,i #aae? ,,congress #a/ ,session ,h4 ,r4 #icg ,,9 ,,! ,,h\se ,,( ,,repres5tatives ,febru>y #g1 #bjag,mr4 ,brat 7= himself1 ,mr4 ,franks ( ,arizona1 & ,mr4 ,griffi?7 introduc$ ! foll[+ bill2 :i* 0 ref]r$ to ! ,committee on ,ways & ,means ,a ,,bill ,to am5d ! ,int]nal ,rev5ue ,code ( #aihf to create ,univ]sal ,sav+s ,acc\nts4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,univ]sal ,sav+s ,acc\nt ,act4 #b4 ,univ]sal sav+s acc\nts 7a7 ,9 g5]al ,sub*apt] ,f ( *apt] #a ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new "p3 ,,ix ,univ]sal sav+s acc\nts #ecj;,a4 ,univ]sal sav+s acc\nts 7a7 ,g5]al rule ,a ,univ]sal ,sav+s ,acc\nt %all be exempt f taxation "u ?is subtitle4 ,not)/&+ ! prec$+ s5t5ce1 su* acc\nt %all be subject to ! taxes impos$ by section #eaa 7relat+ to imposition ( tax on unrelat$ bus9ess income ( *>itable organizations74 7b7 ,univ]sal sav+s acc\nt ,= purposes ( ?is section1 ! t]m ,univ]sal ,sav+s ,acc\nt means a tru/ creat$ or organiz$ 9 ! ,unit$ ,/ates by an eligible individual = ! exclusive b5efit ( su* eligible individual or 8 b5efici>ies & :i* is designat$ 79 su* mann] z ! ,secret>y %all prescribe7 at ! "t ( ! e/abli%m5t ( ! tru/ z a ,univ]sal ,sav+s ,acc\nt1 b only if ! writt5 gov]n+ in/rum5t creat+ ! tru/ meets ! foll[+ requirem5ts3 7#a7 ,except 9 ! case ( a qualifi$ rollov] contribution describ$ 9 subsection 7e7-- 7,a7 no contribution w be accept$ unless x is 9 ca%1 & 7,b7 contributions w n be accept$ = ! cal5d> ye> 9 excess ( ! contribution limit specifi$ 9 subsection 7d77#a74 7#b7 ,! tru/ee is a bank 7z def9$ 9 section #djh7n77 or ano!r p]son :o demon/rates to ! satisfaction ( ! ,secret>y t ! mann] 9 :i* t p]son w adm9i/] ! tru/ w be consi/5t ) ! requirem5ts ( ?is section or :o has s demon/rat$ ) respect to any individual retirem5t plan4 7#c7 ,no "p ( ! tru/ assets w be inve/$ 9 life insurance contracts4 7#d7 ,! int]e/ ( an individual 9 ! balance ( 8 acc\nt is non=feitable4 7#e7 ,! assets ( ! tru/ %all n be comm+l$ ) o!r prop]ty except 9 a common tru/ fund or common inve/m5t fund4 7c7 ,eligible individual ,= purposes ( ?is section1 ! t]m eligible individual means any individual :o is-- 7#a7 n less ?an #ah ye>s ( age1 & 7#b7 a citiz5 or legal p]man5t resid5t ( ! ,unit$ ,/ates4 7d7 ,treatm5t ( contributions & di/ributions 7#a7 ,contribution limit 7,a7 ,9 g5]al ,! aggregate am\nt ( contributions 7o!r ?an qualifi$ rollov] contributions describ$ 9 subsection 7e77 = any cal5d> ye> to all ,univ]sal ,sav+s ,acc\nts ma9ta9$ = ! b5efit ( an eligible individual %all n exce$ #e1ejj4 7,b7 ,co/-(-liv+ adju/m5t 7i7 ,9 g5]al ,9 ! case ( any cal5d> ye> aft] #bjah1 ! #e1ejj am\nt "u subp>agraph 7,a7 %all be increas$ by an am\nt equal to-- 7,i7 su* doll> am\nt1 multipli$ by 7,,ii7 ! co/-(-liv+ adju/m5t det]m9$ "u section #a7;f77#c7 = ! cal5d> ye>1 det]m9$ by sub/itut+ cal5d> ye> #bjag = cal5d> ye> #aiib 9 subp>agraph 7,b7 !re(4 7ii7 ,r\nd+ rules ,if any am\nt aft] adju/m5t "u clause 7i7 is n a multiple ( #ejj1 su* am\nt %all be r\nd$ to ! next l[] multiple ( #ejj4 7#b7 ,di/ributions ,any di/ribution f a ,univ]sal ,sav+s ,acc\nt %all n be includible 9 gross income4 7e7 ,qualifi$ rollov] contribution ,= purposes ( ?is section1 ! t]m qualifi$ rollov] contribution means a contribution to a ,univ]sal ,sav+s ,acc\nt f ano!r su* acc\nt ( ! same b5efici>y1 b only if su* am\nt is contribut$ n lat] ?an ! #fj? day aft] ! di/ribution f su* o!r acc\nt4 7f7 ,treatm5t ( acc\nt ^u dea? ,^u dea? ( any individual = ^: b5efit a ,univ]sal ,sav+s ,acc\nt has be5 e/abli%$-- 7#a7 all am\nts 9 su* acc\nt %all be treat$ z di/ribut$ on ! date ( su* individual's dea?1 & 7#b7 su* acc\nt %all cease to be treat$ z a ,univ]sal ,sav+s ,acc\nt4 7g7 ,loss ( taxation exemption ( acc\nt :]e b5efici>y engages 9 prohibit$ transaction2 effect ( pl$g+ acc\nt z security ,rules simil> to ! rules ( p>agraphs 7#b7 & 7#d7 ( section #djh7;e7 %all apply to any ,univ]sal ,sav+s ,acc\nt4 7h7 ,limitation to "o acc\nt p] individual 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 no tru/ creat$ = ! b5efit ( an eligible individual %all be treat$ z a ,univ]sal ,sav+s ,acc\nt "u subsection 7b7 if su* eligible individual has 9 exi/5ce ano!r ,univ]sal ,sav+s ,acc\nt at ! "t su* tru/ 0 e/abli%$4 7#b7 ,exception ,"u regulations e/abli%$ by ! ,secret>y1 p>agraph 7#a7 %all n apply ) respect to any tru/ creat$ = ! purposes ( receiv+ a qualifi$ rollov] contribution consi/+ ( all am\nts 9 ! previ\sly e/abli%$ ,univ]sal ,sav+s ,acc\nt4 7i7 ,reports ,! tru/ee ( a ,univ]sal ,sav+s ,acc\nt %all make su* reports reg>d+ su* acc\nt to ! ,secret>y & to ! b5efici>y ( ! acc\nt ) respect to contributions1 di/ributions1 & su* o!r matt]s z ! ,secret>y may require4 ,! reports requir$ by ?is subsection %all be fil$ at su* "t & 9 su* mann] & furni%$ to su* individuals at su* "t & 9 su* mann] z may be requir$4 4 7b7 ,tax on excess contributions 7#a7 ,9 g5]al ,subsection 7a7 ( section #digc ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by /rik+ or at ! end ( p>agraph 7#e71 by ins]t+ or at ! end ( p>agraph 7#f71 & by ins]t+ aft] p>agraph 7#f7 ! foll[+ new p>agraph3 7#g7 a ,univ]sal ,sav+s ,acc\nt 7z def9$ 9 section #ecj;,a71 4 7#b7 ,excess contribution ,section #digc ( su* ,code is am5d$ by add+ at ! end ! foll[+ new subsection3 7i7 ,excess contributions to univ]sal sav+s acc\nts ,= purposes ( ?is section-- 7#a7 ,9 g5]al ,9 ! case ( ,univ]sal ,sav+s ,acc\nts 7)9 ! mean+ ( section #ecj;,a71 ! t]m excess contributions means ! sum (-- 7,a7 ! am\nt by :i* ! am\nt contribut$ = ! cal5d> ye> to su* acc\nts 7o!r ?an qualifi$ rollov] contributions 7z def9$ 9 section #ecj;,a7e777 exce$s ! contribution limit "u section #ecj;,a7d77#a7 = su* cal5d> ye>1 & 7,b7 ! am\nt det]m9$ "u ?is subsection = ! prec$+ cal5d> ye>1 r$uc$ by ! excess 7if any7 ( ! maximum am\nt all[able z a contribution "u section #ecj;,a7d77#a7 = ! cal5d> ye> ov] ! am\nt contribut$ to ! acc\nts = ! cal5d> ye>4 7#b7 ,special rule ,a contribution %all n be tak5 into acc\nt "u p>agraph 7#a7 if su* contribution 7toge!r ) ! am\nt ( net income attributable to su* contribution7 is return$ to ! b5efici>y be=e ,july #a ( ! ye> foll[+ ! ye> 9 :i* ! contribution is made4 4 7c7 ,failure ,to provide reports on univ]sal sav+s acc\nts ,p>agraph 7#b7 ( section #ffic7;a7 ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by /rik+ & at ! end ( subp>agraph 7,e71 by /rik+ ! p]iod at ! end ( subp>agraph 7,f7 & ins]t+ 1 &1 & by ins]t+ aft] subp>agraph 7,f7 ! foll[+ new subp>agraph3 7,g7 section #ecj;,a7i7 7relat+ to ,univ]sal ,sav+s ,acc\nts74 4 7d7 ,con=m+ am5dm5t ,! table ( p>ts = sub*apt] ,f ( *apt] #a ( ! ,int]nal ,rev5ue ,code ( #aihf is am5d$ by add+ at ! end ! foll[+ new item3 ,"p ,,ix4 ,univ]sal sav+s acc\nts 4 7e7 ,effective date ,! am5dm5ts made by ?is section %all apply to taxable ye>s beg9n+ aft] ,decemb] #ca1 #bjag4