[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2631 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2631

To accelerate the repeal of the estate and generation-skipping transfer 
         taxes and the reduction in the maximum gift tax rate.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 25, 2001

  Ms. Dunn of Washington (for herself and Mr. Cramer) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To accelerate the repeal of the estate and generation-skipping transfer 
         taxes and the reduction in the maximum gift tax rate.

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

SECTION 1. REPEAL OF ESTATE AND GENERATION-SKIPPING TRANSFER TAXES 
              ACCELERATED TO 2007.

    (a) Estate Tax Repeal.--Section 2210 of the Internal Revenue Code 
of 1986 (relating to termination) is amended--
            (1) by striking ``December 31, 2009'' and inserting 
        ``December 31, 2006'' both places it appears,
            (2) by striking ``January 1, 2010'' in subsection (b) and 
        inserting ``January 1, 2007'', and
            (3) by striking ``December 31, 2020'' in subsection (b)(1) 
        and inserting ``December 31, 2017''.
    (b) Generation-Skipping Transfer Tax Repeal.--Section 2664 of such 
Code (relating to termination) is amended by striking ``December 31, 
2009'' and inserting ``December 31, 2006''.
    (c) Conforming Amendments.--
            (1) The table in section 2010(c) of such Code is amended--
                    (A) by striking ``, 2007, and 2008'', and
                    (B) by striking the following:

                  ``2009.............................    $3,500,000.''.

            (2) Section 1014(f) of such Code is amended by striking 
        ``December 31, 2009'' and inserting ``December 31, 2006''.
            (3) Section 1022 of such Code is amended--
                    (A) by striking ``December 31, 2009'' in the 
                heading and in subsection (a)(1) and inserting 
                ``December 31, 2006'', and
                    (B) in subsection (d)(4)(A)--
                            (i) by striking ``2010'' and inserting 
                        ``2007'',
                            (ii) by striking ``2009'' in clause (ii) 
                        and inserting ``2006''.
            (4) The item in the table of sections for part II of 
        subchapter O of chapter 1 of such Code relating to section 1022 
        is amended by striking ``December 31, 2009'' and inserting 
        ``December 31, 2006''.
            (5) Section 501(d) of the Economic Growth and Tax Relief 
        Reconciliation Act of 2001 (Public Law 107-16) is amended by 
        striking ``December 31, 2009'' and inserting ``December 31, 
        2006''.
            (6) Section 901 of the Economic Growth and Tax Relief 
        Reconciliation Act of 2001 (Public Law 107-16) is amended--
                    (A) in subsection (a) by striking ``shall not 
                apply--'' and all that follows and inserting ``(other 
                than title V) shall not apply to taxable, plan, or 
                limitation years beginning after December 31, 2010.'', 
                and
                    (B) in subsection (b) by striking ``, estates, 
                gifts, and transfers''.
    (d) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 2. ACCELERATION OF PHASEDOWN OF MAXIMUM ESTATE TAX RATE.

    (a) In General.--Subparagraph (B) of section 2001(c)(2) of the 
Internal Revenue Code of 1986 (relating to phasedown of maximum rate of 
tax) is amended to read as follows:
                    ``(B) Maximum rate.--
                                                            The maximum
``In calendar year:                                            rate is:
    2002..........................................          45 percent 
    2003..........................................          36 percent 
    2004..........................................          27 percent 
    2005..........................................          18 percent 
    2006..........................................        9 percent.''.
    (b) Conforming Amendment.--Section 2001(c)(2)(A) of such Code is 
amended by striking ``2002 and before 2010'' and inserting ``2001 and 
before 2007''.
    (c) Effective Date.--The amendments made by this section shall 
apply to the estates of decedents dying after the date of the enactment 
of this Act.

SEC. 3. ACCELERATION OF REDUCTION OF MAXIMUM GIFT TAX RATE TO MAXIMUM 
              INDIVIDUAL RATE.

    Paragraph (3) of section 511(f) of the Economic Growth and Tax 
Relief Reconciliation Act of 2001 (Public Law 107-16) is amended by 
striking ``December 31, 2009'' and inserting ``December 31, 2006''.
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