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Code · BILL · 113th Congress · H.R. 1 (Introduced in House) — To amend the Internal Revenue Code of 1986 to provide for comprehensive tax reform. · Sec. 3507

Sec. 3507. Repeal of special rule for distributions to shareholders from pre-1984 policyholders surplus account

171 words·~1 min read·/bill/113/hr/1/ih/section-3507

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Subpart D of part I of subchapter L is amended by striking section 815 (and by striking the item relating to such section in the table of sections for such subpart). Section 801 is amended by striking subsection (c). The amendments made by this section shall apply to taxable years beginning after December 31, 2014. In the case of any stock life insurance company which has a balance (determined as of the close of such company’s last taxable year beginning before January 1, 2015) in an existing policyholders surplus account (as defined in section 815 of the Internal Revenue Code of 1986, as in effect before its repeal), the tax imposed by section 801 of such Code for the first 8 taxable years beginning after December 31, 2014, shall be the amount which would be imposed by such section for such year on the sum of— life insurance company taxable income for such year (within the meaning of such section 801 but not less than zero), plus 1/8 of such balance.
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