Protecting Endowments from Our Adversaries Act

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 4462 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 4462 To amend the Internal Revenue Code of 1986 to impose an excise tax on certain investments of private colleges and universities. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES July 16, 2025 Mr. Murphy 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 impose an excise tax on certain investments of private colleges and universities. 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 ``Protecting Endowments from Our Adversaries Act''. SEC. 2. EXCISE TAX ON CERTAIN INVESTMENTS OF PRIVATE COLLEGES AND UNIVERSITIES. (a) In General.--Subchapter H of chapter 42 of the Internal Revenue Code of 1986 is amended by adding at the end the following new section: ``SEC. 4969. EXCISE TAX ON CERTAIN INVESTMENTS OF PRIVATE COLLEGES AND UNIVERSITIES. ``(a) Tax on Acquisition of Listed Investments.--In the case of any specified educational institution which acquires (directly or indirectly through any chain of ownership) one or more listed investments during any taxable year, there is hereby imposed for such taxable year a tax equal to 50 percent of the fair market values of such investments determined as of the dates of such acquisitions. ``(b) Tax on Net Income From 1-Year Listed Investments.-- ``(1) In general.--There is hereby imposed on each specified educational institution for the taxable year a tax equal to 100 percent of the excess (if any) of-- ``(A) the sum of-- ``(i) all income received with respect to any 1-year listed investment during such taxable year, plus ``(ii) all gains recognized wi