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H.R. 4711 - No Tax Breaks for Drug Ads Act

OCT. 17, 2019

H.R. 4711; No Tax Breaks for Drug Ads Act

DATED OCT. 17, 2019
DOCUMENT ATTRIBUTES
  • Authors
    Lipinski, Rep. Daniel
  • Institutional Authors
    U.S. House of Representatives
  • Subject Area/Tax Topics
  • Industry Groups
    Health care
  • Jurisdictions
  • Tax Analysts Document Number
    2019-40818
  • Tax Analysts Electronic Citation
    2019 TNTF 208-26
Citations: H.R. 4711; No Tax Breaks for Drug Ads Act

116TH CONGRESS
1ST SESSION

H.R. 4711

To amend the Internal Revenue Code of 1986 to deny
any deduction for advertising prescription drugs.

IN THE HOUSE OF REPRESENTATIVES

OCTOBER 17, 2019

Mr. LIPINSKI 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 deny any deduction for advertising prescription drugs.

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 "No Tax Breaks for Drug Ads Act".

SEC. 2. DENIAL OF DEDUCTION FOR ADVERTISING PRESCRIPTION DRUGS.

(a) IN GENERAL. — Part IX of subchapter B of chapter 1 of the Internal Revenue Code of 1986 (relating to items not deductible) is amended by adding at the end the following new section:

"SEC. 280I. DENIAL OF DEDUCTION FOR ADVERTISING PRESCRIPTION DRUGS.

"(a) IN GENERAL. — No deduction shall be allowed under this chapter with respect to — 

"(1) any advertisement primarily for purposes of promoting the sale or use of any prescribed drug (as defined in section 213(d)(3)), and

"(2) any of the following incurred or provided primarily for purposes described in paragraph (1):

‘‘(A) Travel expenses (including meals and lodging).

‘‘(B) Goods or services of a type generally considered to constitute entertainment, amusement, or recreation or the use of a facility in connection with providing such goods and services.

‘‘(C) Gifts.

‘‘(D) Other promotion expenses.

"(b) REGULATIONS. — The Secretary shall prescribe such regulations as may be necessary to carry out the purposes of this section.".

(b) CLERICAL AMENDMENT. — The table of sections for such part IX is amended by adding at the end the following new item:

"Sec. 280I. Denial of deduction for advertising prescription drugs.".

(c) EFFECTIVE DATE. — The amendments made by this section shall apply to amounts paid or incurred after  the date of the enactment of this Act in taxable years ending after such date.

DOCUMENT ATTRIBUTES
  • Authors
    Lipinski, Rep. Daniel
  • Institutional Authors
    U.S. House of Representatives
  • Subject Area/Tax Topics
  • Industry Groups
    Health care
  • Jurisdictions
  • Tax Analysts Document Number
    2019-40818
  • Tax Analysts Electronic Citation
    2019 TNTF 208-26
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