[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 905 Placed on Calendar Senate (PCS)]

                                                        Calendar No. 39
114th CONGRESS
  1st Session
                                 S. 905

                          [Report No. 114-16]

 To amend the Internal Revenue Code of 1986 to increase the limitation 
  on eligibility for the alternative tax for certain small insurance 
                               companies.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 14, 2015

   Mr. Hatch, from the Committee on Finance, reported the following 
     original bill; which was read twice and placed on the calendar

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to increase the limitation 
  on eligibility for the alternative tax for certain small insurance 
                               companies.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. INCREASE IN LIMITATION ON ELIGIBILITY FOR ALTERNATIVE TAX 
              FOR CERTAIN SMALL INSURANCE COMPANIES.

    (a) Increase in Limitation on Premiums.--
            (1) In general.--Clause (i) of section 831(b)(2)(A) of the 
        Internal Revenue Code of 1986 is amended by striking 
        ``$1,200,000'' and inserting ``$2,200,000''.
            (2) Inflation adjustment.--Paragraph (2) of section 831(b) 
        of such Code is amended by adding at the end the following new 
        subparagraph:
                    ``(C) Inflation adjustment.--In the case of any 
                taxable year beginning in a calendar year after 2015, 
                the dollar amount set forth in subparagraph (A)(i) 
                shall be increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for such 
                        calendar year by substituting `calendar year 
                        2013' for `calendar year 1992' in subparagraph 
                        (B) thereof.
                If the amount as adjusted under the preceding sentence 
                is not a multiple of $50,000, such amount shall be 
                rounded to the next lowest multiple of $50,000.''.
    (b) Study.--Not later than February 11, 2016, the Secretary of the 
Treasury shall submit to the Committee on Finance of the Senate a 
report on the abuse of captive insurance companies for estate planning 
purposes. Such report shall include legislative recommendations for 
addressing any such abuses.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

SEC. 2. INCREASE IN CONTINUOUS LEVY.

    (a) In General.--Paragraph (3) of section 6331(h) of the Internal 
Revenue Code of 1986 is amended by striking ``30 percent'' and 
inserting ``45 percent''.
    (b) Effective Date.--The amendment made by this section shall apply 
to payments made after 180 days after the date of the enactment of this 
Act.
                                                        Calendar No. 39

114th CONGRESS

  1st Session

                                 S. 905

                          [Report No. 114-16]

_______________________________________________________________________

                                 A BILL

 To amend the Internal Revenue Code of 1986 to increase the limitation 
  on eligibility for the alternative tax for certain small insurance 
                               companies.

_______________________________________________________________________

                             April 14, 2015

                 Read twice and placed on the calendar