I 112th CONGRESS 1st Session H. R. 609 IN THE HOUSE OF REPRESENTATIVES February 10, 2011 Mr. Hanna (for himself, Mr. Amash, Mr. Bartlett, Mr. Bishop of Utah, Mr. Burton of Indiana, Mr. Cole, Mr. Duncan of South Carolina, Mr. Fitzpatrick, Mr. Franks of Arizona, Mr. Manzullo, Mr. McClintock, Mrs. Myrick, Mr. Ribble, Mr. Austin Scott of Georgia, Mr. Sensenbrenner, and Mr. Westmoreland) 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 corporate income tax rate.

1.

Short title

This Act may be cited as the American Competitiveness Act of 2011 .

2.

Reduction in corporate income tax rates

(a)

In general

Paragraph (1) of section 11(b) of the Internal Revenue Code of 1986 is amended to read as follows: (1)

Rates of tax

(A)

In general

Except as otherwise provided in this paragraph, the amount of the tax imposed by subsection (a) shall be the sum of— (i)15 percent of so much of the taxable income as does not exceed $50,000, and (ii)25 percent of so much of the taxable income as exceeds $50,000. (B)

Special rules for 2011

In the case of any taxable year beginning in 2011, the amount of the tax imposed by subsection (a) shall be the sum of— (i)15 percent of so much of the taxable income as does not exceed $50,000, and (ii)25 percent of so much of the taxable income as exceeds $50,000 but does not exceed $75,000, and (iii)30 percent of so much of the taxable income as exceeds $75,000. . (b)

Conforming amendments

(1)Section 11(b)(2) of such Code is amended by striking 35 percent and inserting the maximum rate of tax in effect under section 11(b)(1). (2)Section 280C(c)(3)(B)(ii)(II) of such Code is amended by inserting in effect after maximum rate of tax. (3)Section 904(b)(3)(D)(ii) of such Code is amended by striking (determined without regard to the last sentence of section 11(b)(1)). (4)Section 1201(a) of such Code is amended— (A)by striking 35 percent (determined without regard to the last 2 sentences of section 11(b)(1)) and inserting the maximum rate of tax in effect under section 11(b)(1), and (B)by striking 35 percent in paragraph (2) and inserting the maximum rate of tax in effect under section 11(b)(1). (5)Section 1561(a) of such Code is amended by striking the fourth sentence. (c)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2010.