Max Tax Act

Alternative Maximum Tax Act or the Max Tax Act - Amends the Internal Revenue Code to provide for an alternative maximum tax for a taxpayer other than a corporate taxpayer. Limits the tax to 50% of the taxpayer's adjusted gross income, calculated by adding all federal, state, and local taxes paid by the taxpayer during the taxable year and dividing that amount by the taxpayer's adjusted gross income.

[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4512 Introduced in House (IH)]

113th CONGRESS
  2d Session
                                H. R. 4512

To amend the Internal Revenue Code of 1986 to establish a maximum rate 
         of Federal, State, and local tax imposed on taxpayers.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 29, 2014

  Mr. Jolly 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 maximum rate 
         of Federal, State, and local tax imposed on taxpayers.

    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 ``Alternative Maximum Tax Act'' or the 
``Max Tax Act''.

SEC. 2. MAXIMUM TAX IMPOSED.

    (a) In General.--Part I of subchapter A of chapter 1 of the 
Internal Revenue Code of 1986 is amended by inserting after section 3 
the following new section:

``SEC. 4. MAXIMUM TAX IMPOSED.

    ``(a) In General.--Notwithstanding any other provision of this 
subtitle, the tax imposed under this chapter on a taxpayer other than a 
corporation for the taxable year shall not exceed the amount which 
when, added to the tax amounts described in subsection (b), bears the 
same ratio as 50 percent of adjusted gross income of the taxpayer for 
the taxable year bears to the adjusted gross income of the taxpayer for 
the taxable year.
    ``(b) Tax Amounts Described.--For purposes this section, the tax 
amounts described in this subsection are the amounts of tax paid for 
any period (or allocable portion thereof) in the taxable year under any 
of the following Federal, State, or local taxes:
            ``(1) Air transportation taxes.
            ``(2) Biodiesel fuel taxes.
            ``(3) Cigarette taxes.
            ``(4) Medicare tax.
            ``(5) Social Security tax.
            ``(6) Estate taxes.
            ``(7) Insurance taxes, including insurance premium taxes, 
        excise taxes on comprehensive health insurance plans, and 
        individual health insurance mandate taxes.
            ``(8) Federal unemployment taxes.
            ``(9) Garbage taxes.
            ``(10) Gasoline taxes.
            ``(11) Gift taxes.
            ``(12) Hotel taxes.
            ``(13) Import taxes.
            ``(14) Income tax, including city, State, and county.
            ``(15) Inheritance taxes.
            ``(16) Interstate user diesel fuel taxes.
            ``(17) Inventory taxes.
            ``(18) Liquor taxes.
            ``(19) Luxury taxes.
            ``(20) Medicare taxes.
            ``(21) Taxes enacted under the Patient Protection and 
        Affordable Care Act, including the individual mandate excise 
        tax and the Medicare tax surcharge on investment income of high 
        earning Americans.
            ``(22) Tangible personal property taxes.
            ``(23) Real estate taxes.
            ``(24) Sales taxes.
            ``(25) Self-employment taxes.
            ``(26) Service charge taxes.
            ``(27) Sewer and water taxes.
            ``(28) Special assessments (city and county).
            ``(29) State unemployment taxes (SUTA).
            ``(30) Tanning taxes.
            ``(31) Telephone-related taxes, including telephone 911 
        service taxes, telephone Federal excise taxes, telephone 
        Federal universal service fee taxes, telephone minimum usage 
        surcharge taxes, telephone State and local taxes, telephone 
        universal access taxes.
            ``(32) Tire taxes.
            ``(33) Use taxes (city, county, and State).
            ``(34) Utility taxes.
            ``(35) Vehicle registration taxes.
            ``(36) Waste management taxes.
            ``(37) Workers compensation taxes.
    ``(c) Regulations.--The Secretary shall prescribe such regulations 
as may be necessary to carry out this section.''.
    (b) Clerical Amendment.--The table of sections for part I of 
subchapter A of chapter 1 of the Internal Revenue Code of 1986 is 
amended by inserting after the item relating to section 3 the following 
new item:

``Sec. 4. Maximum tax imposed.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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