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H. R. 4130
To amend the Internal Revenue Code of 1986 to establish a temporary surtax to offset the costs of the Afghanistan war.
IN THE HOUSE OF REPRESENTATIVES
November 19, 2009
Mr. OBEY (for himself, Mr. MURTHA, Mr. LARSON of Connecticut, Ms.
ESHOO, Mr. FARR, Mr. FRANK of Massachusetts, Mr. GRIJALVA, Ms.
MCCOLLUM, Mr. MCDERMOTT, Mr. MCGOVERN, and Ms. LINDA T. SANCHEZ of
California) 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 establish a temporary surtax to offset the costs of the Afghanistan war.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Share the Sacrifice Act of 2010'.
SEC. 2. ESTABLISHMENT OF TEMPORARY AFGHANISTAN WAR SURTAX.
(a) In General- Subchapter A of chapter 1 of the Internal
Revenue Code of 1986 (relating to normal taxes and surtaxes) is amended
by adding at the end the following new part:
`PART VIII--TEMPORARY AFGHANISTAN WAR SURTAX
`Sec. 59B. Temporary Afghanistan war surtax.
`SEC. 59B. TEMPORARY AFGHANISTAN WAR SURTAX.
`(a) In General- In the case of any taxable year beginning after 2010--
`(1) JOINT RETURNS- In the case of a joint return with
net income tax liability, the tax imposed under this chapter shall be
increased by the amount of the surtax determined in accordance with the
following table:
`If net income tax
liability is:
The surtax is:
Not over $22,600
1% of net income tax liability.
Over $22,600 but not over $36,400
$226, plus the applicable percentage of the excess over $22,600.
Over $36,400
$226, plus the applicable percentage of $13,800, plus twice the applicable percentage of the excess over $36,400.
`(2) OTHER INDIVIDUALS, TRUSTS, AND ESTATES- In the
case of any individual, trust, or estate with net income tax liability
(other than a joint return), the tax imposed under this chapter shall
be increased by the amount of the surtax determined in accordance with
the following table:
`If net income tax
liability is:
The surtax is:
Not over $11,300
1% of net income tax liability.
Over $11,300 but not over $18,200
$113, plus the applicable percentage of the excess over $11,300.
Over $18,200
$113, plus the applicable percentage of $6,900, plus twice the applicable percentage of the excess over $18,200.
`(3) CORPORATIONS- In the case of any corporation
with net income tax liability, the tax imposed under this chapter shall
be increased by an amount equal to such net income tax liability
multiplied by twice the applicable percentage.
`(b) Applicable Percentage- For purposes of this section--
`(1) IN GENERAL- The term `applicable percentage'
means, with respect to any taxable year beginning in a calendar year,
the percentage which is determined by the President with respect to
such calendar year under paragraph (2).
`(2) DETERMINATION OF APPLICABLE PERCENTAGE- The
applicable percentage determined by the President with respect to any
calendar year shall be the percentage which the President estimates
will result in revenues to the Treasury under this section for taxable
years beginning in such calendar year which are equal to the Federal
expenditures related to the war in Afghanistan during the fiscal year
ending in the preceding calendar year.
`(c) Certain Exceptions for Individuals-
`(1) CERTAIN EXCEPTIONS RELATED TO MILITARY SERVICE-
`(A) IN GENERAL- Subsection (a) shall not apply to--
`(i) any member of the Armed Forces of the
United States who received compensation which was excludible from gross
income under section 112 (relating to certain combat zone compensation
of members of the Armed Forces) during the taxable year involved or any
taxable year ending on or after September 11, 2001, or
`(ii) any individual who received a death
gratuity payable under chapter 75 of title 10, United States Code, with
respect to any decedent who--
`(I) is described in clause (i), and
`(II) died on or after September 11, 2001, and before the close of the taxable year involved.
`(B) JOINT RETURNS- In the case of a joint return,
the taxpayer shall be treated as described in clause (i) or (ii) of
subparagraph (A) if either spouse is so described.
`(2) EXCEPTION BASED ON ADJUSTED GROSS INCOME-
Subsection (a) shall not apply to any individual if the adjusted gross
income of the taxpayer is not in excess of $30,000.
`(d) Net Income Tax Liability Defined- For purposes of this section, the term `net income tax liability' means the excess of--
`(1) the sum of the regular tax liability (as defined in section 26(b)) and the tax imposed by section 55, over
`(2) the credits allowed under part IV (other than sections 31, 33, and 34).
`(e) Delay in Application if President Determines Economy
Too Weak- If the President determines that the United States economy is
too weak to absorb the tax imposed under this section, the President
may delay the implementation of such tax for up to 1 year.
`(f) Not Treated as Tax Imposed by This Chapter for Certain
Purposes- The tax imposed under this part shall not be treated as tax
imposed by this chapter for purposes of determining the amount of any
credit under this chapter or for purposes of section 55.
`(g) Termination- The tax imposed under this section shall
not apply to taxable years beginning in any calendar year if the
applicable percentage determined with respect to such calendar year is
zero.'.
(b) Clerical Amendment- The table of parts for subchapter A
of chapter 1 of such Code is amended by adding at the end the following
new item:
`Part VIII. Temporary Afghanistan War Surtax'.
(c) Effective Date- The amendments made by this section shall apply to taxable years beginning after December 31, 2010.
(d) Section 15 Not To Apply- The amendment made by
subsection (a) shall not be treated as a change in a rate of tax for
purposes of section 15 of the Internal Revenue Code of 1986.
See bill here.
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