[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2734 Introduced in House (IH)]







110th CONGRESS
  1st Session
                                H. R. 2734

 To make the Economic Growth and Tax Relief Reconciliation Act of 2001 
             and certain other tax benefits permanent law.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 14, 2007

 Mr. Walberg (for himself, Mr. Aderholt, Mr. Akin, Mrs. Bachmann, Mr. 
 Barrett of South Carolina, Mr. Bartlett of Maryland, Mr. Bilbray, Mr. 
Bilirakis, Mr. Bishop of Utah, Mrs. Blackburn, Mr. Blunt, Mr. Boozman, 
 Mr. Brady of Texas, Mr. Buchanan, Mr. Burton of Indiana, Mr. Camp of 
   Michigan, Mr. Campbell of California, Mr. Cantor, Mr. Carter, Mr. 
 Chabot, Mr. Cole of Oklahoma, Mr. Conaway, Mrs. Cubin, Mr. Culberson, 
  Mr. David Davis of Tennessee, Mr. Davis of Kentucky, Mr. Mario Diaz-
Balart of Florida, Mrs. Drake, Mr. Duncan, Ms. Fallin, Mr. Feeney, Mr. 
 Flake, Mr. Forbes, Mr. Fortuno, Mr. Franks of Arizona, Ms. Foxx, Mr. 
  Gallegly, Mr. Garrett of New Jersey, Mr. Gingrey, Mr. Gohmert, Mr. 
  Goodlatte, Mr. Heller of Nevada, Mr. Hensarling, Mr. Hoekstra, Mr. 
  Jones of North Carolina, Mr. Jordan of Ohio, Mr. King of Iowa, Mr. 
  Kingston, Mr. Kline of Minnesota, Mr. Knollenberg, Mr. Lamborn, Mr. 
 Lewis of California, Mr. Linder, Mr. Mack, Mr. Manzullo, Mr. McCarthy 
of California, Mr. McCaul of Texas, Mr. McHenry, Mr. Gary G. Miller of 
   California, Mrs. Myrick, Mr. Neugebauer, Mr. Paul, Mr. Pence, Mr. 
 Pearce, Mr. Pitts, Mr. Poe, Mr. Price of Georgia, Mr. Radanovich, Mr. 
 Rogers of Michigan, Mr. Roskam, Mr. Ryan of Wisconsin, Mr. Sali, Mr. 
  Sensenbrenner, Mr. Sessions, Mr. Shadegg, Mr. Simpson, Mr. Smith of 
 Nebraska, Mr. Souder, Mr. Wamp, Mr. Weldon of Florida, Mr. Wilson of 
South Carolina, and Mr. Lincoln Diaz-Balart of Florida) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To make the Economic Growth and Tax Relief Reconciliation Act of 2001 
             and certain other tax benefits permanent law.

    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 ``Tax Increase Prevention Act of 
2007''.

SEC. 2. 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.
    (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.
    (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).
    (d) Deduction for Tuition and Related Expenses.--Section 222 of 
such Code is amended by striking subsection (e).
    (e) Increased Expensing for Small Business.--
            (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''.
            (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''.
            (3) Inflation adjustments.--Section 179(b)(5)(A) of such 
        Code (relating to inflation adjustments) is amended by striking 
        ``and before 2011''.
            (4) Revocation of election.--Section 179(c)(2) of such Code 
        (relating to election irrevocable) is amended by striking ``and 
        before 2011''.
            (5) Computer software.--Clause (ii) of section 179(d)(1)(A) 
        of such Code is amended by striking ``and before 2011''.
    (f) Research Credit.--
            (1) In general.--Section 41 of such Code is amended by 
        striking subsection (h) (relating to termination).
            (2) Conforming amendment.--Paragraph (1) of section 45C(b) 
        of such Code is amended by striking subparagraph (D).
            (3) Effective date.--The amendments made by this subsection 
        shall apply to amounts paid or incurred after December 31, 
        2007.
    (g) Effective Date.--Except as provided in subsection (f), the 
amendments made by this section shall take effect on the date of the 
enactment of this Act.

SEC. 3. SENSE OF THE CONGRESS REGARDING SIMPLIFYING THE FEDERAL INCOME 
              TAX SYSTEM.

    (a) Findings.--The Congress finds that--
            (1) the average time burden for all taxpayers filing a Form 
        1040 Federal income tax return is 30 hours,
            (2) more than 6 in 10 Americans now hire someone to help 
        prepare their tax returns every year, and
            (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.
    (b) Sense of Congress.--It is the sense of the House of 
Representatives that the Committee on Ways and Means should report 
legislation on or before December 31, 2008, to simplify the Federal 
income tax system, ensuring that the system is equitable, economically 
efficient, simple, transparent and administrable, without raising tax 
rates.
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