S 14 ISCommentsClose CommentsPermalink

To repeal the sunset on certain tax rates and other incentives and to repeal the individual alternative minimum tax, and for other purposes.CommentsClose CommentsPermalink

April 17, 2007

Mr. KYL (for himself, Mr. MCCONNELL, Mr. GRASSLEY, Mr. LOTT, Mr. ENSIGN, Mr. HATCH, Mr. THOMAS, Mr. SMITH, Mr. BUNNING, Mr. CRAPO, Mr. ROBERTS, Mr. DEMINT, Mr. ALEXANDER, Mr. MARTINEZ, Mr. CHAMBLISS, Mr. BROWNBACK, Mr. CRAIG, Mr. ALLARD, Mr. GRAHAM, Mr. ENZI, Mr. INHOFE, Mr. BURR, and Mr. COBURN) introduced the following bill; which was read twice and referred to the Committee on FinanceCommentsClose CommentsPermalink

To repeal the sunset on certain tax rates and other incentives and to repeal the individual alternative minimum tax, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE.

This Act may be cited as the `Invest in America Act'.CommentsClose CommentsPermalink

SEC. 2. REPEAL OF EGTRRA SUNSET.

Title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 is repealed.CommentsClose CommentsPermalink

SEC. 3. PERMANENT REDUCTIONS IN INDIVIDUAL CAPITAL GAINS AND DIVIDENDS TAX RATES.

Section 303 of the Jobs and Growth Tax Relief Reconciliation Act of 2003 (relating to sunset of title) is repealed.CommentsClose CommentsPermalink

SEC. 4. PERMANENT EXTENSION OF RESEARCH CREDIT.

(a) In General- Section 41 of the Internal Revenue Code of 1986 is amended by striking subsection (h).CommentsClose CommentsPermalink





(b) Conforming Amendment- Paragraph (1) of section 45C(b) of such Code is amended by striking subparagraph (D).CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to amounts paid or incurred after the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 5. PERMANENT EXTENSION OF EXPENSING FOR SMALL BUSINESSES.

(a) Dollar Limitation- Paragraph (1) of section 179(b) of the Internal Revenue Code of 1986 is amended by striking `$25,000 ($100,000 in the case of taxable years beginning after 2002 and before 2010)' and inserting `$100,000'.CommentsClose CommentsPermalink





(b) Reduction in Limitation- Paragraph (2) of section 179(b) of the Internal Revenue Code of 1986 is amended by striking `$200,000 ($400,000 in the case of taxable years beginning after 2002 and before 2010)' and inserting `$400,000'.CommentsClose CommentsPermalink





(c) Inflation Adjustments- Subparagraph (A) of section 179(b)(5) of the Internal Revenue Code of 1986 is amended by striking `and before 2010'.CommentsClose CommentsPermalink





(d) Election- Paragraph (2) of section 179(c) of the Internal Revenue Code of 1986 is amended by striking `and before 2010'.CommentsClose CommentsPermalink





(e) Computer Software- Clause (ii) of section 179(d)(1)(A) of the Internal Revenue Code of 1986 is amended by striking `and before 2010'.CommentsClose CommentsPermalink

SEC. 6. PERMANENT EXTENSION OF ABOVE-THE-LINE DEDUCTION FOR CERTAIN EXPENSES OF ELEMENTARY AND SECONDARY SCHOOL TEACHERS.

Subparagraph (D) of section 62(a)(2) of the Internal Revenue Code of 1986 is amended by striking `In the case of taxable years beginning during 2002, 2003, 2004, 2005, 2006, or 2007, the deductions' and inserting `The deductions'.CommentsClose CommentsPermalink

SEC. 7. REPEAL OF INDIVIDUAL ALTERNATIVE MINIMUM TAX.

(a) In General- Section 55(a) of the Internal Revenue Code of 1986 (relating to alternative minimum tax imposed) is amended by adding at the end the following new flush sentence:CommentsClose CommentsPermalink





`For purposes of this title, the tentative minimum tax on any taxpayer other than a corporation for any taxable year beginning after December 31, 2006, shall be zero.'.CommentsClose CommentsPermalink





(b) Modification of Limitation on Use of Credit for Prior Year Minimum Tax Liability- Subsection (c) of section 53 of the Internal Revenue Code of 1986 (relating to credit for prior year minimum tax liability) is amended to read as follows:CommentsClose CommentsPermalink





`(c) Limitation-CommentsClose CommentsPermalink





`(1) IN GENERAL- Except as provided in paragraph (2), the credit allowable under subsection (a) for any taxable year shall not exceed the excess (if any) of--CommentsClose CommentsPermalink





`(A) the regular tax liability of the taxpayer for such taxable year reduced by the sum of the credits allowable under subparts A, B, D, E, and F of this part, overCommentsClose CommentsPermalink





`(B) the tentative minimum tax for the taxable year.CommentsClose CommentsPermalink





`(2) TAXABLE YEARS BEGINNING AFTER 2006- In the case of any taxable year beginning after 2006, the credit allowable under subsection (a) to a taxpayer other than a corporation for any taxable year shall not exceed 90 percent of the regular tax liability of the taxpayer for such taxable year reduced by the sum of the credits allowable under subparts A, B, D, E, and F of this part.'.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2006.CommentsClose CommentsPermalink

SEC. 8. SENSE OF THE SENATE REGARDING SIMPLIFICATION OF THE FEDERAL INCOME TAX SYSTEM.

(a) Findings- The Senate finds that--CommentsClose CommentsPermalink





(1) the average time burden for all taxpayers filing a Form 1040 Federal income tax return is 30 hours;CommentsClose CommentsPermalink





(2) more than 6 in 10 Americans now hire someone to help prepare their tax returns every year; andCommentsClose CommentsPermalink





(3) the hundreds of billions of dollars spent each year complying with the Federal tax system could be used more efficiently by families and businesses to grow the Nation's economy and create jobs.CommentsClose CommentsPermalink





(b) Sense of the Senate- It is the sense of the Senate that the Committee on Finance of the Senate should report legislation before December 31, 2007, to simplify the Federal income tax system, ensuring that the system is equitable, economically efficient, simple, transparent and administrable, without raising tax rates.CommentsClose CommentsPermalink