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139 STAT. 246 PUBLIC LAW 119–21—JULY 4, 2025 ‘‘SEC. 139L. INTEREST ON LOANS SECURED BY RURAL OR AGRICUL- TURAL REAL PROPERTY. ‘‘(a) IN GENERAL.—Gross income shall not include 25 percent of the interest received by a qualified lender on any qualified real estate loan. ‘‘(b) QUALIFIED LENDER.—For purposes of this section, the term ‘qualified lender’ means— ‘‘(1) any bank or savings association the deposits of which are insured under the Federal Deposit Insurance Act (12 U.S.C. 1811 et seq.), ‘‘(2) any State- or federally-regulated insurance company, ‘‘(3) any entity wholly owned, directly or indirectly, by a company that is treated as a bank holding company for purposes of section 8 of the International Banking Act of 1978 (12 U.S.C. 3106) if— ‘‘(A) such entity is organized, incorporated, or estab- lished under the laws of the United States or any State, and ‘‘(B) the principal place of business of such entity is in the United States (including any territory of the United States), ‘‘(4) any entity wholly owned, directly or indirectly, by a company that is considered an insurance holding company under the laws of any State if such entity satisfies the require- ments described in subparagraphs (A) and (B) of paragraph (3), and ‘‘(5) with respect to interest received on a qualified real estate loan secured by real estate described in subsection (c)(3)(A), any federally chartered instrumentality of the United States established under section 8.1(a) of the Farm Credit Act of 1971 (12 U.S.C. 2279aa-1(a)). ‘‘(c) QUALIFIED REAL ESTATE LOAN.—For purposes of this sec- tion— ‘‘(1) IN GENERAL.—The term ‘qualified real estate loan’ means any loan— ‘‘(A) secured by— ‘‘(i) rural or agricultural real estate, or ‘‘(ii) a leasehold mortgage (with a status as a lien) on rural or agricultural real estate, ‘‘(B) made to a person other than a specified foreign entity (as defined in section 7701(a)(51)), and ‘‘(C) made after the date of the enactment of this section. For purposes of the preceding sentence, the determination of whether property securing such loan is rural or agricultural real estate shall be made as of the time the interest income on such loan is accrued. ‘‘(2) REFINANCINGS.—For purposes of subparagraphs (A) and (C) of paragraph (1), a loan shall not be treated as made after the date of the enactment of this section to the extent that the proceeds of such loan are used to refinance a loan which was made on or before the date of the enactment of this section (or, in the case of any series of refinancings, the original loan was made on or before such date). ‘‘(3) RURAL OR AGRICULTURAL REAL ESTATE.—The term ‘rural or agricultural real estate’ means— Definitions. 26 USC 139L.