110th CONGRESS
1st Session
H. R. 1720
To amend the Internal Revenue Code of 1986 to exclude from gross
income amounts received on the sale of animals which are raised and sold
as part of an educational program.
IN THE HOUSE OF REPRESENTATIVES
March 27, 2007
Mr. PAUL (for himself, Mr. DUNCAN, Mr. MCHUGH, Mr. BARTLETT of Maryland,
and Mr. GARRETT of New Jersey) introduced the following bill; which was
referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to exclude from gross
income amounts received on the sale of animals which are raised and sold
as part of an educational program.
Be it enacted by the Senate and House of Representatives of the United
States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Agriculture Education Freedom Act'.
SEC. 2. EXCLUSION FROM GROSS INCOME FOR AMOUNTS RECEIVED ON SALE OF ANIMALS
WHICH ARE RAISED AND SOLD AS PART OF EDUCATIONAL PROGRAM.
(a) In General- Part III of subchapter B of chapter 1 of the Internal Revenue
Code of 1986 (relating to items specifically excluded from gross income)
is amended by inserting after section 139A the following new section:
`SEC. 139B. PROCEEDS OF SALE OF ANIMALS RAISED AND SOLD AS PART OF EDUCATIONAL
PROGRAM.
`In the case of an individual, gross income shall not include any gain from
the sale of any animal which is raised and sold by such individual as part
of such individual's participation in--
`(1) the 4-H program under the Cooperative State Research, Education,
and Extension Service of the Department of Agriculture,
`(2) the Future Farmers of America,
`(3) any program of an organization described in section 501(c) and exempt
from tax under section 501(a) which is similar to such 4-H program or
the Future Farmers of America, or
`(4) any program of an educational organization described in section 170(b)(1)(A)(ii).'.
(b) Clerical Amendment- The table of sections for such part III is amended
by inserting after the item relating to section 139 the following new item:
`Sec. 139B. Proceeds of sale of animals raised and sold as part of educational
program'.
(c) Effective Date- The amendments made by this section shall apply to sales
in taxable years ending after the date of the enactment of this Act.
END
