,i  #aai? ,,congress  #a/ ,session  ,h4 
,r4 #cahf  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,may #e1 #bjbe,mrs4   
,h>%b>g] 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 ,act ( #bjbe4  #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 = ! exclusive b5efit (
 an individual & :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 7d7--
  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 7c77#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 ,!     
int]e/ ( an individual 9 ! balance ( 8  
acc\nt is non=feitable4  7#d7 ,! assets 
( ! tru/ %all n be comm+l$ ) o!r prop]ty
 except 9 a common tru/ fund or common  

inve/m5t fund4  7#e7 ,no "p ( ! tru/    
funds w be inve/$ 9 life insurance      
contracts4  7c7 ,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 7d77 = any cal5d> ye> to  
all ,univ]sal ,sav+s ,acc\nts ma9ta9$ = 
! b5efit ( an individual %all n exce$ ! 
sum (-- 7i7 #aj1jjj1 plus  7ii7 !       
product (-- 7,i7 #ejj1 &  7,,ii7 ! numb]
 ( cal5d> ye>s aft] #bjbd & be=e su*    
cal5d> ye>1 plus  7iii7 9 ! case ( any  
cal5d> ye> aft] #bjbe1 ! product (--    
7,i7 ! sum ( ! am\nt 9 clauses 7i7 &    
7ii7 = su* cal5d> ye>1 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> #bjbd = 
cal5d> ye> #bjaf 9 subp>agraph 7,a77ii7 
!re(4  ,if any increase "u clause 7iii7 
is n a multiple ( #ajj1 su* am\nt %all  
be r\nd$ to ! next l[] multiple ( #ajj4 
7,b7 ,limitation  7i7 ,9 g5]al ,! am\nt 

det]m9$ "u subp>agraph 7,a7 = any cal5d>
 ye> %all n exce$ #be1jjj4  7ii7        
,inflation adju/m5t ,9 ! case ( any     
cal5d> ye> aft] #bjbe1 ! #be1jjj am\nt  
"u clause 7i7 %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> #bjbd = cal5d> ye> #bjaf 9   
subp>agraph 7,a77ii7 !re(4  ,if any     
increase "u ?is clause is n a multiple (
 #ajj1 su* am\nt %all be r\nd$ to ! next
 l[] multiple ( #ajj4  7#b7             
,di/ributions  7,a7 ,9 g5]al ,except z  
provid$ 9 subp>agraph 7,b71 any         
di/ribution f a ,univ]sal ,sav+s ,acc\nt
 %all n be includible 9 gross income4   
7,b7 ,net income attributable to excess 
contributions ,any di/ribution ( net    
income describ$ 9 section #digc7;i77#b7 
%all be includible 9 ! gross income ( ! 
acc\nt hold] 9 ! taxable ye> 9 :i* !    
contribution to :i* su* net income      
relates 0 made4  7d7 ,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  7e7      
,treatm5t ( acc\nt ^u dea? ,^u dea? (   
any acc\nt hold] ( a ,univ]sal ,sav+s   
,acc\nt--  7#a7 ,sp\se ,9 ! case ( !    
acc\nt hold]'s surviv+ sp\se acquir+ su*
 acc\nt hold]'s int]e/ 9 su* acc\nt by  
reason ( ! dea? ( ! acc\nt hold]1 su*   
acc\nt %all be treat$ z if ! sp\se 7 !  
acc\nt hold]4  7#b7 ,o!r cases ,9 any   
o!r case--  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  7f7 ,cu/odial
 acc\nts ,= purposes ( ?is section1 a   
cu/odial acc\nt %all be treat$ z a tru/ 
"u ?is section if ! assets ( su* acc\nt 
are held by a bank 7z def9$ 9 section   
#djh7n77 or ano!r p]son :o demon/rates1 

to ! satisfaction ( ! ,secret>y1 t !    
mann] 9 :i* he w adm9i/] ! acc\nt w be  
consi/5t ) ! requirem5ts ( ?is section1 
& if ! cu/odial acc\nt w\ld1 except = ! 
fact t x is n a tru/1 con/itute a tru/  
:i* meets ! requirem5ts ( subsection    
7b74 ,= purposes ( ?is title1 9 ! case (
 a cu/odial acc\nt treat$ z a tru/ by   
reason ( ! prec$+ s5t5ce1 ! cu/odian (  
su* acc\nt %all be treat$ z ! tru/ee    
!re(4  7g7 ,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$4  4  7b7    
,tax on excess contributions  7#a7 ,9   
g5]al ,section #digc7;a7 is am5d$ 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,u71  4  
7#b7 ,excess contribution ,section #digc
 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,u71 ! t]m excess          
contributions means ! sum (-- 7,a7 !    
am\nt 7if any7 by :i* ! am\nt contribut$
 = ! taxable ye> to su* acc\nts 7o!r ?an
 qualifi$ rollov] contributions 7z def9$
 9 section #ecj,u7d777 exce$s !         
contribution limit "u section           
#ecj,u7c77#b7 = su* taxable ye>1 &  7,b7
 ! am\nt det]m9$ "u ?is subsection = !  
prec$+ taxable ye>1 r$uc$ by ! sum (--  
7i7 ! di/ributions out ( ! acc\nt = !   
taxable ye>1 &  7ii7 ! am\nt 7if any7 by
 :i* ! maximum am\nt all[able z a       
contribution "u section #ecj,u7c77#b7 = 
! taxable ye> exce$s ! am\nt contribut$ 
to ! acc\nts = ! taxable 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 di/ribut$ to ! acc\nt hold] on or   
be=e ! due date ( ! acc\nt hold]'s      
return ( tax = su* taxable ye>4  4  7c7 
,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 7if any7 by :i* ! am\nt contribut$
 = ! taxable ye> to su* acc\nts 7o!r ?an

 qualifi$ rollov] contributions 7z def9$
 9 section #ecj;,a7d777 exce$s !        
contribution limit "u section           
#ecj;,a7c77#a7 = su* taxable ye>1 &     
7,b7 ! am\nt det]m9$ "u ?is subsection =
 ! prec$+ taxable ye>1 r$uc$ by ! sum   
(-- 7i7 ! di/ributions out ( ! acc\nt = 
! taxable ye>1 &  7ii7 ! am\nt 7if any7 
by :i* ! maximum am\nt all[able z a     
contribution "u section #ecj;,a7c77#a7 =
 ! taxable ye> exce$s ! am\nt contribut$
 to ! acc\nts = ! taxable 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 di/ribut$ to ! acc\nt hold] on or   
be=e ! due date ( ! acc\nt hold]'s      
return ( tax = su* taxable ye>4  4  7d7 
,tax on prohibit$ transactions ,section 
#dige7;e77#a7 ( ! ,int]nal ,rev5ue ,code
 ( #aihf is am5d$ by /rik+ or at ! end (
 subp>agraph 7,f71 by /rik+ ! p]iod at !
 end ( subp>agraph 7,g7 & ins]t+ 1 or1 &
 by add+ at ! end ! foll[+ new          

subp>agraph3  7,h7 a ,univ]sal ,sav+s   
,acc\nt 7z def9$ 9 section #ecj;,a74  4 
7e7  ,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 add+ at ! end ! foll[+ 
new subp>agraph3  7,g7 section          
#ecj;,a7g7 7relat+ to ,univ]sal ,sav+s  
,acc\nts74  4  7f7 ,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  7g7 ,effective date ,!     
am5dm5ts made by ?is section %all apply 
to taxable ye>s beg9n+ aft] ,decemb]    
#ca1 #bjbd4