S.Amdt. 1021
What it does: Adds SEC. 12213. REPEAL OF ESTATE AND GENERATION-SKIPPING TRANSFER TAXES at the end of subtitle C of title XII
Sen. Mike Lee (R-UT)What it changes
1 change to S. 954 · shown in the bill's text
Adds SEC. 12213. REPEAL OF ESTATE AND GENERATION-SKIPPING TRANSFER TAXES at the end of subtitle C of title XII
Adds a sectionIn S. 954 · Placed on Calendar Senate
(f) Authorization of Appropriations.--There are authorized to be appropriated such sums as are necessary to carry out this section for each of fiscal years 2014 through 2019.
Inserted: SEC. 12213. REPEAL OF ESTATE AND GENERATION-SKIPPING TRANSFER TAXES.
Inserted: (a) Estate Tax Repeal.--Subchapter C of chapter 11 of subtitle B of the Internal Revenue Code of 1986 is amended by adding at the end the following new section:
Inserted: "SEC. 2210. TERMINATION.
Inserted: "(a) In General.--Except as provided in subsection (b), this chapter shall not apply to the estates of decedents dying on or after the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013.
Inserted: "(b) Certain Distributions From Qualified Domestic Trusts.--In applying section 2056A with respect to the surviving spouse of a decedent dying before the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013--
Inserted: "(1) section 2056A(b)(1)(A) shall not apply to distributions made after the 10-year period beginning on such date, and
Inserted: "(2) section 2056A(b)(1)(B) shall not apply on or after such date.".
Inserted: (b) Generation-Skipping Transfer Tax Repeal.--Subchapter G of chapter 13 of subtitle B of such Code is amended by adding at the end the following new section:
Inserted: "SEC. 2664. TERMINATION.
Inserted: "This chapter shall not apply to generation-skipping transfers on or after the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013.".
Inserted: (c) Conforming Amendments.--
Inserted: (1) The table of sections for subchapter C of chapter 11 is amended by adding at the end the following new item:
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Inserted: "Sec. 2210. Termination.".
Inserted: (2) The table of sections for subchapter G of chapter 13 is amended by adding at the end the following new item:
Inserted: "Sec. 2664. Termination.".
Inserted: (d) Restoration of Pre-EGTRRA Provisions Not Applicable.--
Inserted: (1) In general.--Section 301 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 shall not apply to estates of decedents dying, and transfers made, on or after the date of the enactment of this Act.
Inserted: (2) Exception for stepped-up basis.--Paragraph (1) shall not apply to the provisions of law amended by subtitle E of title V of the Economic Growth and Tax Relief Reconciliation Act of 2001 (relating to carryover basis at death; other changes taking effect with repeal).
Inserted: (e) Effective Date.--The amendments made by this section shall apply to the estates of decedents dying, and generation-skipping transfers, after the date of the enactment of this Act.
Inserted: SEC. 12214. MODIFICATIONS OF GIFT TAX.
Inserted: (a) Computation of Gift Tax.--Subsection (a) of section 2502 of the Internal Revenue Code of 1986 is amended to read as follows:
Inserted: "(a) Computation of Tax.--
Inserted: "(1) In general.--The tax imposed by section 2501 for each calendar year shall be an amount equal to the excess of--
Inserted: "(A) a tentative tax, computed under paragraph (2), on the aggregate sum of the taxable gifts for such calendar year and for each of the preceding calendar periods, over
Inserted: "(B) a tentative tax, computed under paragraph (2), on the aggregate sum of the taxable gifts for each of the preceding calendar periods.
Inserted: "(2) Rate schedule.--
Inserted: "If the amount with respect to which the The tentative tentative tax to be computed is: tax is:
Inserted: Not over $10,000.......................... 18% of such amount.
Inserted: Over $10,000 but not over $20,000......... $1,800, plus 20% of the excess over $10,000.
Inserted: Over $20,000 but not over $40,000......... $3,800, plus 22% of the excess over $20,000.
Inserted: Over $40,000 but not over $60,000......... $8,200, plus 24% of the excess over $40,000.
Inserted: Over $60,000 but not over $80,000......... $13,000, plus 26% of the excess over $60,000.
Inserted: Over $80,000 but not over $100,000........ $18,200, plus 28% of the excess over $80,000.
Inserted: Over $100,000 but not over $150,000....... $23,800, plus 30% of the excess over $100,000.
Inserted: Over $150,000 but not over $250,000....... $38,800, plus 32% of the excess of $150,000.
Inserted: Over $250,000 but not over $500,000....... $70,800, plus 34% of the excess over $250,000.
Inserted: Over $500,000............................. $155,800, plus 35% of the excess of $500,000.".
Inserted: (b) Treatment of Certain Transfers in Trust.--Section 2511 (relating to transfers in general) is amended by adding at the end the following new subsection:
Inserted: "(c) Treatment of Certain Transfers in Trust.--Notwithstanding any other provision of this section and except as provided in regulations, a transfer in trust shall be treated as a taxable gift under section 2503, unless the trust is treated as wholly owned by the donor or the donor's spouse under subpart E of part I of subchapter J of chapter 1.".
Inserted: (c) Lifetime Gift Exemption.--Paragraph (1) of section 2505(a) of the Internal Revenue Code of 1986 is amended to read as follows:
Inserted: "(1) the amount of the tentative tax which would be determined under the rate schedule set forth in section 2502(a)(2) if the amount with respect to which such tentative tax is to be computed were $5,000,000, reduced by".
Inserted: (d) Conforming Amendments.--
Inserted: (1) Section 2505(a) of such Code is amended by striking the last sentence.
Inserted: (2) The heading for section 2505 of such Code is amended by striking "UNIFIED".
Inserted: (3) The item in the table of sections for subchapter A of chapter 12 of such Code relating to section 2505 is amended to read as follows:
Inserted: "Sec. 2505. Credit against gift tax.".
Inserted: (e) Effective Date.--The amendments made by this section shall apply to gifts made on or after the date of the enactment of this Act.
Inserted: (f) Transition Rule.--
Inserted: (1) In general.--For purposes of applying sections 1015(d), 2502, and 2505 of the Internal Revenue Code of 1986, the calendar year in which this Act is enacted shall be treated as 2 separate calendar years one of which ends on the day before the date of the enactment of this Act and the other of which begins on such date of enactment.
Inserted: (2) Application of section 2504(b).--For purposes of applying section 2504(b) of the Internal Revenue Code of 1986, the calendar year in which this Act is enacted shall be treated as one preceding calendar period.
Original wording
At the end of subtitle C of title XII, insert the following:
Read automatically from the Congressional Record. Check the original before relying on it.
As printed
SA 1021. Mr. LEE submitted an amendment intended to be proposed by him to the bill S. 954, to reauthorize agricultural programs through 2018;
which was ordered to lie on the table; as follows:
At the end of subtitle C of title XII, insert the following:
SEC. 12213. REPEAL OF ESTATE AND GENERATION-SKIPPING TRANSFER TAXES.
(a) Estate Tax Repeal.--Subchapter C of chapter 11 of subtitle B of the Internal Revenue Code of 1986 is amended by adding at the end the following new section:
“SEC. 2210. TERMINATION.
“(a) In General.--Except as provided in subsection (b), this chapter shall not apply to the estates of decedents dying on or after the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013.
“(b) Certain Distributions From Qualified Domestic Trusts.--In applying section 2056A with respect to the surviving spouse of a decedent dying before the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013--
“(1) section 2056A(b)(1)(A) shall not apply to distributions made after the 10-year period beginning on such date, and
“(2) section 2056A(b)(1)(B) shall not apply on or after such date.”.
(b) Generation-Skipping Transfer Tax Repeal.--Subchapter G of chapter 13 of subtitle B of such Code is amended by adding at the end the following new section:
“SEC. 2664. TERMINATION.
“This chapter shall not apply to generation-skipping transfers on or after the date of the enactment of the Agriculture Reform, Food, and Jobs Act of 2013.”.
(c) Conforming Amendments.--
(1) The table of sections for subchapter C of chapter 11 is amended by adding at the end the following new item:
“Sec. 2210. Termination.”.
(2) The table of sections for subchapter G of chapter 13 is amended by adding at the end the following new item:
“Sec. 2664. Termination.”.
(d) Restoration of Pre-EGTRRA Provisions Not Applicable.--
(1) In general.--Section 301 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 shall not apply to estates of decedents dying, and transfers made, on or after the date of the enactment of this Act.
(2) Exception for stepped-up basis.--Paragraph (1) shall not apply to the provisions of law amended by subtitle E of title V of the Economic Growth and Tax Relief Reconciliation Act of 2001 (relating to carryover basis at death; other changes taking effect with repeal).
(e) Effective Date.--The amendments made by this section shall apply to the estates of decedents dying, and generation-skipping transfers, after the date of the enactment of this Act.
SEC. 12214. MODIFICATIONS OF GIFT TAX.
(a) Computation of Gift Tax.--Subsection (a) of section 2502 of the Internal Revenue Code of 1986 is amended to read as follows:
“(a) Computation of Tax.--
“(1) In general.--The tax imposed by section 2501 for each calendar year shall be an amount equal to the excess of--
“(A) a tentative tax, computed under paragraph (2), on the aggregate sum of the taxable gifts for such calendar year and for each of the preceding calendar periods, over
“(B) a tentative tax, computed under paragraph (2), on the aggregate sum of the taxable gifts for each of the preceding calendar periods.
“(2) Rate schedule.--
“If the amount with respect to which the The tentative
tentative tax to be computed is: tax is:
Not over $10,000.......................... 18% of such amount.
Over $10,000 but not over $20,000......... $1,800, plus 20% of the excess over $10,000.
Over $20,000 but not over $40,000......... $3,800, plus 22% of the excess over $20,000.
Over $40,000 but not over $60,000......... $8,200, plus 24% of the excess over $40,000.
Over $60,000 but not over $80,000......... $13,000, plus 26% of the excess over $60,000.
Over $80,000 but not over $100,000........ $18,200, plus 28% of the excess over $80,000.
Over $100,000 but not over $150,000....... $23,800, plus 30% of the excess over $100,000.
Over $150,000 but not over $250,000....... $38,800, plus 32% of the excess of $150,000.
Over $250,000 but not over $500,000....... $70,800, plus 34% of the excess over $250,000.
Over $500,000............................. $155,800, plus 35% of the excess of $500,000.”.
(b) Treatment of Certain Transfers in Trust.--Section 2511 (relating to transfers in general) is amended by adding at the end the following new subsection:
“(c) Treatment of Certain Transfers in Trust.--Notwithstanding any other provision of this section and except as provided in regulations, a transfer in trust shall be treated as a taxable gift under section 2503, unless the trust is treated as wholly owned by the donor or the donor's spouse under subpart E of part I of subchapter J of chapter 1.”.
(c) Lifetime Gift Exemption.--Paragraph (1) of section 2505(a) of the Internal Revenue Code of 1986 is amended to read as follows:
“(1) the amount of the tentative tax which would be determined under the rate schedule set forth in section 2502(a)(2) if the amount with respect to which such tentative tax is to be computed were $5,000,000, reduced by”.
(d) Conforming Amendments.--
(1) Section 2505(a) of such Code is amended by striking the last sentence.
(2) The heading for section 2505 of such Code is amended by striking “UNIFIED”.
(3) The item in the table of sections for subchapter A of chapter 12 of such Code relating to section 2505 is amended to read as follows:
“Sec. 2505. Credit against gift tax.”.
(e) Effective Date.--The amendments made by this section shall apply to gifts made on or after the date of the enactment of this Act.
(f) Transition Rule.--
(1) In general.--For purposes of applying sections 1015(d), 2502, and 2505 of the Internal Revenue Code of 1986, the calendar year in which this Act is enacted shall be treated as 2 separate calendar years one of which ends on the day before the date of the enactment of this Act and the other of which begins on such date of enactment.
(2) Application of section 2504(b).--For purposes of applying section 2504(b) of the Internal Revenue Code of 1986, the calendar year in which this Act is enacted shall be treated as one preceding calendar period.
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Senate amendment submitted
May 21, 2013