S.Amdt. 5007

SA 5007. Mr. BUNNING submitted an amendment intended to be proposed
to amendment SA 4983 proposed by Mr. Reid (for Mr. Dodd (for himself
and Mr. Shelby)) to the bill H.R. 3221, moving the United States toward
greater energy independence and security, developing innovative new
technologies, reducing carbon emissions, creating green jobs,
protecting consumers, increasing clean renewable energy production, and
modernizing our energy infrastructure, and to amend the Internal
Revenue Code of 1986 to provide tax incentives for the production of
renewable energy and energy conservation; which was ordered to lie on
the table; as follows:

At the end of subtitle B of title I of division C, insert
the following:

SEC. 3013. DEDUCTION FOR POINTS ON HOME MORTGAGE REFINANCING
ALLOWED IN YEAR PAID.

(a) Deduction.--
(1) In general.--Paragraph (2) of section 461(g) (relating
to prepaid interest) is amended--
(A) by striking ``This subsection'' and inserting the
following:
``(A) In general.--This subsection'', and
(B) by adding at the end the following new subparagraph:
``(B) Exception for certain refinancings.--
``(i) In general.--This subsection shall not apply to
points paid--

``(I) in respect of indebtedness secured by such residence
resulting from the refinancing of indebtedness meeting the
requirements of the subparagraph (A), and
``(II) before January 1, 2011.

``(ii) Limitation.--Clause (i) shall apply only to the
extent the amount of the indebtedness resulting from such
refinancing does not exceed the sum of--

``(I) the amount of the refinanced indebtedness, plus
``(II) the lesser of $10,000 or the points paid in respect
of the indebtedness resulting from the refinancing to the
extent that the indebtedness resulting from the refinancing
does not exceed the refinanced indebtedness.

``(iii) Adjustment for inflation.--In the case of any
calendar year beginning after 2008, the $10,000 amount under
clause (ii)(II) shall be increased by an amount equal to--

``(I) such dollar amount, multiplied by
``(II) the cost-of-living adjustment determined under
section 1(f)(3) for the calendar year in which the taxable
year begins, determined by substituting `calendar year 2007'
for `calendar year 1992' in subparagraph (B) thereof.

If any amount as adjusted under the preceding sentence is not
a multiple of $100, such amount shall be rounded to the next
nearest multiple of $100.''.
(2) Conforming amendment.--The heading of paragraph (2) of
section 461(g) is amended by striking ``Exception'' and
inserting ``Exceptions''.
(3) Effective date.--The amendments made by this subsection
shall apply to amounts paid in taxable years beginning after
December 31, 2007.
(b) Offset.--There is hereby rescinded 100 percent of
budget authority provided for the appropriations in titles
III and IV of division B.
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