[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 3213 Introduced in Senate (IS)]







106th CONGRESS
  2d Session
                                S. 3213

 To amend the Internal Revenue Code of 1986 to allow an individual to 
 designate $3 or more on their income tax return to be used to reduce 
                            the public debt.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

            October 18 (legislative day, September 22), 2000

 Mr. Allard (for himself and Mr. Crapo) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to allow an individual to 
 designate $3 or more on their income tax return to be used to reduce 
                            the public debt.

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

SECTION 1. DESIGNATION OF INCOME TAX PAYMENTS TO REDUCE PUBLIC DEBT.

    (a) In General.--Subchapter A of chapter 61 of the Internal Revenue 
Code of 1986 (relating to returns and records) is amended by adding at 
the end the following new part:

  ``PART IX--DESIGNATION OF INCOME TAX PAYMENTS TO REDUCE PUBLIC DEBT

                              ``Sec. 6097. Designation by individuals.

``SEC. 6097. DESIGNATION BY INDIVIDUALS.

    ``(a) In General.--Every individual (other than a nonresident 
alien) whose income tax liability for the taxable year is $3 or more 
may designate that $3 shall be used to reduce the public debt of the 
United States. In the case of a joint return of husband and wife having 
an income tax liability of $6 or more, each spouse may designate that 
$3 shall be used to reduce the public debt.
    ``(b) Income Tax Liability.--For purposes of subsection (a), the 
income tax liability of an individual for any taxable year is the 
amount of the tax imposed by chapter 1 on such individual for such 
taxable year (as shown on his return), reduced by the sum of the 
credits (as shown in his return) allowable under part IV of subchapter 
A of chapter 1 (other than subpart C thereof).
    ``(c) Manner and Time of Designation.--A designation under 
subsection (a) may be made with respect to any taxable year--
            ``(1) at the time of filing the return of the tax imposed 
        by chapter 1 for such taxable year, or
            ``(2) at any other time (after the time of filing the 
        return of the tax imposed by chapter 1 for such taxable year) 
        specified in regulations prescribed by the Secretary.
Such designation shall be made in such manner as the Secretary 
prescribes by regulations except that, if such designation is made at 
the time of filing the return of the tax imposed by chapter 1 for such 
taxable year, such designation shall be made either on the first page 
of the return or on the page bearing the signature of the taxpayer.''
    (b) Transfer of Designated Amounts for Public Debt Reduction.--The 
Secretary of the Treasury shall, from time to time, transfer to the 
account described in section 3113(d) of title 31, United States Code, 
an amount not in excess of the sum of the amounts designated under 
section 6097 of the Internal Revenue Code of 1986, as added by 
subsection (a), to be used to reduce the public debt of the United 
States.
    (c) Clerical Amendment.--The table of parts for subchapter A of 
chapter 61 of the Internal Revenue Code of 1986 is amended by adding at 
the end the following new item:

                              ``Part IX. Designation of income tax 
                                        payments to reduce public 
                                        debt.''
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2000.
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