| 1 | 1 | | I |
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| 2 | 2 | | 119THCONGRESS |
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| 3 | 3 | | 1 |
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| 4 | 4 | | STSESSION H. R. 1879 |
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| 5 | 5 | | To amend the Internal Revenue Code of 1986 to deny the tax exempt |
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| 6 | 6 | | status for bonds issued by sanctuary jurisdictions. |
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| 7 | 7 | | IN THE HOUSE OF REPRESENTATIVES |
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| 8 | 8 | | MARCH5, 2025 |
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| 9 | 9 | | Ms. M |
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| 10 | 10 | | ACE(for herself, Mr. GILLof Texas, Mr. MOOREof Alabama, Mr. |
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| 11 | 11 | | P |
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| 12 | 12 | | ERRY, Mr. CLYDE, Mr. MAST, Mr. MCDOWELL, Mr. HARRISof Mary- |
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| 13 | 13 | | land, Mr. B |
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| 14 | 14 | | URCHETT, Mr. RULLI, Mr. NEHLS, Mr. STEUBE, Mr. |
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| 15 | 15 | | G |
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| 16 | 16 | | OODEN, and Mr. OGLES) introduced the following bill; which was re- |
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| 17 | 17 | | ferred to the Committee on Ways and Means |
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| 18 | 18 | | A BILL |
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| 19 | 19 | | To amend the Internal Revenue Code of 1986 to deny the |
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| 20 | 20 | | tax exempt status for bonds issued by sanctuary jurisdictions. |
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| 21 | 21 | | Be it enacted by the Senate and House of Representa-1 |
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| 22 | 22 | | tives of the United States of America in Congress assembled, 2 |
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| 23 | 23 | | SECTION 1. SHORT TITLE. 3 |
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| 24 | 24 | | This Act may be cited as the ‘‘No Tax Breaks for 4 |
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| 25 | 25 | | Sanctuary Cities Act’’. 5 |
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| 26 | 26 | | VerDate Sep 11 2014 09:30 Mar 19, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H1879.IH H1879 |
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| 27 | 27 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 2 |
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| 28 | 28 | | •HR 1879 IH |
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| 29 | 29 | | SEC. 2. DENIAL OF TAX EXEMPT STATUS FOR BONDS 1 |
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| 30 | 30 | | ISSUED BY SANCTUARY JURISDICTIONS. 2 |
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| 31 | 31 | | (a) I |
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| 32 | 32 | | NGENERAL.—Subsection (b) of section 103 of 3 |
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| 33 | 33 | | the Internal Revenue Code of 1986 is amended by adding 4 |
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| 34 | 34 | | at the end the following: 5 |
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| 35 | 35 | | ‘‘(4) B |
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| 36 | 36 | | OND ISSUED BY SANCTUARY JURISDIC -6 |
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| 37 | 37 | | TION.—Any bond that is issued by a sanctuary juris-7 |
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| 38 | 38 | | diction (as determined on the date of issuance).’’. 8 |
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| 39 | 39 | | (b) S |
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| 40 | 40 | | ANCTUARYJURISDICTIONDEFINED.—Section 9 |
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| 41 | 41 | | 103(c) of such Code is amended by adding at the end the 10 |
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| 42 | 42 | | following: 11 |
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| 43 | 43 | | ‘‘(3) S |
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| 44 | 44 | | ANCTUARY JURISDICTION .—The term 12 |
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| 45 | 45 | | ‘sanctuary jurisdiction’ means a State or political 13 |
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| 46 | 46 | | subdivision of a State that has in effect a statute, 14 |
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| 47 | 47 | | ordinance, policy, or practice that prohibits or re-15 |
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| 48 | 48 | | stricts any government entity or official from— 16 |
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| 49 | 49 | | ‘‘(A) sending, receiving, maintaining, or 17 |
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| 50 | 50 | | exchanging with any Federal, State, or local 18 |
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| 51 | 51 | | government entity information regarding the 19 |
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| 52 | 52 | | citizenship or immigration status (lawful or un-20 |
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| 53 | 53 | | lawful) of any individual, or 21 |
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| 54 | 54 | | ‘‘(B) complying with a request lawfully 22 |
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| 55 | 55 | | made by the Department of Homeland Security 23 |
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| 56 | 56 | | under section 236 or 287 of the Immigration 24 |
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| 57 | 57 | | and Nationality Act (8 U.S.C. 1226 and 1357) 25 |
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| 58 | 58 | | VerDate Sep 11 2014 09:30 Mar 19, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1879.IH H1879 |
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| 59 | 59 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB 3 |
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| 60 | 60 | | •HR 1879 IH |
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| 61 | 61 | | to comply with a detainer for, or notify about 1 |
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| 62 | 62 | | the release of, an individual.’’. 2 |
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| 63 | 63 | | (c) L |
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| 64 | 64 | | IST OFSANCTUARYJURISDICTIONS.—Not later 3 |
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| 65 | 65 | | than 180 days after the date of the enactment of this Act, 4 |
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| 66 | 66 | | and annually thereafter, the Secretary of the Treasury (or 5 |
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| 67 | 67 | | the Secretary’s delegate) shall, after consultation with the 6 |
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| 68 | 68 | | Secretary of Homeland Security, publish a list of sanc-7 |
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| 69 | 69 | | tuary jurisdictions for purposes of section 103(b)(4) of the 8 |
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| 70 | 70 | | Internal Revenue Code of 1986. 9 |
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| 71 | 71 | | (d) E |
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| 72 | 72 | | FFECTIVEDATE.—The amendments made by 10 |
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| 73 | 73 | | this section shall apply in taxable years ending after the 11 |
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| 74 | 74 | | date of the enactment of this Act to any obligation issued 12 |
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| 75 | 75 | | after the date of the enactment of this Act. 13 |
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| 76 | 76 | | Æ |
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| 77 | 77 | | VerDate Sep 11 2014 09:30 Mar 19, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H1879.IH H1879 |
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| 78 | 78 | | kjohnson on DSK7ZCZBW3PROD with $$_JOB |
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