S. 1239

New Markets Tax Credit Extension Act of 2007

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II

110th CONGRESS

1st Session

S. 1239

IN THE SENATE OF THE UNITED STATES

April 26, 2007

Mr. Rockefeller (for himself, Ms. Snowe, Mr. Schumer, Mr. Kerry, Mr. Bingaman, Ms. Stabenow, Mr. Smith, Mr. Brown, and Mrs. Dole) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to extend the new markets tax credit through 2013, and for other purposes.

1.

Short title

This Act may be cited as the New Markets Tax Credit Extension Act of 2007.

2.

Extension of new markets tax credit

(a)

Extension

(1)

In general

Subparagraph (D) of section 45D(f)(1) of the Internal Revenue Code of 1986 (relating to national limitation on amount of investments designated) is amended by striking 2006, 2007, and 2008 and inserting each of calendar years 2006 through 2013.

(2)

Conforming amendment

Section 45D(f)(3) of such Code is amended by striking 2014 and inserting 2020.

(b)

Inflation adjustment

Section 45D(f) of the Internal Revenue Code of 1986 is amended by inserting at the end the following new paragraph:

(4)

Inflation adjustment

(A)

In general

In the case of any calendar year beginning after 2008, the dollar amount in paragraph (1)(D) 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, determined by substituting calendar year 2007 for calendar year 1992 in subparagraph (B) thereof.

(B)

Rounding rule

If a dollar amount in paragraph (1)(D), as increased under subparagraph (A), is not a multiple of $1,000,000, such amount shall be rounded to the nearest multiple of $1,000,000.

.

(c)

Effective date

The amendments made by this section shall take effect on the date of the enactment of this Act.