To amend the Internal Revenue Code of 1986 to allow certain coins to be acquired by individual retirement accounts and other individually directed pension plan accounts, and for other purposes.

April 11, 2003

Mr. VITTER (for himself, Mr. CRANE, and Mr. MCCRERY) introduced the following bill; which was referred to the Committee on Ways and Means

To amend the Internal Revenue Code of 1986 to allow certain coins to be acquired by individual retirement accounts and other individually directed pension plan accounts, and for other purposes.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. CERTAIN COINS NOT TREATED AS COLLECTIBLES.

(a) IN GENERAL- Paragraph (3) of section 408(m) of the Internal Revenue Code of 1986 (relating to exception for certain coins and bullion) is amended--

(1) in subparagraph (A), by striking `or' at the end of clause (iii) and by inserting after clause (iv) the following new clause:

`(v) any coin which--

`(I) is certified by an independent third-party grading service,

`(II) is, or was at any time, legal tender in the United States, and

`(III) is traded on a nationally recognized electronic coin trading network or listed by an independent wholesale reporting service, or',

(2) in subparagraph (B), by inserting `in coin or bar form' after `bullion', and

(3) in the matter at the end, by striking `bullion in the physical possession' and inserting `coin or bullion in the physical possession or under the administrative control'.

(b) EFFECTIVE DATE- The amendments made by this section shall apply to taxable years beginning after December 31, 2002.

END