To amend the Internal Revenue Code of 1986 to allow a deduction for improvements to the taxpayer's principal residence to remove architectural barriers to the handicapped and elderly.

Amends the Internal Revenue Code to permit an individual income tax deduction for amounts spent to make the taxpayer's principal residence more accessible to and usable by handicapped individuals and elderly individuals.

 
58925 McDevitt
HR 152 IH
101st CONGRESS
1st Session
 H. R. 152
To amend the Internal Revenue Code of 1986 to allow a deduction for
improvements to the taxpayer's principal residence to remove architectural
barriers to the handicapped and elderly.
IN THE HOUSE OF REPRESENTATIVES
January 3, 1989
Mr. DONNELLY introduced the following bill; which was referred to the
Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to allow a deduction for
improvements to the taxpayer's principal residence to remove architectural
barriers to the handicapped and elderly.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled, That (a) part VII of subchapter B
  of chapter 1 of the Internal Revenue Code of 1986 (relating to additional
  itemized deductions for individuals) is amended by redesignating section 220
  as section 221 and by inserting after section 219 the following new section:
`SEC. 220. RESIDENTIAL IMPROVEMENTS TO REMOVE ARCHITECTURAL BARRIERS TO THE
HANDICAPPED AND ELDERLY.
  `(a) GENERAL RULE- In the case of an individual, there shall be allowed as
  a deduction for the taxable year an amount equal to the qualified barrier
  removal expenditures paid or incurred during the taxable year.
  `(b) QUALIFIED BARRIER REMOVAL EXPENDITURES- For purposes of this section,
  the term `qualified barrier removal expenditure' means any expenditure
  which--
  `(1) is for the purpose of making the principal residence of the taxpayer
  more accessible to, and usable by, handicapped individuals and elderly
  individuals, and
  `(2) meets standards prescribed by the Secretary by regulations.
  `(c) DEFINITIONS AND SPECIAL RULES-
  `(1) HANDICAPPED AND ELDERLY- For purposes of this section, the terms
  `handicapped individual' and `elderly individual' have the same respective
  meanings as when used in section 190.
  `(2) PRINCIPAL RESIDENCE- For purposes of this section, the determination of
  whether any property is the principal residence of the taxpayer shall be made
  under principles similar to the principles of section 1034; except that--
  `(A) no ownership requirement shall be imposed, and
  `(B) the period during which any property is treated as the principal
  residence of the taxpayer shall include the 30-day period ending on the
  first day on which it would (but for this subparagraph) be treated as his
  principal residence.
  `(3) COORDINATION WITH SECTION 213- Any qualified barrier removal expenditure
  shall not be treated as an expense for medical care for purposes of
  section 213.
  `(4) BASIS ADJUSTMENT- For purposes of this subtitle, no increase in the
  basis of any property shall be allowed for any expenditure allowed as a
  deduction under this section.'
  (b) Subsection (b) of section 67 of such Code (defining miscellaneous
  itemized deductions) is amended by striking `and' at the end of paragraph
  (12), by striking the period at the end of paragraph (13) and inserting
  `, and', and by adding at the end thereof the following new paragraph:
  `(14) the deduction under section 220 (relating to residential improvements
  to remove architectural barriers to the handicapped and elderly).'
  (c)(1) Subparagraph (G) of section 263(a)(1) of such Code is amended by
  striking `section 179' and inserting `section 179 or 220'.
  (2) The table of sections for part VII of subchapter B of chapter 1 of
  such Code is amended by striking the item relating to section 220 and
  inserting the following:
`Sec. 220. Residential improvements to remove architectural barriers to
handicapped and elderly.
`Sec. 221. Cross reference.'
  (d) The amendments made by this section shall apply to taxable years
  beginning after December 31, 1989.