H.R. 4297 - Tax Relief Extension Reconciliation Act of 2005

1.Structured rule

2. Provides one hour of debate in the House equally divided and controlled by the chairman and ranking minority member of the Committee on Ways and Means.

3. Waives all points of order against consideration of the bill.

4. Provides that the amendment in the nature of a substitute recommended by the Committee on Ways and Means now printed in the bill shall be considered as adopted.

5. Makes in order the amendment in the nature of a substitute printed in the Rules Committee report accompanying the resolution, if offered by Representative Rangel of New York or his designee, which shall be considered as read, and shall be separately debatable for one hour equally divided and controlled by the proponent and an opponent.

6. Waives all points of order against the amendment in the nature of a substitute printed in the Rules Committee report.

7. Provides one motion to recommit with or without instruction.

 

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RESOLUTION

Resolved, That upon the adoption of this resolution it shall be in order without intervention of any point of order to consider in the House the bill (H.R. 4297) to provide for reconciliation pursuant to section 201(b) of the concurrent resolution on the budget for fiscal year 2006. The bill shall be considered as read. The amendment in the nature of a substitute recommended by the Committee on Ways and Means now printed in the bill shall be considered as adopted. The previous question shall be considered as ordered on the bill, as amended, to final passage without intervening motion except: (1) one hour of debate on the bill, as amended, equally divided and controlled by the chairman and ranking minority member of the Committee on Ways and Means; (2) the amendment in the nature of a substitute printed in the report of the Committee on Rules accompanying this resolution, if offered by Representative Rangel of New York or his designee, which shall be in order without intervention of any point of order, shall be considered as read, and shall be separately debatable for one hour equally divided and controlled by the proponent and an opponent; and (3) one motion to recommit with or without instructions.

 

Summary of the Amendment in the Nature of a Substitute Made in Order to
H.R. 4297 - TAX RELIEF EXTENSION RECONCILIATION ACT OF 2005

 
Rangel #1: Amendment in the Nature of a Substitute
The amendment would extend for one year all expiring provisions contained in Title I of H.R. 4297, including the deduction for state and local retail sales taxes, the deduction for college tuition expenses, tax incentives for the District of Columbia and Indian reservations, 15 year depreciation period for leasehold and restaurant improvements, qualified zone academy bonds, the Brownfields cleanup tax incentive, and several other more minor provisions. The amendment makes no substantive changes to the expiring provisions, except for the research credit, work opportunity tax credit, and welfare- to-work tax credit, which are expanded to match the Thomas bill. In addition to the one-year extensions that are retained by the amendment, the amendment also would extend the temporary provision that terminates at the end of this calendar year and that provides a larger earned income tax credit for the families of those serving in Iraq.

In addition the amendment would totally eliminate all individual minimum tax liability for individuals with incomes below $200,000 for joint returns, $100,000 in other cases, for taxable year 2006. This provision would reduce the number of AMT taxpayers from 19 million under current law for taxable year 2006 to slightly over 3 million.

The amendment does not extend tax benefits that do not terminate at the end of this calendar year such as the lower rates on capital gains and dividends. The alternative also includes a broad package of additional provisions that were added by the full Committee.

The provisions of the alternative described above would cost approximately $43 billion. The cost is offset by taking back a portion of the recent tax cuts from individuals with annual incomes over $1 million for joint returns, $500,000 for other returns. (60 minutes)

 

 

Text of the Amendment

 

Rangel #1