To provide for the elimination of agencies and programs which receive ineffective ratings or three consecutive adequate ratings under the Government Performance and Results Act of 1993 and to amend the Internal Revenue Code of 1986 to rebate the savings from such eliminations to the taxpayers.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Stop Legislative Automatic Spending 
Hikes (SLASH) Act of 2008''.

       TITLE I--ELIMINATION OF INEFFECTIVE AGENCIES AND PROGRAMS

SEC. 101. ANNUAL LIST OF AFFECTED AGENCIES AND PROGRAMS.

    Before October 1 of each calendar year, the Director of the Office 
of Management and Budget shall transmit to Congress a report containing 
a list comprised of all agencies and programs that received ineffective 
ratings under the most recent program assessment rating tool pursuant 
to the Government Performance and Results Act of 1993 (Public Law 103-
62; 107 Stat. 285) or three consecutive annual adequate ratings under 
that program assessment rating tool and the preceding two program 
assessment rating tools.

SEC. 102. TERMINATION OF CERTAIN AGENCIES AND PROGRAMS.

    Sixty calendar days after the date upon which the Director of the 
Office of Management and Budget transmits a report to Congress under 
section 1, all agencies and programs named on such list shall terminate 
unless, before the end of such 60-day period, a statute has been 
enacted into law stating that all such agencies and programs shall not 
terminate.

SEC. 103. TRANSITION PROVISIONS.

    Whenever any agency or program is terminated under this Act, all 
orders, grants, contracts, and other determinations or actions of that 
agency or program that are effective as of the date before the date of 
such termination, shall be transferred by the Director of the Office of 
Management and Budget to an appropriate agency and shall continue in 
effect according to their terms unless changed pursuant to law.

SEC. 104. ESTIMATION OF SAVINGS.

    The Director of the Office of Management and Budget shall annually 
estimate the dollar amount of savings to the Government from the 
operation of this title for each calendar year and shall annually 
report such dollar amount to the Secretary of the Treasury.

                     TITLE II--REBATES TO TAXPAYERS

SEC. 201. REBATE OF SAVINGS TO TAXPAYERS.

    (a) In General.--Subchapter B of chapter 65 of the Internal Revenue 
Code of 1986 is amended by adding at the end the following new section:

``SEC. 6431. PROGRAM ELIMINATION REBATES.

    ``(a) In General.--In the case of an eligible taxpayer, there shall 
be allowed as a credit against the tax imposed by subtitle A for the 
first taxable year beginning in any calendar year an amount equal to 
the program elimination rebate amount determined by the Secretary for 
such calendar year.
    ``(b) Program Elimination Rebate Amount.--For purposes of this 
section, the term `program elimination rebate amount' means, with 
respect to any calendar year, the amount that the Secretary estimates 
will result in a reduction in revenue to the Government equal to the 
dollar amount of estimated savings reported to the Secretary by the 
Director of the Office of Management and Budget under section 104 of 
the Stop Legislative Automatic Spending Hikes (SLASH) Act of 2008 for 
the preceding calendar year.
    ``(c) Eligible Taxpayer.--For purposes of this section,
            ``(1) In general.--The term `eligible taxpayer' means any 
        eligible individual if such taxpayer--
                    ``(A) has qualifying income of at least $3,000, or
                    ``(B) has--
                            ``(i) net income tax liability which is 
                        greater than zero, and
                            ``(ii) gross income which is greater than 
                        the sum of the basic standard deduction plus 
                        the exemption amount (twice the exemption 
                        amount in the case of a joint return).
            ``(2) Eligible individual.--The term `eligible individual' 
        means any individual other than--
                    ``(A) any nonresident alien individual,
                    ``(B) any individual with respect to whom a 
                deduction under section 151 is allowable to another 
                taxpayer for a taxable year beginning in the calendar 
                year in which the individual's taxable year begins, and
                    ``(C) an estate or trust.
            ``(3) Qualifying income.--The term `qualifying income' 
        means--
                    ``(A) earned income,
                    ``(B) Social Security benefits (within the meaning 
                of section 86(d)), and
                    ``(C) any compensation or pension received under 
                chapter 11, chapter 13, or chapter 15 of title 38, 
                United States Code.
            ``(4) Net income tax liability.--The term `net income tax 
        liability' means the excess of--
                    ``(A) the sum of the taxpayer's regular tax 
                liability (within the meaning of section 26(b)) and the 
                tax imposed by section 55 for the taxable year, over
                    ``(B) the credits allowed by part IV (other than 
                section 24 and subpart C thereof) of subchapter A of 
                chapter 1.
    ``(d) Treatment of Credit.--The credit allowed by subsection (a) 
shall be treated as allowed by subpart C of part IV of subchapter A of 
chapter 1.
    ``(e) Coordination With Advance Refunds of Credit.--
            ``(1) In general.--The amount of credit which would (but 
        for this paragraph) be allowable under this section for any 
        taxable year shall be reduced (but not below zero) by the 
        aggregate refunds and credits made or allowed to the taxpayer 
        under subsection (f) with respect to such amount for the 
        preceding taxable year. Any failure to so reduce the credit 
        shall be treated as arising out of a mathematical or clerical 
        error and assessed according to section 6213(b)(1).
            ``(2) Joint returns.--In the case of a refund or credit 
        made or allowed under subsection (f) with respect to a joint 
        return, half of such refund or credit shall be treated as 
        having been made or allowed to each individual filing such 
        return.
    ``(f) Advance Refunds and Credits.--
            ``(1) In general.--Each individual who was an eligible 
        individual for the taxable year preceding any taxable year to 
        which subsection (a) applies shall be treated as having made a 
        payment against the tax imposed by chapter 1 for such preceding 
        taxable year in an amount equal to the program elimination 
        refund amount determined for the taxable year to which 
        subsection (a) applies.
            ``(2) Timing of payments.--The Secretary shall, subject to 
        the provisions of this title, refund or credit any overpayment 
        attributable to this subsection as rapidly as possible. No 
        refund or credit shall be made or allowed under this subsection 
        with respect to any taxable year beginning in a calendar year 
        after December 31 of the following calendar year.
            ``(3) No interest.--No interest shall be allowed on any 
        overpayment attributable to this subsection.
    ``(g) Identification Number Requirement.--
            ``(1) In general.--No credit shall be allowed under 
        subsection (a) to an eligible individual who does not include 
        on the return of tax for the taxable year--
                    ``(A) such individual's valid identification 
                number, and
                    ``(B) in the case of a joint return, the valid 
                identification number of such individual's spouse,
            ``(2) Valid identification number.--For purposes of 
        paragraph (1), the term `valid identification number' means a 
        Social Security number issued to an individual by the Social 
        Security Administration. Such term shall not include a TIN 
        issued by the Internal Revenue Service.''.
    (b) Administrative Provisions.--
            (1) Definition of deficiency.--Section 6211(b)(4)(A) of the 
        Internal Revenue Code of 1986 is amended by striking ``and 
        6428'' and inserting ``6428 and 6431''.
            (2) Mathematical or clerical error authority.--Section 
        6213(g)(2)(L) of such Code is amended by striking ``or 6428'' 
        and inserting ``6428, or 6431''.
    (c) Conforming Amendments.--
            (1) Paragraph (2) of section 1324(b) of title 31, United 
        States Code, is amended by striking ``or 6428'' inserting 
        ``6428, or 6431''.
            (2) The table of section for subchapter B of chapter 65 of 
        the Internal Revenue Code of 1986 is amended by adding at the 
        end the following new item:

``Sec. 6431. Program elimination rebates.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

Summary: Stop Legislative Automatic Spending Hikes (SLASH) Act of 2008 - Requires: (1) the Director of the Office of Management and Budget (OMB) to report to Congress on all agencies and programs that received ineffective ratings or three consecutive annual adequate ratings under the Government Performance and Results Act of 1993. (2) the termination of such agencies and programs unless continued by statute. (3) the transfer of the functions of such terminated agencies and programs to other appropriate agencies. And (4) an annual OMB estimate of the savings under this Act. Amends the Internal Revenue Code to grant tax rebates to individual taxpayers from the amounts saved by the termination of ineffective agencies and programs under this Act.