To establish the Commission on the Tax Treatment of Hedge Funds and Private Equity.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Commission on the Tax Treatment of 
Hedge Funds and Private Equity Act of 2007''.

SEC. 2. ESTABLISHMENT.

    There is established a commission to be known as the ``the 
Commission on the Tax Treatment of Hedge Funds and Private Equity'' (in 
this Act referred to as ``the Commission'').

SEC. 3. DUTIES OF THE COMMISSION.

    (a) In General.--The Commission shall review the hedge fund and 
private equity industry in the United States and make recommendations 
to Congress on the tax treatment for these industries.
    (b) Particular Issues.--In carrying out its duties under subsection 
(a), among the issues the Commission shall consider are the following:
            (1) The fairness and equity of various tax treatments.
            (2) The impact of any proposed changes to the tax treatment 
        of hedge funds and private equity, specifically on--
                    (A) employment and job creation,
                    (B) investors, including institutional investors 
                like pension funds and college endowments,
                    (C) United States competitiveness and the state of 
                the United States as the world's premiere financial 
                center, and
                    (D) technology and innovation.
            (3) The regulatory structure of these entities.

SEC. 4. MEMBERSHIP.

    (a) Number and Appointment.--The Commission shall be composed of 10 
members appointed as follows:
            (1) 3 members shall be appointed by the majority leader of 
        the Senate.
            (2) 3 members shall be appointed by the Speaker of the 
        House of Representatives.
            (3) 2 members shall be appointed by the minority leader of 
        the Senate.
            (4) 2 members shall be appointed by the minority leader of 
        the House of Representatives.
    (b) Qualifications.--The members shall have knowledge and expertise 
in matters to be studied by the Commission, except that the members 
shall not have a conflict of interest with any matter the issue is 
required to review under section 3.
    (c) Terms.--Members shall be appointed for the life of the 
Commission.
    (d) Vacancies.--Any vacancy in the Commission shall be filled in 
the same manner as the original appointment.
    (e) Chair.--The Chair of the Commission shall be designated by the 
Speaker of the House of Representatives, after consulting with the 
majority leader of the Senate and the minority leaders of the House of 
Representatives and the Senate.
    (f) Deadline for Appointment.--The appointments of the members of 
the Commission shall be made no later than 30 days after the date of 
enactment of this Act.
    (g) Basic Pay.--
            (1) Rates of pay.--Except as provided in paragraph (2), 
        members shall each be paid at a rate not to exceed the rate of 
        basic pay for level IV of the Executive Schedule for each day 
        (including travel time) during which they are engaged in the 
        actual performance of duties vested in the Commission.
            (2) Prohibition of compensation of federal employees.--
        Members of the Commission who are full-time officers or 
        employees of the United States may not receive additional pay, 
        allowances, or benefits by reason of their service on the 
        Commission.
    (h) Travel Expenses.--Each member shall receive travel expenses, 
including per diem in lieu of subsistence, in accordance with 
applicable provisions under subchapter I of chapter 57 of title 5, 
United States Code.
    (i) Retired Annuitants.--A member of the Commission who is an 
annuitant otherwise covered by section 8344 or section 8468 of title 5, 
United States Code, shall not be subject to the provisions of that 
section with respect to membership on the Commission by reason of 
membership on the Commission.
    (j) Quorum.--A majority of the members of the Commission shall 
constitute a quorum, but a lesser number may hold hearings.
    (k) Meetings.--
            (1) First meeting.--The Commission shall hold its first 
        meeting on a date designated by the Speaker of the House of 
        Representatives which is not later than 30 days after the date 
        on which all members have been appointed.
            (2) Subsequent meetings.--After the first meeting, the 
        Commission shall meet upon the call of the Chair.

SEC. 5. STAFF OF COMMISSION.

    (a) Director.--The Commission shall have a Director who shall be 
appointed by the Chair. The Director shall be paid a rate not to exceed 
the maximum rate of basic pay for GS-15 of the General Schedule.
    (b) Additional Staff.--In addition to the Director, the Chair may 
appoint and fix the pay of up to 3 staff members, except that any staff 
member appointed under this subsection shall not be paid at a rate to 
exceed the maximum rate of basic pay for GS-15 of the General Schedule.
    (c) Applicability of Certain Civil Service Laws.--The Director and 
staff of the Commission may be appointed without regard to the 
provisions of title 5, United States Code, governing appointments in 
the competitive service, and may be paid without regard to the 
provisions of chapter 51 and subchapter III of chapter 53 of that title 
relating to classification and General Schedule pay rates.
    (d) Staff of Federal Agencies.--Upon the request of the Chair of 
the Commission, the head of any Federal department or agency may 
detail, without reimbursement, any of the personnel of that department 
or agency to the Commission to assist in carrying out its duties under 
this Act.

SEC. 6. POWERS OF COMMISSION.

    (a) Hearings and Sessions.--The Commission may, for the purpose of 
carrying out this Act, hold hearings, sit and act at times and places, 
take testimony, and receive evidence as the Commission considers 
appropriate.
    (b) Powers of Members and Agents.--Any member or agent of the 
Commission may, if authorized by the Commission, take any action which 
the Commission is authorized to take by this section.
    (c) Obtaining Official Data.--The Commission may secure directly 
from any agency of the United States information necessary to enable it 
to carry out this Act. Upon the request of the Chair of the Commission, 
the head of that department or agency shall furnish that information to 
the Commission.
    (d) Mails.--The Commission may use the United States mails in the 
same manner and under the same conditions as other departments and 
agencies of the United States.
    (e) Administrative Support Services.--Upon the request of the 
Commission, the Administrator of General Services shall provide to the 
Commission, on a reimbursable basis, the administrative support 
services necessary for the Commission to carry out its responsibilities 
under this Act.

SEC. 7. REPORT.

    (a) In General.--The Commission shall transmit a final report to 
the President and Congress not later than 90 days after the date on 
which the members of the Commission are first appointed.
    (b) Contents.--The final report shall contain a detailed statement 
of the findings, conclusions, and recommendations of the Commission 
which address the issues stated in section 3(b).

SEC. 8. TERMINATION.

    The Commission shall terminate 30 days after the date on which the 
Commission submits its final report to the President and Congress under 
section 7.

SEC. 9. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such sums as may be 
necessary to carry out this Act.

Summary: Commission on the Tax Treatment of Hedge Funds and Private Equity Act of 2007 - Establishes the Commission on the Tax Treatment of Hedge Funds and Private Equity to review and make recommendations to Congress on the tax treatment of the US hedge fund and private equity industry.