AMT Credit Fairness Act of 2005 - Amends the Internal Revenue Code to: (1) make unused alternative minimum tax credits more than four years old refundable at the greater of 20 percent annually or $5,000 per year; and (2) require corporations to provide stock option recipients with certain tax disclosures.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3385 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 3385
To amend the Internal Revenue Code of 1986 to make the credit for prior
year minimum tax liability refundable for individuals after a period of
years, to require returns with respect to certain stock options, and
for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 21, 2005
Mr. Sam Johnson of Texas (for himself, Mr. Neal of Massachusetts, Mr.
McCrery, Mr. Jefferson, Mr. Ramstad, Mr. Shaw, Mrs. Johnson of
Connecticut, Mr. English of Pennsylvania, Ms. Zoe Lofgren of
California, Mr. Simmons, Mr. Honda, Mr. McCaul of Texas, Mr. Paul, and
Mr. Gerlach) 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 make the credit for prior
year minimum tax liability refundable for individuals after a period of
years, to require returns with respect to certain stock options, 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. SHORT TITLE.
This Act may be cited as the ``AMT Credit Fairness Act of 2005''.
SEC. 2. CREDIT FOR PRIOR YEAR MINIMUM TAX LIABILITY MADE REFUNDABLE
AFTER PERIOD OF YEARS.
(a) In General.--Section 53 of the Internal Revenue Code of 1986
(relating to credit for prior year minimum tax liability) is amended by
adding at the end the following new subsection:
``(e) Special Rule for Individuals With Long-Term Unused Credits.--
``(1) In general.--If an individual has a long-term unused
minimum tax credit for any taxable year, the amount determined
under subsection (c) for such taxable year shall not be less
than an amount equal to the greater of--
``(A) the lesser of--
``(i) $5,000, or
``(ii) the amount of such credit, or
``(B) 20 percent of the amount of such credit.
``(2) Long-term unused minimum tax credit.--
``(A) In general.--For purposes of this subsection,
the term `long-term unused minimum tax credit' means,
with respect to any taxable year, the portion of the
minimum tax credit determined under subsection (b)
attributable to the adjusted net minimum tax for
taxable years before the 3rd taxable year immediately
preceeding such taxable year.
``(B) First-in, first-out ordering rule.--For
purposes of subparagraph (A), credits shall be treated
as allowed under subsection (a) on a first-in, first-
out basis.
``(3) Credit refundable.--For purposes of this title (other
than this section), the credit allowed by reason of this
subsection shall be treated as if it were allowed under subpart
C.''.
(b) Conforming Amendment.--Paragraph (2) of section 1324(b) of
title 31, United States Code, is amended by inserting ``or 53(e)''
after ``section 35''.
(c) Effective Date.--The amendments made by this section shall
apply to taxable years ending after the date of the enactment of this
Act.
SEC. 3. RETURNS REQUIRED IN CONNECTION WITH CERTAIN OPTIONS.
(a) In General.--So much of section 6039(a) of the Internal Revenue
Code of 1986 as follows paragraph (2) is amended to read as follows:
``shall, for such calendar year, make a return at such time and in such
manner, and setting forth such information, as the Secretary may by
regulations prescribe.''.
(b) Statements to Persons With Respect to Whom Information Is
Furnished.--Section 6039 of such Code is amended by redesignating
subsections (b) and (c) as subsection (c) and (d), respectively, and by
inserting after subsection (a) the following new subsection:
``(b) Statements to Be Furnished to Persons With Respect to Whom
Information Is Reported.--Every corporation making a return under
subsection (a) shall furnish to each person whose name is set forth in
such return a written statement setting forth such information as the
Secretary may by regulations prescribe. The written statement required
under the preceding sentence shall be furnished to such person on or
before January 31 of the year following the calendar year for which the
return under subsection (a) was made.''.
(c) Conforming Amendments.--
(1) Section 6724(d)(1)(B) of such Code is amended by
striking ``or'' at the end of clause (xvii), by striking
``and'' at the end of clause (xviii) and inserting ``or'', and
by adding at the end the following new clause:
``(xix) section 6039(a) (relating to
returns required with respect to certain
options), and''.
(2) Section 6724(d)(2)(B) of such Code is amended by
striking ``section 6039(a)'' and inserting ``section 6039(b)''.
(3) The heading of section 6039 of such Code and the item
relating to such section in the table of sections of subpart A
of part III of subchapter A of chapter 61 of such Code are each
amended by striking ``Information'' and inserting ``Returns''.
(4) The heading of subsection (a) of section 6039 of such
Code is amended by striking ``Furnishing of Information'' and
inserting ``Requirement of Reporting''.
(d) Effective Date.--The amendments made by this section shall
apply to calendar years beginning after the date of the enactment of
this Act.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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