[Congressional Record Volume 147, Number 36 (Monday, March 19, 2001)]
[Senate]
[Page S2477]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. HOLLINGS:
  S. 566. A bill to amend the Internal Revenue Code of 1986 to provide 
a 10 percent individual income tax rate for taxable years beginning in 
2001 and a payroll tax credit for those taxpayers who have no income 
tax liability in 2001; to the Committee on Finance.
  Mr. HOLLINGS. Mr. President, I recently introduced, S. Con. Res. 20, 
a one-year budget proposal which included instructions for a tax cut if 
either: (1) a true surplus materializes, or (2) we enter a recession. 
It is now apparent the economy is on a downturn and there is no good 
reason to await action. That is why I am introducing a one-year tax cut 
of approximately $95 billion to stimulate the economy. Any tax cut 
designed for economic stimulus should be about one percent of GDP. The 
tax cut will reduce income taxes and payroll taxes as follows:
  The 15 percent tax rate will be reduced to 10 percent for the 
following brackets:
  $0-20,000 for couples;
  $0-16,000 for heads of households;
  $0-10,000 for singles or married filing separately.
  The 25 million taxpayers who pay payroll taxes but do not qualify for 
income tax cuts will receive up to $500 in payroll tax cuts.
  This plan reaches approximately 120 million taxpayers, thus providing 
relief to more people than any other proposal to date. If passed, this 
proposal will provide immediate relief by sending a check to these 120 
million taxpayers by July 1, 2001.
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