A bill to amend the Internal Revenue Code of 1986 to create Lifetime Savings Accounts.

Summary

Amends the Internal Revenue Code to create a tax-exempt trust to be known as a "Lifetime Savings Account" for the benefit of an individual taxpayer or his beneficiaries. Allows an individual taxpayer to make cash contributions up to $5,000 each year to such trusts. Prohibits: (1) investment of trust assets in life insurance contracts; and (2) commingling of trust assets with any other property except in a common trust or investment fund. Provides for an annual cost-of-living adjustment to the contribution amount. Excludes from gross income distributions from such a trust. Allows tax-free rollovers to a trust from: (1) another account of the trust beneficiary if the rollover from such other account is completed within 60 days of the date of distribution; (2) from a Lifetime Savings Account of the spouse of the trust beneficiary if the rollover from the spouse's account is completed within 60 days of the date of distribution; (3) from a qualified state tuition plan or a Coverdell education savings account before January 1, 2006.

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Timeline

1. 31 March 2004

   Introduced

   Read twice and referred to the Committee on Finance.

   Source: IntroReferral

2. 31 March 2004

   Introduced

   Introduced in Senate

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

• Introduced in Senate · 31 March 2004 · Official file

Documents

3 official files

• Introduced in Senate (text)

  Introduced in Senate · EN · 31 March 2004

  ViewDownloadOpen at official source

• Introduced in Senate (PDF)

  Introduced in Senate · EN · 31 March 2004

  ViewDownloadOpen at official source

• Introduced in Senate

  summary · EN · 31 March 2004

  Open at official source

Sponsors

• Rep. Thomas, Craig [R-WY-At Large] · R · Sponsor
• Sen. Specter, Arlen [R-PA] · R · Sponsor
• Rep. Kyl, Jon [R-AZ-4] · R · Sponsor
• · ssfi00 · Standing

Related records

• related to → To amend the Internal Revenue Code of 1986 to create Lifetime Savings Accounts.