I 112th CONGRESS 1st Session H. R. 2892 IN THE HOUSE OF REPRESENTATIVES September 12, 2011 Mr. Fincher 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 suspend the capital gains tax for 10 years for taxpayers other than corporations.

1.

Short title

This Act may be cited as the Invest in America Act of 2011.

2.

Temporary exclusion of net capital gain of taxpayers other than corporations

(a)

In general

Part I of subchapter P of chapter 1 of the Internal Revenue Code of 1986 (relating to treatment of capital gains) is amended by adding at the end the following new section:

1203.

Temporary exclusion of net capital gain of taxpayers other than corporations

(a)

In general

In the case of a taxpayer other than a corporation, gross income shall not include an amount equal to the net capital gain of the taxpayer for the taxable year. (b)

Dividends treated as net capital gain

For purposes of this section, the term net capital gain means net capital gain (determined without regard to this subsection) increased by qualified dividend income (as defined in section 1(h)(11)). (c)

Application of section

This section shall apply to taxable years beginning after December 31, 2011, and before January 1, 2022.

. (b)

Conforming amendments

(1)Subsection (h) of section 1 of such Code is amended by adding at the end the following new paragraph: (12)

Application of subsection suspended during exclusion of net capital gain

This subsection shall not apply to taxable years beginning after December 31, 2011, and before January 1, 2022. . (2)Paragraph (3) of section 55(b) of such Code is amended by adding at the end the following flush sentence: This paragraph shall not apply to taxable years beginning after December 31, 2011, and before January 1, 2022.. (3)Section 1222 of such Code is amended by adding at the end the following new sentence: Determinations under this section shall be made before the application of section 1203.. (4)The table of sections for part I of subchapter P of chapter 1 of such Code is amended by adding at the end the following new item: Sec. 1203. Exclusion of net capital gain of taxpayers other than corporations.. (c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2011.