1. Short title This Act may be cited as the Broadband Grant Tax Treatment Act . 2. Certain grants for broadband excluded from gross income (a) In general Part III of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 139I the following new subsection: 139J. Certain broadband grants (a) In general Gross income shall not include any qualified broadband grant made for purposes of broadband deployment. (b) Denial of double benefit Notwithstanding any other provision of this subtitle, no deduction or credit shall be allowed for, or by reason of, any expenditure to the extent of the amount excluded under subsection (a) for any qualified broadband grant which was provided with respect to such expenditure. The adjusted basis of any property shall be reduced by the amount excluded under subsection (a) which was provided with respect to such property. (c) Qualified broadband grant For purposes of this section, the term qualified broadband grant means— (1) any grant or subgrant received under the Broadband Equity, Access, and Deployment Program established under section 60102 of the Infrastructure Investment and Jobs Act, (2) any grant or subgrant received under the State Digital Equity Capacity Grant Program established under section 60304 of such Act, (3) any grant received under the Digital Equity Competitive Grant Program established under section 60305 of such Act, (4) any grant received under section 60401 of such Act (relating to middle mile grants), (5) any grant received— (A) under the broadband loan and grant pilot program established by section 779 of Public Law 115–141 under the Rural Electrification Act of 1936