurricanes; and (2) repay withdrawn amounts within three years without penalty. Allows the averaging of hurricane-related retirement distributions in income over a three-year period for income tax purposes. Allows the recontribution of retirement plan distributions that were not used for home purchases or construction because of Hurricane Katrina, Rita, or Wilma. Increases the amount of loans from retirement plans available to residents of such hurricane disaster areas.
 
Allows certain small employers (having not more than 200 employees) in the Gulf Opportunity Zone, the Rita Go Zone, and the Wilma GO Zone a business tax credit for 40% of the wages paid to employees in such zones. Limits the per employee credit amount to $6,000. 
 
Suspends: (1) limitations on the tax deduction for charitable contributions made by corporations and individuals between August 28 and December 31, 2005, for relief efforts related to Hurricane Katrina, Rita or Wilma; and (2) limitations on personal casualty losses incurred in Hurricane Katrina, Rita or Wilma disaster areas.
 
Allows certain adjustments to: (1) the earned income of individuals residing in Hurricane Katrina, Rita or Wilma disaster areas for purposes of preserving eligibility for the earned income and child care tax credits; and (2) the application of the tax laws to preserve the eligibility of taxpayers in such areas for certain tax benefits.
 

Title III: Other Provisions
 - (Sec. 301) Allows the Secretary of the Treasury to extend the one-year restriction (for not more than one additional year) on the tax deduction for traveling expenses for individuals who are away from home in pursuit of a trade or business due to a federally-declared disaster. Exempts certain federal employees investigating a federal crime from the one-year restriction.
 
(Sec. 302) Expresses the sense of Congress that the Secretary of the Treasury should designate a series of bonds or certificates as Gulf Coast Recovery Bonds in response to Hurricanes Katrina, Rita, and Wilma.

action_date: 2005-12-16
text: 
Gulf Opportunity Zone Act of 2005 - 
Title I: Establishment of Gulf Opportunity Zone
 - (Sec. 101) Amends the Internal Revenue Code to establish a program of tax benefits for businesses and individuals affected by Hurricane Katrina by creating a Gulf Opportunity Zone (or GO Zone). Provides similar tax benefits for businesses and individuals affected by Hurricanes Rita and Wilma and establishes a Rita GO Zone and a Wilma GO Zone to provide tax relief to hurricane victims in those disaster areas.
 
Authorizes the states of Alabama, Louisiana, and Mississippi to issue Gulf Opportunity Zone bonds as tax-exempt facility bonds or qualified mortgage bonds. Requires that 95 percent of the net proceeds of such bonds be used for the cost of qualified residential rental projects and the cost of acquisition, construction, reconstruction, and renovation of nonresidential real and public utility property in the GO Zone. Prohibits GO Zone bonds from financing certain prohibited projects in the GO Zone, including private golf courses, country clubs, massage parlors, hot tub facilities, suntan facilities, racetrack or other gambling facilities, and liquor stores. Exempts GO Zone bonds from volume caps and exempts interest on such bonds from the alternative minimum tax. Terminates the authority to issue GO Zone bonds after December 31, 2010.
 
Allows the issuance of mortgage revenue bonds and qualified veterans' mortgage bonds in the GO Zone on a preferential basis and increases limits for home improvement loans financed by such bonds from $15,000 to $150,000. Exempts interest on such bonds from the alternative minimum tax.
 
Allows an additional advance refunding of bond obligations of the states of Alabama, Louisiana, and Mississippi that were outstanding on August 28, 2005.
 
Increases amounts and allocations of the low-income housing tax credit for 2006-2008 in the GO Zone. Allows a $3.5 million increase in the state housing credit ceilings of Texas and Florida in 2006. Designates the GO Zone as a difficult development area for purposes of enhancing the low-income housing tax credit for GO Zone residents in 2006-2008.
 
Allows a 50% bonus depreciation allowance for GO Zone business property placed in service on or before December 31, 2007 (December 31, 2008, for nonresidential real and residential rental property). Exempts such increased depreciation allowance from the alternative minimum tax. 
 
Increases or allows additional expensing allowances for: (1) GO Zone depreciable business property; (2) demolition and cleanup costs in the GO Zone; and (3) environmental remediation costs, including GO Zone sites at which petroleum products have been released or disposed of. 
 
Increases the tax credit for expenditures to rehabilitate buildings and historic structures in the GO Zone made prior to January 1, 2009.
 
Increases the expensing allowance for the reforestation expenditures of small timber producers (owning no more than 500 acres) in the GO Zone, the Rita GO Zone, or the Wilma GO Zone. Allows a five-year carryback period for certain timber losses in such zones.
 
Sets forth special rules for the treatment of net operating losses for taxpayers in the GO Zone, including extending the carryback period from two to five years. Allows casualty loss treatment of losses incurred in the GO Zone.
 
Allows a tax credit for investment in Gulf tax credit bonds issued by the states of Alabama, Louisiana, and Mississippi after December 31, 2005, and before January 1, 2007. Requires 95 percent of the proceeds of such bonds to pay costs of existing bond obligations in such states or to make loans to political subdivisions of such states to pay local bond costs. 
 
 Increases the new markets tax credit for investments in community development entities serving recovery and redevelopment efforts in the GO Zone.
 
Allows operators of low-income residential rental projects to rely on income representations of tenants displaced by Hurricane Katrina. 
 
Sets forth rules for the treatment of public utility property disaster losses in the GO Zone.
 
(Sec. 102) Doubles the allowable amounts of the Hope Scholarship and Lifetime Learning tax credits for students in the GO Zone in 2005 and 2006.
 
(Sec. 103) Excludes from the gross income of GO Zone employees the value of employer-provided housing, up to $600 per month. Allows GO Zone employers who provide employees with housing a business tax credit for 30% of their employees' exclusion benefit.
 
(Sec. 104) Amends the Katrina Emergency Tax Relief Act of 2005 (KETRA) to extend through 2010 special rules for mortgage revenue bonds issued in the Hurricane Katrina disaster area. 
 
(Sec. 105) Authorizes the Secretary of the Treasury to extend, on a taxpayer by taxpayer basis, the placed-in-service deadlines for depreciable business property located in the GO Zone, the Rita GO Zone, and Wilma GO Zone.
 

Title II: Tax Benefits Related to Hurricanes Rita and Wilma
 - (Sec. 201) Allows individuals residing in the GO Zone, the Rita GO Zone, or the Wilma GO Zone to use tax-exempt retirement plan funds, up to $100,000, to compensate for economic losses due to hurricane damages and to repay withdrawn amounts back to such retirement plans within three years without penalty. Allows such withdrawals until December 31, 2006.
 
Allows the averaging of such retirement plan distributions in income over a three-year period for income tax purposes and the recontribution of retirement plan distributions for home purchase or construction that were not used due to Hurricanes Katrina, Rita, or Wilma. Increases the limit on loans from retirement plans for residents of hurricane disaster areas.
 
Allows a tax credit for employers in the Hurricane Katrina, Rita, and Wilma disaster areas equal to 40% of wages paid to employees working in such disaster areas between August 28 and December 31, 2005. Limits the amount of the credit for any individual employee to $6,000.
 
Suspends: (1) limitations on the tax deduction for charitable contributions made by corporations and individuals between August 28 and December 31, 2005, for relief efforts related to Hurricanes Katrina, Rita, or Wilma; and (2) limitations on personal casualty losses incurred in the hurricane disaster areas. 
 
Allows adjustments to the calculation of the earned income of individuals residing in Hurricane Katrina, Rita, and Wilma disaster areas to preserve eligibility for earned income and child care tax credit benefits. Authorizes the Secretary of the Treasury in 2005 or 2006 to make adjustments to in the application of the tax laws to prevent the loss of tax benefits for taxpayers dislocated by Hurricanes Katrina, Rita, or Wilma.
 
Grants preferential tax treatment to mortgage revenue bonds issued in hurricane disaster zones until 2011. Increases from $15,000 to $150,000 the limit on home improvement loans financed by mortgage revenue bonds for residences in the hurricane disaster zones.
 
Repeals provisions of the Katrina Emergency Tax Relief Act of 2005 relating to: (1) use of retirement funds for Hurricane Katrina disaster relief; (2) the employee retention credit for employers in the Hurricane Katrina disaster area; (3) the temporary suspension of limitations on corporate and individual tax deductions for charitable contributions; and (4) authority of the Secretary of the Treasury to waive or suspend certain tax rules for taxpayers residing in the Hurricane Katrina disaster area. 
 

Title III: Other Provisions
 - (Sec. 301) Expresses the sense of Congress that the Secretary of the Treasury should designate series of bonds or certificates as &quot;Gulf Coast Recovery Bonds&quot; in response to Hurricanes Katrina, Rita, and Wilma.
 
(Sec. 302) Extends through 2006 the taxpayer election to include combat zone compensation as earned income for purposes of the earned income tax credit. 
 
(Sec. 303) Revises provisions of the American Jobs Creation Act of 2004 to eliminate the suspension of interest assessments on underpayments of tax for certain listed and reportable tax shelter transactions.
 
(Sec. 304) Extends through 2006 the authority for certain undercover Internal Revenue Service investigations. 
 
(Sec. 305) Extends through 2006 the authority to disclose tax information to: (1) facilitate combined employment tax reporting, (2) investigate terrorist activities; and (3) administer certain student loan repayments.
 

Title IV: Technicals - Subtitle A: Tax Technical
 - Tax Technical Corrections Act of 2005 - Revises or makes technical and clerical corrections to Internal Revenue Code (IRC) provisions enacted by: (1) the Energy Policy Act of 2005; (2) the American Jobs Creation Act of 2004; (3) the Working Families Tax Relief Act of 2004; (4) the Jobs and Growth Tax Relief Reconciliation Act of 2003; (5) the Victims of Terrorism Tax Relief Act of 2001; (6) the Economic Growth and Tax Relief Reconciliation Act of 2001; (7) the Internal Revenue Service Restructuring and Reform Act of 1998; (8) the Taxpayer Relief Act of 1997; (9) the Omnibus Budget Reconciliation Act of 1990; and (10) the Omnibus Budget Reconciliation Act of 1987.
 
(Sec. 402) Includes among revisions to IRC provisions enacted by the Energy Policy Act of 2005: (1) the repeal of IRC provisions allowing nonrecognition of gain or loss on exchanges or distributions in obedience to orders of the Securities and Exchange Commission to conform to the repeal of the Public Utility Holding Company Act of 1935; (2) a redefinition of &quot;nonhazardous lignin waste material&quot; as &quot;lignin material&quot; for purposes of the tax credit for producing electricity from renewable resources; (3) the repeal of the IRC provision treating tax credits received for investment in clean renewable energy bonds as payments of estimated tax; (4) revision of phaseout provisions for the tax credit for energy production from advanced nuclear power facilities; (5) revision of the 84-month amortization period to atmospheric pollution control facilities placed in service after December 31, 1975; (6) allowance of the tax credit for producing fuel from a nonconventional source without the requirement of a taxpayer election; (7) revision of rules relating to credit amounts and carryovers of the tax credit for residential energy efficient property; (8) revision of rules relating to the limitations on the tax credit for the installation of alternative fueling stations; and (9) revision of rules relating to the tax credit for energy consortia research expenses. 
 
(Sec. 403) Includes among revisions to IRC provisions enacted by the American Jobs Creation Act of 2004 provisions relating to: (1) the tax deduction for income attributable to domestic production activities; (2) S corporation shareholder requirements; (3) requirements for real estate investment trusts; (4) expensing allowances for certain film and television production costs; (5) the alternative corporate tax on international shipping activities; (6) rules for the depreciation of aircraft, recapture of reforestation expensing amounts, and characterization of overall domestic losses; (7) the foreign tax credit and foreign investment in real estate investment trusts; (8) tax incentives for reinvestment of foreign earnings in the United States; (9) the tax credit for the production of refined coal; (10) the tax treatment of individuals who renounce U.S. citizenship to avoid or evade U.S. taxes (expatriates); (11) tax shelter penalty provisions; (12) partnership loss transfers; (13) reporting requirements for certain charitable contributions; (14) nonqualified deferred compensation plans; and (15) the tax deduction for certain entertainment expenses. 
 
(Sec. 404) Revises IRC provisions enacted by the Working Families Tax Relief act of 2004 to revise rules relating to claims of divorced parents for the tax exemption for dependent children. 
 
(Sec. 405) Revises IRC provisions enacted by the Jobs and Growth Tax Relief Reconciliation Act of 2003 relating to placed-in-service dates for bonus depreciation property and New York Liberty Zone property. 
 
(Sec. 407) Revises IRC provisions enacted by the Economic Growth and Tax Relief Reconciliation Act of 2001 relating to limitations on Roth individual retirement account contributions to tax-deferred annuities and the treatment of certain contributions to defined benefit plans.
 
(Sec. 408) Revises IRC provisions enacted by the Internal Revenue Service Restructuring and Reform Act of 1998 relating to the applicability of certain special procedures to John Doe and Emergency summonses. 
 
(Sec. 409) Revises IRC provisions enacted by the Taxpayer Relief Act of 197 relating to basis adjustments for stock in certain controlled foreign corporations. 
 
(Sec. 411) Revises IRC provisions enacted by the Omnibus Budget Reconciliation Act of 1987 relating to the treatment of the earnings and profits and stock basis of S corporations subject to the recapture of LIFO (last-in, first-out inventory method) benefits. 
 
(Sec. 413) Revises IRC provisions enacted by the American Jobs Creation Act of 2004 to: (1) include certain depository institution holding companies as eligible S corporation shareholders; (2) exclude from the passive income test for bank S corporations investment securities income of depository institution holding companies; (3) treat S corporations and qualified subchapter S subsidiaries as separate entities for purposes of making certain informational returns. 
 

Subtitle B: Trade Technicals
 - Amends the Dominican Republic-Central America-United States Free Trade Agreement Implementation Act (CAFTA-DR) to revise formulae for determining the regional value-content of certain import/export goods. 
 

Title V: Emergency Requirement
 - Declares that any provision of this Act causing an effect on receipts, budget authority, or outlays is designated as an emergency requirement that shall not count for purposes of specified provisions of the Congressional Budget Act of 1974.

action_date: 2005-12-22
text: 

(This measure has not been amended since it was passed by the Senate on December 16, 2005. The summary of that version is repeated here.)

 
Gulf Opportunity Zone Act of 2005 - 
Title I: Establishment of Gulf Opportunity Zone
 - (Sec. 101) Amends the Internal Revenue Code to establish a program of tax benefits for businesses and individuals affected by Hurricane Katrina by creating a Gulf Opportunity Zone (or GO Zone). Provides similar tax benefits for businesses and individuals affected by Hurricanes Rita and Wilma and establishes a Rita GO Zone and a Wilma GO Zone to provide tax relief to hurricane victims in those disaster areas.
 
Authorizes the states of Alabama, Louisiana, and Mississippi to issue Gulf Opportunity Zone bonds as tax-exempt facility bonds or qualified mortgage bonds. Requires that 95 percent of the net proceeds of such bonds be used for the cost of qualified residential rental projects and the cost of acquisition, construction, reconstruction, and renovation of nonresidential real and public utility property in the GO Zone. Prohibits GO Zone bonds from financing certain prohibited projects in the GO Zone, including private golf courses, country clubs, massage parlors, hot tub facilities, suntan facilities, racetrack or other gambling facilities, and liquor stores. Exempts GO Zone bonds from volume caps and exempts interest on such bonds from the alternative minimum tax. Terminates the authority to issue GO Zone bonds after December 31, 2010.
 
Allows the issuance of mortgage revenue bonds and qualified veterans' mortgage bonds in the GO Zone on a preferential basis and increases limits for home improvement loans financed by such bonds from $15,000 to $150,000. Exempts interest on such bonds from the alternative minimum tax.
 
Allows an additional advance refunding of bond obligations of the states of Alabama, Louisiana, and Mississippi that were outstanding on August 28, 2005.
 
Increases amounts and allocations of the low-income housing tax credit for 2006-2008 in the GO Zone. Allows a $3.5 million increase in the state housing credit ceilings of Texas and Florida in 2006. Designates the GO Zone as a difficult development area for purposes of enhancing the low-income housing tax credit for GO Zone residents in 2006-2008.
 
Allows a 50% bonus depreciation allowance for GO Zone business property placed in service on or before December 31, 2007 (December 31, 2008, for nonresidential real and residential rental property). Exempts such increased depreciation allowance from the alternative minimum tax. 
 
Increases or allows additional expensing allowances for: (1) GO Zone depreciable business property; (2) demolition and cleanup costs in the GO Zone; and (3) environmental remediation costs, including GO Zone sites at which petroleum products have been released or disposed of. 
 
Increases the tax credit for expenditures to rehabilitate buildings and historic structures in the GO Zone made prior to January 1, 2009.
 
Increases the expensing allowance for the reforestation expenditures of small timber producers (owning no more than 500 acres) in the GO Zone, the Rita GO Zone, or the Wilma GO Zone. Allows a five-year carryback period for certain timber losses in such zones.
 
Sets forth special rules for the treatment of net operating losses for taxpayers in the GO Zone, including extending the carryback period from two to five years. Allows casualty loss treatment of losses incurred in the GO Zone.
 
Allows a tax credit for investment in Gulf tax credit bonds issued by the states of Alabama, Louisiana, and Mississippi after December 31, 2005, and before January 1, 2007. Requires 95 percent of the proceeds of such bonds to pay costs of existing bond obligations in such states or to make loans to political subdivisions of such states to pay local bond costs. 
 
 Increases the new markets tax credit for investments in community development entities serving recovery and redevelopment efforts in the GO Zone.
 
Allows operators of low-income residential rental projects to rely on income representations of tenants displaced by Hurricane Katrina. 
 
Sets forth rules for the treatment of public utility property disaster losses in the GO Zone.
 
(Sec. 102) Doubles the allowable amounts of the Hope Scholarship and Lifetime Learning tax credits for students in the GO Zone in 2005 and 2006.
 
(Sec. 103) Excludes from the gross income of GO Zone employees the value of employer-provided housing, up to $600 per month. Allows GO Zone employers who provide employees with housing a business tax credit for 30% of their employees' exclusion benefit.
 
(Sec. 104) Amends the Katrina Emergency Tax Relief Act of 2005 (KETRA) to extend through 2010 special rules for mortgage revenue bonds issued in the Hurricane Katrina disaster area. 
 
(Sec. 105) Authorizes the Secretary of the Treasury to extend, on a taxpayer by taxpayer basis, the placed-in-service deadlines for depreciable business property located in the GO Zone, the Rita GO Zone, and Wilma GO Zone.
 

Title II: Tax Benefits Related to Hurricanes Rita and Wilma
 - (Sec. 201) Allows individuals residing in the GO Zone, the Rita GO Zone, or the Wilma GO Zone to use tax-exempt retirement plan funds, up to $100,000, to compensate for economic losses due to hurricane damages and to repay withdrawn amounts back to such retirement plans within three years without penalty. Allows such withdrawals until December 31, 2006.
 
Allows the averaging of such retirement plan distributions in income over a three-year period for income tax purposes and the recontribution of retirement plan distributions for home purchase or construction that were not used due to Hurricanes Katrina, Rita, or Wilma. Increases the limit on loans from retirement plans for residents of hurricane disaster areas.
 
Allows a tax credit for employers in the Hurricane Katrina, Rita, and Wilma disaster areas equal to 40% of wages paid to employees working in such disaster areas between August 28 and December 31, 2005. Limits the amount of the credit for any individual employee to $6,000.
 
Suspends: (1) limitations on the tax deduction for charitable contributions made by corporations and individuals between August 28 and December 31, 2005, for relief efforts related to Hurricanes Katrina, Rita, or Wilma; and (2) limitations on personal casualty losses incurred in the hurricane disaster areas. 
 
Allows adjustments to the calculation of the earned income of individuals residing in Hurricane Katrina, Rita, and Wilma disaster areas to preserve eligibility for earned income and child care tax credit benefits. Authorizes the Secretary of the Treasury in 2005 or 2006 to make adjustments to in the application of the tax laws to prevent the loss of tax benefits for taxpayers dislocated by Hurricanes Katrina, Rita, or Wilma.
 
Grants preferential tax treatment to mortgage revenue bonds issued in hurricane disaster zones until 2011. Increases from $15,000 to $150,000 the limit on home improvement loans financed by mortgage revenue bonds for residences in the hurricane disaster zones.
 
Repeals provisions of the Katrina Emergency Tax Relief Act of 2005 relating to: (1) use of retirement funds for Hurricane Katrina disaster relief; (2) the employee retention credit for employers in the Hurricane Katrina disaster area; (3) the temporary suspension of limitations on corporate and individual tax deductions for charitable contributions; and (4) authority of the Secretary of the Treasury to waive or suspend certain tax rules for taxpayers residing in the Hurricane Katrina disaster area. 
 

Title III: Other Provisions
 - (Sec. 301) Expresses the sense of Congress that the Secretary of the Treasury should designate series of bonds or certificates as &quot;Gulf Coast Recovery Bonds&quot; in response to Hurricanes Katrina, Rita, and Wilma.
 
(Sec. 302) Extends through 2006 the taxpayer election to include combat zone compensation as earned income for purposes of the earned income tax credit. 
 
(Sec. 303) Revises provisions of the American Jobs Creation Act of 2004 to eliminate the suspension of interest assessments on underpayments of tax for certain listed and reportable tax shelter transactions.
 
(Sec. 304) Extends through 2006 the authority for certain undercover Internal Revenue Service investigations. 
 
(Sec. 305) Extends through 2006 the authority to disclose tax information to: (1) facilitate combined employment tax reporting, (2) investigate terrorist activities; and (3) administer certain student loan repayments.
 

Title IV: Technicals - Subtitle A: Tax Technical
 - Tax Technical Corrections Act of 2005 - Revises or makes technical and clerical corrections to Internal Revenue Code (IRC) provisions enacted by: (1) the Energy Policy Act of 2005; (2) the American Jobs Creation Act of 2004; (3) the Working Families Tax Relief Act of 2004; (4) the Jobs and Growth Tax Relief Reconciliation Act of 2003; (5) the Victims of Terrorism Tax Relief Act of 2001; (6) the Economic Growth and Tax Relief Reconciliation Act of 2001; (7) the Internal Revenue Service Restructuring and Reform Act of 1998; (8) the Taxpayer Relief Act of 1997; (9) the Omnibus Budget Reconciliation Act of 1990; and (10) the Omnibus Budget Reconciliation Act of 1987.
 
(Sec. 402) Includes among revisions to IRC provisions enacted by the Energy Policy Act of 2005: (1) the repeal of IRC provisions allowing nonrecognition of gain or loss on exchanges or distributions in obedience to orders of the Securities and Exchange Commission to conform to the repeal of the Public Utility Holding Company Act of 1935; (2) a redefinition of &quot;nonhazardous lignin waste material&quot; as &quot;lignin material&quot; for purposes of the tax credit for producing electricity from renewable resources; (3) the repeal of the IRC provision treating tax credits received for investment in clean renewable energy bonds as payments of estimated tax; (4) revision of phaseout provisions for the tax credit for energy production from advanced nuclear power facilities; (5) revision of the 84-month amortization period to atmospheric pollution control facilities placed in service after December 31, 1975; (6) allowance of the tax credit for producing fuel from a nonconventional source without the requirement of a taxpayer election; (7) revision of rules relating to credit amounts and carryovers of the tax credit for residential energy efficient property; (8) revision of rules relating to the limitations on the tax credit for the installation of alternative fueling stations; and (9) revision of rules relating to the tax credit for energy consortia research expenses. 
 
(Sec. 403) Includes among revisions to IRC provisions enacted by the American Jobs Creation Act of 2004 provisions relating to: (1) the tax deduction for income attributable to domestic production activities; (2) S corporation shareholder requirements; (3) requirements for real estate investment trusts; (4) expensing allowances for certain film and television production costs; (5) the alternative corporate tax on international shipping activities; (6) rules for the depreciation of aircraft, recapture of reforestation expensing amounts, and characterization of overall domestic losses; (7) the foreign tax credit and foreign investment in real estate investment trusts; (8) tax incentives for reinvestment of foreign earnings in the United States; (9) the tax credit for the production of refined coal; (10) the tax treatment of individuals who renounce U.S. citizenship to avoid or evade U.S. taxes (expatriates); (11) tax shelter penalty provisions; (12) partnership loss transfers; (13) reporting requirements for certain charitable contributions; (14) nonqualified deferred compensation plans; and (15) the tax deduction for certain entertainment expenses. 
 
(Sec. 404) Revises IRC provisions enacted by the Working Families Tax Relief act of 2004 to revise rules relating to claims of divorced parents for the tax exemption for dependent children. 
 
(Sec. 405) Revises IRC provisions enacted by the Jobs and Growth Tax Relief Reconciliation Act of 2003 relating to placed-in-service dates for bonus depreciation property and New York Liberty Zone property. 
 
(Sec. 407) Revises IRC provisions enacted by the Economic Growth and Tax Relief Reconciliation Act of 2001 relating to limitations on Roth individual retirement account contributions to tax-deferred annuities and the treatment of certain contributions to defined benefit plans.
 
(Sec. 408) Revises IRC provisions enacted by the Internal Revenue Service Restructuring and Reform Act of 1998 relating to the applicability of certain special procedures to John Doe and Emergency summonses. 
 
(Sec. 409) Revises IRC provisions enacted by the Taxpayer Relief Act of 197 relating to basis adjustments for stock in certain controlled foreign corporations. 
 
(Sec. 411) Revises IRC provisions enacted by the Omnibus Budget Reconciliation Act of 1987 relating to the treatment of the earnings and profits and stock basis of S corporations subject to the recapture of LIFO (last-in, first-out inventory method) benefits. 
 
(Sec. 413) Revises IRC provisions enacted by the American Jobs Creation Act of 2004 to: (1) include certain depository institution holding companies as eligible S corporation shareholders; (2) exclude from the passive income test for bank S corporations investment securities income of depository institution holding companies; (3) treat S corporations and qualified subchapter S subsidiaries as separate entities for purposes of making certain informational returns. 
 

Subtitle B: Trade Technicals
 - Amends the Dominican Republic-Central America-United States Free Trade Agreement Implementation Act (CAFTA-DR) to revise formulae for determining the regional value-content of certain import/export goods. 
 

Title V: Emergency Requirement
 - Declares that any provision of this Act causing an effect on receipts, budget authority, or outlays is designated as an emergency requirement that shall not count for purposes of specified provisions of the Congressional Budget Act of 1974.


Legislative actions:
action_date: 2005-12-22
text: Became Public Law No: 109-135.
action_date: 2005-12-22
text: Became Public Law No: 109-135.
action_date: 2005-12-22
text: Signed by President.
action_date: 2005-12-22
text: Signed by President.
action_date: 2005-12-19
text: Presented to President.
action_date: 2005-12-19
text: Presented to President.
action_date: 2005-12-16
text: Cleared for White House.
action_date: 2005-12-16
text: Motion to reconsider laid on the table Agreed to without objection.
action_date: 2005-12-16
text: On motion that the House agree to the Senate amendment Agreed to without objection. (consideration: CR H11923-11940; text as House agreed to Senate amendment: CR H11923-11940)
action_date: 2005-12-16
text: Resolving differences -- House actions: On motion that the House agree to the Senate amendment Agreed to without objection.(consideration: CR H11923-11940; text as House agreed to Senate amendment: CR H11923-11940)
action_date: 2005-12-16
text: Mr. McCrery moved that the House agree to the Senate amendment.
action_date: 2005-12-16
text: Message on Senate action sent to the House.
action_date: 2005-12-16
text: Passed Senate with an amendment by Unanimous Consent.
action_date: 2005-12-16
text: Passed/agreed to in Senate: Passed Senate with an amendment by Unanimous Consent.
action_date: 2005-12-16
text: Measure laid before Senate by unanimous consent. (consideration: CR S13702-13708)
action_date: 2005-12-13
text: Read the second time. Placed on Senate Legislative Calendar under General Orders. Calendar No. 328.
action_date: 2005-12-12
text: Received in the Senate. Read the first time. Placed on Senate Legislative Calendar under Read the First Time.
action_date: 2005-12-07
text: Motion to reconsider laid on the table Agreed to without objection.
action_date: 2005-12-07
text: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 415 - 4 (Roll no. 618). (text: CR H11152-11159)
action_date: 2005-12-07
text: Passed/agreed to in House: On motion to suspend the rules and pass the bill Agreed to by the Yeas and Nays: (2/3 required): 415 - 4 (Roll no. 618).(text: CR H11152-11159)
action_date: 2005-12-07
text: Considered as unfinished business. (consideration: CR H11182)
action_date: 2005-12-07
text: At the conclusion of debate, the Yeas and Nays were demanded and ordered. Pursuant to the provisions of clause 8, rule XX, the Chair announced that further proceedings on the motion would be postponed.
action_date: 2005-12-07
text: DEBATE - The House proceeded with forty minutes of debate on H.R. 4440.
action_date: 2005-12-07
text: Considered under suspension of the rules. (consideration: CR H11152-11163)
action_date: 2005-12-07
text: Mr. McCrery moved to suspend the rules and pass the bill.
action_date: 2005-12-06
text: Referred to the House Committee on Ways and Means.
action_date: 2005-12-06
text: Introduced in House
action_date: 2005-12-06
text: Introduced in House

Enacted as: number: 109-135