[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5600 Introduced in House (IH)]








109th CONGRESS
  2d Session
                                H. R. 5600

To amend the Internal Revenue Code of 1986 to reduce the earned income 
threshold applicable to the refundable portion of the child tax credit, 
to increase the age limit for such credit, and to impose an individual 
                         income tax surcharge.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 13, 2006

   Mr. Pascrell (for himself, Mr. Doyle, Mr. Kucinich, Mr. Bishop of 
 Georgia, Ms. Jackson-Lee of Texas, Mr. Conyers, Mr. Cleaver, and Mr. 
    Wynn) introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to reduce the earned income 
threshold applicable to the refundable portion of the child tax credit, 
to increase the age limit for such credit, and to impose an individual 
                         income tax surcharge.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Child Tax Credit Growth Act of 
2006''.

SEC. 2. REDUCTION IN EARNED INCOME THRESHOLD APPLICABLE TO REFUNDABLE 
              PORTION OF CHILD TAX CREDIT.

    (a) Reduction in Earned Income Threshold.--Subsection (d)(1)(B)(i) 
of section 24 of the Internal Revenue Code of 1986 (relating to portion 
of credit refundable) is amended by striking ``$10,000'' and inserting 
``$5,000''.
    (b) Repeal of Inflation Adjustment.--Subsection (d) of such section 
of such Code is amended by striking paragraph (3).
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2006.

SEC. 3. INCREASE IN AGE LIMIT FOR CHILD TAX CREDIT.

    (a) In General.--Paragraph (1) of section 24(c) of the Internal 
Revenue Code of 1986 (defining qualifying child) is amended by striking 
``age 17'' and inserting ``age 19''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to taxable years beginning after December 31, 2006.

SEC. 4. IMPOSITION OF INDIVIDUAL INCOME TAX SURCHARGE.

    (a) Imposition of Tax.--Section 1 of the Internal Revenue Code of 
1986 (relating to imposition of tax on individuals) is amended by 
adding at the end the following new subsection:
    ``(j) Additional Income Tax.--
            ``(1) In general.--If the adjusted gross income of an 
        individual exceeds the threshold amount, the tax imposed by 
        this section (determined without regard to this subsection) 
        shall be increased by an amount equal to 0.9 percent of so much 
        of the adjusted gross income as exceeds the threshold amount.
            ``(2) Threshold amount.--For purposes of this subsection, 
        the term `threshold amount' means $1,000,000.
            ``(3) Tax not to apply to estates and trusts.--This 
        subsection shall not apply to an estate or trust.''.
    (b) Coordination With Minimum Tax.--Section 55(c) of the Internal 
Revenue Code of 1986 (defining regular tax) is amended by redesignating 
paragraph (3) as paragraph (4) and by inserting after paragraph (2) the 
following new paragraph:
            ``(3) Coordination with imposition of individual income tax 
        surcharge.--Solely for purposes of this section, section 1(j) 
        shall not apply in computing the regular tax.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2006.
    (d) Section 15 Not to Apply.--The amendment made by subsection (a) 
shall not be treated as a change in a rate of tax for purposes of 
section 15 of the Internal Revenue Code of 1986.
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