HR 301 IHCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to prevent pending tax increases and to provide additional tax reductions to stimulate economic growth.CommentsClose CommentsPermalink

January 8, 2009CommentsClose CommentsPermalink

Mr. NEUGEBAUER introduced the following bill; which was referred to the Committee on Ways and MeansCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to prevent pending tax increases and to provide additional tax reductions to stimulate economic growth.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 ‘Economic Growth Through Tax Stimulus Act of 2009’.CommentsClose CommentsPermalink

SEC. 2. EGTRRA, JGTRRA, AND CERTAIN OTHER TAX RELIEF MADE PERMANENT.

(a) Economic Growth and Tax Relief Reconciliation Act of 2001- Title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 is hereby repealed.CommentsClose CommentsPermalink





(b) Income Tax Rates on Dividends and Net Capital Gain- Section 303 of the Jobs and Growth Tax Relief Reconciliation Act of 2003 is hereby repealed.CommentsClose CommentsPermalink





(c) Deduction for State and Local Sales Taxes- Paragraph (5) of section 164(b) of the Internal Revenue Code of 1986 is amended by striking subparagraph (I).CommentsClose CommentsPermalink





(d) Deduction for Tuition and Related Expenses- Section 222 of such Code is amended by striking subsection (e).CommentsClose CommentsPermalink





(e) Increased Expensing for Small Business-CommentsClose CommentsPermalink





(1) DOLLAR LIMITATION- Paragraph (1) of section 179(b) of such Code (relating to dollar limitation) is amended by striking ‘$25,000 ($125,000 in the case of taxable years beginning after 2006 and before 2011)’ and inserting ‘$125,000’.CommentsClose CommentsPermalink





(2) INCREASE IN QUALIFYING INVESTMENT AT WHICH PHASEOUT BEGINS- Paragraph (2) of section 179(b) of such Code (relating to reduction in limitation) is amended by striking ‘$200,000 ($500,000 in the case of taxable years beginning after 2006 and before 2011)’ and inserting ‘$500,000’.CommentsClose CommentsPermalink





(3) INFLATION ADJUSTMENTS- Section 179(b)(5)(A) of such Code (relating to inflation adjustments) is amended by striking ‘and before 2011’.CommentsClose CommentsPermalink





(4) REVOCATION OF ELECTION- Section 179(c)(2) of such Code (relating to election irrevocable) is amended by striking ‘and before 2011’.CommentsClose CommentsPermalink





(5) COMPUTER SOFTWARE- Clause (ii) of section 179(d)(1)(A) of such Code is amended by striking ‘and before 2011’.CommentsClose CommentsPermalink





(f) Effective Date- The amendments made by this section shall take effect on the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 3. TEMPORARY REDUCTION IN INDIVIDUAL TAX RATES.

(a) In General- Section 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(j) Economic Stimulus Rate Reductions- In the case of taxable years beginning in a calendar year after 2008 and before 2014--CommentsClose CommentsPermalink





‘(1) the 10 percent and 15 percent rates of tax specified in subsection (i)(1) shall each be reduced by 5 percentage points,CommentsClose CommentsPermalink





‘(2) the last line of the table in subsection (i)(2) shall be applied by substituting--CommentsClose CommentsPermalink





‘(A) ‘20.0%’ for ‘25.0%’,CommentsClose CommentsPermalink





‘(B) ‘23.0%’ for ‘28.0%’,CommentsClose CommentsPermalink





‘(C) ‘25.0%’ for ‘33.0%’, andCommentsClose CommentsPermalink





‘(D) ‘25.0%’ for ‘35.0%’, andCommentsClose CommentsPermalink





‘(3) the adjustment of the tables prescribed under subsection (f) required by subsection (i)(3) shall be further adjusted to carry out this subsection.’.CommentsClose CommentsPermalink





(b) Conforming Amendment- Section 15 of such Code is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(g) Economic Stimulus Rate Reductions- This section shall not apply to any change in rates under subsection (j) of section 1 (relating to economic stimulus rate reductions).’.CommentsClose CommentsPermalink





(c) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2008.CommentsClose CommentsPermalink

SEC. 4. REDUCTION IN CORPORATE INCOME TAX RATES.

(a) In General- Section 11 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





‘(e) Economic Stimulus Rate Reductions- In the case of taxable years beginning in a calendar year after 2008 and before 2014--CommentsClose CommentsPermalink





‘(1) subsection (b)(1) shall be applied by disregarding--CommentsClose CommentsPermalink





‘(A) ‘but does not exceed $75,000,’ in subparagraph (B) thereof,CommentsClose CommentsPermalink





‘(B) subparagraphs (C) and (D) thereof, andCommentsClose CommentsPermalink





‘(C) the last 2 sentences,CommentsClose CommentsPermalink





‘(2) subsection (b)(2) shall be applied by substituting ‘25 percent’ for ‘35 percent’, andCommentsClose CommentsPermalink





‘(3) paragraphs (1) and (2) of section 1445(e) shall each be applied by substituting ‘25 percent’ for ‘35 percent’.’.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2008.CommentsClose CommentsPermalink