A bill to amend the Internal Revenue code of 1954 with respect to the treatment of computer software royalties for purposes of the personal holding company provisions.

Amends the Internal Revenue Code to provide that personal holding company income includes computer software royalties to the extent that such royalties do not constitute 50 percent or more of the adjusted gross income and the sum of the deductions for trade and business expenses and research and experimental expenses attributable to the trade or business in which such royalties are derived does not equal or exceed 15 percent of the adjusted gross income.