Cage the Paper Tiger Act of 2020

“(11)

“(A) The rules of the exchange prohibit the initial listing, after the date of enactment of this paragraph, of any security of an issuer if the registration statement filed with the Commission for such security includes an audit report prepared by a covered foreign public accounting firm.

“(B) Nothing in subparagraph (A) may be construed to prevent an exchange from listing a security on the exchange on or after the date of enactment of this paragraph if that security was listed on the exchange or a national securities exchange before the date of enactment of this paragraph.

“(C) In this paragraph—

“(i) the term audit report has the meaning given the term in section 2(a) of the Sarbanes-Oxley Act of 2002 (15 U.S.C. 7201(a));

“(ii) the term covered foreign public accounting firm means a foreign public accounting firm that the Public Company Accounting Oversight Board is unable to inspect or investigate under the Sarbanes-Oxley Act of 2002 (15 U.S.C. 7201 et seq.) because of a position taken by an authority outside of the United States; and

“(iii) the term foreign public accounting firm has the meaning given the term in section 106(g) of the Sarbanes-Oxley Act of 2002 (15 U.S.C. 7216(g)).”

“179F. Election to expense certain assets directly connected to moving manufacturing from China to the United States

“(a) In general—A specified taxpayer may elect to treat amounts paid or incurred for repatriation property as an expense which is not chargeable to capital account. Any cost so treated shall be allowed as a deduction for the taxable year in which such repatriation property is placed in service.

“(b) Specified taxpayer—For purposes of this section, the term “specified taxpayer” means any taxpayer engaged in the trade or business of manufacturing any product if—

“(1) as of the date of the enactment of this section, such taxpayer manufactured such product in China, and

“(2) as of the date which is 3 years after the date that the repatriation property is placed in service—

“(A) such taxpayer does not manufacture such product in China, and

“(B) the quantity of such product manufactured in the United States by such taxpayer has increased (relative to such quantity determined as of the date of the enactment of this section) by an amount not less than the quantity of such product manufactured in China as of the date of the enactment of this section.

“(c) Repatriation property—For purposes of this section, the term “repatriation property” means any property (including any real property) if—

“(1) such property is used by the taxpayer in the United States to manufacture the product referred to in subsection (b),

“(2) the acquisition of such property by the taxpayer is directly connected to replacing the productive capacity lost by the taxpayer by reason of ceasing manufacturing of such product in China (as described in subsection (b)(2)(A)), and

“(3) such property is of a character which is subject to the allowance for depreciation provided in section 167.

“(d) Application of certain rules—Rules similar to the rules of subsection (c), and paragraphs (4) and (10) of subsection (d), of section 179 shall apply for purposes of this section.”