Amends the Internal Revenue Code to: (1) reduce to 0% the employment tax on employers, employees, and self-employed individuals during the first two months of 2009; and (2) exclude from gross income any wage and self-employment income earned during the first two months of 2009.
Amends the Emergency Economic Stabilization Act of 2008 to repeal procedures for authorizing the Secretary of the Treasury to obligate additional amounts under the Troubled Asset Relief Program (TARP).
Requires the Secretary to: (1) estimate the impact of this Act on the income and balances of the social security trust funds; and (2) transfer amounts from the Treasury to such trust funds if there is any reduction in the income and balances of such trust funds resulting from this Act.
Terminates the authority of the Secretary under the Emergency Economic Stabilization Act of 2008 to purchase troubled assets or any preferred or other stock or equity in any financial institution.
[Congressional Bills 110th Congress]
[From the U.S. Government Printing Office]
[H.R. 7309 Introduced in House (IH)]
110th CONGRESS
2d Session
H. R. 7309
To amend the Internal Revenue Code of 1986 to suspend employment and
income taxes for the first two months of 2009, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 9, 2008
Mr. Gohmert (for himself, Mr. Shadegg, Mrs. Blackburn, Mr. Carter, Mr.
Franks of Arizona, Mr. Pence, Mr. Westmoreland, Mr. Sessions, Mr.
McCotter, Mrs. Myrick, Mr. Sali, Mr. Akin, Mr. McHenry, Mrs. Drake,
Mrs. McMorris Rodgers, Mrs. Bachmann, Mr. Garrett of New Jersey, Mr.
Price of Georgia, Mr. Paul, Mr. Burton of Indiana, and Mr. Mack)
introduced the following bill; which was referred to the Committee on
Ways and Means, and in addition to the Committee on Financial Services,
for a period to be subsequently determined by the Speaker, in each case
for consideration of such provisions as fall within the jurisdiction of
the committee concerned
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to suspend employment and
income taxes for the first two months of 2009, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SUSPENSION OF EMPLOYMENT TAXES.
(a) Tax on Employees.--Section 3101 of the Internal Revenue Code of
1986 (relating to rate of tax) is amended by adding at the end the
following new subsection:
``(d) Suspension.--In the case of wages received for service
performed during the period beginning on January 1, 2009, and ending on
February 28, 2009, the percentage under subsections (a) and (b) shall
be zero percent.''.
(b) Tax on Employers.--Section 3111 of such Code (relating to rate
of tax) is amended by adding at the end the following new subsection:
``(d) Suspension.--In the case of wages paid for service performed
during the period beginning on January 1, 2009, and ending on February
28, 2009, the percentage under subsections (a) and (b) shall be zero
percent.''.
(c) Tax on Self-Employment Income.--Section 1401 of such Code
(relating to rate of tax) is amended by adding at the end the following
new subsection:
``(d) Suspension.--In the case of self-employment income for
service performed during the period beginning on January 1, 2009, and
ending on February 28, 2009, the percentage under subsections (a) and
(b) shall be zero percent.''.
(d) Effective Dates.--
(1) The amendments made by subsections (a) and (b) shall
apply to remuneration paid or received after December 31, 2008.
(2) The amendment made by subsection (c) shall apply to
taxable years beginning after December 31, 2008.
SEC. 2. SUSPENSION OF INCOME TAXES.
(a) In General.--Part III of subchapter B of chapter 1 of the
Internal Revenue Code of 1986 (relating to items specifically excluded
from gross income) is amended by inserting after section 139B the
following new section:
``SEC. 139C. WAGE AND SELF-EMPLOYMENT INCOME.
``In the case of an individual, gross income shall not include--
``(1) any remuneration for service performed during the
period beginning on January 1, 2009, and ending on February 28,
2009, by an employee for his employer, including the cash value
of all remuneration (including benefits) paid in any medium
other than cash wages (as defined in section 3121), and
``(2) any self-employment income (as defined in section
1402) derived by such individual during such period.''.
(b) Clerical Amendment.--The table of sections for such part is
amended by inserting after the item relating to section 139B the
following new item:
``Sec. 139C. Wage and self-employment income.''.
(c) Effective Date.--The amendments made by this section shall
apply to taxable years ending after December 31, 2008.
SEC. 3. FUNDING OF SOCIAL SECURITY TRUST FUNDS WITH REPEALED TARP
FUNDS.
(a) Repeal of Final $350 Billion Purchase Authority Under Troubled
Assets Relief Program.--Section 115 of the Emergency Economic
Stabilization Act of 2008 (12 U.S.C. 5225) is amended--
(1) in subsection (a), by striking paragraph (3); and
(2) by striking subsections (c), (d), (e), and (f).
(b) Transfer to Social Security Trust Funds.--
(1) Estimate of secretary.--The Secretary of the Treasury
(in consultation with the Secretary of Health and Human
Services and the Commissioner of Social Security, as
appropriate) shall estimate the impact that the enactment of
this Act has on the income and balances of the Federal Old-Age
and Survivors Insurance Trust Fund, the Federal Disability
Insurance Trust Fund, and the Federal Hospital Insurance Trust
Fund.
(2) Transfer of funds.--If, under subsection (a), the
Secretary of the Treasury estimates that the enactment of this
Act has a negative impact on the income and balances of any of
such funds, the Secretary shall transfer from the general
revenues of the Federal Government such sums as may be
necessary so as to ensure that the income and balances of such
funds are not reduced as a result of the enactment of this Act.
SEC. 4. IMMEDIATE TERMINATION OF TARP PURCHASE AUTHORITY.
(a) In General.--The authorities provided under section 101(a) of
the Emergency Economic Stabilization Act of 2008 (12 U.S.C. 5211),
excluding section 101(a)(3) of such Act, shall terminate immediately
upon the enactment of this Act.
(b) Rule of Construction.--The termination under subsection (a)
shall apply to any authority of the Secretary of the Treasury under the
Emergency Economic Stabilization Act of 2008 to purchase preferred or
other stock or equity in any financial institution.
(c) Conforming Amendment.--The Emergency Economic Stabilization Act
of 2008 is amended by striking section 120 (12 U.S.C. 5230).
<all>
Introduced in House
Introduced in House
Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
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