[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 721 Placed on Calendar Senate (PCS)]
Calendar No. 57
108th CONGRESS
1st Session
S. 721
To amend the Internal Revenue Code of 1986 to expand the combat zone
income tax exclusion to include income for the period of transit to the
combat zone and to remove the limitation on such exclusion for
commissioned officers, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 26, 2003
Mr. Allen (for himself, Mr. McCain, Mr. Chambliss, Mr. Graham of South
Carolina, and Mr. Warner) introduced the following bill; which was read
the first time
March 27, 2003
Read the second time and placed on the calendar
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to expand the combat zone
income tax exclusion to include income for the period of transit to the
combat zone and to remove the limitation on such exclusion for
commissioned officers, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. EXPANSION OF INCOME TAX EXCLUSION FOR COMBAT ZONE SERVICE.
(a) Combat Zone Service To Include Transit to Zone.--Section
112(c)(3) of the Internal Revenue Code of 1986 (relating to
definitions) is amended by adding at the end the following new
sentence: ``Such service shall include any period of direct transit to
the combat zone.''.
(b) Removal of Limitation on Exclusion for Commissioned Officers.--
(1) In general.--Subsection (b) of section 112 of the
Internal Revenue Code of 1986 (relating to certain combat zone
compensation of members of the Armed Forces) is repealed.
(2) Conforming amendments.--
(A) Section 112(a) of such Code is amended--
(i) by striking ``below the grade of
commissioned officer'', and
(ii) by striking ``Enlisted Personnel'' in
the heading and inserting ``In General''.
(B) Section 112(c) of such Code is amended by
striking paragraphs (1) and (5) and by redesignating
paragraphs (2), (3), and (4) as paragraphs (1), (2),
and (3), respectively.
(c) Effective Date.--The amendments made by this section shall
apply to months beginning after the date of the enactment of this Act.
SEC. 2. AVAILABILITY OF CERTAIN TAX BENEFITS FOR MEMBERS OF THE ARMED
FORCES PERFORMING SERVICES AT GUANTANAMO BAY NAVAL
STATION, CUBA, AND IN THE HORN OF AFRICA.
(a) General Rule.--In the case of a member of the Armed Forces of
the United States who is entitled to special pay under section 310 of
title 37, United States Code (relating to special pay: duty subject to
hostile fire or imminent danger), for services performed at Guantanamo
Bay Naval Station, Cuba, or in any country located in the region known
as the Horn of Africa as part of Operation Enduring Freedom (or any
successor operation), such member shall be treated in the same manner
as if such services were in a combat zone (as determined under section
112 of the Internal Revenue Code of 1986) for purposes of the following
provisions of such Code:
(1) Section 2(a)(3) (relating to special rule where
deceased spouse was in missing status).
(2) Section 112 (relating to the exclusion of certain
combat pay of members of the Armed Forces).
(3) Section 692 (relating to income taxes of members of
Armed Forces on death).
(4) Section 2201 (relating to members of the Armed Forces
dying in combat zone or by reason of combat-zone-incurred
wounds, etc.).
(5) Section 3401(a)(1) (defining wages relating to combat
pay for members of the Armed Forces).
(6) Section 4253(d) (relating to the taxation of phone
service originating from a combat zone from members of the
Armed Forces).
(7) Section 6013(f)(1) (relating to joint return where
individual is in missing status).
(8) Section 7508 (relating to time for performing certain
acts postponed by reason of service in combat zone).
(b) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), this
section shall take effect on the date of the enactment of this
Act.
(2) Withholding.--Subsection (a)(5) shall apply to
remuneration paid on or after such date of enactment.
Calendar No. 57
108th CONGRESS
1st Session
S. 721
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to expand the combat zone
income tax exclusion to include income for the period of transit to the
combat zone and to remove the limitation on such exclusion for
commissioned officers, and for other purposes.
_______________________________________________________________________
March 27, 2003
Read the second time and placed on the calendar