S.Amdt. 5333

SA 5333. Mr. LEE submitted an amendment intended to be proposed to
amendment SA 5194 proposed by Mr. Schumer to the bill H.R. 5376, to
provide for reconciliation pursuant to title II of S. Con. Res. 14;
which was ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. ___. EXCISE TAXES ON ONLINE PORNOGRAPHIC SERVICES.

(a) In General.--Subtitle D of the Internal Revenue Code of
1986, as amended by section 11003, is amended by adding at
the end the following new chapter:

``CHAPTER 50B--ONLINE PORNOGRAPHIC SERVICES

``Sec. 5000E. Online pornographic services.

``SEC. 5000E. ONLINE PORNOGRAPHIC SERVICES.

``(a) In General.--
``(1) Content.--There is hereby imposed on the sale of any
pornographic content, or any subscription for such content,
by an online pornographic service a tax in an amount equal to
20 percent of the amount paid for such content or
subscription.
``(2) Advertisements.--There is hereby imposed on the sale
of any advertisement on an online pornographic service a tax
in an amount equal to 20 percent of the amount paid for such
advertisement.
``(b) Definitions.--In this section--
``(1) Online pornographic service.--The term `online
pornographic service' means an entity which is--
``(A) an interactive computer service (as defined in
section 230(f) of the Communications Act of 1934 (47 U.S.C.
230(f))),
``(B) engaged in interstate or foreign commerce or
purposefully avails itself of the United States market or a
portion thereof, and

[[Page S4317]]

``(C) in the regular course of the trade or business of the
entity, creating, hosting, or making available pornographic
content provided by a user or other information content
provider, with the objective intent of earning a profit as a
result of those activities.
``(2) Pornographic content.--The term `pornographic
content' means, with respect to a picture, image, graphic
image file, film, videotape, or other visual depiction, that
such picture, image, graphic image file, film, videotape, or
other depiction depicts an actual or simulated sexual act or
sexual contact (as defined in section 2246 of title 18,
United States Code), actual or simulate normal or perverted
sexual acts, or lewd exhibition of the genitals.
``(c) Payment of Tax.--For purposes of this section, rules
similar to the rules of section 5000B(c) shall apply.''.
(b) Clerical Amendment.--The table of chapters for subtitle
D of the Internal Revenue Code of 1986, as amended by this
Act, is amended by inserting after the item relating to
chapter 50A the following new item:

``Chapter 50B--Online Pornographic Services''.

(c) Effective Date.--The amendments made by this section
shall apply to sales made after the date of enactment of this
Act.

SEC. ___. ENHANCEMENT OF ADOPTION TAX CREDIT.

(a) Increase in Amounts.--
(1) In general.--Paragraph (1) of section 23(b) of the
Internal Revenue Code of 1986 is amended by striking
``$10,000'' and inserting ``$20,000''.
(2) Adoption of child with special needs.--Paragraph (3) of
section 23(a) of such Code is amended--
(A) by striking ``$10,000'' in the heading and inserting
``$20,000'', and
(B) by striking ``$10,000'' and inserting ``$20,000''.
(b) Inflation Adjustment of Increase and Income
Limitation.--Subsection (g) of section 23 of the Internal
Revenue Code of 1986 is amended--
(1) by striking ``December 31, 2002'' and inserting
``December 31, 2022'', and
(2) by striking ``2001'' in paragraph (2) thereof and
inserting ``2021''.
(c) Medical Expenses.--23(d) of the Internal Revenue Code
of 1986 is amended by adding at the end the following:
``(4) Medical expenses.--The term `qualified adoption
expenses' shall include any reasonable medical expenses which
are--
``(A) related to the pregnancy and birth of an eligible
child,
``(B) incurred by an individual who has adopted such child,
and
``(C) not reimbursed under a health plan or otherwise.''.
(d) Temporary Refundability.--
(1) In general.--Section 23 of the Internal Revenue Code of
1986 is amended by adding at the end the following:
``(j) Temporary Refundability.--
``(1) In general.--In the case of a taxable year beginning
after December 31, 2022, and before January 1, 2028, this
section shall be applied as provided in paragraph (2).
``(2) Portion of credit refundable.--The aggregate credits
allowed to a taxpayer under subpart C shall be increased by
the lesser of--
``(A) the credit which would be allowed under this section
without regard to this subsection and the limitation under
section 26(a), or
``(B) the amount by which the aggregate amount of credits
allowed by this subpart (determined without regard to this
subsection) would increase if the limitation imposed by
section 26(a) were increased by the greater of--
``(i) 15 percent of so much of the taxpayer's earned income
(within the meaning of section 32) which is taken into
account in computing taxable income for the taxable year as
exceeds $3,000, or
``(ii) in the case of a taxpayer with 3 or more qualifying
children (as defined in section 24(c)), the excess (if any)
of--

``(I) the taxpayer's social security taxes for the taxable
year, over
``(II) the credit allowed under section 32 for the taxable
year.

``(3) Additional rules.--The amount of the credit allowed
under this subsection shall not be treated as a credit
allowed under this subpart and shall reduce the amount of
credit otherwise allowable under subsection (a) without
regard to section 26(a). For purposes of subparagraph (B) of
paragraph (2), any amount excluded from gross income by
reason of section 112 shall be treated as earned income which
is taken into account in computing taxable income for the
taxable year.
``(4) Social security taxes.--For purposes of this
subsection, the term `social security taxes' has the same
meaning given such term under section 24(d)(2).
``(5) Exception for taxpayers excluding foreign earned
income.--This subsection shall not apply to any taxpayer for
any taxable year if such taxpayer elects to exclude any
amount from gross income under section 911 for such taxable
year.''.
(2) Conforming amendment.--Section 23(c)(1) is amended by
inserting ``(after the application of subsection (j))'' after
``for any taxable year''.
(e) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after December 31,
2022.
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