S 2369 ISCommentsClose CommentsPermalink

To amend title 35, United States Code, to provide that certain tax planning inventions are not patentable, and for other purposes.CommentsClose CommentsPermalink

November 15, 2007

Mr. BAUCUS (for himself, Mr. GRASSLEY, Mr. LEVIN, Mr. WYDEN, Mr. OBAMA, and Mr. BINGAMAN) introduced the following bill; which was read twice and referred to the Committee on the JudiciaryCommentsClose CommentsPermalink

To amend title 35, United States Code, to provide that certain tax planning inventions are not patentable, and for other purposes.CommentsClose CommentsPermalink

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

SECTION 1. TAX PLANNING INVENTIONS NOT PATENTABLE.

(a) In General- Section 101 of title 35, United States Code, is amended--CommentsClose CommentsPermalink





(1) by striking `Whoever' and inserting `(a) PATENTABLE INVENTIONS- Whoever', andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(b) Tax Planning Inventions-CommentsClose CommentsPermalink





`(1) UNPATENTABLE SUBJECT MATTER- A patent may not be obtained for a tax planning invention.CommentsClose CommentsPermalink





`(2) DEFINITIONS- For purposes of paragraph (1)--CommentsClose CommentsPermalink





`(A) the term `tax planning invention' means a plan, strategy, technique, scheme, process, or system that is designed to reduce, minimize, avoid, or defer, or has, when implemented, the effect of reducing, minimizing, avoiding, or deferring, a taxpayer's tax liability or is designed to facilitate compliance with tax laws, but does not include tax preparation software and other tools or systems used solely to prepare tax or information returns,CommentsClose CommentsPermalink





`(B) the term `taxpayer' means an individual, entity, or other person (as defined in section 7701 of the Internal Revenue Code of 1986),CommentsClose CommentsPermalink





`(C) the terms `tax', `tax laws', `tax liability', and `taxation' refer to any Federal, State, county, city, municipality, foreign, or other governmental levy, assessment, or imposition, whether measured by income, value, or otherwise, andCommentsClose CommentsPermalink





`(D) the term `State' means each of the several States, the District of Columbia, and any commonwealth, territory, or possession of the United States.'.CommentsClose CommentsPermalink





(b) Applicability- The amendments made by this section--CommentsClose CommentsPermalink





(1) shall take effect on the date of the enactment of this Act,CommentsClose CommentsPermalink





(2) shall apply to any application for patent or application for a reissue patent that is--CommentsClose CommentsPermalink





(A) filed on or after the date of the enactment of this Act, orCommentsClose CommentsPermalink





(B) filed before that date if a patent or reissue patent has not been issued pursuant to the application as of that date, andCommentsClose CommentsPermalink





(3) shall not be construed as validating any patent issued before the date of the enactment of this Act for an invention described in section 101(b) of title 35, United States Code, as added by this section.CommentsClose CommentsPermalink