To amend the Internal Revenue Code of 1986 to allow individuals to defer recognition of reinvested capital gains distributions from regulated investment companies.

[AI summary unavailable — showing source text] Amends the Internal Revenue Code to provide that, in the case of an electing individual, no gain shall be recognized on the receipt of a capital gain dividend distributed by a regulated investment company if such capital gain dividend is automatically reinvested in additional shares of the company pursuant to a dividend reinvestment plan. States that such deferral shall not apply to: (1) an individual with respect to whom a personal exemption is allowable to another person; and (2) an estate or trust.…