I 
110TH CONGRESS 
2D SESSION 
H. R. 4995 
To amend the Internal Revenue Code of 1986 to reduce corporate marginal 
income tax rates, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 16, 2008 
Mr. CANTOR (for himself, Mr. HENSARLING, Mr. BLUNT, Mr. CAMPBELL of 
California, Ms. GRANGER, Mr. JORDAN of Ohio, Mr. MCHENRY, Mrs. 
BACHMANN, Mr. HERGER, Mr. CHABOT, Mr. PRICE of Georgia, Mr. 
FLAKE, Mr. FEENEY, Mr. DAVID DAVIS of Tennessee, Mr. BROWN of 
South Carolina, Mr. BARRETT of South Carolina, Mr. GARRETT of New 
Jersey, Mr. DOOLITTLE, Mr. LAMBORN, Mr. AKIN, Mr. WELDON of Flor-
ida, Mr. KINGSTON, Mr. PITTS, Mr. MARCHANT, Mr. GINGREY, Mr. 
SOUDER, Mr. GOODE, Ms. FOXX, Mr. ROSKAM, Mr. KUHL of New York, 
Mr. WALBERG, Mr. BISHOP of Utah, Mr. FRANKS of Arizona, Mr. KING 
of Iowa, and Mr. PENCE) introduced the following bill; which was re-
ferred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to reduce 
corporate marginal income tax rates, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Middle Class Jobs Pro-
tection Act of 2008’’. 
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SEC. 2. REDUCTION IN CORPORATE MARGINAL INCOME 
TAX RATES. 
(a) GENERAL RULE.—Paragraph (1) of section 11(b) 
of the Internal Revenue Code of 1986 is amended— 
(1) by inserting ‘‘and’’ at the end of subpara-
graph (A), 
(2) by striking ‘‘but does not exceed $75,000,’’ 
in subparagraph (B) and inserting a period, 
(3) by striking subparagraphs (C) and (D), and 
(4) by striking the last 2 sentences. 
(b) PERSONAL
SERVICE
CORPORATIONS.—Para-
graph (2) of section 11(b) of such Code is amended by 
striking ‘‘35 percent’’ and inserting ‘‘25 percent’’. 
(c) CONFORMING AMENDMENTS.—Paragraphs (1) 
and (2) of section 1445(e) of such Code are each amended 
by striking ‘‘35 percent’’ and inserting ‘‘25 percent’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
the date of the enactment of this Act, except that the 
amendments made by subsection (c) shall take effect on 
such date. 
SEC. 3. TEMPORARY INCREASE IN LIMITATION ON EXPENS-
ING CERTAIN DEPRECIABLE BUSINESS AS-
SETS. 
(a) DOLLAR LIMITATION.—Paragraph (1) of section 
179(b) of the Internal Revenue Code of 1986 (relating to 
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limitations) is amended by striking ‘‘$125,000 in the case 
of taxable years beginning after 2006 and before 2011’’ 
and inserting ‘‘$125,000 in the case of taxable years be-
ginning in 2007 or 2010 and $250,000 in the case of tax-
able years beginning in 2008 or 2009’’. 
(b) REDUCTION IN LIMITATION.—Paragraph (2) of 
section 179(b) of such Code (relating to limitations) is 
amended by striking ‘‘$500,000 in the case of taxable 
years beginning after 2006 and before 2011’’ and insert-
ing ‘‘$500,000 in the case of taxable years beginning in 
2007 or 2010 and $1,000,000 in the case of taxable years 
beginning in 2008 or 2009’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2007. 
SEC. 4. 50 PERCENT ALLOWANCE FOR DEPRECIATION FOR 
CERTAIN PROPERTY ACQUIRED DURING 2008 
AND 2009. 
(a) IN GENERAL.—Paragraph (4) of section 168(k) 
of the Internal Revenue Code of 1986 (relating to 50-per-
cent bonus for certain property) is amended— 
(1) by striking ‘‘May 5, 2003’’ each place it ap-
pears and inserting ‘‘December 31, 2007’’, 
(2) by striking ‘‘January 1, 2005’’ each place 
it appears and inserting ‘‘January 1, 2010’’, 
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(3) by striking ‘‘May 6, 2003’’ in subparagraph 
(B)(ii)(I) and inserting ‘‘January 1, 2008’’, 
(4) by striking ‘‘January 1, 2006’’ in subpara-
graph (B)(iii) and inserting ‘‘January 1, 2011’’, and 
(5) by striking ‘‘OF 30-PERCENT BONUS’’ in the 
heading for subparagraph (E). 
(b) EFFECTIVE DATE.— 
(1) IN GENERAL.—The amendments made by 
this section shall apply to property placed in service 
in taxable years beginning after December 31, 2007. 
(2) EXCEPTION FOR CERTAIN PROPERTY.—The 
amendments made by this section shall not apply to 
any property to which section 105 of the Gulf Op-
portunity Zone Act of 2005 applies. 
SEC. 5. 5-YEAR CARRYBACK FOR CERTAIN NET OPERATING 
LOSSES. 
(a) IN
GENERAL.—Subsection (H) of section 
172(b)(1) of the Internal Revenue Code of 1986 is amend-
ed by inserting ‘‘or beginning during 2008 or 2009,’’ after 
‘‘2002’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to net operating losses for taxable 
years beginning after December 31, 2007. 
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SEC. 6. 3-YEAR CARRYBACK FOR CERTAIN CREDITS. 
(a) GENERAL BUSINESS CREDIT.—Subsection (a) of 
section 39 of the Internal Revenue Code of 1986 is amend-
ed by adding at the end the following new paragraph: 
‘‘(4) SPECIAL RULE FOR 2008 AND 2009.—In the 
case of an excess described in paragraph (1) arising 
in a taxable year beginning in 2008 or 2009— 
‘‘(A) paragraph (1)(A) shall be applied by 
substituting ‘3 taxable years’ for ‘taxable year’, 
‘‘(B) paragraph (2)(A) shall be applied by 
substituting ‘24 taxable years’ for ‘21 taxable 
years’, and 
‘‘(C) paragraph (2)(B) shall be applied by 
substituting ‘23 taxable years’ for ‘20 taxable 
years’.’’. 
(b) FOREIGN TAX CREDIT.—Section 904(c) of the 
Internal Revenue Code of 1986 is amended by adding at 
the end thereof the following: ‘‘In the case of taxable years 
beginning in 2008 or 2009, the first sentence of this sub-
section shall, at the election of the taxpayer, be applied 
by substituting ‘any of the three preceding taxable years’ 
for ‘the first preceding taxable year’.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to credits arising in taxable years 
beginning after December 31, 2007. 
Æ 
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