,i  #aai? ,,congress  #b;d ,session  ,h4
 ,r4 #ajidd  ,,9 ,,! ,,h\se ,,(         
,,repres5tatives  ,octob] #bi1 #bjbf,mr4
 ,/eube 7= himself1 ,mr4 ,panetta1 &    
,mr4 ,c>ey7 introduc$ ! foll[+ bill2 :i*
 0 ref]r$ to ! ,committee on ,ways &    
,means  ,a ,,bill  ,to am5d ! ,int]nal  
,rev5ue ,code ( #aihf to exclude f gross
 income c]ta9 retirem5t plan            
di/ributions us$ = a d[n paym5t or clos+
 co/s = a pr9cipal resid5ce1 & = o!r    
purposes4  #a4 ,%ort title  ,?is ,act   
may be cit$ z ! ,home[n]%ip ,opportunity
 ,act4  #b4 ,exclusion f gross income ( 
retirem5t plan di/ributions us$ = a d[n 
paym5t or clos+ co/s = a pr9cipal       
resid5ce  7a7 ,9 g5]al  7#a7 ,def9$     
contribution plans ,section #djb ( !    
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new           
subsection3  7m7 ,di/ributions = a d[n  
paym5t or clos+ co/s = a pr9cipal       
resid5ce  7#a7 ,9 g5]al ,! gross income 
( an employee = any taxable ye> %all n  
include any di/ribution f a def9$       

contribution plan 7z def9$ 9 section    
#dad7;i77 ( su* employee to ! ext5t t   
su* di/ribution is us$ = a d[n paym5t or
 clos+ co/s associat$ ) acquir+ a       
pr9cipal resid5ce 7)9 ! mean+ ( section 
#aba7 ( ! employee4  7#b7 ,limitation ,!
 aggregate am\nt ( di/ributions receiv$ 
by an individual to :i* p>agraph 7#a7   
applies = any taxable ye> %all n exce$  
an am\nt equal to ! excess 7if any7 (-- 
7,a7 ! great] (--  7i7 #dj1jjj1 or  7ii7
 an am\nt equal to #dj p]c5t ( !        
employee's ve/$ acc\nt balance 9 ! plan 
z ( ! date ( di/ribution1 ov]  7,b7 !   
sum (-- 7i7 ! aggregate am\nt (         
di/ributions receiv$ by su* individual  
to :i* p>agraph 7#a7 appli$ = all prior 
taxable ye>s1 plus  7ii7 ! aggregate    
am\nt ( di/ributions receiv$ by su*     
individual to :i* section #djc7;d77#a7  
or #deg7;e77#ai77;,a7 apply = ! taxable 
ye>1 plus any su* am\nts = all prior    
taxable ye>s4  7#c7 ,am\nt di/ribut$ may
 be repaid  7,a7 ,9 g5]al ,any          
individual :o receives a di/ribution to 

:i* p>agraph 7#a7 applies may1 at any "t
 dur+ ! #c-ye> p]iod beg9n+ on ! day    
aft] ! date on :i* su* di/ribution 0    
receiv$1 make "o or m contributions 9 an
 aggregate am\nt n to exce$ ! am\nt (   
su* di/ribution to an applicable        
eligible retirem5t plan ( :i* su*       
individual is a b5efici>y & to :i* a    
rollov] contribution ( su* di/ribution  
c\ld be made "u section #djb7;c71       
#djc7;a77#d71 #djc7;b77#h71             
#djh7;d77#c71 or #deg7;e77#af71 z ! case
 may be1 except t su* a contribution may
 only be made to an individual retirem5t
 plan if ! individual has sep>at$ f     
employm5t ) ! employ] ma9ta9+ ! plan f  
:i* ! di/ribution 0 made4  7,b7         
,limitation on contributions to         
applicable eligible retirem5t plans o!r 
?an ,i,r,as ,! aggregate am\nt (        
contributions made by an individual "u  
subp>agraph 7,a7 to any applicable      
eligible retirem5t plan :i* is n an     
individual retirem5t plan %all n exce$ !
 aggregate am\nt ( di/ributions :i* are 

made f su* plan to su* individual to :i*
 p>agraph 7#a7 appli$4 ,subp>agraph 7,a7
 %all n apply to contributions to any   
applicable eligible retirem5t plan :i*  
is n an individual retirem5t plan unless
 ! individual is eligible to make       
contributions 7o!r ?an ^? describ$ 9    
subp>agraph 7,a77 to su* applicable     
eligible retirem5t plan4  7,c7 ,treatm5t
 ( repaym5ts ( di/ributions f applicable
 eligible retirem5t plans o!r ?an       
,i,r,as ,if a contribution is made "u   
subp>agraph 7,a7 ) respect to a         
di/ribution f an applicable eligible    
retirem5t plan o!r ?an an individual    
retirem5t plan1 !n ! taxpay] %all1 to ! 
ext5t ( ! am\nt ( ! contribution1 be    
treat$ z hav+ receiv$ su* di/ribution 9 
an eligible rollov] di/ribution 7z def9$
 9 section #djb7;c77#d77 & z hav+       
transf]r$ ! am\nt to ! applicable       
eligible retirem5t plan 9 a direct      
tru/ee to tru/ee transf] )9 #fj days ( !
 di/ribution4  7,d7 ,applicable eligible
 retirem5t plan ,! t]m applicable       

eligible retirem5t plan means an        
eligible retirem5t plan 7z def9$ 9      
subsection 7c77#h77;,b77 o!r ?an a def9$
 b5efit plan4  7#d7 ,application (      
section #gb ,rules simil> to ! rules (  
section #djh7;d77#aj77;,c7 %all apply = 
purposes ( ?is subsection1 by tak+ into 
acc\nt all am\nts 9 ! def9$ contribution
 plan to :i* ! employee has a           
non=feitable "r 9 lieu ( all am\nts 9   
all individual retirem5t plans ( !      
individual4  7#e7 ,di/ributions treat$ z
 meet+ plan di/ribution requirem5ts ,=  
purposes ( ?is title-- 7,a7 a           
di/ribution to :i* p>agraph 7#a7 applies
 %all be treat$ z meet+ ! requirem5ts ( 
sections #dja7k77#b77;,b77i71           
#djc7;b77#g77;,a77i71 #djc7;b77#aa71 &  
#deg7;d77#a77;,a71 &  7,b7 9 ! case ( a 
money pur*ase p5sion plan1 a :i* is an  
9-s]vice )drawal %all be treat$ z meet+ 
! requirem5ts ( section #dja7;a7        
applicable to di/ributions4  7#f7       
,t]m9ation ,?is subsection %all n apply 
to any di/ributions 9 taxable ye>s      

beg9n+ aft] ,decemb] #ca1 #bjce4  4     
7#b7 ,c]ta9 annuity plans ,section #djc 
( su* ,code is am5d$ by add+ at ! end ! 
foll[+ new subsection3  7d7             
,di/ributions = a d[n paym5t or clos+   
co/s = a pr9cipal resid5ce  7#a7 ,9     
g5]al ,rules simil> to ! rules ( section
 #djb7m7 %all apply to di/ributions "u  
an annuity contract subject to          
subsection 7a7 or "u an annuity contract
 describ$ 9 subsection 7b74  7#b7       
,limitation ,! aggregate am\nt (        
di/ributions receiv$ by an individual to
 :i* p>agraph 7#a7 applies = any taxable
 ye> %all n exce$ an am\nt equal to !   
excess 7if any7 (-- 7,a7 ! great] (--   
7i7 #dj1jjj1 ov]  7ii7 an am\nt equal to
 #dj p]c5t ( ! employee's ve/$ acc\nt   
balance 9 ! contract z ( ! date (       
di/ribution1 ov]  7,b7 ! sum (-- 7i7 !  
aggregate am\nt ( di/ributions receiv$  
by su* individual to :i* p>agraph 7#a7  
appli$ = all prior taxable ye>s1 plus   
7ii7 ! aggregate am\nt ( di/ributions   
receiv$ by su* individual to :i* section

 #djb7m77#a7 or #deg7;e77#ai77;,a7 apply
 = ! taxable ye>1 plus any su* am\nts = 
all prior taxable ye>s4  7#c7 ,t]m9ation
 ,?is subsection %all n apply to any    
di/ributions 9 taxable ye>s beg9n+ aft] 
,decemb] #ca1 #bjce4  4  7#c7 #deg7;b7  
plans ,section #deg7;e7 ( su* ,code is  
am5d$ by add+ at ! end ! foll[+ new     
p>agraph3  7#ai7 ,di/ributions = a d[n  
paym5t or clos+ co/s = a pr9cipal       
resid5ce  7,a7 ,9 g5]al ,rules simil> to
 ! rules ( section #djb7m7 %all apply to
 di/ributions "u an eligible def]r$     
comp5sation plan e/abli%$ & ma9ta9$ by  
an employ] describ$ 9 p>agraph          
7#a77;,a74  7,b7 ,limitation ,!         
aggregate am\nt ( di/ributions receiv$  
by an individual to :i* subp>agraph 7,a7
 applies = any taxable ye> %all n exce$ 
an am\nt equal to ! excess 7if any7 (-- 
7i7 ! great] ( #dj1jjj or an am\nt equal
 to #dj p]c5t ( ! employee's ve/$ acc\nt
 balance 9 ! plan z ( ! date (          
di/ribution1 ov]  7ii7 ! sum (-- 7,i7 ! 
aggregate am\nt ( di/ributions receiv$  

by su* individual to :i* subp>agraph    
7,a7 appli$ = all prior taxable ye>s1   
plus  7,,ii7 ! aggregate am\nt (        
di/ributions receiv$ by su* individual  
to :i* section #djb7m77#a7 or           
#djc7;d77#a7 apply = ! taxable ye>1 plus
 any su* am\nts = all prior taxable     
ye>s4  7,c7 ,t]m9ation ,?is p>agraph    
%all n apply to any di/ributions 9      
taxable ye>s beg9n+ aft] ,decemb] #ca1  
#bjce4  4  7b7 ,effective date ,!       
am5dm5ts made by ?is section %all apply 
to di/ributions made 9 taxable ye>s     
beg9n+ aft] ,decemb] #ca1 #bjbe4