,i #aacth ,,congress #ast ,session ,h4 ,r4 #bhfb ,,in ,,the ,,house ,,of ,,representatives ,july #cj1 #bjac ,mr4 ,matheson introduced the following bill2 which was referred to the ,committee on ,ways and ,means ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to allow a temporary dividends received deduction for #bjac or #bjad4 #a4 ,short title ,this ,act may be cited as the ,freedom to ,invest ,act of #bjac4 #b4 ,temporary dividends received deduction allowed for #bjac or #bjad 7a7 ,election ,subsection 7f7 of section #ife of the ,internal ,revenue ,code of #aihf 7relating to election7 is amended to read as follows3 7f7 ,election ,the taxpayer may elect to apply this section to-- 7#a7 the taxpayer's last taxable year which begins before the date of the enactment of this subsection1 or 7#b7 the taxpayer's first taxable year which begins during the #a-year period beginning on such date4 ,such election may be made for a taxable year only if made on or before the due date 7including extensions7 for filing the return of tax for such taxable year4 4 7b7 ,limitation ,paragraph 7#a7 of section #ife7;b7 of such ,code is amended to read as follows3 7#a7 ,in general ,the amount of dividends taken into account under subsection 7a7 shall not exceed the sum of the current and accumulated earnings and profits described in section #iei7;c77#c7 for the year a deduction is claimed under subsection 7a71 without diminution by reason of any distributions made during the election year1 for all controlled foreign corporations of the ,united ,states shareholder4 4 7c7 ,failure ,to maintain employment levels ,paragraph 7#d7 of section #ife7;b7 of such ,code 7relating to limitations7 is amended to read as follows3 7#d7 ,reduction in benefits for failure to maintain employment levels 7,a7 ,in general ,if1 during the period consisting of the calendar month in which the taxpayer first receives a distribution described in subsection 7a77#a7 and the succeeding #bc calendar months1 the taxpayer does not maintain an average employment level at least equal to the taxpayer's prior average employment1 an additional amount equal to #be1jjj multiplied by the number of employees by which the taxpayer's average employment level during such period falls below the prior average employment 7but not exceeding the aggregate amount allowed as a deduction pursuant to subsection 7a77#a77 shall be taken into income by the taxpayer during the taxable year that includes the final day of such period4 7,b7 ,average employment level ,for purposes of this paragraph1 the taxpayer's average employment level for a period shall be the average number of full-time ,united ,states employees of the taxpayer1 measured at the end of each month during the period4 7,c7 ,prior average employment ,for purposes of this paragraph1 the taxpayer's prior average employment shall be the average number of full-time ,united ,states employees of the taxpayer during the period consisting of the #bd calendar months immediately preceding the calendar month in which the taxpayer first receives a distribution described in subsection 7a77#a74 7,d7 ,full-time ,united ,states employee ,for purposes of this paragraph-- 7i7 ,in general ,the term full-time ,united ,states employee means an individual who provides services in the ,united ,states as a full-time employee1 based on the employer's standards and practices2 except that regardless of the employer's classification of the employee1 an employee whose normal schedule is #dj hours or more per week is considered a full-time employee4 7ii7 ,exception for changes in ownership of trades or businesses ,such term does not include-- 7,i7 any individual who was an employee1 on the date of acquisition1 of any trade or business acquired by the taxpayer during the #bd-month period referred to in subparagraph 7,a72 and 7,,ii7 any individual who was an employee of any trade or business disposed of by the taxpayer during the #bd-month period referred to in subparagraph 7,a7 or the #bd-month period referred to in subparagraph 7,c74 7,e7 ,aggregation rules ,in determining the taxpayer's average employment level and prior average employment1 all domestic members of a controlled group shall be treated as a single taxpayer4 4 7d7 ,threshold period ,section #ife of such ,code is amended by striking ,june #cj1 #bjjc each place it occurs and inserting ,june #cj1 #bjab4 7e7 ,base period ,paragraph 7#b7 of subsection #ife7;c7 of such ,code is amended by inserting at the end of subparagraph 7,a7 the following flush sentence3 ,for purposes of this paragraph1 taxable years shall not include any year for which an election under section #ife was in effect44 7f7 ,indebtedness determination date ,subparagraph 7,b7 of section #ife7;b77#c7 of such ,code is amended by striking ,october #c1 #bjjd and inserting ,january #aa1 #bjac4 7g7 ,conforming amendments 7#a7 ,subsection #ife7;c7 of such ,code1 as amended by subsection 7e71 is amended by striking paragraph 7#a7 and redesignating paragraphs 7#b71 7#c71 7#d71 and 7#e7 as paragraphs 7#a71 7#b71 7#c71 and 7#d71 respectively4 7#b7 ,paragraph #ife7;c77#d7 of such ,code1 as redesignated by paragraph 7#a71 is amended to read as follows3 7#d7 ,controlled groups ,all ,united ,states shareholders which are members of an affiliated group filing a consolidated return under section #aeja shall be treated as one ,united ,states shareholder4 4 7h7 ,effective date ,the amendments made by this section shall apply to taxable years ending on or after the date of the enactment of this ,act4