,i  #aaeth ,,congress  #ast ,session    
,h4 ,r4 #hga  ,,in ,,the ,,house ,,of   
,,representatives  ,february #f1        
#bjag,mr4 ,smith of ,missouri 7for      
himself1 ,mr4 ,larson of ,connecticut1  
and ,mr4 ,royce of ,california7         
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    
exempt premiums paid on non-cash-value  
property and casualty insurance from the
 taxes to enforce reporting on certain  
foreign accounts4  #a4 ,exemption for   
premiums paid on non-cash-value property
 and casualty insurance from taxes to   
enforce reporting on certain foreign    
accounts  7a7 ,in general ,section      
#adgc7a7 of the ,internal ,revenue ,code
 of #aihf is amended by redesignating   
subparagraph 7,c7 as subparagraph 7,d7  
and by inserting after subparagraph 7,b7
 the following new subparagraph3  7,c7  
,exception for premiums paid on         
non-cash-value property and casualty    

insurance  7i7 ,in general ,such term   
shall not include any premium paid for  
any insurance contract if--  7,i7 such  
insurance contract does not have an     
aggregate cash value greater than zero1 
and  7,,ii7 no portion of the reserves1 
unearned premiums1 or unpaid losses1    
with respect to such contract are taken 
into account under paragraph 7#a7 or    
7#b7 of section #haf7;a74  7ii7 ,cash   
value ,the term cash value means any    
amount 7determined without reduction for
 any charge or policy loan7 that-- 7,i7 
is payable under the contract to any    
person upon surrender1 termination1     
cancellation1 or withdrawal1 or  7,,ii7 
can be borrowed by any person under1 or 
with regard to1 the contract 7including 
by pledging as collateral74  7iii7      
,exceptions ,notwithstanding clause     
7ii71 the term cash value shall not     
include any amount payable--  7,i7      
solely by reason of the death of an     
individual insured under a life         
insurance contract1  7,,ii7 as a        

personal injury or sickness benefit or a
 benefit providing indemnification of an
 economic loss incurred upon the        
occurrence of the event insured against1
  7,,iii7 as a refund of a previously   
paid premium 7less cost of insurance    
charges whether or not actually imposed7
 under an insurance contract 7other than
 a life insurance contract7 due to      
cancellation or termination of the      
contract1 decrease in risk exposure     
during the effective period of the      
contract1 or arising from the correction
 of a posting or similar error with     
regard to the premium for the contract1 
7,,iv7 as a policyholder dividend 7other
 than a termination dividend7 provided  
that the dividend relates to an         
insurance contract under which the only 
benefits payable are described in       
subclause 7,,ii71 or  7,v7 as a return  
of an advance premium or premium deposit
 for an insurance contract for which the
 premium is payable at least annually if
 the amount of the advance premium or   

premium deposit does not exceed the next
 annual premium that will be payable    
under the contract4  4  7b7 ,effective  
date ,the amendments made by this       
section shall apply to payments made    
after the date of the enactment of this 
,act4