A bill to amend the Internal Revenue Code of 1986 to allow noncorporate shareholders of foreign sales corporations the same deduction for dividends received from such corporations as is allowed to corporate shareholders.

Amends the Internal Revenue Code to allow noncorporate shareholders of a foreign sales corporation an income tax deduction equal to: (1) 100 percent of any dividend received from a corporation which is distributed out of earnings and profits attributable to foreign trade income for a period during which such corporation was a foreign sales corporation; and (2) 85 percent of any dividend received from a corporation which is distributed out of earnings and profits attributable to qualified interest and carrying charges received or accrued by such corporation while such corporation was a foreign sales corporation.