Us Congress 2025-2026 Regular Session

Us Congress House Bill HB601 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	I
2	2	119THCONGRESS
3	3	1
4	4	STSESSION H. R. 601
5	5	To amend the Internal Revenue Code of 1986 to reduce the rate of tax
6	6	on estates, gifts, and generation-skipping transfers.
7	7	IN THE HOUSE OF REPRESENTATIVES
8	8	JANUARY22, 2025
9	9	Mr. A
10	10	RRINGTON(for himself and Mr. BISHOP) introduced the following bill;
11	11	which was referred to the Committee on Ways and Means, and in addi-
12	12	tion to the Committee on the Budget, for a period to be subsequently de-
13	13	termined by the Speaker, in each case for consideration of such provisions
14	14	as fall within the jurisdiction of the committee concerned
15	15	A BILL
16	16	To amend the Internal Revenue Code of 1986 to reduce
17	17	the rate of tax on estates, gifts, and generation-skipping
18	18	transfers.
19	19	Be it enacted by the Senate and House of Representa-1
20	20	tives of the United States of America in Congress assembled, 2
21	21	SECTION 1. SHORT TITLE. 3
22	22	This Act may be cited as the ‘‘Estate Tax Rate Re-4
23	23	duction Act’’. 5
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26	26	•HR 601 IH
27	27	SEC. 2. REDUCTION OF RATE OF TAX ON ESTATES, GIFTS, 1
28	28	AND GENERATION-SKIPPING TRANSFERS. 2
29	29	(a) I
30	30	NGENERAL.—Section 2001 of the Internal Rev-3
31	31	enue Code of 1986 is amended— 4
32	32	(1) by striking subsection (c) and inserting the 5
33	33	following: 6
34	34	‘‘(c) R
35	35	ATE OFTAX.—For purposes of determining 7
36	36	the tentative tax, the rate of tax shall be 20 percent of 8
37	37	the amount with respect to which the tentative tax is com-9
38	38	puted.’’; and 10
39	39	(2) in subsection (g)(1), by striking ‘‘rates of 11
40	40	tax under subsection (c)’’ and inserting ‘‘rate of tax 12
41	41	under subsection (c)’’. 13
42	42	(b) C
43	43	ONFORMINGAMENDMENTS.— 14
44	44	(1) Section 2056A(b)(2) of the Internal Rev-15
45	45	enue Code of 1986 is amended— 16
46	46	(A) in subparagraph (B)(i), by striking 17
47	47	‘‘highest’’; and 18
48	48	(B) in subparagraph (C), by striking 19
49	49	‘‘highest’’. 20
50	50	(2) Section 2107(a) of such Code is amended 21
51	51	by striking ‘‘the table contained in’’ and inserting 22
52	52	‘‘the rate of tax under’’. 23
53	53	(3) Section 2201(a) of such Code is amended 24
54	54	by striking ‘‘the rate schedule set forth in section 25
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57	57	•HR 601 IH
58	58	2001(c)’’ and inserting ‘‘the rate of tax under sec-1
59	59	tion 2001(c)’’. 2
60	60	(4) Section 2641 of such Code is amended to 3
61	61	read as follows: 4
62	62	‘‘SEC. 2641. APPLICABLE RATE. 5
63	63	‘‘For purposes of this chapter, the term ‘applicable 6
64	64	rate’ means, with respect to any generation-skipping 7
65	65	transfer, the product of— 8
66	66	‘‘(1) the rate imposed by section 2001 on the 9
67	67	estates of decedents dying at the time of the taxable 10
68	68	distribution, taxable termination, or direct skip, as 11
69	69	the case may be, and 12
70	70	‘‘(2) the inclusion ratio with respect to the 13
71	71	transfer.’’. 14
72	72	(5) Section 2801(a)(1) of such Code is amended 15
73	73	by striking ‘‘the highest rate of tax specified in the 16
74	74	table contained in’’ and inserting ‘‘the rate of tax 17
75	75	under’’. 18
76	76	(6) Section 6601(j)(2)(A)(i) of such Code is 19
77	77	amended by striking ‘‘the rate schedule set forth 20
78	78	in’’. 21
79	79	(c) E
80	80	FFECTIVEDATE.—The amendments made by 22
81	81	this section shall apply to estates of decedents dying, gen-23
82	82	eration-skipping transfers, and gifts made, after Decem-24
83	83	ber 31, 2024. 25
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86	86	•HR 601 IH
87	87	(d) BUDGETARYEFFECTS.— 1
88	88	(1) PAYGO
89	89	SCORECARD.—The budgetary ef-2
90	90	fects of this section shall not be entered on either 3
91	91	PAYGO scorecard maintained pursuant to section 4
92	92	4(d) of the Statutory Pay-As-You-Go Act of 2010 (2 5
93	93	U.S.C. 933(d)). 6
94	94	(2) S
95	95	ENATE PAYGO SCORECARD .—The budg-7
96	96	etary effects of this section shall not be entered on 8
97	97	any PAYGO scorecard maintained for purposes of 9
98	98	section 4106 of H. Con. Res. 71 (115th Congress), 10
99	99	the concurrent resolution on the budget for fiscal 11
100	100	year 2018. 12
101	101	Æ
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