< Back to H.R. 445 (107th Congress, 2001–2002)

Text of the Economic Growth and Tax Freedom Act

This bill was introduced on February 6, 2001, in a previous session of Congress, but was not enacted. The text of the bill below is as of Feb 6, 2001 (Introduced).

Source: GPO

HR 445 IH

107th CONGRESS

1st Session

H. R. 445

To amend the Internal Revenue Code of 1986 to reduce individual income tax rates by 30 percent.

IN THE HOUSE OF REPRESENTATIVES

February 6, 2001

Mr. FOSSELLA 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 individual income tax rates by 30 percent.

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

SECTION 1. SHORT TITLE; ETC.

    (a) SHORT TITLE- This Act may be cited as the ‘Economic Growth and Tax Freedom Act’.

    (b) SECTION 15 NOT TO APPLY- No amendment made by this Act, and no change in a rate pursuant to section 1(f)(8) of the Internal Revenue Code of 1986 (as amended by this Act), shall be treated as a change in a rate of tax for purposes of section 15 of such Code.

SEC. 2. REDUCTION IN INDIVIDUAL INCOME TAX RATES.

    (a) IN GENERAL- Subsection (f) of section 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:

      ‘(8) RATE REDUCTIONS- In prescribing the tables under paragraph (1) which apply with respect to taxable years beginning in a calendar year after 2000, the corresponding percentages specified for such calendar year in the following table shall be substituted for 15 percent, 28 percent, 31 percent, 36 percent, and 39.6 percent, respectively, in subsections (a), (b), (c), (d), and (e).

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In the case of taxable years beginning during calendar year: The corresponding percentage shall be substituted for the following percentages:                            
                                                                                                                                          15%   28%   31%   36%    39.6% 
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2001                                                                                                                                    13.5% 25.2% 27.9% 32.4%   35.64% 
2002                                                                                                                                    12.0% 22.4% 24.8% 28.8%   31.68% 
2003 or thereafter                                                                                                                      10.5% 19.6% 21.7% 25.2% 27.72%.’ 
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    (b) TECHNICAL AMENDMENTS-

      (1) Subparagraph (B) of section 1(f)(2) of such Code is amended by inserting ‘except as provided in paragraph (8),’ before ‘by not changing’.

      (2) Subparagraph (C) of section 1(f)(2) of such Code is amended by inserting ‘and the reductions under paragraph (8) in the rates of tax’ before the period.

      (3) The heading for subsection (f) of section 1 of such Code is amended by inserting ‘RATE REDUCTIONS;’ before ‘ADJUSTMENTS’.

    (c) EFFECTIVE DATE- The amendments made by this section shall apply to taxable years beginning after December 31, 2000.