To allow damage payments from BP in connection with the blowout and explosion on the offshore drilling unit Deepwater Horizon to be included in gross income ratably over 3 years.

Allows taxpayers to elect to include any payment from BP PLC for damages related to the blowout and explosion on the mobile offshore drilling unit Deepwater Horizon that occurred on April 20, 2010, in gross income ratably over a three-year period for tax purposes (income averaging).

[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2821 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                H. R. 2821

  To allow damage payments from BP in connection with the blowout and 
    explosion on the offshore drilling unit Deepwater Horizon to be 
             included in gross income ratably over 3 years.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            August 16, 2011

  Mr. Palazzo (for himself and Mr. Miller of Florida) introduced the 
                             following bill

                            August 30, 2011

              Referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
  To allow damage payments from BP in connection with the blowout and 
    explosion on the offshore drilling unit Deepwater Horizon to be 
             included in gross income ratably over 3 years.

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

SECTION 1. THREE-YEAR RATABLE INCLUSION OF DEEPWATER HORIZON DAMAGE 
              PAYMENTS.

    (a) In General.--For purposes of the Internal Revenue Code of 1986, 
the taxpayer may elect to include any payment from BP, P.L.C., for 
damages in connection with the blowout and explosion of the mobile 
offshore drilling unit Deepwater Horizon that occurred on April 20, 
2010, in gross income ratably over the 3-taxable-year period beginning 
with the taxable year for which such amount would have been included in 
gross income without regard to this section.
    (b) Effective Date.--This section shall apply to any payments made 
after April 20, 2010, in taxable years ending after such date.
                                 <all>