A bill to amend the Internal Revenue Code of 1954 with respect to certain charitable contributions.

Provides, under the Internal Revenue Code, that the initial tax on failure to distribute income shall not apply to the undistributed income of a private foundation for any taxable year for which it is an organization operating long-term care facilities.

Defines the term "organization operating long-term care facilities" as a private foundation: (1) whose principal purpose is the long-term care, comfort or maintenance of resident permanently and totally disabled persons, elderly persons, needy widows, or children; and (2) which normally makes qualifying distributions.