To amend the Internal Revenue Code of 1986 to increase the limitation on the allowance of capital losses of taxpayers other than corporations.

Amends the Internal Revenue Code to increase the limit on the deductibility of losses from the sale or exchange of capital assets for individual taxpayers to $10,000, adjusted for inflation after 2009 ($5,000 for married individuals filing a separate tax return).

[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1857 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 1857

 To amend the Internal Revenue Code of 1986 to increase the limitation 
      on the allowance of capital losses of taxpayers other than 
                             corporations.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 1, 2009

 Mr. Marchant 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 increase the limitation 
      on the allowance of capital losses of taxpayers other than 
                             corporations.

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

SECTION 1. LIMITATION ON CAPITAL LOSSES OF TAXPAYERS OTHER THAN 
              CORPORATIONS.

    (a) In General.--Paragraph (1) of section 1211(b) of the Internal 
Revenue Code of 1986 (relating to limitation on capital losses) is 
amended to read as follows:
            ``(1) $10,000 ($5,000 in the case of a married individual 
        filing a separate return), or''.
    (b) Adjustment for Inflation.--Section 1211 of such Code is amended 
by adding at the end the following:
    ``(c) Inflation Adjustment.--In the case of any taxable year 
beginning after 2009, each dollar amount contained in subsection (b)(1) 
shall be increased by an amount equal to--
            ``(1) such dollar amount, multiplied by
            ``(2) 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 2008' for 
        `calendar year 1992' in subparagraph (B) thereof.
Any increase determined under the preceding sentence shall be rounded 
to the nearest multiple of $50.''.
    (c) Effective Date.--The amendment made by subsection (a) shall 
apply to capital losses arising in taxable years beginning after 
December 31, 2008.
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