A bill to amend the Internal Revenue Code of 1954 to provide individuals a credit against income tax for amounts paid or incurred for certain State and local individual income taxes and to repeal the deduction for such taxes, State and local general sales taxes, and State and local taxes on gasoline and other motor fuels.

Amends the Internal Revenue Code to allow a credit against the tax liability of an individual equal to 50 percent of the State and local income taxes paid by such individual in a taxable year. Limits the allowable credit to 20 percent of such individual's tax liability.

Disallows tax deductions for State and local individual income taxes, State and local general sales taxes, and State and local gasoline taxes.