To amend the Internal Revenue Code of 1986 to allow bonds guaranteed by the Federal home loan banks to be treated as tax exempt bonds.

Amends the Internal Revenue Code to allow bonds guaranteed by the federal home loan banks to be treated as tax-exempt state or local bonds (thus excluding interest on such bonds from gross income).

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5177 Introduced in House (IH)]







109th CONGRESS
  2d Session
                                H. R. 5177

To amend the Internal Revenue Code of 1986 to allow bonds guaranteed by 
     the Federal home loan banks to be treated as tax exempt bonds.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 25, 2006

Mr. English of Pennsylvania (for himself, Mr. Levin, Mr. Baker, and Mr. 
  Kanjorski) 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 bonds guaranteed by 
     the Federal home loan banks to be treated as tax exempt bonds.

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

SECTION 1. BONDS GUARANTEED BY FEDERAL HOME LOAN BANKS.

    (a) In General.--Clause (i) of section 149(b)(3)(A) of the Internal 
Revenue Code of 1986 (relating to exceptions for certain insurance 
programs) is amended--
            (1) by striking ``or'' after ``Corporation,'', and
            (2) by inserting at the end the following: ``or the Federal 
        home loan banks,''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to bonds issued after the date of the enactment of this Act.
                                 <all>