To amend the Internal Revenue Code of 1986 to allow individuals an exclusion from gross income for certain amounts of capital gains distributions from regulated investment companies.

[AI summary unavailable — showing source text] Amends the Internal Revenue Code to exclude, subject to a $3,000 maximum exclusion (double for a joint return), from gross income a capital gain dividend: (1) which is distributed by a regulated investment company; and (2) which is automatically reinvested by the company in the stock of such company with respect to which the dividend is distributed.…