110 HR 2734 IH: Tax Increase Prevention Act of U.S. House of Representatives 2007-06-14 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I 110th CONGRESS 1st Session H. R. 2734 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. Fortuño, 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.

1.

Short title

This Act may be cited as the Tax Increase Prevention Act of 2007.

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Title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 is hereby repealed.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Section 303 of the Jobs and Growth Tax Relief Reconciliation Act of 2003 is hereby repealed.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.

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.