,i  #aah? ,,congress  #a/ ,session  ,h4 
,r4 #bgjg  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,april #ai1 #bjbc,mr4 
,c>t] ( ,georgia 7= himself1 ,mr4 ,soto1
 ,mrs4 ,mill] ( ,we/ ,virg9ia1 ,mr4     
,c>twright1 ,mr4 ,hudson1 ,mr4          
,bilirakis1 ,mr4 ,griffi?1 ,mr4         
,bald]son1 ,mr4 ,van ,drew1 ,mr4        
,craw=d1 ,mrs4 ,h>%b>g]1 & ,mr4         
,langwor?y7 introduc$ ! foll[+ bill2 :i*
 0 ref]r$ to ! ,committee on ,ways &    
,means  ,a ,,bill  ,to mitigate drug    
%ortages & provide inc5tives = ma9ta9+1 
exp&+1 & relocat+ ! manufactur+ ( active
 ph>maceutical +r$i5ts1 excipi5ts1      
m$ical diagno/ic devices1               
ph>maceuticals1 & p]sonal protective    
equipm5t 9 ! ,unit$ ,/ates1 & = o!r     
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,manufactur+ ,,api1 ,drugs1
 & ,excipi5ts 9 ,am]ica ,act or ! ,,made
 9 ,am]ica ,act4  #b4 ,cr$it =          
ph>maceutical & m$ical device production
 activities 9 di/ress$ zones  7a7 ,9    
g5]al ,subp>t ,d ( "p ,,iv ( sub*apt] ,a

 ( *apt] #a ( ! ,int]nal ,rev5ue ,code (
 #aihf is am5d$ by add+ at ! end !      
foll[+ new section3  #de;,,bb4 ,di/ress$
 zone ph>maceutical & m$ical device     
production cr$it  7a7 ,9 g5]al ,=       
purposes ( section #ch1 ! di/ress$ zone 
ph>maceutical & m$ical device production
 cr$it = ! taxable ye> %all be an am\nt 
equal to ! applicable p]c5tage ( !      
qualifi$ production activity exp5ditures
 ( ! taxpay] = ! taxable ye>4  7b7      
,applicable p]c5tage ,= purposes ( ?is  
section-- 7#a7 ,9 g5]al ,except z       
provid$ 9 p>agraph 7#b71 ! t]m          
applicable p]c5tage means #be p]c5t4    
7#b7 ,increas$ am\nt :]e employees      
reside 9 di/ress$ zone ,9 ! case ( any  
qualifi$ ph>maceutical or m$ical device 
production bus9ess a sub/antial portion 
( ! employees ( :i* reside 9 a di/ress$ 
zone1 ! applicable p]c5tage %all be #cj 
p]c5t4  7c7 ,qualifi$ production        
activity exp5ditures ,= purposes ( ?is  
section-- 7#a7 ,9 g5]al ,! t]m qualifi$ 
production activity exp5ditures means-- 

7,a7 wages paid or incurr$ to an        
employee ( ! taxpay] = s]vices p]=m$ by 
su* employee 9 ! conduct ( a qualifi$   
ph>maceutical or diagno/ic m$ical device
 production bus9ess 9 a di/ress$ zone 7b
 only if ! employee's pr9cipal place (  
employm5t is 9 a di/ress$ zone71 &  7,b7
 qualifi$ ph>maceutical or m$ical device
 production exp5ditures4  7#b7 ,qualifi$
 ph>maceutical or m$ical device         
production bus9ess  7,a7 ,9 g5]al ,! t]m
 qualifi$ ph>maceutical or m$ical device
 production bus9ess means ! trade or    
bus9ess ( produc+ qualifi$              
ph>maceuticals 9 comm]cial quantities4  
7,b7 ,qualifi$ ph>maceuticals  7i7 ,9   
g5]al ,! t]m qualifi$ ph>maceuticals    
means ph>maceuticals1 active            
ph>maceutical +r$i5ts1 excipi5ts1 m$ical
 diagno/ic devices1 or p]sonal          
protective equipm5t4  7ii7              
,ph>maceutical ,! t]m ph>maceuticals--  
7,i7 means any drug 7z def9$ 9 section  
#bja ( ! ,f$]al ,food1 ,drug1 &         
,cosmetic ,act71 &  7,,ii7 includes a   

biological product 7z def9$ 9 section   
#cea ( ! ,public ,heal? ,s]vice ,act74  
7iii7 ,active ph>maceutical +r$i5t ,!   
t]m active ph>maceutical +r$i5ts has !  
mean+ giv5 to su* t]m 9 section #bjg4a (
 title #ba1 ,code ( ,f$]al ,regulations 
7or any successor regulations74  7iv7   
,excipi5t ,! t]m excipi5t-- 7,i7 means  
any inactive +r$i5t t is int5tionally   
add$ to a ph>maceutical t is n int5d$ to
 ex]t !rapeutic effects at ! int5d$     
dosage1 o!r ?an by act+ to improve      
product deliv]y1 &  7,,ii7 includes any 
su* fill]1 ext5d]s1 dilu5t1 wett+ ag5t1 
solv5t1 emulsifi]1 pres]vative1 flavor1 
absorption enhanc]1 su/a9$ release      
matrix1 & color+ ag5t4  7v7 ,m$ical     
diagno/ic device ,! t]m m$ical diagno/ic
 device means any device 7z def9$ 9     
section #bja7;h7 ( ! ,f$]al ,food1      
,drug1 & ,cosmetic ,act7 int5d$ = use 9 
! diagnosis ( disease or o!r conditions4
  7vi7 ,p]sonal protective equipm5t ,!  
t]m p]sonal protective equipm5t means-- 
7,i7 any device 7z def9$ 9 section      

#bja7;h7 ( ! ,f$]al ,food1 ,drug1 &     
,cosmetic ,act7 t is a face mask1 filt]+
 facepiece respirator1 face %ield1      
surgical mask1 g[n1 o!r app>el1 or glove
 t is int5d$ = a m$ical purpose1 &      
7,,ii7 any p>ticulate filt]+ air purify+
 respiratory protective device t is     
approv$ by ! ,national ,in/itute =      
,occupational ,safety & ,heal? "u "p #hd
 ( title #db1 ,code ( ,f$]al            
,regulations 7or successor regulations74
  7#c7 ,c]ta9 heal? plan exp5ses treat$ 
z wages  7,a7 ,9 g5]al ,! t]m wages %all
 include s mu* ( ! eligible employ]'s   
qualifi$ heal? plan exp5ses z are       
prop]ly allocable to su* wages4  7,b7   
,qualifi$ heal? plan exp5ses ,= purposes
 ( ?is p>agraph1 ! t]m qualifi$ heal?   
plan exp5ses means am\nts paid or       
incurr$ by ! eligible employ] to provide
 & ma9ta9 a gr\p heal? plan 7z def9$ 9  
section #ejjj7;b77#a771 b only to !     
ext5t t su* am\nts are exclud$ f ! gross
 income ( employees by reason ( section 
#ajf7;a7 ( su* ,code4  7,c7 ,allocation 

rules ,= purposes ( ?is p>agraph1       
qualifi$ heal? plan exp5ses %all be     
allocat$ to qualifi$ wages 9 su* mann] z
 ! ,secret>y may prescribe4 ,except z   
o!rwise provid$ by ! ,secret>y1 su*     
allocation %all be treat$ z prop]ly made
 if made on ! basis ( be+ pro rata among
 employees & pro rata on ! basis (      
p]iods ( cov]age 7relative to ! p]iods  
to :i* su* wages relate74  7#d7         
,qualifi$ ph>maceutical or m$ical device
 production exp5ditures  7,a7 ,def9ition
 ,! t]m qualifi$ ph>maceutical or m$ical
 device production exp5ditures means    
am\nts paid or incurr$ 7:e!r or n       
*>geable to capital acc\nt7 = qualifi$  
prop]ty us$ 9 ! conduct ( a qualifi$    
ph>maceutical or m$ical device          
production bus9ess 9 a di/ress$ zone 7b 
only if ! prim>y use ( su* prop]ty is 9 
a di/ress$ zone74  7,b7 ,qualifi$       
prop]ty  7i7 ,9 g5]al ,! t]m qualifi$   
prop]ty means any tangible p]sonal      
prop]ty 7o!r ?an a build+ or its        
/ructural compon5ts7 us$ 9 ! conduct ( a

 qualifi$ ph>maceutical or m$ical device
 production bus9ess 9 a di/ress$ zone 7b
 only if ! prim>y use ( su* prop]ty is 9
 a di/ress$ zone74  7ii7 ,exception ,su*
 t]m %all n include any prop]ty describ$
 9 section #ej7;b7 7det]m9$ z if !      
,unit$ ,/ates includ$ ,pu]to ,rico74    
7d7 ,di/ress$ zone ,= purposes ( ?is    
section1 ! t]m di/ress$ zone means a    
population c5sus tract :i*-- 7#a7 has   
be5 designat$ z a qualifi$ opportunity  
zone "u section #adjj,z-#a1 &  7#b7 has 
a pov]ty rate 9 excess ( #cj p]c5t = !  
cal5d> ye> prior to ! cal5d> ye> t      
includes ! date ( enactm5t ( ?is        
section4  7e7 ,special rules  7#a7      
,application to ,unit$ ,/ates %>ehold]s 
( controll$ =eign corporations  7,a7 ,9 
g5]al ,9 ! case ( a dome/ic corporation 
t is a ,unit$ ,/ates %>ehold] ( a       
qualifi$ controll$ =eign corporation1 ! 
cr$it "u subsection 7a7 7det]m9$ )\t    
reg>d to ?is p>agraph7 %all be increas$ 
by an am\nt equal to #cj p]c5t ( !      
corporation's pro rata %>e 7det]m9$ "u  

rules simil> to ! rules ( section       
#iea7;a77#b77 ( qualifi$ production     
activity exp5ditures ( su* controll$    
=eign corporation = ! taxable ye> ( !   
qualifi$ controll$ =eign corporation    
end+ ) or )9 ! taxable ye> ( ! dome/ic  
corporation4  7,b7 ,qualifi$ corporation
 ,= purposes ( subp>agraph 7,a71 ! t]m  
qualifi$ controll$ =eign corporation    
means1 = any taxable ye>1 a controll$   
=eign corporation :i* does n h gross    
income t is effectively connect$ ) !    
conduct ( a trade or bus9ess )9 ! ,unit$
 ,/ates = su* taxable ye>4  7#b7        
,r$uction 9 basis ,if a cr$it is det]m9$
 "u ?is section ) respect to any prop]ty
 by reason ( any qualifi$ production    
activity exp5ditures describ$ 9         
subsection 7b77#a77;,b71 ! basis ( su*  
prop]ty %all be r$uc$ by ! am\nt ( !    
cr$it s det]m9$4  7#c7 ,coord9ation )   
o!r cr$its ,any qualifi$ production     
activity exp5ditures tak5 into acc\nt 9 
det]m9+ ! am\nt ( ! cr$it "u subsection 
7a7 %all n be tak5 into acc\nt 9 det]m9+

 a cr$it "u any o!r provision ( ?is     
*apt]4  7f7 ,recapture  7#a7 ,9 g5]al   
,if1 dur+ any taxable ye>1 prop]ty tak5 
into acc\nt "u subsection 7c77#a77;,b7  
is dispos$ (1 or o!rwise ceases to be   
us$ by ! taxpay] 9 ! active trade or    
bus9ess ( produc+ qualifi$              
ph>maceuticals 9 comm]cial quantities1  
be=e ! close ( ! recapture p]iod1 !n !  
tax "u ?is *apt] = su* taxable ye> %all 
be increas$ by ! recapture p]c5tage ( ! 
aggregate decrease 9 ! cr$its all[$ "u  
section #ch = all prior taxable ye>s :i*
 w\ld h result$ solely f r$uc+ to z]o   
any cr$it det]m9$ "u ?is section )      
respect to su* prop]ty4  7#b7 ,recapture
 p]c5tage ,= purposes ( subp>agraph     
7,a71 ! recapture p]c5tage %all be      
det]m9$ 9 ! same mann] z "u section     
#ej7;a77#a77;,b74  7#c7 ,application to 
,unit$ ,/ates %>ehold]s ,9 ! case ( any 
taxpay] to :om a cr$it is all[$ by      
reason ( subsection 7e77#a71 p>agraph   
7#a7 %all be appli$ by sub/itut+ !      
controll$ =eign corporation ) respect to

 :i* ! taxpay] is a ,unit$ ,/ates       
%>ehold] = ! taxpay]4  7#d7 ,application
 ( o!r rules ,= purposes ( ?is p>agraph1
 rules simil> to ! rules ( p>agraphs    
7#c71 7#d71 & 7#e7 7o!r ?an subp>agraph 
7,a7 !re(7 ( section #ej7;a77#a7 %all   
apply4  4  7b7 ,cr$it all[$ aga9/       
alt]native m9imum tax ,section          
#ch7;c77#d77;,b7 ( su* ,code is am5d$ by
 r$esignat+ clauses 7x71 7xi71 & 7xii7 z
 clauses 7xi71 7xii71 & 7xiii71         
respectively1 & by ins]t+ aft] clause   
7ix7 ! foll[+ new clause3  7x7 ! cr$it  
det]m9$ "u section #de;,,bb1  4  7c7    
,cr$it all[$ aga9/ base erosion         
anti-,abuse tax ,section                
#ei;,a7b77#a77;,b77ii7 ( su* ,code is   
am5d$ by /rik+ plus at ! end ( subclause
 7,i71 by r$esignat+ subclause 7,,ii7 z 
subclause 7,,iii71 & by ins]t+ aft]     
subclause 7,i7 7z s am5d$7 ! foll[+ new 
subclause3  7,,ii7 ! cr$it all[$ "u     
section #ch = ! taxable ye> :i* is      
prop]ly allocable to ! di/ress$ zone    
ph>maceutical & m$ical device production

 cr$it det]m9$ "u section #de;,,bb7a71  
plus  4  7d7 ,d5ial ( d$uction ,section 
#bhj;,c ( su* ,code is am5d$ by add+ at 
! end ! foll[+ new subsection3  7i7     
,di/ress$ zone ph>maceutical & m$ical   
device production cr$it ,no d$uction    
%all be all[$ = t portion ( ! qualifi$  
production activity exp5ditures 7z def9$
 9 section #de;,,bb7b77 o!rwise all[able
 z a d$uction = ! taxable ye> :i* is    
equal to ! am\nt ( ! di/ress$ zone      
ph>maceutical & m$ical device production
 cr$it det]m9$ = su* taxable ye> "u     
section #de;,,bb7a74  4  7e7 ,"p ( g5]al
 bus9ess cr$it ,section #ch7;b7 ( su*   
,code is am5d$ by /rik+ plus at ! end ( 
p>agraph 7#dj71 by /rik+ ! p]iod at !   
end ( p>agraph 7#da7 & ins]t+ 1 plus1 & 
by add+ at ! end ! foll[+ new p>agraph3 
7#db7 ! di/ress$ zone ph>maceutical &   
m$ical device production cr$it det]m9$  
"u section #de;,,bb7a74  4  7f7 ,cl]ical
 am5dm5t ,! table ( sections = subp>t ,d
 ( "p ,,iv ( sub*apt] ,a ( *apt] #a is  
am5d$ by add+ at ! end ! foll[+ new     

item3  ,sec4 #de;,,bb4 ,di/ress$ zone   
ph>maceutical & m$ical device production
 cr$it4  4  7g7 ,effective date ,!      
am5dm5ts made by ?is section %all apply 
to am\nts paid or incurr$ aft] ! date ( 
! enactm5t ( ?is ,act4