Lower Regulatory Burden for Homeowners Act of 2003

Lower Regulatory Burden for Homeowners Act of 2003 - Amends the Internal Revenue Code to include customer connection fees (including fees to connect a customer's water service line or sewer lateral line to the utility's distribution or collection system or extend a main water or sewer line to provide service to a customer) as an excludable corporate income item within the definition of "contribution in aid of construction."

[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3395 Introduced in House (IH)]







108th CONGRESS
  1st Session
                                H. R. 3395

To amend the Internal Revenue Code of 1986 to clarify the definition of 
                  contribution in aid of construction.


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                    IN THE HOUSE OF REPRESENTATIVES

                            October 29, 2003

Mr. Herger (for himself and Mr. Matsui) introduced the following bill; 
         which was referred to the Committee on Ways and Means

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                                 A BILL


 
To amend the Internal Revenue Code of 1986 to clarify the definition of 
                  contribution in aid of construction.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Lower Regulatory Burden for 
Homeowners Act of 2003''.

SEC. 2. CLARIFICATION OF CONTRIBUTION IN AID OF CONSTRUCTION.

    (a) In General.--Subparagraph (A) of section 118(c)(3) of the 
Internal Revenue Code of 1986 (relating to definitions) is amended to 
read as follows:
                    ``(A) Contribution in aid of construction.--The 
                term `contribution in aid of construction' shall be 
                defined by regulations prescribed by the Secretary, 
                except that such term--
                            ``(i) shall include amounts paid as 
                        customer connection fees (including amounts 
                        paid to connect the customer's water service 
                        line or sewer lateral line to the utility's 
                        distribution or collection system or extend a 
                        main water or sewer line to provide service to 
                        a customer), and
                            ``(ii) shall not include amounts paid as 
                        service charges for starting or stopping 
                        services.''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to amounts received after the date of the enactment of this Act.
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