,i  #aag? ,,congress  #a/ ,session  ,h4 
,r4 #dcfg  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,july #f1 #bjba,mr4   
,mfume 7= himself1 ,mr4 ,cleav]1 ,mr4   
,evans1 ,mr4 ,?ompson ( ,mississippi1   
,mr4 ,danny ,k4 ,davis ( ,ill9ois1 &    
,mr4 ,clyburn7 introduc$ ! foll[+ bill2 
:i* 0 ref]r$ to ! ,committee on ,ways & 
,means  ,a ,,bill  ,to am5d ! ,int]nal  
,rev5ue ,code ( #aihf to provide a      
p>tial exclusion f ga9 = int]e/s 9 a    
socially disadvantag$ bus9ess1 & = o!r  
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,bett] ,opportunity &      
,outcomes = ,socially ,disadvantag$     
,tal5t ,act ( #bjba or ! ,,boo/ ,act (  
#bjba4  #b4 ,p>tial exclusion f ga9 =   
int]e/s 9 socially disadvantag$         
bus9esses  7a7 ,9 g5]al ,section #abja (
 ! ,int]nal ,rev5ue ,code ( #aihf is    
am5d$ to read z foll[s3  #abja ,p>tial  
exclusion f ga9 = int]e/s 9 socially    
disadvantag$ bus9esses  7a7 ,exclusion  
,gross income %all n include #ej p]c5t (
 any ga9 f ! sale or ex*ange ( a c]tifi$

 equity int]e/ held = m ?an #c ye>s if !
 taxpay] affirms t dur+ ! t]m ( su*     
inve/m5t-- 7#a7 9 ! case ( a            
corporation1 n less #cca_/c p]c5t ( !   
total comb9$ vot+ p[] ( all classes (   
/ock or n less ?an #cca_/c p]c5t ( !    
total value ( %>es ( all classes ( /ock 
7 own$1 directly or ?r\gh ! application 
( section #cah1 by "o or m socially     
disadvantag$ individuals :o 7 citiz5s ( 
! ,unit$ ,/ates1 or  7#b7 9 ! case ( a  
p>tn]%ip1 at lea/ #cca_/c p]c5t ( !     
capital int]e/ or pr(it int]e/s 9 su*   
p>tn]%ip 7 own$1 directly or ?r\gh !    
application ( section #cah1 by "o or m  
socially disadvantag$ individuals :o are
 citiz5s ( ! ,unit$ ,/ates4  7b7        
,application  7#a7 ,9 g5]al ,a socially 
disadvantag$ bus9ess may submit a jo9t  
application ) an inve/or = an equity    
int]e/ 9 su* bus9ess held by su* inve/or
 to be c]tifi$ z a c]tifi$ equity int]e/
 9 su* mann] z ! ,secret>y det]m9es     
appropriate4  7#b7 ,c]tification ,!     
,secret>y %all review applications      

receiv$ "u p>agraph 7#a7 9 ! ord] 9 :i* 
su* applications are receiv$ & make a   
det]m9ation reg>d+ c]tification )       
respect to an application n lat] ?an #de
 days aft] ! date ( receipt ( su*       
application4  7c7 ,notification (       
issuance ( c]tifi$ equity int]e/ ,n lat]
 ?an #cj days aft] issu+ a c]tifi$      
equity int]e/1 ! issu] %all notify !    
,secret>y ( su* issuance4  7d7 ,limit on
 c]tifi$ equity int]e/s issu$ ,!        
,secret>y may n1 9 aggregate1 c]tify m  
?an #cj1jjj1jjj1jjj 9 total equity      
int]e/s "u subsection 7b77#b74  7e7     
,regulations ,! ,secret>y %all issue su*
 regulations or o!r guidance z may be   
necess>y or appropriate to c>ry out !   
purposes ( ?is section4  7f7 ,def9itions
  7#a7 ,c]tifi$ equity int]e/ ,! t]m    
c]tifi$ equity int]e/ means an equity   
int]e/ c]tifi$ "u subsection 7b77#b7 :i*
 is orig9ally issu$-- 7,a7 aft] ! date (
 enactm5t ( ! ,bett] ,opportunity &     
,outcomes = ,socially ,disadvantag$     
,tal5t ,act ( #bjba1  7,b7 n lat] ?an   

#fj days aft] ! issuance ( a            
c]tification "u subsection 7b77#b71     
except t 9 no case may any p]iod 9 :i* !
 issuance ( su* equity int]e/ is review$
 = purposes ( regulatory approval be us$
 to calculate su* #fj-;day p]iod1 &     
7,c7 to ! taxpay]-- 7i7 9 ex*ange =     
money or o!r prop]ty1 or  7ii7 z        
comp5sation = s]vices provid$ to su*    
socially disadvantag$ bus9ess 7o!r ?an  
s]vice p]=m$ z an und]writ] ( su*       
int]e/74  7#b7 ,socially disadvantag$   
bus9ess ,! t]m socially disadvantag$    
bus9ess means a dome/ic corporation or  
p>tn]%ip t meets ! foll[+ requirem5ts3  
7,a7 ,9 ! case ( a corporation1 n less  
#cca_/c p]c5t ( ! total comb9$ vot+ p[] 
( all classes ( /ock or n less ?an      
#cca_/c p]c5t ( ! total value ( %>es (  
all classes ( /ock are own$1 directly or
 ?r\gh ! application ( section #cah1 by 
"o or m socially disadvantag$           
individuals :o are citiz5s ( ! ,unit$   
,/ates4  7,b7 ,9 ! case ( a p>tn]%ip1 at
 lea/ #cca_/c p]c5t ( ! capital int]e/  

or pr(it int]e/s 9 su* p>tn]%ip are     
own$1 directly or ?r\gh ! application ( 
section #cah1 by "o or m socially       
disadvantag$ individuals :o are citiz5s 
( ! ,unit$ ,/ates4  7,c7 ,n less ?an #hj
 p]c5t by value ( ! assets ( su* bus9ess
 are us$ by su* bus9ess to conduct a    
trade or bus9ess4  7#c7 ,socially       
disadvantag$ individual  7,a7 ,9 g5]al  
,! t]m socially disadvantag$ individual 
has ! mean+ giv5 su* t]m 9 section      
#abd4ajc ( title #ac1 ,code ( ,f$]al    
,regulations1 z 9 effect on ! date ( !  
enactm5t ( ?is section4  7,b7           
,prohibition ,! ,secret>y may n implem5t
 a re/riction on ! p]sonal weal?1       
income1 or total assets ( an individual 
= purposes ( det]m9+ :e!r su* individual
 is a socially disadvantag$ individual =
 ! purposes ( ?is section4  4  7b7      
,implem5t+ regulations ,! ,secret>y ( ! 
,treasury %all1 n lat] ?an #fj days aft]
 ! date ( ! enactm5t ( ?is section1     
issue regulations implem5t+ ! am5dm5ts  
made by ?is ,act4  7c7 ,con=m+ am5dm5t  

,! item relat+ to section #abja 9 !     
table ( sections = "p ,i ( sub*apt] ,p (
 *apt] #a ( subtitle ,a ( su* ,code is  
am5d$ to read z foll[s3  #abja4 ,p>tial 
exclusion f ga9 = int]e/s 9 socially    
disadvantag$ bus9esses4  4  7d7         
,effective date ,! am5dm5ts made by ?is 
section %all apply to sales on & aft] ! 
date ( ! enactm5t ( ?is section1 9      
taxable ye>s end+ on & aft] su* date4