[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4361 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 4361

 To amend the Internal Revenue Code of 1986 to eliminate contribution 
limitations for retirement plans and increase penalties attributable to 
                          such contributions.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           December 16, 2009

 Mr. Campbell 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 eliminate contribution 
limitations for retirement plans and increase penalties attributable to 
                          such contributions.

    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 ``Save More for Your Own Retirement 
Act of 2009''.

SEC. 2. REPEAL OF CONTRIBUTION LIMITATIONS FOR RETIREMENT PLANS.

    (a) In General.--
            (1) Repeal of retirement contribution deduction 
        limitations.--
                    (A) Subsection (b) of section 219 of the Internal 
                Revenue Code of 1986 is amended to read as follows:
    ``(b) Maximum Amount of Deduction.--The amount allowable as a 
deduction under subsection (a) to any individual for any taxable year 
shall not exceed an amount equal to the compensation includible in the 
individual's gross income for such taxable year.''.
                    (B) Section 219 of the Internal Revenue Code of 
                1986 is amended by striking subsections (c) and (g).
            (2) Repeal of roth ira limitation.--Paragraph (2) of 
        section 408A(c) of such Code is amended by striking ``the 
        excess (if any) of--'' and all that follows through the end and 
        inserting ``the maximum amount allowable as a deduction under 
        section 219 with respect to such individual for such taxable 
        year (computed without regard to subsection (d)(1) of such 
        section''.
            (3) Repeal of limitation on elective deferrals.--Section 
        402 of such Code is amended by striking subsection (g).
    (b) Effective Date.--The amendments made by this section shall 
apply to contributions made after December 31, 2009.

SEC. 3. INCREASE IN PENALTY FOR EARLY DISTRIBUTIONS ATTRIBUTABLE TO 
              INCREASED CONTRIBUTIONS.

    (a) In General.--Subsection (t) of section 72 of such Code is 
amended by adding at the end the following new paragraph:
            ``(11) Increased tax on early distributions attributable to 
        increased contributions.--
                    ``(A) In general.--In the case of an amount 
                received from a qualified retirement plan which is 
                attributable to post-2009 excess contribution, 
                paragraph (1) shall be applied by substituting `25 
                percent' for `10 percent' with respect to such amount.
                    ``(B) Post-2009 excess contribution.--For purposes 
                of this paragraph, the term `post-2008 excess 
                contribution' means any contribution--
                            ``(i) made to a qualified retirement plan 
                        for any period beginning after December 31, 
                        2009, and
                            ``(ii) to the extent such contribution 
                        exceeds the limitation which would (but for the 
                        Save More for Your Own Retirement Act of 2009) 
                        have applied with respect to such contribution 
                        for such period.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to distributions made after December 31, 2009.
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