Rep. Stacey E. Plaskett

Territorial Tax Equity and Economic Growth Act of 2023 This bill modifies the residence and income source rules that apply with respect to the taxation of income from U.S. possessions (i.e., Guam, American Samoa, the Northern Mariana Islands, Puerto Rico, and the Virgin Islands). The bill specifies that a bona fide resident of a possession must have a substantial presence in the possession for at least 122 days during the year. Under current law, the person must be present for at least 183 days during the year. Under current law, income is not possession source income if it is treated as (1) income from sources within the United States, or (2) as effectively connected with the conduct of a trade or business within the United States. The bill amends this rule to specify that it applies only to the extent that the income is attributable to an office or fixed place of business within the United States, specify principles that must be used to determine whether income from sources without a possession is effectively connected with the conduct of a trade or business within the possession, and prohibit income from activities within the United States which are of a preparatory or auxiliary character from being treated as income from sources within the United States or as effectively connected with the conduct of a trade or business within the United States. The bill also modifies the income source rules that apply to certain personal property sales in the Virgin Islands.

This bill provides for the payment into the treasury of the U.S. Virgin Islands revenue from excise taxes on fuel produced in the Virgin Islands and entered into the United States.

Territorial Tax Parity Act of 2023 This bill modifies the income source rules involving U.S. possessions, including Guam, American Samoa, the Northern Mariana Islands, Puerto Rico, and the Virgin Islands. Under current law, income is not considered to be possession source income if it is treated as income (1) from sources within the United States, or (2) effectively connected with the conduct of a trade or business within the United States. The bill amends this rule to specify that it applies to the extent that the income is attributable to an office or fixed place of business within the United States. The bill also modifies the income source rules that apply to certain personal property sales in the Virgin Islands.

Maddy summaryHR 1031, the Insular Areas College Access Act, provides financial aid to residents of U.S. insular areas (Puerto Rico, Guam, U.S. Virgin Islands, and the Northern Mariana Islands) attending eligible public universities in mainland U.S. states. It covers the tuition gap between out-of-area rates and in-state rates, with grants capped at $15,000 annually or $45,000 total per student. Recipients must work full-time in their home insular area for two years after graduation, with exceptions for hardship or continued education. The program requires annual reporting by governors and GAO oversight to assess access barriers, funded at $40 million annually from 2024-2029.

Territorial Tax Parity and Clarification Act This bill modifies the income source rules that apply with respect to the taxation of capital gains from certain personal property sales in the U.S. Virgin Islands (USVI). Specifically, the bill requires capital gains income earned by a USVI resident to be considered USVI source income regardless of the tax rate imposed by the USVI government. (Under current law, a similar rule applies to other U.S. territories, including Guam, American Samoa, the Northern Mariana Islands, and Puerto Rico.)

Maddy summaryHR 1030 amends U.S. military housing pay rules to include the U.S. Virgin Islands. It updates Title 37, U.S. Code, to authorize the basic allowance for housing (BAH) for uniformed service members stationed in the Virgin Islands, extending the same housing benefit currently available to members in the 50 states and other U.S. territories. The bill adds "and the Virgin Islands" or "or the Virgin Islands" to specific sections of the law governing BAH eligibility and payments. This change takes effect January 1, 2024, for all applicable housing allowance payments. The bill directly affects service members and their families living in the Virgin Islands who previously did not qualify for the standard BAH.

Virgin Islands Visa Waiver Act of 2023 This bill authorizes the Department of Homeland Security (DHS) to establish a visa waiver program for nationals of certain countries to enter the U.S. Virgin Islands. Specifically, the bill expands an existing program that authorizes visa waivers for nationals of certain countries to enter Guam or the Northern Mariana Islands to also authorize waivers for entry to the U.S. Virgin Islands. Under this program, DHS may provide a waiver admitting a nonimmigrant visitor for up to 45 days if the waiver does not represent a threat to the welfare, safety, or security of the United States or its territories or commonwealths.

This bill repeals the limitation on the amount of distilled spirits excise taxes covered over (paid) to the treasuries of the Virgin Islands and Puerto Rico.

Maddy summaryThis bill authorizes a single Congressional Gold Medal to honor all U.S. Army Dustoff crews who served during the Vietnam War (1962-1973). It recognizes their critical role in evacuating nearly 900,000 wounded personnel, including U.S., South Vietnamese, and allied forces, under extreme combat conditions. The medal, designed with input from the Secretary of Defense, will be presented to the U.S. Army Medical Department Museum for permanent display. Duplicate bronze medals may be sold to cover costs, but the primary action is the commemorative recognition of these crews' service.

Resiliency Enhancement Act of 2023 This bill extends the provision of disaster assistance for critical services to solid waste management, stormwater management, public housing, transportation infrastructure, and medical care. Such assistance is also extended to any major disaster in Puerto Rico or the U.S. Virgin Islands subsequent to Hurricane Irma or Hurricane Maria on or before September 30, 2022.