Us Congress 2025-2026 Regular Session

Us Congress Senate Bill SB796 Compare Versions

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Old	New	Differences
1	1	II
2	2	119THCONGRESS
3	3	1
4	4	STSESSION S. 796
5	5	To amend the Internal Revenue Code of 1986 to repeal the corporate
6	6	alternative minimum tax.
7	7	IN THE SENATE OF THE UNITED STATES
8	8	FEBRUARY27, 2025
9	9	Mr. B
10	10	ARRASSO(for himself, Mr. CRAPO, Mr. LANKFORD, Mr. CASSIDY, Mr.
11	11	D
12	12	AINES, Mrs. BLACKBURN, Mr. RICKETTS, Mr. RISCH, and Ms. LUMMIS)
13	13	introduced the following bill; which was read twice and referred to the
14	14	Committee on Finance
15	15	A BILL
16	16	To amend the Internal Revenue Code of 1986 to repeal
17	17	the corporate alternative minimum tax.
18	18	Be it enacted by the Senate and House of Representa-1
19	19	tives of the United States of America in Congress assembled, 2
20	20	SECTION 1. SHORT TITLE. 3
21	21	This Act may be cited as the ‘‘Book Minimum Tax 4
22	22	Repeal Act’’. 5
23	23	SEC. 2. REPEAL OF CORPORATE ALTERNATIVE MINIMUM 6
24	24	TAX. 7
25	25	(a) I
26	26	NGENERAL.—Section 55 of the Internal Rev-8
27	27	enue Code of 1986 is amended— 9
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30	30	•S 796 IS
31	31	(1) in subsection (a)— 1
32	32	(A) by striking ‘‘There’’ and inserting ‘‘In 2
33	33	the case of a taxpayer other than a corporation, 3
34	34	there’’, and 4
35	35	(B) by striking ‘‘plus, in the case of an ap-5
36	36	plicable corporation, the tax imposed by section 6
37	37	59A’’ in paragraph (2), and 7
38	38	(2) by striking subsection (b) and inserting the 8
39	39	following: 9
40	40	‘‘(b) T
41	41	ENTATIVEMINIMUMTAX.— 10
42	42	‘‘(1) A
43	43	MOUNT OF TENTATIVE MINIMUM TAX .— 11
44	44	‘‘(A) I
45	45	N GENERAL.—The tentative min-12
46	46	imum tax for the taxable year is the sum of— 13
47	47	‘‘(i) 26 percent of so much of the tax-14
48	48	able excess as does not exceed $175,000, 15
49	49	plus 16
50	50	‘‘(ii) 28 percent of so much of the tax-17
51	51	able excess as exceeds $175,000. 18
52	52	The amount determined under the preceding 19
53	53	sentence shall be reduced by the alternative 20
54	54	minimum tax foreign tax credit for the taxable 21
55	55	year. 22
56	56	‘‘(B) T
57	57	AXABLE EXCESS.—For purposes of 23
58	58	this subsection, the term ‘taxable excess’ means 24
59	59	so much of the alternative minimum taxable in-25
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62	62	•S 796 IS
63	63	come for the taxable year as exceeds the exemp-1
64	64	tion amount. 2
65	65	‘‘(C) M
66	66	ARRIED INDIVIDUAL FILING SEPA -3
67	67	RATE RETURN.—In the case of a married indi-4
68	68	vidual filing a separate return, subparagraph 5
69	69	(A) shall be applied by substituting 50 percent 6
70	70	of the dollar amount otherwise applicable under 7
71	71	clause (i) and clause (ii) thereof. For purposes 8
72	72	of the preceding sentence, marital status shall 9
73	73	be determined under section 7703. 10
74	74	‘‘(2) A
75	75	LTERNATIVE MINIMUM TAXABLE IN -11
76	76	COME.—The term ‘alternative minimum taxable in-12
77	77	come’ means the taxable income of the taxpayer for 13
78	78	the taxable year— 14
79	79	‘‘(A) determined with the adjustments pro-15
80	80	vided in section 56 and section 58, and 16
81	81	‘‘(B) increased by the amount of the items 17
82	82	of tax preference described in section 57. 18
83	83	If a taxpayer is subject to the regular tax, such tax-19
84	84	payer shall be subject to the tax imposed by this sec-20
85	85	tion (and, if the regular tax is determined by ref-21
86	86	erence to an amount other than taxable income, such 22
87	87	amount shall be treated as the taxable income of 23
88	88	such taxpayer for purposes of the preceding sen-24
89	89	tence).’’. 25
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92	92	•S 796 IS
93	93	(b) APPLICATION TOGENERALBUSINESSCREDIT.— 1
94	94	Section 38(c)(6)(E) of the Internal Revenue Code of 1986 2
95	95	is amended to read as follows: 3
96	96	‘‘(E) C
97	97	ORPORATIONS.—In the case of a 4
98	98	corporation, this subsection shall be applied by 5
99	99	treating the corporation as having a tentative 6
100	100	minimum tax of zero.’’. 7
101	101	(c) C
102	102	ONFORMINGAMENDMENTS.— 8
103	103	(1) Section 11(d) of the Internal Revenue Code 9
104	104	of 1986 is amended by striking ‘‘the taxes imposed 10
105	105	by subsection (a) and section 55’’ and inserting ‘‘the 11
106	106	tax imposed by subsection (a)’’. 12
107	107	(2) Section 12 of such Code is amended by 13
108	108	striking paragraph (5). 14
109	109	(3) Section 53 of such Code is amended by 15
110	110	striking subsection (e). 16
111	111	(4) Part VI of subchapter A of chapter 1 of 17
112	112	such Code is amended by striking section 56A (and 18
113	113	the item related to such section in the table of sec-19
114	114	tions for such part). 20
115	115	(5) Section 59 of such Code is amended by 21
116	116	striking subsections (k) and (l). 22
117	117	(6) Section 860E(a)(4) of such Code is amend-23
118	118	ed by striking ‘‘section 55(b)(1)(D)’’ and inserting 24
119	119	‘‘section 55(b)(2)’’. 25
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122	122	•S 796 IS
123	123	(7) Section 882(a)(1) of such Code is amended 1
124	124	by ‘‘, 55,’’. 2
125	125	(8) Section 897(a)(2)(A)(i) of such Code is 3
126	126	amended by striking ‘‘section 55(b)(1)(D)’’ and in-4
127	127	serting ‘‘section 55(b)(2)’’. 5
128	128	(9) Section 6425(c)(1)(A) of such Code is 6
129	129	amended by striking clause (ii) and by redesignating 7
130	130	clause (iii) as clause (ii). 8
131	131	(10) Section 6655(e)(2) of such Code is amend-9
132	132	ed by striking ‘‘, adjusted financial statement in-10
133	133	come (as defined in section 56A)’’ each place it ap-11
134	134	pears in subparagraphs (A)(i) and (B)(i). 12
135	135	(11) Section 6655(g)(1)(A) of such Code is 13
136	136	amended by striking clause (ii) and by redesignating 14
137	137	clauses (iii) and (iv) as clauses (ii) and (iii), respec-15
138	138	tively. 16
139	139	(d) E
140	140	FFECTIVEDATE.—The amendments made by 17
141	141	this section shall apply to taxable years beginning after 18
142	142	December 31, 2024. 19
143	143	Æ
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