,i #aafth ,,congress #ast ,session ,h4 ,r4 #bbaj ,,in ,,the ,,house ,,of ,,representatives ,april #aj1 #bjai,mr4 ,larson of ,connecticut 7for himself1 ,mr4 ,marchant1 ,mr4 ,blumenauer1 ,mr4 ,danny ,k4 ,davis of ,illinois1 ,mr4 ,holding1 ,mr4 ,horsford1 ,mr4 ,kind1 ,mr4 ,la,hood1 ,mr4 ,pascrell1 ,mr4 ,suozzi1 and ,mrs4 ,walorski7 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 repeal certain provisions applicable to foreign investment in ,united ,states real property4 #a4 ,short title ,this ,act may be cited as the ,invest in ,america ,act4 #b4 ,repeal of amendments made by the ,foreign ,investment in ,real ,property ,tax ,act of #aihj 7,,firpta7 7a7 ,repeal of capital gains tax on disposition of investments in ,united ,states real property by foreign citizens 7#a7 ,in general ,subpart ,d of part ,,ii of subchapter ,n of chapter #a of the ,internal ,revenue ,code of #aihf is amended by striking section #hig4 7#b7 ,conforming amendments 7,a7 ,section #heb7;b77#c7 of such ,code is amended by striking subparagraph 7,e74 7,b7 ,section #heg7;b77#c7 of such ,code is amended by striking subparagraph 7,e7 and by redesignating subparagraph 7,f7 as subparagraph 7,e74 7,c7 ,section #hfa7;a77#e7 of such ,code is amended to read as follows3 7#e7 ,sale or exchange of real property ,gains1 profits1 and income from the sale or exchange of interests in real property 7as defined in section #hef7;c77#e77;,c71 except that such term shall include mineral1 oil1 and gas royalty interests7 located in the ,united ,states4 4 7,d7 ,section #hfb7;a7 of such ,code is amended by adding and at the end of paragraph 7#g71 by striking paragraph 7#h71 and by redesignating paragraph 7#i7 as paragraph 7#h74 7,e7 ,section #hfd7;c77#h7 of such ,code is amended by striking subparagraph 7,c7 and by redesignating subparagraphs 7,d7 and 7,e7 as subparagraphs 7,c7 and 7,d71 respectively4 7,f7 ,section #hga7;h77#d77;,c77v77,i7 of such ,code is amended by striking other than property described in section #hig7;c77#a7 or 7g74 7,g7 ,section #hga7k77#b7 of such ,code is amended by striking subparagraph 7,e74 7,h7 ,section #hga7n7 of such ,code is amended by striking paragraph 7#g74 7,i7 ,section #hhb7;a7 of such ,code is amended by striking paragraph 7#c74 7,j7 ,section #hhd7;d77#b7 of such ,code is amended by striking subparagraph 7,c7 and by redesignating subparagraphs 7,d7 and 7,e7 as subparagraphs 7,c7 and 7,d71 respectively4 7,k7 ,section #aabe of the ,foreign ,investment in ,real ,property ,tax ,act of #aihj is amended by striking subsections 7c7 and 7d74 7#c7 ,clerical amendment ,the table of sections for subpart ,d of part ,,ii of subchapter ,n of chapter #a of such ,code is amended by striking the item relating to section #hig4 7b7 ,repeal of withholding of tax on dispositions of united states real property interests 7#a7 ,in general ,subchapter ,a of chapter #c of such ,code is amended by striking section #adde4 7#b7 ,conforming amendments 7,a7 ,section #addf7;f77#b77;,a7 of such ,code is amended by striking is not a foreign person and inserting is a ,united ,states person4 7,b7 ,section #addf7;f77#b7 of such ,code is amended-- 7i7 by striking section #adde7;d7 in subparagraph 7,b77i7 and inserting subparagraph 7,c72 and 7ii7 by striking subparagraph 7,c7 and inserting the following new subparagraphs3 7,c7 ,notice of false affidavit2 foreign corporations ,if the transferor furnishes the transferee an affidavit described in subparagraph 7,a71 and 7i7 in the case of any transferor's agent-- 7,i7 such agent has actual knowledge that such affidavit is false1 or 7,,ii7 in the case of an affidavit described in subparagraph 7,a7 furnished by a corporation1 such corporation is a foreign corporation1 or 7ii7 in the case of any transferee's agent1 such agent has actual knowledge that such affidavit is false1 such agent shall so notify the transferee at such time and in such form and manner as the ,secretary may require by regulations4 7,d7 ,failure to furnish notice 7i7 ,in general ,if any transferor's agent or transferee's agent is required by subparagraph 7,c7 to furnish notice1 but fails to furnish such notice at such time or times and in such manner as may be required by regulations1 such agent shall have the same duty to deduct and withhold that the transferee would have had if such agent had complied with subparagraph 7,c74 7ii7 ,liability limited to amount of compensation ,an agent's liability under clause 7i7 shall be limited to the amount of compensation the agent derives from the transaction4 7,e7 ,transferor's agent ,for purposes of this paragraph1 the term transferor's agent means any person who represents the transferor-- 7i7 in any negotiation with the transferee or any transferee's agent related to the transaction1 or 7ii7 in settling the transaction4 7,f7 ,transferee's agent ,for purposes of this paragraph1 the term transferee's agent means any person who represents the transferee-- 7i7 in any negotiation with the transferor or the transferor's agent related to the transaction1 or 7ii7 in settling the transaction4 7,g7 ,settlement officer not treated as transferor's agent ,for purposes of this paragraph1 a person shall not be treated as a transferor's agent or transferee's agent with respect to any transaction merely because such person performs #a or more of the following acts3 7i7 ,the receipt and the disbursement of any portion of the consideration for the transaction4 7ii7 ,the recording of any document in connection with the transaction4 4 7,c7 ,section #addf7;f77#d7 of such ,code is amended-- 7i7 by inserting or if any transferor's agent or transferee's agent fails to withhold any amount required to be withheld under paragraph 7#b77;,d7 7determined without regard to clause 7ii7 thereof71 after withheld under paragraph 7#a711 and 7ii7 by striking the amount the transferee failed to withhold and inserting the amount the transferee1 transferor's agent1 or transferee's agent 7as the case may be7 so failed to withhold4 7,d7 ,section #addf7;f7 of such ,code is amended by striking paragraph 7#e7 and by redesignating paragraph 7#f7 as paragraph 7#e74 7#c7 ,clerical amendment ,the table of sections for subchapter ,a of chapter #c of such ,code is amended by striking the item relating to section #adde4 7c7 ,repeal of special reporting requirements with respect to united states real property interests 7#a7 ,in general ,subpart ,a of part ,,iii of subchapter ,a of chapter #fa of such ,code is amended by striking section #fjci;,c4 7#b7 ,conforming amendment ,section #ffeb of such ,code is amended by striking subsection 7f74 7#c7 ,clerical amendment ,the table of sections for subpart ,a of part ,,iii of subchapter ,a of chapter #fa of such ,code is amended by striking the item relating to section #fjci;,c4 7d7 ,effective date 7#a7 ,in general ,except as otherwise provided in this subsection1 the amendments made by this section shall apply to dispositions and distributions after the date of the enactment of this ,act4 7#b7 ,reporting requirements 7,a7 ,in general ,the amendments made by subsection 7c7 shall apply to calendar years beginning after the date of the enactment of this ,act4 7,b7 ,transition rule ,in the case of the calendar year which includes the date of the enactment of this ,act1 section #fjci;,c of the ,internal ,revenue ,code of #aihf shall be applied by only taking into account interests held during the portion of such calendar year which precedes the date of the enactment of this ,act4