United States · United States Congress · 23 September 1981
Amends the Tariff Schedules of the United States to revise the tariff treatment of various articles. Excludes from the tariff on canned tuna any tuna produced by insular possessions. Reduces and sets a schedule for further reducing the duty on ceramic insulators used in spark plugs for internal combustion engines. Repeals the temporary reduction of the duty on ceramic insulators having a specified alumina oxide content and used in spark plugs. Schedules reductions in the duty on chipper knife steel between 1982 and 1986. Repeals the temporary tariff reduction on such steel. Makes permanent the duty-free treatment of Yankee dryer cylinders. Exempts from duty aircraft components and materials contained in an aircraft which was: (1) previously exported from the United States; (2) composed, at the time of its exportation, of components and materials made and installed in the United States; (3) returned to the United States without having been improved; and (4) entered for use in the United States before 1970. Extends duty-free treatment to pipe organ parts and ceramic toy tea sets. Increases the value limitations for duty-free importations of articles: (1) accompanying a U.S. resident returning from a country other than a U.S. possession; and (2) whether or not accompanying a person coming directly or indirectly from a U.S. possession. Amends the Tariff Act of 1930 to increase the value limitations for duty-free importations of gifts from U.S. possessions and from other countries. Amends the Tariff Schedules of the United States to exempt importers of prayer shawls and religious headwear from the prohibition against commercial enterprises importing religious articles. Extends duty-free treatment to prayer shawls, bags for the shawls, and religious headwear. Increases the value limitations of informal entries of imported merchandise. Suspends the duty on: (1) carob flour until December 31, 1984; (2) 4-chloro-3-methylphenol until June 30, 1984; and (3) tartaric acid and certain tartaric chemicals until June 30, 1984; and (4) certain freight containers until December 31, 1986. Makes the suspension of duty on the tartaric acid and chemicals retroactive to June 30, 1980, if such treatment is requested within a specified time. Extends the suspension of duty on: (1) wood excelsior until June 30, 1983; and (2) doxorubicin hydrochloride until June 29, 1988. Extends duty free treatment to copper waste and scrap and copper articles if the market price of copper is 51 cents per pound or more. Extends duty-free treatment to certain other metal waste and scrap. Sets forth the method of determining the market price of copper.
United States · United States Congress · 21 September 1981
Independent Contractor Tax Status Clarification Act of 1981 - Amends the Internal Revenue Code to specify standards for determining whether certain individuals qualify as independent contractors for purposes of the tax on employment income. Treats an individual as an independent contractor if such individual: (1) controls the total number of his work hours; (2) does not maintain a principal place of business, or, if he does, such place of business is not provided, or is not provided rent-free, by the person for whom such individual performs services; (3) has substantial investment in his business and earns income based upon sales or output rather than upon number of hours worked; (4) performs services pursuant to a written contract and is provided written notice of his responsibility with respect to income and self-employment taxes; and (5) the recipient of such individual's services files returns disclosing payments made to such individual. Provides that the criteria established by this Act shall not be applicable to agent-drivers, commission-drivers, full-time life insurance salesmen, home workers, and traveling or city salesmen who are statutorily designated as employees for purposes of social security taxation. Provides that the failure of an individual claiming independent contractor status to meet the criteria established by this Act shall not create an inference that such an individual is an employee or that the recipient of his services is an employer. Limits the applicability of the criteria established by this Act to questions of employment status arising under the Federal Insurance Contributions Act, the Federal Unemployment Tax Act, self-employment tax provisions, and withholding requirements under the Internal Revenue Code. Requires recipients of services performed by an independent contractor to file an information return with respect to payments made for such services in excess of $600 for the taxable year. Requires individuals who file such information returns to furnish written statements to persons with respect to whom such information is reported which indicate the amount of payment reported. Provides penalties for failure to furnish information returns or statements. Applies deficiency procedures for the assessment of unpaid taxes due to the reclassification of an individual as an employee who had been treated as an independent contractor. Treats as employees, for purposes of the withholding of income tax, certain traveling or city salesmen.
United States · United States Congress · 30 July 1981
Title I: Recommended Executive Actions - Urges the President to seek institutional ways to ensure more adequate consultation by the United States with Japan and to encourage U.S. Cabinet officers to consult with their Japanese counterparts regularly. Urges the President to discuss arranging with Japan medium-term supply, purchase, and storage commitments for farm produce. Title II: Discussions and Studies Regarding United States-Japan Relations - Establishes the Japan-United States Interparliamentary Group to meet annually to discuss common problems in the interest of relations between the United States and Japan. Requires the U.S. members of the Group to report annually to Congress. Authorizes the Secretary of Commerce to grant funds for fiscal years 1983-1986 to the Japan-United States Trade Study Group, a voluntary group of businessmen and government officials formed to resolve trade problems and misunderstandings between the two countries. Authorizes the Secretary to grant funds to similar trade study groups for the United States, and other countries. Directs the U.S. Comptroller General to submit to Congress a study on recent and current trends in Japanese productivity in selected basic and high technology industries. Directs the Secretary of Energy to report annually to Congress on the comparative energy efficiency between the United States and Japan for at least 20 significant industrial processes during a specified five year period. Title III: Amendments to, and Actions under, Existing Law for Purposes of Improving Japan-United States Relations - Amends the Export Administration Act of 1979 to authorize the President to export oil to Japan during the effective period of a bilateral agreement: (1) which provides for the sale to or exchange with the United States by Japan of an equal amount of crude oil; and (2) between the United States and Japan which coordinates nonpetroleum energy research and development projects. Makes the Export Administration Act of 1979 not applicable to coal specified in bilateral coal agreements which guaranteed access to foreign markets and guaranteed supply by the United States. Urges the President to negotiate a trade agreement with Japan, the European Economic Community, and other countries providing for: (1) a mutual substantial reduction in, or elimination of, duties on semi-conductors and integrated circuits; and (2) the mutual reduction or elimination of nontariff barriers to trade in semi-conductors, integrated circuits, and related high technology electronic products. Amends the Federal provisions for developing the Senior Executive Service to encourage sabbaticals for personnel to study foreign countries and foreign languages. Amends the Federal provisions for training government employees to require the heads of agencies to regularly review the need for foreign language training.
United States · United States Congress · 30 July 1981
Retirement Income Incentives and Administrative Simplification Act of 1981 - Title I: Employee Benefit Administration - Amends the Employee Retirement Income Security Act of 1974 (ERISA) to direct the President to establish, by the beginning of the second calendar year after enactment of this Act, the Employee Benefit Administration as an independent agency within the executive branch to be headed by a three member Board of Directors. Provides for the appointment as Board members: (1) "special liaison officers to the Administration" whose positions are established within the Offices of the Secretary of Labor and the Secretary of the Treasury; and (2) an Executive Director appointed by the President. Vests in the Board all functions relating to the qualification of employee benefit plans under the Internal Revenue Code. Transfers to the Board the responsibilities for administration and enforcement of: (1) the Welfare and Pension Disclosure Act; (2) Internal Revenue Code provisions relating to tax-qualified deferred compensation plans and certain other employee benefit plans; and (3) ERISA. Directs the President to transfer to the Board additional functions of any Federal agency as are deemed necessary to consolidate in the Administration all administrative and related functions regarding employee benefit plans. Directs the Board to promulgate regulations providing for the consolidation of all reports regarding employee benefit plans and governmental plans required under ERISA or the Internal Revenue Code. Sets forth the duties and responsibilities of the Board, the Secretary of the Treasury, and other Federal agencies with respect to the coordination of functions under ERISA and the Internal Revenue Code. Authorizes appropriations to the Administration for purposes of carrying out its functions. Transfers the Joint Board for the Enrollment of Actuaries (redesignated as the "Actuary Enrollment Board") to the Administration. Removes the Pension Benefit Guaranty Corporation from the Department of Labor and replaces its board of directors with that of the Administration. Title II: Amendments to the Employee Retirement Income Security Act of 1974 - Subtitle A: Amendments to Definitions - Amends ERISA to specify supplemental retirement income arrangements which are to be considered welfare plans rather than pension plans. Authorizes the Secretary of Labor to exempt by regulation any severance pay or supplemental income arrangement from provisions applicable to welfare plans and to provide alternative methods of compliance with any such provision. Conforms the definitions of "party in interest" and "governmental plan" with the Internal Revenue Code. Revises the definitions of "normal retirement age" and "relative." Subtitle B: Amendments to Reporting and Disclosure Provisions - Eliminates requirements regarding the filing of a plan description with the Secretary of Labor. Requires, rather than allows, qualified public accountants and actuaries to rely on the correctness of actuarial or accounting matters certified to by an enrolled actuary or with respect to which a qualified public accountant has expressed an opinion, respectively, for purposes of the preparation of annual reports. Allows a pension plan which is held in a trust consisting of the assets of two or more participating plans which are maintained by a single employer (or by two or more employers all of whom are members of the same controlled group) to elect to include in its annual report certain information regarding all of the assets of the trust in lieu of the information currently required to be reported by a plan. Eliminates the requirement that the present value of certain plan liabilities be included in the actuarial statement. Revises requirements regarding simplified annual reports for pension plans with less than 100 participants. Requires the distribution of updated summary plan descriptions every tenth year, rather than every fifth year, after the plan becomes subject to the reporting and disclosure requirements. Modifies the requirement that a plan administrator furnish to a participant or beneficiary a copy of certain financial statements to direct the administrator to post such statements at principal work sites together with a statement of the right of employee participants to receive copies of the latest annual report and summary plan description. Directs the Secretary of Labor to provide for alternative means by which such information may be communicated to participants. Limits to ten dollars the charge for a complete copy of the latest annual report or other instrument under which a plan is established or operated. Specifies information required to be provided by an applicant for an advance determination by the Secretary of the Treasury that a plan is a tax-qualified deferred compensation plan. Revises requirements regarding the disclosure to a participant or beneficiary of benefit rights and account information. Directs administrators to issue reports to certain plan participants who have separated from service stating the nature, amount, and form of the deferred vested benefit to which they are entitled. Requires employers to maintain records regarding each employee sufficient to determine the benefits due to the employee. Prohibits public access to pension report information in computer-compatible form until a statement has been filed with the Secretary of Labor by the recipient of the information which provides assurances that the information will not be used for commercial purposes. Requires, rather than allows, the Secretary to prescribe an alternative method of compliance with reporting requirements under certain circumstances. Specifies circumstances in which the administrator of a multiemployer plan may use an alternative method of information distribution. Subtitle C: Amendments to Participation and Vesting Provisions - Permits the determination of pension plan eligibility on a plan year basis. Modifies provisions regarding the suspension of benefit payments by multiemployer plans, where the employee is employed in the same industry, trade or craft, and geographic area covered by the plan, to permit the term "employed" to include self-employment and work on an irregular basis. Specifies that the notification and election requirement triggered by a change in vesting schedules shall be applicable only to employees who would be adversely affected by the change. Makes 125 days of service in any maritime industry equivalent to 1,000 hours of service for purposes of satisfying benefit accrual requirements. Allows a multiemployer plan to provide that a participant's accrued benefit upon separation is the sum of the different rates of benefit accrual for different periods of participation as defined by one or more fixed calendar dates or by employment in different bargaining units. Specifies that the normal retirement benefit, for purposes of computing the minimum accrued benefit to which a participant is entitled upon separation, shall be a projected normal retirement benefit. Requires a plan offering an optional benefit form, in order not to be treated as having altered a participant's accrued benefit by reason of a change in actuarial assumptions, to set forth such assumptions in a separate document. Requires plans in which a majority of employees are seasonal employees to use 500 hours, rather than 1000 hours, for purposes of defining a year of service. Permits a period of service, in the case of a multiemployer plan, to qualify as a year of participation although a plan makes allowance for delinquent employer contributions. Revises joint and survivor annuity requirements. Allows the assignment of pension plan benefits pursuant to a specific State court decree of divorce, annulment, legal separation, or family support or a court order relating to marital property rights. Prescribes notification requirements with respect to any such assignment. Directs the Secretary of the Treasury to prescribe methods of measuring service based upon the elapsed time of an employee's service. Subtitle D: Amendments to Funding Provisions - Makes certain revisions with respect to funding, including a requirement that changes in funding method or plan year need be approved only when made more than once in a three-year period and a requirement that a funding method take into account future benefit changes. Subtitle E: Amendments to Fiduciary Responsibility Provisions - Excludes from the assets of a plan any assets of an insurer which funds the plan and which are not held in separate accounts, other than a contract or policy of insurance issued to the plan, solely by reason of such issuance. Revises provisions regarding the designation and responsibilities of fiduciaries. Permits the return to an employer of an overpayment of withdrawal liability: (1) in the case of a multiemployer plan; and (2) in the case of a multiemployer plan maintained pursuant to collective bargaining agreements where it is determined that a contribution was made by a mistake of fact or law. Relieves co-fiduciaries to whom a specific duty has not been allocated from liability for an act or omission by a named fiduciary to whom the duty has been allocated. Revises the provisions regarding prohibited transactions by a fiduciary. Revises the definition of "qualifying employer real property" for purposes of the limitation on the acquisition and holding of real property by a plan. Modifies the coverage of the exemption from prohibited transactions effected by the Internal Revenue Code provision which taxes such transactions. Exempts from such prohibitions: (1) certain loans made by a defined contribution plan to a party in interest who is a substantial employer maintaining the plan; and (2) certain leases of personal property between such parties. Conforms certain provisions regarding transactions by parties in interest with provisions of the Internal Revenue Code. Extends the prohibited transaction exemption procedure to owner-employees. Excludes from the assets of a plan, for purposes of the prohibited transactions provision and the limitation on the acquisition and holding of employer securities and employer real property, assets in a pooled separate account of an insurer or in a collective investment fund of a bank supervised by the United States or a State. Allows an exclusion, for purposes of such limitation, if the insurer or bank provides a written assurance that the separate account or trust may not acquire any employer securities or employer real property issued by or leased to any employer or affiliate where the aggregate value of such property after such acquisition would exceed ten percent of the fair market value of the assets of the separate account or trust. Permits indemnification by a plan against expenses or liability for losses incurred in connection with any administrative or judicial civil action or proceeding, subject to a determination that the fiduciary has acted in good faith. Subtitle F: Amendments to Administration and Enforcement Provisions - Creates a civil cause of action for collection by a fiduciary of a multiemployer plan of delinquent employer contributions, subject to a six-year statute of limitations (three years after the date of actual knowledge of the cause of action). Makes available to the Department of Labor for purposes of administering ERISA any amounts which become available through the public request of information. Revises the composition of the Advisory Council on Employee Welfare and Pension Benefit Plans to require that one of the employer members be a representative of employers maintaining small plans. Directs the Secretary of Labor to publish at least annually reports showing the number of plans and participants; amounts of assets, income, and expenses; and certain other information categorized by plan size and type. Deems as preempted by ERISA certain provisions of State law: (1) regarding benefits provided by an insurance policy issued to an employee benefit plan; and (2) which treat a participant's interest in a plan as a security or similar right. Deems as not preempted by ERISA certain provisions of State law: (1) which require an insurance policy issued to a plan to permit a participant to convert or continue protection after the termination of the insurance coverage under the plan; and (2) which prohibit such an insurance policy from classifying health care services as ineligible for coverage solely because the provider is licensed as a provider of services other than those rendered by a medical doctor. Specifies that a participant's interest in a plan covered by ERISA shall not be considered a security or similar right for purposes of the Acts administered by the Securities and Exchange Commission. Subtitle G: Clarifying and Technical Amendments - Makes certain technical changes and corrections. Subtitle H: Reports - Directs the Secretaries of Labor and the Treasury to conduct jointly detailed studies of means by which: (1) administrative burdens of ERISA reporting requirements may be reduced; and (2) certain businesses and banking institutions may be enabled to develop master and prototype pension plans. Title III: Amendments to the Internal Revenue Code of 1954 - Subtitle A: Amendments Related to Title III Amendments - Amends the Internal Revenue Code to make conforming changes in accordance with the provisions of title III of this Act. Subtitle B: Miscellaneous Amendments - Includes in the number of calendar years of active participation in a plan, for purposes of capital gains tax treatment of a portion of a lump sum distribution, active participation in another plan maintained by a predecessor employer or by a member of the same controlled group if the participant's employment was continuous between participation in both such plans. Includes such participation in the minimum period of service required for imposition of the separate tax on lump sum distributions. Revises the rule regarding aggregation of certain trusts and plans for purposes of determining the balance to the credit of an employee which becomes payable to the recipient. Deems a separation from service to have occurred, for purposes of the definition of "lump sum distribution," if an employee has not worked in service covered by the plan for six consecutive months following severance of the employment relationship. Subjects target benefit plans to the limitations on benefits and contributions imposed on defined benefit plans. Permits the rollover into individual retirement accounts or retirement bonds of employee contributions used in calculating rollover amounts for purposes of the taxability of the beneficiary of an employees' trust. Treats such contributions as a source of a rollover amount paid or distributed out of an individual retirement account or annuity or transferred from retirement bonds. Excludes from "acquisition indebtedness," for purposes of computing unrelated business taxable income, certain indebtedness to an insurer incurred by a tax-qualified deferred compensation plan. Provides an actuarial adjustment of the average compensation limit on benefits and contributions imposed on defined benefit plans in the case of a participant whose service continues beyond normal retirement age. Reduces from ten years to five years the period for amortization of past service or other supplementary pension or annuity credits for purposes of determining the amount contributed to pension trusts which is deductible. Specifies conditions under which a plan will be deemed not to have engaged in prohibited discrimination. Permits certain plans to be considered non-discriminatory which meet specified benefit-compensation ratio requirements and: (1) exclude employees whose remuneration consists wholly of "wages" (as defined by the Federal Insurance Contributions Act); or (2) the contributions to or benefits from which based on remuneration not deemed "wages" differ from the contributions or benefits based on wages or differ because of retirement benefits created under State or Federal law. Title IV: Individual Retirement Payroll Deduction Plans for Employees Not Covered by Pension Plans - Amends ERISA to create a new title V, "Individual Retirement Payroll Deduction Plans for Employees Not Covered by Pension Plans," which requires a covered employer to maintain a plan under which eligible employees (those ineligible for coverage under certain pension or retirement plans) may elect to have payroll deductions applied to an individual retirement account or annuity or a retirement bond. Defines "covered employer" as a person engaged in an industry affecting commerce who: (1) had at least 20 employees for each working day in each of at least 20 calendar weeks during the year; and (2) has been engaged in such industry throughout the preceding five-year period. Exempts from such requirement: (1) any covered employer with fewer than ten eligible employees at the close of the preceding calendar year; and (2) any employer who has conducted a referendum of eligible employees the results of which indicate that the number desiring a payroll deduction plan is less than the greater of ten percent of the number of such employees or ten. Imposes civil penalties for failure to maintain such a plan or deduct wages in accordance with an election. Title V: Amendments Relating to Single-Employer Plans - Subtitle A: Amendments to Title IV of the Employee Retirement Income Security Act of 1974 - Amends ERISA, with respect to plan termination insurance, to exempt from premium payment requirements any single-employer plan with fewer than 35 participants. Directs the Pension Benefit Guaranty Corporation (Corporation) to: (1) conduct studies, at least once every five years, to determine the premiums needed to maintain basic-benefit guarantee levels for multiemployer and single-employer plans and whether such levels may be increased without increasing the basic-benefit premium for the plans; (2) report such findings to the House Ways and Means and Education and Labor Committees and the Senate Finance and Labor and Human Resources Committees; and (3) transmit to such committees, if a premium increase is necessary or if basic-benefit guarantees may be increased, appropriate revised schedules. Excludes from guaranteed benefits any benefits provided by a plan which become effective or any increase in benefits effected by a plan amendment occurring after the initiation of bankruptcy proceedings by or against the contributing sponsor or other actions are taken for the benefit of such sponsor's creditors. Defines "contributing sponsor" as a trade or business with employees who are retaining or earning credited service under a plan and which is contributing to the plan. Revises procedures for termination of single-employer plans. Provides for the appointment of a trustee of such a plan upon the occurrence of an insurable event. Defines "insurable event" to mean that: (1) there is a liquidation of every contributing sponsor of the plan; (2) the Corporation determines that because of any partial liquidation, it becomes necessary to protect its own interests; or (3) a U.S. district court has determined, upon application of the Corporation, that the appointment of a trustee is necessitated by the financial condition of the plan. Sets forth conditions for the appointment of, and rights and powers of, a trustee of a plan. Confers on U.S. district courts jurisdiction to stay certain proceedings with respect to the property of a plan. Revises the requirements regarding reportable events. Limits the payment of benefits attributable to employer contributions, in the event that bankruptcy proceedings by or against the contributing sponsor are initiated or other actions are taken for the benefit of such sponsor's creditors, to payment in the form of an annuity. Specifies exceptions to such limitation. Prohibits plan assets, in such event, from being used to purchase annuities other than those subject to allocation. Requires notification to the Corporation by any person who knows or has reason to know of the occurrence or initiation of bankruptcy proceedings, other actions taken for the benefit of the contributing sponsor's creditors, or specified other steps taken to satisfy past due creditors' obligations. Revises provisions regarding liabilities to the Corporation and withdrawal liability to multiple-employer plans. Defines "multiple-employer plan" as a single-employer plan maintained by at least two trades or businesses which are not under common control. Sets forth rules for determining liability of prior contributing sponsors and trades or businesses which are members of a control group of which a prior contributing sponsor was a member. Revises plan termination insurance requirements with respect to the filing of annual reports. Treats as a trade or business, for purposes of the rules regarding liabilities of contributing sponsors and employers, any trade or business which ceases to exist by reason of certain corporate reoganizations. Makes jointly and severally liable, for purposes of such rules, any trade or business which transferred its assets and any person to whom such assets are transferred, where a purpose of the transfer was evasion of liability. Modifies the procedure for the enforcement of claims of liability to the Corporation. Treats unpaid distribution contributions to a single-employer plan accruing before the commencement of bankruptcy proceedings with respect to a contributing sponsor as arising from service rendered and contributions accruing during such proceedings as administrative expenses if an insurable event occurs in the course of the proceedings. Specifies that if no insurable event occurs in the course of such proceedings, the contributing sponsor's obligation for payment of contributions shall be the same as that imposed under an assumed executory contract. Treats as ineffective, upon the occurrence of an insurable event with respect to a single-employer plan, a waiver of minimum funding requirements. Subtitle B: Amendments to the Internal Revenue Code of 1954 - Amends the Internal Revenue Code to revise the definition of "accumulated funding deficiency," for purposes of determining whether a plan meets the minimum funding standard, as applied to insolvent plans (other than multiemployer plans). Adds a charge to the funding standard account. Sets forth special rules for the charging and crediting of a funding standard account for any plan year ending after the termination of a single-employer plan for specified reasons. Permits a plan sponsor, for any plan year of a plan other than a multiemployer plan, to determine the ability of the plan to pay benefits when due for the next three plan years if plan assets are less than three times the benefit payments. Deems such plans as insolvent if it is reasonably likely that the plan's available resources will be insufficient to pay benefits when due in any of the next three plan years. Requires such insolvent plans to make contributions equal to the amount necessary for the plan year to pay benefits when due. Treats as deductible contributions of an employer to a plan any amount paid by an employer to a terminated single-employer plan. Revises the definition of "employer," for purposes of such deduction, minimum funding standards, and the excise tax imposed for failure to meet such standards, to include a person other than the contributing sponsor who agrees to make contributions to a plan which preclude the occurrence of an insurable event. Subtitle C: Amendments to Title I of the Employee Retirement Income Security Act of 1974 - Amends ERISA to require the filing of terminal reports by terminated pension plans. Makes conforming changes in accordance with the amendments in Subtitle B of this title.
United States · United States Congress · 28 July 1981
Expresses the sense of the Congress that U.S. foreign policy should reflect a national strategy of peace through strength with specified principles and goals.
United States · United States Congress · 24 July 1981
Economic Recovery Tax Act of 1981- Title I: Individual Income Tax Provisions - Amends the Internal Revenue Code to reduce individual and estate and trust income tax rates for 1982, 1983, and 1984 and thereafter. Reduces the highest marginal tax rate on all types of income from 70 to 50 percent, effective in 1982. Repeals the 50 percent maximum tax rate on personal service income, effective in 1982. Reduces the alternative minimum tax and the personal holding company tax to correspond with the reductions in the highest marginal tax rates. Establishes a maximum tax rate on long-term capital gains of 20 percent for sales and exchanges occurring and or after June 9, 1981. Decreases from one year to six months the holding period required for long-term capital gain or loss treatment. Allows a tax credit equal to one and one-fourth of an individual's regular tax liability for taxable year 1981. Revises withholding requirements to provide for withholding reductions of five percent in 1981, ten percent in 1982, and ten percent in 1983. Authorizes the Secretary of the Treasury to issue regulations permitting workers to increase or decrease their withholding allowances. Allows married individuals filing a joint return an income tax deduction from gross income of ten percent of the lesser of $30,000 or the earned income of the lower income spouse. Specifies that the rate of such deduction will be five percent, instead of ten, in taxable year 1982. Requires annual cost of living adjustments, based on the Consumer Price Index, to individual income tax rates, the personal tax exemption, withholding requirements, and minimum income tax return amounts, beginning in 1985. Increases from $20,000 to $75,000 in 1982 (with annual adjustments up to $95,000 in 1986 and thereafter) the earned income exclusion for U.S. citizens working abroad who are bona fide residents of a foreign country. Repeals the requirement that, as a condition of their employment, such individuals reside in a hardship area. Reduces from 17 to 11 months the residency requirement for such exclusion. Permits the tax exclusion of the housing costs of such individuals in the amount by which the taxpayer's housing costs exceed 16 percent of a GS-14, step 1 salary level for a Federal employee. Permits a tax deduction for excess housing costs which are not excludable. Waives the residency requirements for such exclusion if the Secretary of the Treasury determines that the taxpayer would otherwise have met the residency requirement but for the occurrence of civil unrest, war, or other adverse conditions precluding the normal conduct of business. Repeals the existing income tax deduction for certain living expenses of U.S. citizens abroad. Provides for an income tax exclusion for the value of employer-provided lodging in a camp in cases where satisfactory housing is not generally available. Amends the Foreign Earned Income Act of 1978 to revise the reporting requirements to provide that the Secretary and certain Federal Government agencies report to specified congressional committees on the operation and effects of the foreign earned income exclusion quadrennially beginning after the enactment of this Act. Permits taxpayers who do not itemize income tax deductions to claim a deduction from gross income for a specified percentage of their charitable contributions. Terminates such deduction for such taxpayers after 1986. Increases from $100,000 to $125,000 the amount of the one-time exclusion of gain from sale of a principal residence by an individual who has attained age 55. Increases from 18 months to 2 years the rollover period for deferral of tax on gain from the role of a principal residence. Title II: Business Incentive Provisions - Amends the Internal Revenue Code to revise the method for determining useful lives of business assets for purposes of computing allowable depreciation deductions. Replaces the asset depreciation range (ADR) method with a schedule of capital cost recovery periods for four classes of business property. Establishes cost recovery periods for the following classes of business property: (1) three-year property, including certain tangible personal property with a present class life of four years or less or property used for research or experimentation; (2) five- year property, including certain tangible personal property which is not three-year property, ten-year property or 15 year public utility property; (3) ten-year property, including certain real property, public utility property or three-year property with a present class life of more than 18 but less than 25 years, certain real property with a present class life of 12.5 years or less, and railroad tank cars; (4) 15-year public utility property, including all personal property with a present class life of more than 25 years. Sets forth separate recovery schedules for property placed in service before 1985 and property placed in service after 1985. Establishes as a separate class of business property 15-year real property which includes real property with a present class life of more than 12.5 years. Directs the Secretary to prescribe a schedule of recovery for such property which provides for a 15-year recovery period and which utilizes the declining balance method of depreciation in the early years of recovery with a switch to the straight-line method in the remaining years. Permits taxpayers to elect to use the straight-line method of depreciation with specified other recovery periods in lieu of the prescribed accelerated method. Defines "unadjusted basis" for purposes of determining gain or loss on the disposition of accelerated recovery property. Sets forth rules for the nonrecognition of gain on the disposition of assets from mass asset accounts. Excludes from eligibility for accelerated cost recovery the following types of property: (1) property placed in service before January 1, 1981; (2) property depreciable on a basis other than time; (3) public utility property for which the normalization method of accounting is not used; (4) certain property placed in service prior to 1981 which is transferred or leased in a transaction occurring after 1981 which does not alter its use; and (5) certain property transferred in corporate liquidations and reorganizations, and certain contributions to and distributions by partnerships. Revises component depreciation rules to provide that the taxpayer must utilize the same recovery period and method of depreciation for a building and its structural components. Allows separate depreciation of substantial improvements. Provides special rules for the depreciation of recovery property used predominantly outside of the United States. Repeals the retirement-replacement-betterment methods of depreciation allowed for certain types of property. Specifies that such property shall be depreciated using a ratable method. Sets forth rules for determining the eligibility of lessors of recovery property for accelerated depreciation deductions and for the investment tax credit. Specifies that the salvage value of cost recovery property shall not be taken into account in computing allowable depreciation. Provides special rules for determining allowable deductions for recovery property in the case of certain corporate transfers and liquidations. Provides that gain on the disposition of single purpose agricultural or horticultural facilities and petroleum product storage facilities shall be treated as ordinary income to the extent of prior depreciation taken. Permits a taxpayer to elect to expense (i.e. currently deduct) the cost of new or used tangible personal property used in the taxpayer's business during a taxable year in lieu of current provisions permitting additional first year depreciation. Sets the amount of such deduction at $5000 in 1982 increased by biennial increments of $2,500, up to $10,000 in 1986. Requires the recapture as ordinary income of excess depreciation from recovery property which is subsequently sold or exchanged. Treats the accelerated cost recovery deduction as an item of tax preference for purposes of the minimum tax. Revises the method of computing the adjustment to earnings and profits for depreciation. Specifies that such adjustment shall be determined using the straight-line method of depreciation over prescribed extended recovery periods. Extends the carryover periods for certain net operating losses and tax credits. Revises the applicable percentage for determination of the investment tax credit to make eligible for such credit: (1) 100 percent of the basis of ten-year, five-year recovery property, or 15-year public utility property; and (2) 60 percent of the basis of three-year recovery property. Revises the progress expenditure rules to eliminate the useful life requirement for depreciable property being constructed by or for a taxpayer for use in a trade or business (qualified process expenditure property) and to apply to such property the revised percentages for determining the investment tax credit under this Act. Qualifies petroleum product storage facilities for the investment tax credit. Limits the amount of the investment tax credit to the amount that the taxpayer has at risk. Sets forth special at risk limitations for certain third-party lenders. Revises the recapture rules for recovery property eligible for the investment tax credit. Prescribes recapture percentages for recovery property which ceases to be investment tax credit property based on the type of property and the amount of time such property is in service. Increases the investment tax credit for qualified rehabilitation expenditures based upon the age of a building or its certification as a historic structure. Repeals the special 60-month amortization rules for certified historic structures and rules permitting accelerated depreciation for rehabilitated certified historic structures. Increases the limit on the amount of used property eligible for the investment tax credit. Allows a nonrefundable income tax credit for 25 percent of the qualified research expenses incurred by a taxpayer in carrying on any trade or business to the extent that such expenses exceed the average amount of the taxpayer's expenses in a specified base period. Defines "qualified research expenses" an amount paid or incurred for in-house and contract research. Allows such credit for basic research contracted out to colleges, universities, and tax-exempt scientific research institutes. Excludes from eligibility for such credit research conducted outside the United States, research in the social sciences or humanities, and research funded by any other person or governmental entity. Provides for a three-year carryback and a seven-year carryover of any unused credit amounts. Terminates such credit after 1985. Increases the limits on the allowable deduction for corporate charitable contributions of inventory property which is contributed to an institution of higher education and used for research purposes. Sets forth eligibility requirements for such deduction, including the following: (1) that such property be scientific equipment or apparatus; (2) that the donee use such property in the United States; and (3) that the use of the property be for research in the physical or biological sciences. Excludes certain small business corporations, personal holding companies, and service organizations from eligibility for such increased deduction. Requires that research and experimental expenditures for activities conducted in the United States be allocated to income from sources within the United States for purposes of the deduction of such expenses. Reduces the corporate income tax rates for corporations with a taxable income of $50,000 or less. Revises the method of computing the income tax on mutual insurance companies . Increases from $150,000 to $250,000 the amount which corporations may accumulate for reasonable needs of the business without being subject to the tax on accumulated earnings. Disallows such increase for corporations performing services in the areas of health, law, engineering, architecture, accounting, actuarial science, performing arts, or consulting. Increases the allowable number of shareholders in a Subchapter S corporation from 15 to 25. Permits qualified trusts to be shareholders of Suchchapter S corprations. States that the beneficiary of such trust shall be treated as the owner of the Subchapter S trust. Revises the Last-In-First-Out (LIFO) inventory accounting rules. Directs the Secretary to prescribe regulations permitting the use of certain governmental indexes in inventorying goods under such method. Allows businesses with average gross receipts of $1,000,000 for three years (ending with the taxable year) to elect one inventory pool for purposes of dollar value LIFO inventory accounting. Permits three-year averaging of inventory value for taxpayers who elect LIFO accounting. Requires the Secretary to study and report to Congress on simplified methods of tax accounting for inventory. Sets forth special rules for the tax treatment of reorganizations involving financially-troubled thrift institutions. Permits tax-free reorganizations of building and loan associations, cooperative banks, and mutual savings banks which are subject to the jurisdiction of the Federal Home Loan Bank Board or the Federal Savings and Loan Insurance Corporation without regard to judicially-created requirements as to the distribution of stocks and securities of the transferee corporation. Specifies rules for the limitation of net operating loss carryovers for certain financial institutions in reorganization. Exempts distributions to the Federal Savings and Loan Insurance Corporation with respect to certain interests in a domestic building and loan association from recapture requirements for distributions out of excess bad debt reserves. Excludes from the gross income of a domestic building and loan association all money or property contributed to such association by the Federal Savings and Loan Insurance Corporation under its financial assistance program without reduction in the basis of the association's property. Revises rules for the exemption from income taxation of any income resulting from the transfer of stock to an individual exercising a stock option under a restricted stock option plan. Repeals the termination date of such exemption. Limits the amount of the aggregate fair market value of the stock for stock option in any year. States that an option by its terms is not exercisable while there is outstanding any restricted stock option which was granted to an individual at an earlier time. Allows options which require the employee to pay for the stock with property to qualify as restricted stock options. Eliminates such options as items of tax preference for purposes of the minimum tax. Revises certain employment requirements for disabled employees exercising such options. Title III: Savings Provisions - Excludes from gross income interest received on a savings certificate issued after September 30, 1981, and before January 1, 1983, by a qualified bank, savings and loan institution, credit union, or industrial loan association or bank. Requires that such certificates be made available in $500 denominations have a maturity of one year, and have an investment yield which does not exceed 70 percent of the Treasury bill rate. Permits such exclusion only to the extent that the interest income received by the taxpayer exceeds the amount of such income received in the previous year, up to $1,000 ($2,000 for joint returns). Requires institutions issuing such certificates to invest 75 percent of the amount of such certificates or other qualified net savings per calendar quarter in residential financing and agricultural loans. Requires the Secretary to report to Congress on such exemption's effectiveness in generating additional savings. Provides for the exclusion from gross income of interest from specified sources, beginning in 1985. Limits the amount of such exclusion to 15 percent of the lesser of $3,000 ($6,000 for joint returns) or the amount of net interest received by the taxpayer in a taxable year. Amends the Crude Oil Windfall Profit Tax Act of 1980 to repeal the partial exclusion of interest and dividends from gross income after 1981. Revises rules for the retirement savings deduction. Increases the amount of such deduction to the lesser of $2,000 or 100 percent of an individual's compensation. Allows such deduction for contributions to an individual retirement account (IRA) or for voluntary contributions to a qualified employer plan or government plan. Increases the maximum deductible contribution for IRA's which cover a nonworking spouse to $2,250. Allows employees a deduction for employer contributions to a simplified employee pension. Limits such deduction to the lesser of 15 percent of the taxpayer's compensation or the amount of such contributions (up to $7,500). Increases the limit on deductible contributions to owner-employee retirement plans from $7,500 to $15,000 or 15 percent of the earned income derived by employees from the trade or business, whichever is less. Increases the amount of compensation which may be used to determine permitted annual benefit accruals for purposes of applying limits on deductible contributions. Revises requirements for such plans relating to loans to owner-employees and correction of excess contributions. Allows distributions from a terminated plan without regard to the five-year ban on contributions by an owner-employee. Revises rules relating to the taxation of the beneficiaries of qualified bond purchase plans and for the rollover of the proceeds from redemption of such bonds into IRA's or other annuities. Treats investments by IRA's in collectibles as distributions for income tax purposes. Permits the exclusion from income of up to $1500 ($3000 for joint returns) per year of public utility stock dividends by shareholders who choose to receive a common stock dividend rather than other property under a qualified plan established by a domestic public utility corporation. Requires that the stock be newly issued common stock and that the number of shares distributed to any shareholder be determined by reference to a value which is not less than 95 and not more than 105 percent of the stock's fair market value before distribution. Disallows such exclusion if the corporation has repurchased any of its stock within one year before or after the distribution date unless the corporation establishes a business purpose for such purchase. Excludes trusts and estates, nonresident aliens, and five percent shareholders from eligibility for such exclusion. Provides for the recapture of tax benefits upon disposition of such stock. Title IV: Estate and Gift Tax Provisions - Increases the unified credit against the estate and gift taxes from $47,000 to $192,800 by specified annual increments through 1987. Increases from $175,000 to $600,000, by specified annual increments through 1987, the minimum gross estate requirement for filing of a return. Reduces the maximum estate and gift tax rates to 50 percent by specified annual decrements through 1985. Repeals the existing limitations on the marital deduction for gift and estate taxes. Revises the definition of "qualified joint interest" for purposes of the 50 percent valuation of interests in property held by the decedent and the decedent's spouse. Qualifies certain terminable interests for the marital deduction. Requires the inclusion in the gross estate of any property in which the decedent had an income interest for life if the marital deduction was allowed with respect to the transfer of such property to the decedent. Provides that any disposition of an income interest for life in any property shall be treated as a transfer of such property if the marital deduction was allowed when such property was transferred to the donor. Provides for a right of recovery of estate and gift tax in the case of certain marital deduction property. Increases the maximum reduction (currently $500,000) in fair market value under the special estate tax valuation based on use for certain farms and small businesses annually to $1,000,000 in 1983 and thereafter. Allows property put to a qualified use by a family member to qualify for special use valuation. Qualifies estates of decedents who were disabled or retired for the special valuation of certain farms based on use if such decedents materially participated in the operation of the farm for five out of eight years preceding the year in which they became disabled or eligible for disability benefits under title II (Old Age, Survivors and Disability Insurance) of the Social Security Act. Permits the spouse of a decedent to use such valuation if the spouse takes over active management upon the decedent's death. Reduces from 15 to ten years the length of time a qualified property must be held and put to a qualified use following the decedent's death before it can be disposed of without incurring a recapture of estate tax benefits. Permits active management rather than material participation as a test for qualification of the estate for special use valuation for spouses, children under 21, students, and disabled individuals who receive property from a decedent who qualified for special use valuation. Allows the like kind exchange of property without loss of special use valuation eligibility. Allows valuation based on net crop share rentals as an alternative method of valuing farms. Repeals the requirement that an heir elect special treatment for involuntary conversions of qualified real property, thus making such treatment automatic upon such conversion. Includes in the value of woodlands which qualify for the special use valuation the value of the trees growing on such property. Requires the recapture of estate tax benefits upon the disposition or severance of standing timber on such property. Permits an increase in basis of specially valued property on which a recapture tax is paid. Redefines "family member" for purposes of the special use valuation. Qualifies certain property transferred to a discretionary trust and certain property purchased from a decedent's estate for such valuation. Requires that an election of specially valued property be made on the decedent's estate tax return (rather than by the due date of that return as under present law). Provides that any period of ownership, qualified use, or material participation in the operation of a farm or other business by the decedent or family member shall be applied to qualified replacement property in the case of a like-kind exchange or involuntary conversion of the original property. Sets forth a procedure for making binding determinations of the farm market value of property eligible for the special use valuation. Modifies the alternate extension of time for payment of the estate tax the where the estate consists largely of an interest in a closely held business to: (1) allow an installment payment election if the value of the interest in the closely held business is 35 percent of the value of the gross estate; (2) revise the formula regarding the inclusion in the value of a gross estate of interests in two or more closely held business; (3) increase to 50 percent the value of an interest disposed of which will accelerate the payment of tax; (4) permit payment, but with a penalty, of an installment within six months after the due date; and (5) provide that payment of tax will not be accelerated upon the death of decedent's heir or a subsequent transferee if the interest passes to a family member. Authorizes the Tax Court to issue declaratory judgments with respect to controversies involving the extension of time for payment of the estate tax. Provides that, for purposes of the estate and gift tax charitable deduction, a work of art and the coypright on such work of art shall be treated as separate properties. Provides that the gifts made within three years of a decedent's death shall not be included in the gross estate of a decedent dying after 1981. Disallows such exclusion for certain transfers. Allows a step-up in basis for appreciated property acquired by the decedent by gift within one year of death. Allows a disclaimer of an interest in property for estate tax purposes in specified circumstances where a written transfer of the transferor's entire interest in the property is executed and the transfer meets certain other requirements. Repeals the estate tax deduction for bequests to certain minor children. Increases from $3,000 to $10,000 the annual gift tax exclusion. Provides an unlimited gift tax exclusion for certain transfers for educational or medical expenses. Permits the payment of gift taxes annually rather than quarterly. Title V: Tax Straddles - Amends the Internal Revenue Code to allow taxpayers to deduct straddle losses only to the extent of the sum of straddle gains and net non-straddle commodity gains. Permits the carry forward of any disallowed straddle losses. Defines "straddle transaction" as the sale, exchange, or disposition of: (1) a futures contract; (2) a forward contract; (3) a commodity (including metals); (4) Treasury bills and other debt instruments; (5) currency; or (6) any interest in such assets. Exempts hedging transactions from the rule limiting straddle losses. Specifies that syndicates are not entitled to the hedging exemption. Disallows as a deduction, and makes chargeable to capital account, interest and carrying charges with respect to personal property which is part of a straddle. Exempts hedging transactions from such capitalization rule. Exempts futures traders from the capitalization rule and sets forth special rules allowing such traders to offset gains from commodity-related transactions. States that a taxpayer shall be considered to hold an offsetting position if there is a substantial reduction of the taxpayer's risk of loss from holding any position with respect to personal property because the taxpayer also holds one or more other positions with respect to such property. Creates a rebuttable presumption that two or more positions in a straddle are offsetting if: (1) the positions are in the same personal property, even if in an altered form; (2) the positions are sold or marketed as offsetting positions; (3) the aggregate margin requirement for the positions is less than the sum of the margin requirements for each position; (4) the positions are in debt instruments; or (5) the positions are determined under regulations prescribed by the Secretary of the Treasury to be offsetting positions. Provides that obligations of the United States, a State or local government, or a U.S. possession issued on a discount basis and payable without interest in less than one year shall be treated as capital assets in determining tax consequences of gain or loss with respect to such obligations. Specifies that the discount on such obligations shall be treated as ordinary income. Excludes from capital gain tax treatment gain by a securities dealer from the sale or exchange of any security, unless the security was clearly identified in the dealers's records before the end of the day after the date of acquisition as a security held for investment (currently, before the end of the 30th day after the date of acquisition). Provides that gain or loss attributable to the certain terminations of a right or obligation with respect to personal property which is a capital asset in the hands of the taxpayer shall be treated as gain or loss from the sale of a capital asset. States that the straddle loss limitations shall apply to property acquired and positions established after January 27, 1981. Requires the Secretary of the Treasury to study and report to Congress on the effects of such limitation. Title VI: Energy Provisions - Increases from $1,000 to $2,500 the amount of the credit for any windfall profit tax paid in connection with taxable crude oil which is attributable to a qualified royalty interest and which is removed from the premises during 1981. Exempts royalty interests from the windfall profit tax after 1982 in an amount limited per quarter to the number of days in a quarter multiplied by two barrels for 1982 through 1984, and by four barrels in 1985 and thereafter. Reduces from 30 to 15 percent the amount of the windfall profit tax on newly discovered tier three oil by specified annual decrements through 1986. Exempts from the windfall profit tax, beginning in 1983, the stripper well oil of independent producers. Specifies that exempt stripper well oil does not include production attributable to an interest in any property which after July 22, 1981, was owned by a person other than independent producer. Exempts from the windfall profit tax oil produced from interests held by or for a residential child care agency. Defines such an agency as a tax-exempt charitable organization operated primarily for the residential placement, care, or treatment of delinquent, dependent, neglected, or handicapped children. Eliminates the phased reduction of the rate of the percentage depletion allowance for independent oil and gas producers and royalty owners (reduced to 15 percent by 1984) and retains the 22 percent rate for taxable years ending after 1980. Makes wood stoves and furnaces eligible for the residential energy tax credit. Title VII: Administrative Provisions - Provides that Federal law shall not be construed to require the disclosure of methods for the selection of tax returns for audits. Revises rules for the determination of the interest rate on overpayment or underpayments of taxes. Changes such rate of interest from 90 percent to 100 percent of the prime rate. Changes certain penalties for providing false information with respect to the withholding of tax. Requires an addition to tax for underpayments of tax by individuals and certain corporations attributable to a valuation overstatement that results in an underpayment of taxes of at least $1,000. Requires an addition to tax for underpayments attributable to negligent or intentional disregard of rules or regulations. Increases penalties for failure to file certain returns or furnish certain registration statements. Increases the penalty for overstated deposit claims. Provides that no declaration of estimated tax by individuals is required if such estimated tax is less than a specified amount. Increases from 60 to 80 percent the amount in total tax liability which certain large corporations must pay in estimated taxes. Increases the rate of the employer and employee railroad retirement taxes. Allows the Railroad Retirement Account to borrow funds from the Treasury if the balance of such Account is insufficient to pay annuity amounts due. Title VIII: Miscellaneous Provisions - Allows motor carriers a loss deduction for the decrease in value of motor carrier operating authorities held by the taxpayer on July 1, 1980. Requires the deduction of such amount over a 60-month period. Makes permanent the tax deduction for living expenses of State legislators engaged in legislative business away from their home districts. Limits such deduction to 110 percent of the daily amount allowable for Federal employees away from home but serving in the United States. Disallows such deduction for State legislators whose district residence is within 50 miles of the State capital. Permits the exclusion from gross income of interest on certain industrial development bonds if the proceeds of such bonds are used to finance qualified mass commuting vehicles which are leased to a publicly owned transportation system. Terminates such exclusion after 1984. Extends the targeted jobs credit through 1983. Extends eligibility for such credit to registrants of the WIN work incentive program, recipients of Aid to Families with Dependent Children, and involuntarily terminated CETA employees. Limits eligibility for cooperative education students for the targeted jobs credit program to those who are economically disadvantaged. Revises the certification requirements for such credit. Eliminates the age requirement applicable to Vietnam veterans. Repeals provisions limiting qualifying first-year wages to 30 percent of the unemployment insurance wages paid by an employer. Disallows such credit with respect to amounts paid to certain relatives of the taxpayer or shareholders of the taxpayer corporation. Extends through May 31, 1983 the prohibition on the issuance of regulations on the taxation of fringe benefits and on the deducton of commuting expenses to temporary job sites. Extends through 1982 the exemption of low-income housing from the requirement that construction period interest and taxes be amortized (instead of expensed as an immediate deduction). Prohibits that, for purposes of the taxation of property transferred to an employee as compensation for services, such property shall be considered subject to a substantial risk of forfeiture and not transferable if the sale of such property could subject a person to a suit under certain provisions of the Securities and Exchange Act of 1934 or if transfer of the property is restricted under the pooling-of-interests accounting rules. Provides that bonds issued by a volunteer fire department to finance the acquisition, construction, reconstruction, or improvement of firefighting property shall be treated as obligations of a local government and the property shall be treated as obligations of a local government and the interests on such bonds shall be excluded from gross income. Provides that a volunteer fire department qualifies for such tax treatment of its bonds if it: (1) is organized and operated to provide firefighting services in an area which does not have any other firefighting services; (2) is required by a local government to furnish firefighting services; (3) receives over half of its funding from local government; and (4) makes no charge for its services.
United States · United States Congress · 11 June 1981
Family Enterprise Estate and Gift Tax Equity and Reduction Act - Amends the Internal Revenue Code to reduce the estate and gift tax rates. Increases the unified credit against the estate and gift taxes from $47,000 to $103,500 by specified annual increments through 1985. Increases from $175,000 to $600,000, by specified annual increments through 1985, the minimum gross estate requirement for filing of a return. Repeals the existing limitations on the marital deduction for gift and estate taxes. Permits an election by an executor to take into account a life estate which passes to a surviving spouse for purposes of determining the marital deduction. Includes amounts equal to the value of such interests in the estate of the surviving spouse for purposes of imposition of the estate tax. Increases from $3,000 to $10,000 the annual gift tax exclusion. Revises the definition of "qualified real property," for purposes of the special use valuation, to include: (1) real property which is put to a qualified use by a member of the decedent's family; (2) certain future interests; and (3) timber. Qualifies estates of decedents who were disabled or retired for the special use valuation if such decedents materially participated in the operation of the farm or business for five out of eight years preceding the year in which they became disabled or eligible for disability benefits, under title II (Old Age, Survivors and Disability Insurance) of the Social Security Act. Permits the spouse of a decedent to use such valuation if the spouse has managed the farm or business for ten years preceding the decedent's death or takes over active management upon the decedent's death. Qualifies the owner of a woodland for the special use valuation if the owner or a member of the owner's family actively managed the property for ten years prior to the owner's death. Includes as property qualified for the valuation certain future and partial interests. Reduces from 15 to ten years the length of time a qualified property must be held and put to a qualified use following the decedent's death before it can be disposed of without incurring a recapture of estate tax benefits. Permits active management rather than material participation as a test for qualification of the estate for spouses, children under 21, students, and disabled individuals who receive property from a decedent who qualified for special use valuation. Modifies the formula for recapture upon partial disposition of qualified property to include in the calculation of the additional tax imposed the adjusted tax difference attributable to the property disposed of or ceased to be used for a qualified use. Repeals the $500,000 limitation on the aggregate decrease in the value of property to which the special use valuation is applied. Allows the like kind exchange of property without loss of special use valuation eligibility. Permits, for purposes of calculating the five-year period required for qualification of real property, the aggregation of periods with respect to exchange property with those with respect to property included in the gross estate. Repeals the requirement that an heir elect special treatment for involuntary conversions of qualified real property, thus making such treatment automatic upon such conversion. Applies the special use valuation provisions to: (1) property which passes to a trust all of the beneficiaries of which are members of the decedent's family without regard to whether any beneficiary has a present interest in the trust; and (2) property held by a trust in which the decedent has an interest which is includible in the decedent's estate and which passes to a qualified heir as though the decedent had a direct interest in the property. Alters the method of valuing farms and woodlands and provides an alternate discount method of valuation. Expands the definition of "member of the family," for purposes of determining special use valuation eligibility, to include members of a spouse's family. Permits a parent or fiduciary of a person under a legal disability to sign an agreement to the application of recapture provisions on behalf of such person. Specifies that the estate tax deduction for certain indebtedness of an estate shall not be reduced if the value of the property is determined by applying the special use valuation. States that gifts made within three years of a decedent's death shall be valued as of the time of transfer rather than as of the date of death. Allows an individual to elect to pay a gift tax rather than use the unified tax credit. Modifies the alternate extension of time for payment of the estate tax where the estate consists largely of an interest in a closely held business to: (1) allow an installment payment election if the value of the interest in the closely held business is either 25 percent of the value of the gross estate or 35 percent of the taxable estate; (2) alter the definition of "interest in a closely held business"; (3) increase to 50 percent the value of an interest disposed of which will accelerate the payment of tax; and (4) permit payment, but with a penalty, of an installment within six months after the due date. Revises rules for determining whether property qualifies as an interest in a closely held business with respect to property included in the gross estate which is transferred prior to death and ownership of assets leased to or used by a family-owned business. Revises rules regarding the qualification of corporate distributions of property in redemption of stock which is included in a decedent's gross estate. Removes the limitation on substantially disproportionate redemptions of stock of a corporation which is a closely held business. Revises the formula for determining whether such redemptions are substantially disproportionate and the rule for determining whether a shareholder's interest in a corporation is terminated. Applies the four percent rate of interest on estate tax payments extended under the alternate extension of time provisions to the entire amount of the tax to be paid. Permits an election to value at 50 percent of its value an interest in a closely held business the net equity of which is less than $50,000,000. Imposes an additional estate tax if such interest is disposed of within ten years after the decedent's death. Allows a disclaimer of an interest in property for estate tax purposes in specified circumstances where such disclaimer does not result in the passing of the interest concerned under the applicable State law.
United States · United States Congress · 10 June 1981
Exempts from customs duty, aircraft components and materials contained in an aircraft which was: (1) previously exported from the United States; (2) composed at the time of exportation of components and materials made and installed in the United States; (3) returned to the United States without having been improved; and (4) entered for use in the United States before 1970.
United States · United States Congress · 10 June 1981
Amends the Internal Revenue Code to require determination of gift tax liability on a calendar year, rather than calendar quarter, basis. Applies the return requirements on a calendar year, rather than calendar quarter, basis.
United States · United States Congress · 9 June 1981
Title I: Adjustment Assistance - Amends the Trade Act of 1974 to revise eligibility requirements for adjustment assistance to require that imports be a "substantial cause of" (currently "contributed importantly to") a firm's decline. Directs the Secretary of Labor to provide full information to workers about the benefits available under the Act. Revises trade readjustment allowance qualifying requirements, weekly amounts, and limitations on allowances to provide: (1) that payment of an allowance shall be made to a worker who files an application for any week of unemployment beginning more than 60 days after a petition for certification (which resulted in certification) was filed, if the worker, (a) has a separation occurring within a specified time, (b) worked a specified length of time, for a specified minimum wage, within the 52 week period prior to separation, (c) has received waiting period credit under unemployment insurance law or has exhausted all rights and is not entitled to any unemployment insurance or waiting period credit; (2) that the allowance payable shall be equal to the most recent weekly unemployment insurance benefit reduced by (a) any deductible training allowance and (b) income that is deductible from unemployment insurance; and (3) that allowances may not exceed an amount determined by the application of a specified formula. Authorizes the Secretary, to require adversely affected workers to accept job training or to actively search for work outside their former employment area, if the Secretary determines that within their former employment area: (1) a high level of unemployment exists; (2) suitable employment opportunities are not available; and (3) there are facilities available to provide training in new or related job classifications. Requires the Secretary to develop, in cooperation with others, including the adversely affected worker covered by a certification who is unemployed or underemployed, an appropriate employability plan. Defines the terms "suitable employment" and "underemployment." Directs the Secretary to approve training for a worker if: (1) there is no suitable employment available; (2) the worker would benefit from appropriate training; (3) there is a reasonable expectation of employment following training; (4) training is available from either governmental or private sources; and (5) the worker is qualified to undertake and complete such training. Directs the Secretary to report quarterly to Congress, regarding funds expended to provide training. Authorizes the Secretary, to defray reasonable transportation and subsistence expenses when training facilities are not within commuting distances. Increases individual job search allowances and relocation allowances from a maximum of $500 to $600. Waives the requirement that any overpayment must be repaid if: (1) the overpayment was made without fault on the part of an individual; and (2) requiring repayment would be contrary to equity and good conscience. Abolishes the Adjustment Assistance Trust Fund. Authorizes appropriations for fiscal years 1982 and 1983. Sets forth provisions relating to definitions, conforming amendments, and effective dates and transitional provisions. Authorizes the Secretary to provide technical assistance including grants to firms. Prohibits a direct loan to a firm if the loan can be obtained from private sources at certain rates. Revises conditions for financial assistance to a firm. Prohibits the Secretary from guaranteeing any loan, if: (1) the interest rate is excessive compared to similar loans bearing Federal guarantees; and (2) the interest is exempt from Federal income tax. States that direct loans and commitments to guarantee loans may be made only to the extent provided in advance in appropriation Acts. Provides that direct loans made or guaranteed for the acquisition or development of real property or other capital assets shall ordinarily be secured by a first lien on the assets and shall be fully amortized. Authorizes the Secretary to provide technical assistance, for the establishment of industry programs for new development or other uses consistent with the purposes of the Act. Repeals the Adjustment Assistance Program for Communities. Extends the termination date of adjustment assistance programs for workers and firms from September 30, 1982, to September 30, 1983. Title II: Federal Old Age, Survivors, and Disability Insurance Program - Social Security Spending Reductions Amendments of 1981 - Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to provide for the phased elimination of child's insurance benefits on the basis of full-time postsecondary student status (continues to provide such benefits on the basis of full-time elementary or secondary school student status). Terminates a nondisabled child's entitlement to child's insurance benefits when such child reaches age 16 (currently such entitlement ceases at age 18). Eliminates prospectively the minimum benefit amount used in computing the primary insurance amount. Provides that at each stage in the benefit computation, the amount derived is rounded down (currently rounded up) to the next higher 10 cents. Authorizes reimbursement of the cost of providing information to assist specified parties with respect to the administration of an employee benefit plan. Delays part of the payment of the cost-of-living increase until October 1982 (currently scheduled to be paid in July 1982). Authorizes reimbursement from the trust funds to a State for vocational rehabilitation services only where the services have resulted in a beneficiary's performance of substantial gainful activity for a continuous nine month period. Retains the earnings limitations test for persons under age 72 until 1983 (currently scheduled to be lowered to age 70 in 1982). Limits the payment of lump-sum death benefits to a widow or widower entitled to widow's, widower's, or mother's benefits on the basis of the wages and self-employment income of a deceased individual or in equal shares to each person entitled to child's insurance benefits on the basis of the wages and self-employment income of such individual (currently such benefits may to paid to cover burial expenses of the insured individual). Provides that in the case of workers retiring at age 62 entitlement to benefits begins with the first month throughout all of which the individual is entitled. Title III: Unemployment Compensation Public Assistance, and Low-Income Energy Assistance - Amends the Federal-State Extended Unemployment Compensation Act of 1970 to eliminate the "national trigger" under the extended benefits program. Excludes extended benefit claimants from the calculation of the insured unemployment rate for extended benefits trigger purposes. Increases from 365 to 730 days the length of continuous military service needed to qualify as employment for unemployment compensation purposes. Delays an ex-service member's entitlement until the fifth week after discharge or release from Federal service. Limits an ex-service member's total entitlement to no more than 13 weeks of benefits. Amends part A (Aid to Families with Dependent Children) of title IV of the Social Security Act to revise eligibility and benefit standards by requiring States to disregard the following amount of monthly earnings: (1) for determining eligibility, 20 percent of gross earnings up to a maximum of $175 per month, and child care costs up to a monthly maximum of $200 per child and $400 per family; and (2) for determining benefits, $50, 20 percent of gross earnings up to $175 per month, child care costs up to $200 per child and $400 per family per month, and one-third of remaining earnings. Allows States to terminate, or phase out gradually, the $50 disregard and the one-third work incentive disregard for families with earned income above the poverty level or, at State option, 200 percent of the State standard of need, after the family has had earned income and claimed one-third disregard for 12 consecutive months. Permits individuals who lose eligibility for AFDC payments because of the termination of the disregards to remain eligible for Medicaid for 12 months after payment stops. Requires that, in calculating a child's need for AFDC, a State consider a specified portion of a stepparent's income as available to such child. Provides that: (1) AFDC eligibility for a month shall be determined on the basis of the family's income during such month; (2) family resources shall be determined as they existed on the last days of the previous month; and (3) the benefit amount shall be determined on the basis of the income of the previous month. Requires AFDC families to report their income and other information on a monthly basis. Requires that, whenever a determination is made to terminate, suspend, or adjust AFDC payments to a family, such family shall be mailed a written notice concerning such action at least ten days prior to the effective date of the action. Requires a hearing to be held if the family requests one within 90 days after such a notice is mailed. Sets forth exceptions to the ten-day mailing requirement. Allows States to require, under certain conditions, AFDC recipients to participate in a qualified State work experience program in which they would perform work in return for the regular AFDC benefits. Requires that a work experience assignment: (1) take into account the physical capacity, skills, and experience of participants; (2) meet appropriate health and safety standards; (3) be monitored by the work experience program director; (4) not displace permanent employees; (5) not exceed eight hours per day or 96 hours per month; and (6) be performed in conjunction with counseling. Exempts the following individuals from participation in a work experience program: (1) full-time students or those participating in the work incentive program (WIN); (2) incapacitated individuals; (3) those age 65 or older; (4) a caretaker in the home; or (5) those currently employed more than 20 hours a week. Limits eligibility for certain AFDC payments to families in which the "principal earner" parent is unemployed (currently payments may be made to a two-parent family if either parent is unemployed). Requires a State to correct promptly any AFDC overpayment or underpayment. Permits States paying AFDC benefits to students over age 18, to limit such eligibility at any age between 18 and 21. Provides that in order for any individual to be considered a dependent child, a caretaker relative, or a person whose needs are taken into account, such individual must be either a U.S. citizen or an alien lawfully admitted for permanent residence. Provides that for purposes of determining eligibility for and amount of AFDC benefits for an alien, the income and resources of the alien's sponsor and the sponsor's spouse shall be deemed to be the unearned income and resources of the alien for three years after the alien's entry into the United States. Sets forth guidelines for determining a sponsor's income. Provides that any family is ineligible for AFDC if the combined value of its resources exceeds $1,500 or a lower amount at the State's option. Permits a State to exclude from resources: (1) a home and a car; (2) household goods and personal effects; (3) tools, equipment, livestock, and other income-producing property; and (4) life and burial insurance policies. Limits to 57 percent the Federal share of AFDC costs and payments under part E (Foster Care and Adoption Assistance) of title IV. Amends part D (Child Support and Establishment of Paternity) of title IV of the Social Security Act to require a State plan to make provisions for enforcing spousal support obligations (alimony) in addition to child support. Requires a State to retain ten percent of the support collected on behalf of a non-AFDC recipient in order to defray the costs of such collection service. Requires that the incentive payments to States collecting child support payments on behalf of another jurisdiction be made from the total amount of such collections rather than from the Federal assistance share. Prohibits the discharge in bankruptcy of a child support obligation assigned to a State as a condition of AFDC eligibility. Requires a child support enforcement agency to determine on a periodic basis whether any individuals receiving unemployment compensation owe child support obligations being enforced by such agency and, if so, requires the agency to withhold such child support payments from the unemployment compensation. Amends title III (Unemployment Compensation) of the Act to require State unemployment compensation agencies to require an applicant to disclose whether or not the applicant owes child support obligations and to notify the appropriate child support enforcement agency if child support is owed. Permits the Internal Revenue Service to collect delinquent alimony as well as child support payments. Amends title XVI (Supplemental Security Income) of the Act to provide that an individual's monthly eligibility shall be determined on the basis of the individual's income, resources, and other relevant characteristics in such month. Provides for determination of the amount of monthly benefits on the basis of income and other characteristics in the preceding month, or, on the basis of income and other characteristics in the second month preceding such month. Authorizes the Secretary to redetermine eligibility for and amount of benefits at other times. Allows States to continue to pay out cash, in lieu of food stamps, to SSI recipients under specified conditions. Limits the negotiability of SSI checks to 180 days from the date of issuance. Requires future cost-of-living adjustments in SSI to conform to cost-of-living adjustments under title II. Adds a new title to the Social Security Act, title XXI (Energy Assistance to Low-Income Households). Authorizes appropriations for fiscal years 1982 and 1983 to provide low-income energy assistance in order to offset excessive home energy costs. Makes such funds available to States which have plans for low-income energy assistance approved by the Secretary. Sets forth State plan requirements, including: (1) that payments be made to households, home energy suppliers, and or building operators; (2) that a State, at the State's option, provide for conservation/weatherization materials; (3) emergency assistance, at the option of the State; (4) equal treatment of owners and renters; (5) hearings for those denied assistance; and (6) reporting requirements. Directs the Secretary to pay up to a formulated amount (80 percent) of a State's expenses in carrying out the plan for fiscal year 1983 and 100 percent of the expenses for fiscal year 1982. Prohibits energy assistance payments to any household unless the household has at least one individual eligible for AFDC, SSI, Food Stamps, or certain veteran's benefits or the household's income falls below a specified level. Amends title XX (Grants to States for Services) of the Social Security Act to limit Federal funding for training cost fiscal year 1982 to $75,000,000. Title IV: Medicare Program - Medicare Spending Reduction Amendments of 1981 - Amends title XVIII (Medicare) of the Social Security Act to eliminate coverage of alcohol detoxification facilities under part A (Hospital Insurance) of title XVIII. Provides payment for nutritional therapy for individuals with end-stage renal disease when used as a means of delaying or substituting for the provision of kidney dialysis. Requires a one dollar per day copayment under Medicare for each of the first 60 days of inpatient hospital care. Provides that part A coinsurance will be based on the current year's deductible, rather than the deductible effective when the illness began. Raises the part A inpatient hospital deductible by adding five dollars to the base figure of $40 used in the formula to determine such deductible. Eliminates the carryover from the last three months of the previous year of incurred expenses used to determine whether the part B (Supplementary Medical Insurances) deductible has been met. Increases the part B deductible from $60 to $70, and indexes it to cost-of-living increases under title II. Offsets interest earnings on funded depreciation accounts of providers against interest expense to determine reimbursement. Revises an exemption to a provision requiring the reduction of reimbursements to hospitals in specified situations by adding a requirement that a hospital devise less than 30 percent of its income from non-governmental sources to qualify for such exemption. Exempts hospitals from such reductions if there is no excess of hospital beds in the area in which the hospital is located. Directs the Secretary to provide a method of determining prospectively the amount of payments to be made for dialysis services furnished by providers and renal dialysis facilities to individuals in a facility and at home. Prohibits the Secretary, in determining reimbursements for home health services, from recognizing as reasonable costs in excess of the 75 percentile of such costs per visit for home health agencies. Prohibits the Secretary, in determining reimbursements for inpatient hospital services, from recognizing as reasonable costs in excess of 108 percent of the mean of such routine operating costs per diem for hospitals. Amends part A (General Provisions) of (title X) of the Social Security Act to provide civil penalties for any person who presents an improper claim for a medical or other item or service under the Medicare or Medicaid (title XIX) programs. Amends title XVIII (Medicare) of the Act to direct the Secretary to establish utilization guidelines for the provision of home health care. Repeals the requirement that skilled nursing facility provider agreements be renewed annually. Amends the Medicare and Medicaid Amendments of 1980 to direct the Secretary to establish guidelines by October 1, 1981, to assure that agreements with States already authorized for demonstration projects for the training of AFDC recipients as homemakers and home health are entered into by January 1, 1982. Requires the Secretary to report to Congress on such projects. Amends part B (Professional Standards Review) of title XI of the Social Security Act to direct the Secretary by September 30, 1981, to identify and specify requirements which will be used in assessing a PSRO'S performance. States that such requirements shall include requirements relating to the effectiveness of a PSRO in: (1) monitoring the quality of patient care; (2) reducing unnecessary utilization; and (3) managing its activities efficiently. Authorizes the Secretary to terminate the less effective PSRO's during fiscal year 1982. Directs the Secretary to report to Congress on to PSRO performance assessments. Makes 100 percent financing under part B of title XI applicable only to the Medicare program and provides States the option of contracting for Medicaid review at a 75 percent Federal matching rate. Repeals the PSRO program on October 1, 1983. Repeals the requirement for utilization review under the Medicare program with respect to hospitals, skilled nursing facilities, and rural health clinics. Prohibits payments under the Medicare program with respect to an item or service for an individual aged 65 or older to the extent that payment has been made, or can reasonably be expected to be made, under the Federal Employees Health Benefits Program.
United States · United States Congress · 9 June 1981
Economic Recovery Tax Act of 1981 - Title I: Individual Tax Rate Cuts - Amends the Internal Revenue Code to reduce individual and estate and trust income tax rates for 1982, 1983, and 1984 and thereafter. Allows a tax credit equal to one and one-fourth percent of an individual's regular tax liability for a taxable year beginning in 1981. Repeals the 50 percent maximum tax rate on personal service income. Reduces the alternative minimum tax for taxpayers other than corporations. Reduces from 70 percent to 50 percent the personal holding company tax rate. Title II: Incentives for Plant, Equipment, and Real Property - Revises the method for determining useful lives of business assets for purposes of computing allowable depreciation deductions. Replaces the asset depreciation range (ADR) method with a schedule of capital cost recovery periods for four classes of business property. Establishes cost recovery periods for the following classes of business property: (1) three-year property (automobiles, light-duty trucks, and certain tangible property used in connection with research and experimentation or with a midpoint life of four years or less; (2) five-year property (tangible property which is not three-year property or ten-year property); (3) ten-year property (public utility property with a midpoint life of more than 18 years and certain real property with a lower limit life of ten years or less); and (4) 15-year property (certain real property with a lower limit life of more than ten years). Defines "midpoint life" and "lower limit life" as the applicable class life and the lower limit of the ADR, respectively, prescribed by the Secretary of the Treasury. Permits taxpayers to elect to use the straight-line method of depreciation with specified other recovery periods in lieu of the prescribed accelerated method. Sets forth rules regarding the recognition of gain on the disposition of recovery property. Excludes from eligibility for accelerated cost recovery the following types of property: (1) property placed in service before January 1, 1981; (2) property excluded by election of the taxpayer and which is depreciable on a basis other than time; (3) depreciable leasehold improvements; (4) public utility property for which the normalization method of accounting is not used; (5) certain depreciable tangible property owned or used before 1981 which is transferred in a transaction occurring after December 31, 1980; and (6) certain depreciable real property. Provides special rules for the depreciation of recovery property used predominantly outside the United States. Revises the applicable percentage for determination of the investment tax credit to qualify for such credit: (1) 100 percent of the basis of ten-year or five-year recovery property; and (2) 60 percent of the basis of three-year recovery property. Revises the progress expenditure rules to: (1) apply to progress expenditure property the revised percentage for determining the investment tax credit under this Act; and (2) eliminate the useful life requirement for such property. Revises rules for recapture of tax benefits upon disposition of recovery property eligible for the investment tax credit. Prescribes recapture percentages for each of the classes of such property. Applies the limitations applicable for purposes of the at risk rules to the basis or cost of property qualified for the investment tax credit. Requires the recapture of tax benefits if the property ceases to be at risk. Disqualifies capital cost recovery property from the allowance for first year depreciation. Eliminates the retirement-replacement-betterment method of depreciation allowed for railroad track and specifies that such property shall be depreciated using a ratable method. Specifies that in the case of recovery property constructed on a site formerly occupied by a certified historic structure, the depreciation allowance shall be determined according to the straight-line method using a recovery period of 35 years. Treats as ordinary income, in the event of a disposition of certain depreciable recovery property, gain attributable to recovery deductions made under this Act. Includes as an item of tax preference for purposes of the minimum tax the amount by which the recovery deduction for certain depreciable leased property exceeds the deduction which would otherwise have been calculated using the straight-line method and a specified recovery period. Sets forth rules for adjustment of corporate earnings and profits for depreciation for any year a recovery deduction is allowed. Extends the carryover period for the net operating loss deduction, the operations loss deduction allowed for life insurance companies, the unused loss deduction allowed for mutual insurance companies, the investment tax credit, the work incentive program credit, and the new employee credit. Prescribes a method for computing the recovery allowance for recovery property in the case of certain corporate acquisitions. Title III: Miscellaneous Tax Provisions - Subtitle A: Incentives for Research and Experimentation - Allows a nonrefundable income tax credit for 25 percent of the qualified research and experimental wage expenditures incurred by a taxpayer in carrying on any trade or business to the extent that such expenditures exceed the average amount of the taxpayer's research and wage expenditures in a specified base period. Excludes expenditures for research and experimentation conducted outside the United States, research in the social sciences or humanities, and research funded by Federal, State, or local governments from eligibility for such credit. Permits a three-year carryback and a seven-year carryover of such credit. Subtitle B: Investment Tax Credit for Qualified Rehabilitation Expenditures - Increases the investment tax credit for rehabilitation expenditures based upon the age of a building or its classification as a certified historic structure. Repeals: (1) the special 60-month amortization rules for such structures; and (2) rules regarding the depreciation method used for property constructed on a site formerly occupied by a certified historic structure and certain rehabilitated historic property. Subtitle C: Marriage Penalty Deduction - Allows married individuals filing a joint return an income tax deduction of ten percent (five percent for taxable year 1982) of the lesser of $30,000 or the earned income of the spouse with the lower earned income. Subtitle D: Savings Provisions - Increases to $2,000 or an amount equal to the compensation includible in gross income, whichever is less, the maximum retirement savings deduction for contributions to individual retirement plans. Allows participants in tax-qualified employer plans or government plans a deduction for such contributions. Limits the deduction allowed to such employees to the lesser of $1,000 or the amount of compensation includible in gross income. Allows employees a deduction for employer contributions to a simplified employee pension plan. Limits such deduction to the lesser of 15 percent of the employee's compensation includible in gross income or $7,500. Allows the establishment of, and a deduction for contributions to, an individual retirement plan for a spouse who has no compensation for the taxable year. Limits such deduction to the lesser of $2,250 for employees who are not participants in a plan ($1,125 for participants) or the amount of the employee's compensation includible in gross income. Increases from $7,500 to $15,000 the maximum deduction for contributions to a plan for self-employed persons or owner-employees. Amends the Crude Oil Wildfall Profit Tax Act of 1980 to make permanent the partial exclusion of dividends and interest received by individuals. Subtitle E: Exclusions of Foreign Earned Income and Foreign Housing Costs - Allows an exclusion from gross income of the foreign earned income of an individual who: (1) is a U.S. citizen who is a bona fide resident of a foreign country for a taxable year; or (2) a citizen or resident of the United States who, during any 12 consecutive months, is present in a foreign country for at least 330 days. Limits the amount of such exclusion to $50,000 plus 50 percent of the lesser of: (1) the compensation which exceeds $50,000; or (2) $50,000. Permits the exclusion of the amount by which such an individual's housing expenses for the taxable year exceed 16 percent of a GS-14, step 1 Federal salary. Waives the residency requirements for the earned income exclusion if the Secretary determines that the taxpayer would otherwise have met such requirements but for the occurrence of war, civil unrest, or similar adverse conditions which precluded the normal conduct of business. Repeals the existing tax deduction for expenses of Americans living abroad. Excludes from the gross income of an employee the value of employer-provided lodging in a camp located in a foreign country in cases where satisfactory housing is not generally available. Subtitle F: Estate and Gift Taxes Provisions - Increases the unified credit against the estate and gift taxes from $47,000 to $192,800 by specified annual increments through 1985. Increases from $175,000 to $600,000, by specified annual increments through 1985, the minimum gross estate requirement for filing of a return. States that the basis of property acquired by the decedent by gift within three years of death shall be its adjusted basis in the hands of the decedent immediately before death. Repeals the existing limitations on the marital deduction for gift and estate taxes. Revises the definition of "qualified joint interest" for purposes of imposition of the estate tax. Increases from $3,000 to $10,000 the annual gift tax exclusion. Subtitle G: Crude Oil Windfall Profit Tax Credit for Royalty Owners - Extends, and increases from $1,000 to $2,500 the amount of, the credit for any windfall profit tax paid which is attributable to a qualified royalty interest.
United States · United States Congress · 2 June 1981
Indian Tribal Governmental Tax Status Act of 1981 - Amends the Internal Revenue Code to treat an Indian tribal government as a State for purposes of: (1) determining the deductibility of a charitable contribution made to such tribe; (2) certain excise taxes; (3) deductions for State and local taxes; (4) the unrelated business income tax applicable to colleges and universities; (5) the credits for public retirement system income and contributions to candidates for public office; (6) the exclusion from gross income of certain scholarships and fellowship grants and contributions of certain employers for employee annuities; (7) the tax on excess lobbying expenditures by public charities; and (8) the tax treatment of activities of private foundations. Excludes from gross income, under specified circumstances, interest on industrial development bonds issued by an Indian tribal government. Defines "Indian tribal government" for the purposes of this Act.
United States · United States Congress · 7 May 1981
Amends the Internal Revenue Code to permit the reinvestment of proceeds from the sale or exchange of a radio or television broadcasting station required to effectuate policies of the Federal Communications Commission (FCC) in a newspaper without the loss of preferential tax treatment (i.e. nonrecognition of the gain from such sale or exchange as an involuntary conversion).
United States · United States Congress · 6 May 1981
Social Security Amendments of 1981 - Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to eliminate child's insurance benefits for full-time postsecondary school students over 17 years of age (currently such students are entitled to such benefits until attaining 22 years of age). Limits the payment of lump-sum death benefits to a widow, widower, or child who is entitled to widow's, widower's, mother's, or child's insurance benefits on the basis of the wages and self-employment income of a deceased individual (currently such benefits are required to be paid to cover burial expenses of the insured individual). Permits entitlement to widow's and widower's benefits for the month immediately preceding the month of application if the insured individual died in that preceding month. Provides for the continued payment of widow's or widower's benefits to a widow or widower who marries an individual entitled to old age or disability insurance benefits. Revises the method for computing maximum insurance benefits. Requires notice of the earnings reporting requirements and penalties under title II to any individual who fails to report earnings to the Secretary of Health and Human Services for any taxable year during which such individual is entitled to any monthly benefit. Revises such penalties. Sets forth provisions with respect to the computation of monthly benefits. Eliminates the minimum benefit amount used in computing the primary insurance amount. Eliminates the funding of vocational rehabilitation services for disabled beneficiaries from the Federal Old- Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund. Requires that an individual have at least six quarters of coverage during the 13-quarter period ending with the quarter in which such individual becomes entitled to disability insurance in order to receive disability insurance benefits. Reduces disability insurance benefits for individuals under 65 years of age who are entitled to periodic disability benefits under any Federal, State, or local law or plan (currently such benefit reduction applies to individuals under 62 years of age who are entitled to workmen's compensation benefits for total or partial disability). Authorizes the Secretary of Health and Human Services to require reimbursement of the cost of providing information to assist specified parties with respect to the administration of an employee benefit plan.
United States · United States Congress · 28 April 1981
Malt Beverage Interbrand Competition Act - Declares that no antitrust law shall prohibit the importer, brewer, or trademark licensee of a trademarked malt beverage from entering into an agreement granting a wholesale distributor the exclusive right to sell such beverage within any defined geographic area within a State, or limiting such distributor to the sale of such beverage for ultimate resale to consumers in that area, when such beverage has substantial competition from other malt beverages in that area. Declares that this Act shall not affect any provision of State law.
United States · United States Congress · 7 April 1981
Economic Equity Act - Title I: Tax and Retirement Matters - Amends the Internal Revenue Code to provide that the maximum deduction for contributions to an individual retirement plan: (1) shall be computed separately for each individual who is married; and (2) in the case of a married individual who has no compensation or less compensation than that of the spouse, shall be determined as if such compensation were the same as that of the individual's spouse. Amends the Employee Retirement Income Security Act of 1974 (ERISA) and the Internal Revenue Code to require that a retirement plan which provides an annuity to a participant with at least ten years of creditable service shall provide a survivor's annuity for the spouse of a participant who dies before the annuity starting date in an amount not less than the amount which would have been made under the survivor's annuity if the participant had survived and retired on such annuity date. Provides that a participant's election not to take a joint and survivor's annuity shall not be effective unless the spouse of the participant consents in writing to such an election. Allows the assignment of the benefits of a qualified retirement plan in the case of a judgment, decree or order relating to child support, alimony payments, or marital property rights pursuant to a State domestic relations law. Amends ERISA to lower the age limitation for participation in a qualified retirement plan from age 25 to age 21. Amends ERISA and the Internal Revenue Code to provide for accruals of creditable service to continue while an individual is on approved maternity or paternity leave at the rate of 20 hours service for each week of approved leave. Amends the Internal Revenue Code to: (1) increase the zero bracket amount; (2) lower the tax rate; (3) decrease withholding requirements; and (4) increase minimum filing requirements for heads of households. Entitles former spouses of members of the uniformed services, civil service employees and members of Congress who were married to such a member or employee for at least ten years during creditable service to an annuity based upon a portion of such member's or employee's retired or retainer pay period. Amends the Survivor Benefit Plan of the uniformed services to make former spouses eligible for annuities under such plan. Provides for survivor's annuities for surviving former spouses of civil service spouses or members of Congress. Provides that the election of a member of the uniformed services, civil service employee or member of Congress not to take a joint and survivor's annuity shall not be effective unless the spouse and any former spouse of such member or employee consents in writing to such an election. Amends the Internal Revenue Code to provide a tax credit to employers of displaced homemakers. Title II: Day Care Program - Amends the Internal Revenue Code to increase the tax credit for household and dependent care services necessary for gainful employment from 20 percent of the cost of such services to 50 percent of the cost reduced by one percent for each $1,000 amount by which the taxpayer's adjusted gross income exceeds $10,000. Makes such credit refundable. Increases the dollar limit for such credit from $2,000 to $2,400 (from $4,000 to $4,800 for two or more dependents). Allows such credit for certain services performed outside the taxpayer's household. Establishes a minimum income for individuals engaged in business on a substantially full time basis to be used in the computation of the earned income limitation on the amount of such credit. Includes as a tax-exempt organization any organization which provides non-residential dependent care services to the general public for purposes of enabling individuals to be gainfully employed. Title III: Armed Forces - Revises the rules for the distribution of the property of deceased members of the Air Force and Army by removing any gender distinctions from such rules. Establishes a distribution formula based on six classes: (1) beneficiary named in a will; (2) surviving spouse; (3) children; (4) parents; (5) siblings; and (6) next of kin. Eliminates sexual distinctions with regard to promotion procedures and procedures to remove reserve officers from active duty status in the Naval and Marine Corps Reserve. Requires the Secretary of Defense to make an annual report to the Congress concerning the status of women in the armed forces. Title IV: Estate Tax on Agricultural Property and Farm Loans - Amends the Internal Revenue Code to increase the unified credit against the estate and gift tax from $47,000 to $192,800 by specified annual increments through 1985. Increases the minimum gross estate requirement for filing a return from $175,000 to $600,000. Qualifies estates of decedents who were disabled or retired for the special valuation of certain farms based on use if they materially participated in the operation of such farm for five out of eight years preceding the year in which they became disabled or eligible for disability benefits. Permits the spouse of a decedent to use such valuation if the spouse has managed the farm or business for ten years preceding the decedent's death. Permits active management rather than material participation as a test for qualification of the estate for spouses, children under 21, students, and disabled individuals who receive property from a decedent who qualified for special use valuation. Repeals the $500,000 limitation on the reduction of the value of qualified real property permitted by the special use valuation. Provides that the interest rate on extended payments of estate taxes shall be the lower of 6 percent or 75 percent of the prime rate. Amends the Consolidated Farm and Rural Development Act to remove the preference to married persons in receiving farm improvement loans. Title V: NonDiscrimination in Insurance Act - Prohibits discrimination on the basis of race, color, religion, sex, or national origin in the consideration of applications for, or the granting of, insurance policies and the terms of such policies. Permits insurers who regularly provide insurance solely to persons of a single religious affiliation to continue to do so. Grants to State or local governments having insurance discrimination laws the primary opportunity to enforce this Act. Permits an aggrieved person to file a civil action in State or Federal court against an insurer, if a State or local authority which has received notice of a complaint fails to act within 60 days or with respect to those authorities not having insurance discrimination laws. Authorizes the Attorney General to bring a civil action in district court when there is reasonable cause to believe that a person or group is engaged in a pattern or practice of resistance to the rights granted by this Act and that such denial raises an issue of general public importance. Title VI: Regulatory Reform and Sex Neutrality - Requires the head of each executive agency to conduct a review of all rules, regulations and policies of the agency which result in different treatment based on gender. Directs each agency to report annually to the Congress on such review. Provides that such report shall include proposals to eliminate any resultant sex-based discrimination. Requires that all rules, regulations, documents and other writings of executive agencies shall use words that are neutral as to gender unless it is impracticable to do so or the subject matter specifically applies only to one sex. Title VII: Study of Enforcement of Alimony and Child Support Payments - Directs the Attorney General to undertake a study of the appropriate role of the Federal Government in the enforcement of delinquent payments of alimony, child support, and property settlement orders against an absent spouse or parent. Requires the Attorney General to submit to the President and the Congress not later than one year after enactment of this Act a report of such study together with recommendations for appropriate legislation. Authorizes appropriations.
United States · United States Congress · 7 April 1981
Amends the Internal Revenue Code to provide that meals furnished by employers to employees which are excluded from such employees' income for tax purposes shall not be subject to taxes under the Federal Insurance Contributions Act or the Federal Unemployment Tax Act.
United States · United States Congress · 7 April 1981
Amends the Internal Revenue Code to grant tax-exempt status to a trust, corporation, or fund formed by a foreign segregated asset pension plan maintained primarily for the benefit of nonresident alien employees. Requires, as a condition for such tax-exemption, that the pension plan be eligible for preferential tax treatment in the foreign country in which it is maintained.
United States · United States Congress · 2 April 1981
Family Welfare Improvement Act - Amends part A (Aid to Families with Dependent Children) of title IV of the Social Security Act to set forth a new formula for determining the amount of payments to a State under such part. Provides: (1) for an annual increase in such amount based upon the percentage increases in the Consumer Price Index; and (2) that such amount shall be changed in accordance with a State's population increase or decrease. Directs the Secretary of the Treasury to pay to each State with an "excess unemployment percentage" greater than zero, as determined according to this Act, a supplemental grant based on a specified formula. Permits a State to require any individual whose needs are taken into account in determining AFDC eligiblity to work as a condition of AFDC eligibility. Establishes a five year, ten State demonstration project to provide a pilot test of the States ability to create their own welfare program as an alternative to AFDC. Allows payment made to participating States pursuant to such program to be used without regard to the requirements and limitations otherwise applicable under the AFDC program. Directs the Advisory Council on Intergovernmental Relations to report to the Secretary of Health and Human Services, and to Congress concerning such project.
United States · United States Congress · 31 March 1981
Trade Act Amendments of 1981 - Amends the Trade Act of 1974 to limit certification of eligibility for adjustment assistance to employees at firms for which: (1) there is a substantial probability that a lower level of employment due to increased import competition will be permanent; and (2) increased imports are the substantial cause of such unemployment. Provides for payment of adjustment assistance to begin during any week of unemployment which begins more than 60 days after the petition for certification is filed. Requires that such workers: (1)with respect to the weeks preceding such week of unemployment, have received any applicable waiting period credit and to have exhausted all unemployment insurance benefit rights; and (2) with respect to such week of unemployment, not be entitled to any State or Federal unemployment insurance or waiting period credit. Subjects such workers to specified provisions of the Federal-State Extended Unemployment Compensation Act of 1970. Authorizes the Secretary of Labor to require certain workers to search for work outside the worker's labor market area or accept certain approved training in new or related job categories. Makes the weekly amount of the trade readjustment allowance equal to the worker's weekly unemployment insurance benefits. Limits the total amount of trade readjustment allowance payments and the length of time during which a worker is entitled to such payments. Authorizes payment of such allowance for an additional 26 weeks so that the worker can complete an approved training course if the worker applies for such training within a specified time. Increases the authorized maximum job search allowance to $600 (currently $500). Increases the relocation allowance for a worker to 90 percent (currently 80 percent) of the worker's reasonable and necessary transportation expenses and a lump sum payment of up to $600 (currently $500). Requires persons who receive adjustment assistance payments to which they are not entitled to repay such amounts. Directs the appropriate State agency or the Secretary to recover any overpayments by taking deductions from trade readjustment allowances or unemployment compensation benefits. Makes ineligible for further payments persons who receive payments because of false statements or representations or nondisclosure of material facts. Requires the Secretary or appropriate agency to provide an individual an opportunity for a hearing before requiring or collecting any repayment. Repeals provisions for the establishment of an adjustment assistance trust fund. Authorizes appropriations to carry out such Act.
United States · United States Congress · 26 March 1981
Unemployment Compensation Amendments of 1981 - Title I: Extended Unemployment Compensation - Amends the Federal - State Extended Unemployment Compensation Act of 1970 to eliminate the "national trigger" under the extended benefits program. Revises the State trigger for extended compensation to raise to five percent the rate of insured unemployment for a specified period as one requirement for a State "on" indicator (and to make a six percent rate the permissible alternative "on" indicator for States which so legislate). Requires 20 weeks of full-time insured employment (or the wage equivalent) in order for an individual who has exhausted regular benefits to qualify for extended compensation. Changes the equation for the rate of insured unemployment, for extended compensation purposes, to include only individuals filing claims for regular compensation. Makes the Federal - State Extended Unemployment Compensation Act of 1970, as amended by this Act, a requirement for State unemployment compensation laws. Prohibits the Secretary of Labor from certifying any State, for Internal Revenue Code unemployment tax purposes, unless such State complies substantially with such Act as so amended within a specified period. Title II: Regular Unemployment Compensation - Amends the Internal Revenue Code to provide for an unemployment compensation work test by making specified provisions of the Federal - State Extended Unemployment Compensation Act of 1970 applicable to any individual claiming compensation for any week of unemployment in the individual's benefit year, after 13 weeks with respect to each of which the individual was: (1) entitled to a partial or total payment of compensation; (2) disqualified for any reason; or (3) determined to be unavailable for work. Prohibits the Secretary of Labor from certifying any State, for unemployment tax purposes, unless such State complies with the amendment to the Code made by this Act within a specified period. Title III: Unemployment Compensation for Ex-Servicemembers - Revises the definition of "Federal service," for purposes of unemployment compensation for ex-servicemembers, to include the conditions that, with respect to active service, the individual: (1) was discharged or released under honorable conditions; (2) did not resign or voluntarily leave the service; and (3) was not released or discharged for cause as defined by the Department of Defense.
United States · United States Congress · 25 March 1981
State and Local Government Financing Reform Act of 1981 - Excludes from the Federal law limiting and restricting the corporate powers of national banking associations to deal in and underwrite investment securities, specified dealings in and underwriting of all other nongeneral obligations issued or guaranteed by or on behalf of a State or any political subdivision thereof (except special assessment obligations and industrial revenue bonds) which are at the time eligible for purchase by a national bank for its own account, subject to specified limitations. Requires the Secretary of the Treasury to submit an annual report to the Congress showing the extent to which the business of underwriting and dealing in State and local obligations is being carried on by commercial banks as compared with other banking institutions with a view to determining the effect of the provisions of this Act on the institutional distribution of such business.
United States · United States Congress · 25 March 1981
Amends the Internal Revenue Code to allow employees who are participants in tax-qualified employer retirement plans an income tax deduction for contributions to such plans or to individual retirement plans. Limits the amount of such deduction to the lesser of 15 percent of the employee's compensation for the taxable year or $1,500. Disallows such deduction for individuals otherwise claiming a deduction for contributions to retirement savings. Disallows the deduction for contributions to an individual retirement plan if the individual attains the age of 70 1/2 before the close of the taxable year. Excludes from eligibility for the deduction amounts received as compensation by employees while they are participants in a government plan.
United States · United States Congress · 24 March 1981
Hunger and Global Security Act - Title I: Public Law 480 - Amends the Agricultural Trade Development and Assistance Act of 1954 to require the President to consider the extent to which a developing country is using self-help measures to reduce illiteracy among young farmers and to improve the health of farmers and their families before the President can enter an agreement for the sale of agricultural commodities for foreign currencies and long-term-dollar credit with such country. Requires that the economic development and self-help measures the recipient country agrees to undertake be sufficiently described so that the primary beneficiaries will be needy people with incomes below the level required to prevent malnutrition. Requires such economic development and self-help measures to be in addition to the measures the recipient country had otherwise been planning to take. Directs the President to verify that such measures are being carried out and to report to the appropriate Congressional committees on such verification and on the additional nature of such measures. Title II: Multilateral Development Banks - Amends the Federal provisions for aiding international financial institutions to require the United States to work within certain multilateral development banks to establish a requirement that not less than 50 percent of such bank's lending benefit needy people. Requires the Secretaries of State and of the Treasury to report to Congress annually on establishing such requirement. Title III: World Food Security - Directs the President to encourage other grain exporting countries to establish food security reserves or take other measures that complement the U.S. food security reserve. Directs the President to report to Congress on actions taken with respect to such food security reserves. Directs the President to negotiate the establishment of a global food financing facility and ensure that the benefits of such facility meet basic human needs. Directs the President to report to Congress on the actions taken to implement such facility. Amends the Export Administration Act of 1979 to prohibit the Secretary of Commerce from imposing export controls on food if it is determined that such controls would cause measurable malnutrition in the countries against whom the controls are proposed unless the President determines such controls are necessary to protect U.S. national security. Title IV: Generalized System of Preferences - Amends the Trade Act of 1974 to prohibit the President from designating as a beneficiary developing country any country that fails to give priority to alleviating malnutrition and poor health and enabling the poor to participate actively in increasing economic productivity, unless the President determines that such designation is required by U.S. national security interests and so reports to Congress. Directs the President to review the possibility of increasing the benefits available to the poorest beneficiary developing countries under such Act's Generalized System of Preferences. Title V: American International Public Health Fund - Establishes within the Agency for International Development (AID) an American International Public Health Fund to provide financial assistance to private and voluntary organizations to support specified public health activities in developing countries. Limits the Fund's financial assistance with respect to the administrative activities of such organizations. Specifies factors to be considered in allocating the Fund's resources. Authorizes the Fund to carry out all AID programs assisting private and voluntary organizations. Directs the Administrator of AID to establish a Board for International Public Health which shall: (1) participate in project proposal review; (2) review documents that detail the terms under which the Fund provides financial assistance to private and voluntary organizations; (3) review the impact of activities supported by the Fund; (4) recommend the allocation of funds; and (5) participate in preparing the annual report. Requires the Director of the Fund to report annually to Congress and the President on the Fund. Authorizes appropriations for such Fund.
United States · United States Congress · 18 March 1981
Amends the Internal Revenue Code to extend tax-exempt status to veterans' organizations at least 75 percent of whose membership consists of past or present members of the armed forces of the United States (combat or noncombat veterans) and whose remaining membership consists substantially of cadets or spouses, widows, or widowers of armed forces personnel or cadets.
United States · United States Congress · 18 March 1981
Amends the Internal Revenue Code to set forth transitional rules for estate and gift tax treatment of qualified disclaimers of property interests transferred before November 15, 1958.
United States · United States Congress · 10 March 1981
Economic Recovery Tax Act of 1981 - Title I: Individual Tax Rate Cuts - Amends the Internal Revenue Code to reduce individual and estate and trust income tax rates for 1981, 1982, 1983, and 1984. Repeals the 50 percent maximum tax rate on personal service income. Reduces the alternative minimum tax for taxpayers other than corporations. Title II: Incentives for Plant, Equipment, and Real Property - Amends the Internal Revenue Code to revise the method for determining useful lives of business assets for purposes of computing allowable depreciation deductions. Replaces the asset depreciation range (ADR) method with a schedule of capital cost recovery periods for three classes of business property. Establishes cost recovery periods for the following classes of business property: (1) ten-year property, including owner-used buildings and their structural components and certain public utility property; (2) five-year property, including tangible property, and (3) three-year property, including automobiles, light-duty trucks and certain tangible property used in connection with research and experimentation. Excludes from the category of recovery property: (1) property placed in service before January 1, 1981; (2) certain property eligible for amortization; and (3) certain depreciable real property. Requires the recapture of depreciation amounts and investment tax credit amounts applicable to assets which are sold or otherwise disposed of prior to the expiration of the capital cost recovery period. Revises the treatment of progress expenditure property with respect to the investment tax credit and the allowance for depreciation. Includes as recovery property property which would have been depreciated using the retirement-replacement-betterment method. Provides special rules for recovery property predominantly used outside of the United States. Establishes definite useful lives for certain types of real property, (e.g., buildings, low-income housing, owner-occupied industrial and commercial buildings) which are not subject to change by the Internal Revenue Service upon audit. Allows current depreciation of any qualified progress expenditure property not yet placed in service. Revises the applicable percentage for determination of the investment tax credit to make eligible for such credit: (1) 100 percent of the basis of ten-year or five-year recovery property; and (2) 60 percent of the basis of three-year recovery property. Revises the progress expenditure rules to eliminate the useful life requirement for depreciable property being constructed by or for a taxpayer for use in trade or business (qualified progress expenditure property) and to apply to such property the revised percentages for determining the investment tax credit under this Act. Revises rules for the recapture of tax benefits upon the disposition of property eligible for the investment tax credit. Prescribes recapture percentages for each of the three classes of recovery property. Limits the amount of the investment tax credit to the amount that the taxpayer has risked. Disqualifies capital cost recovery property from the allowance for first year depreciation. Repeals the retirement-replacement-betterment methods of depreciation allowed for certain types of property. Specifies that such property shall be depreciated using a ratable method. Requires the recapture as ordinary income of excess depreciation from recovery property which is subsequently sold or exchanged. Exempts accelerated depreciation on real property with a shortened audit-proof life and recovery property from classification as an item of tax preference for purposes of computing the minimum tax. Sets forth rules for treatment of the depreciation allowance for any recovery property under real property with a shortened audit-proof life in computing the earnings and profits of a corporation. Extends the carryover period for the net operating loss deduction, the investment tax credit, the work incentive program credit, and the new employee credit. Sets forth a method of computing the recovery allowance for recovery property and certain real property in the case of certain corporate acquisitions.
United States · United States Congress · 9 March 1981
Federal Lending Oversight and Control Act - Declares that the purpose of this Act is to provide a statutory basis for controlling loans and loan guarantees under Federal credit programs through the congressional budget process. Title I: Reports Regarding Federal Credit Activity - Requires the Secretary of the Treasury, not later than February 1 and August 1 of each year, in consultation with the Council of Economic Advisors, to transmit a report to both Houses of Congress regarding Federal credit activity during the previous six month period. Requires each such report to examine the relationship between Federal credit activity during the previous six-month period and: (1) the condition of the economy; (2) the availability and cost of credit in the private sector; and (3) the exercise of monetary and fiscal policy by the Federal Government. Amends the Federal Reserve Act to direct the Board of Governors of the Federal Reserve System, in their biannual reports to Congress concerning recent developments affecting economic trends in the Nation, to examine the effects of Federal credit activity on the availability and cost of credit in the private sector and on the exercise of monetary policy by the Board and the Federal Open Market Committee. Amends the Budget and Accounting Act of 1921 to require the President, in his annual budget statement to the Congress, to include all essential facts regarding direct lending by the Government and guarantees by the Government of the repayment of indebtedness incurred by another person or government. Title II: Changes in Congressional Budget Procedures - Amends the Congressional Budget Act of 1974 to require the first concurrent resolution on the budget for each fiscal year to set forth the appropriate level of total gross obligations for the principal amount of direct loans and the appropriate level of total commitments to guarantee loans and to allocate such totals among the major functional categories of the budget. Directs each standing committee of the House and Senate to submit its estimates of direct loan obligations and loan guarantee commitments provided for in legislation under its jurisdiction by March 15 of each year for consideration of the Budget Committee in formulating the budget resolution. Directs the House and Senate Banking Committees to submit recommendations to the Budget Committees for the aggregate levels of direct loans and loan guarantees in each fiscal year. Requires the joint explanatory statement accompanying a conference report on the concurrent resolution on the budget to include an estimate allocation of the total levels of direct loan obligations and loan guarantee commitments among the committees of the House and Senate. Directs the Committees on Appropriations to provide such an allocation among their subcommittees as soon as practicable after a budget resolution has been agreed to. Requires the House Committee on Appropriations, before reporting any regular appropriations bills, to submit a summary report to the House comparing the credit authority contained in such bills to the levels agreed to in the budget resolution. Requires any report accompanying legislation conferring new budget authority or increasing tax expenditures to include information on direct loan obligations and loan guarantee commitments. Establishes a deadline for the completion of action on legislation providing credit authority. Requires the second concurrent resolution on the budget in any fiscal year and the reconciliation process to take into account Federal obligations and commitments on loans and loan guarantees. Declares out of order any measure brought up for consideration in either House which would increase the level of loan obligations and guarantee commitments agreed to in the budget process. Requires any authority to guarantee the payment of any indebtedness to be contingent on provisions in appropriation Acts. Title III: Amendments to House Rules - Amends rule X of the Rules of the House of Representatives to require each standing committee (other than the Committee on Appropriations and the Committee on the Budget) to review and make appropriate recommendations with respect to the consistency and uniformity of the different definitions, default provisions, policies, interest rates, and other terms and conditions relating to direct loan, loan insurance, and loan guarantee activities included in any laws of which the subject matter is within the jurisdiction of that committee. Title IV: Construction and Effective Dates - Sets forth the effective dates of the titles of this Act.
United States · United States Congress · 5 March 1981
Fair Representation Act of 1981 - Establishes in each State entitled to more than one Representative a number of districts equal to the number of Representatives to which such State is entitled. Requires the number of persons in such districts to be as equal as practicable, according to the most recent decennial census. Requires such district to be: (1) drawn with due regard to significant natural geographic barriers; (2) defined by boundaries which coincide with boundaries of local political subdivisions; and (3) compact in form. Defines the numerical equality of persons in such districts to be either absolute numerical equality or, under certain circumstances, reasonable numerical equality. Prohibits a State from drawing boundaries: (1) of districts for the purpose of favoring any political party or individual; or (2) of a district for the purpose of or with the effect of denying effective voting representation to any language or racial minority group. Prohibits construing this Act to supersede the Voting Rights Act of 1965. Authorizes any eligible voter to sue in U.S. district court for enforcement of this Act in such voter's State. Sets forth provisions for judicial review of actions brought to enforce this Act.
United States · United States Congress · 4 March 1981
Limits the aggregate amount of all expense resolution authorization levels for the committees of the House of Representatives for the first session of the 97th Congress to no more than 90 percent of the aggregate expenditure levels of such committees for the second session of the 96th Congress.
United States · United States Congress · 3 March 1981
Expresses the sense of Congress that Federal bank regulators should immediately begin to diminish the differences between the capital- to-assets ratios imposed on small- and medium-sized banks.
United States · United States Congress · 25 February 1981
Amends the Internal Revenue Code to extend the income tax exclusion for the cost of meals furnished by an employer to meals furnished off the business premises of the employer. Requires that such meals be furnished in kind.
United States · United States Congress · 23 February 1981
Amends the Tariff Schedules of the United States to repeal the additional duties imposed until 1993, under the Omnibus Reconciliation Act of 1980, on ethyl alcohol imported to be used as fuel. Requires the reimposition of such additional duties if a request for reimposition is made within a specified time after enactment of this Act.
United States · United States Congress · 23 February 1981
Amends the Internal Revenue Code to prohibit any State, or political subdivision thereof, which imposes an income tax on a corporation from taking into account any amount of income of, or attributable to, any foreign corporation which is also a member of an affiliated group to which the domestic corporation belongs, unless such amount is subject to Federal income tax. Prohibits any State, or political subdivision thereof, from taxing or otherwise taking into account: (1) the amount of the deduction for dividends paid by a corporation which has elected the Puerto Rico and possession tax credit for the taxable year; or (2) a certain percentage (determined according to specified formulae) of any dividend received from a domestic corporation which is not treated as income from sources within the United States (or a dividend received by a corporation from a foreign corporation).
United States · United States Congress · 18 February 1981
Dependent Care Amendments Act of 1981 - Amends the Internal Revenue Code to increase the rate of the income tax credit for household and dependent care expenses, based upon family income. Makes such credit refundable. Increases the amount of allowable dependent care expenses eligible for the credit. Permits the dependent care credit for the care of dependents over the age of 14 or handicapped dependents outside of the home, if such dependents return to the taxpayer's household each day. Imputes a minimum level of earned income to individuals engaged in business on a substantially full-time basis (35 hours a week) for purposes of insuring eligibility for the household and dependent care credit in cases where the taxpayer has little or no income for the taxable year. Grants tax-exempt status to organizations providing dependent care services to the general public. Allows an employee to claim a dependent care credit for the value of employer-provided dependent care services if the value of such services are included in the gross income of the employee.
United States · United States Congress · 17 February 1981
Authorizes expenditures for investigations and studies to be conducted by the Committee on Ways and Means, including: (1) employment of personnel; and (2) procurement of consultant services. Prohibits the committee from expending such funds in connection with any study or investigation being conducted by any other House committee.
United States · United States Congress · 6 February 1981
Directs the Committee on Standards of Official Conduct to conduct a full investigation of alleged improper conduct (commonly referred to as ABSCAM) of Members, officers, or employees of the House of Representatives. Directs the Committee to report to the House any recommendations it deems appropriate as a result of such investigation. Authorizes the Committee to conduct hearings, issue subpoenas, and coordinate its investigation with the Department of Justice.
United States · United States Congress · 5 February 1981
Constitutional Amendment - Limits the increase of total budget outlays of the United States Government during any fiscal year to a percentage equal to the percentage increase in the gross national product during the previous calendar year. States that if the inflation rate exceeds three percent annually the increase in total outlays shall be reduced by one-fourth the difference between the inflation rate and three percent. Requires the use of any surplus in total revenues received by the Government to reduce the public debt. Allows the limit on total outlays to be changed: (1) by a two-thirds vote of both Houses of Congress to meet an emergency declared by the President; or (2) by a three-quarters vote on other occasions. Continues Federal aid programs to States and local governments for a period of six years. Prohibits Congress from authorizing any United States agency from requiring that a State or local government engage in additional or expanded activities without compensation equal to the additional costs.
United States · United States Congress · 4 February 1981
Title I: Export Trading Companies - Export Trading Company Act of 1981 - Directs the Secretary of Commerce to promote export trading companies by providing information and by facilitating contacts between producers of exportable goods and export trading companies. Authorizes any banking organization to invest up to specified amounts in export trading companies upon notifying, but without obtaining the prior approval of, the appropriate Federal banking agency, if such investment does not cause an export trading company to become a subsidiary of such organization. Allows greater investment by Edge Act Corporations not engaged in banking. Permits any banking organization to invest beyond such limitations with prior approval of the appropriate Federal banking agency. Requires prior notification of such agencies in specified circumstances. Sets forth further limitations on export trading companies and investments by banking organizations. Specifies factors to be taken into consideration by the banking agencies. Permits such agencies to impose conditions in approving applications to invest in export trading companies. Requires such agencies to report to the appropriate Congressional committees with their recommendations concerning implementation of this Act, related changes in U.S. law, and effects of ownership of U.S. banks by foreign banking organizations. Provides for judicial review of denial orders in the appropriate U.S. Court of Appeals. Sets forth the grounds for disapproval. Provides for remand for further consideration by the banking agency. Directs the Economic Development Administration and the Small Business Administration to give special weight to export-related benefits when considering applications for loans and guarantees by export trading companies. Authorizes up to $20,000,000 to be appropriated for initial investments and operating expenses for each of the fiscal years 1981, 1982, 1983, 1984, and 1985. Directs the Export-Import Bank of the United States to provide loan guarantees to export trading companies or exporters, to be secured by accounts receivable or inventories, when adequate financing is not otherwise available and such guarantees will facilitate expansion of exports. Directs the Board of Directors to try to insure that a major share of such guarantees promotes exports from small, medium-size, and minority businesses or agricultural concerns. Title II: Export Trade Associations - Export Trade Association Act of 1981 - Amends the Webb-Pomerene Act to exempt the trade activities and methods of operation of certified export trade associations and export trading companies from the antitrust laws. Delays the effectiveness of any certificate upon the notification of the Secretary of Commerce by the Attorney General or the Federal Trade Commission (FTC) of disagreement with the decision to issue a certificate. Sets forth the procedure to be followed by any association or export trading company seeking certification under this Act and by the Secretary in issuing such certificates. Permits automatic certification for existing associations. Provides for appeal of the Secretary's denial of certification. Authorizes the Attorney General or the FTC to bring an action to invalidate a certification. Requires the Secretary, in consultation with the Attorney General and the FTC, to publish guidelines for determining whether an association or export trading company will meet the certification requirements. Requires certified associations and export trading companies to submit annual reports to the Secretary. Directs the Secretary to establish within the Department of Commerce an Office of Export Trade to promote export trade associations and trading companies. Requires such Office to report annually to the appropriate Congressional committees on all East-West trade transactions requiring validated licenses and on the role of U.S. export trading companies in East-West trade. Grants a temporary exemption from the Sherman Act antitrust provisions for existing associations. Requires that all applications for certification be kept confidential with specified exceptions. Authorizes the Secretary to require an association or trading company to modify its operation to be consistent with international obligations of the United States. Directs the President to appoint, with the Senate's advice and consent, a task force seven years after enactment to examine the effect of this Act and to make recommendations.
United States · United States Congress · 3 February 1981
Amends the Federal Mine Safety and Health Amendments Act of 1977 to provide that provisions of such Act shall not apply to: (1) any surface sand or gravel, stone, or clay mine; or (2) any surface structure or road, if constructed by employees not engaged in mining.
![Official portrait of Rep. Conable, Barber B., Jr. [R-NY-30]](https://www.congress.gov/img/member/c000666_200.jpg)