alty to the Commission in an amount determined as fol-
lows:
‘‘(1) In the case of a candidate who makes ex-
penditures which exceed the limit by 2.5 percent or
less, an amount equal to the amount of the excess
expenditures.
‘‘(2) In the case of a candidate who makes ex-
penditures which exceed the limit by more than 2.5
percent and less than 5 percent, an amount equal to
three times the amount of the excess expenditures.
‘‘(3) In the case of a candidate who makes ex-
penditures which exceed the limit by more than 5
percent, an amount equal to three times the amount
of the excess expenditures plus (if the Commission
determines that the candidate knowingly and will-
fully made such excess expenditures) an additional
civil money penalty in an amount determined by the
Commission.’’.
SEC. 102. EFFECTIVE DATE.
The amendments made by section 101 shall apply
with respect to elections occurring after December 2002.
TITLE II—INCOME TAX CHECK-
OFF FOR FUNDING FOR CER-
TIFIED PUBLIC SUBSIDY CAN-
DIDATES
SEC. 201. DESIGNATION OF INCOME TAX PAYMENTS FOR
FUND FOR CERTIFIED PUBLIC SUBSIDY CAN-
DIDATES.
(a) IN GENERAL.—Subchapter A of chapter 61 of the
Internal Revenue Code of 1986 (relating to information
and returns) is amended by adding at the end the fol-
lowing new part:
‘‘PART IX—DESIGNATION OF INCOME TAX PAY-
MENTS TO CERTIFIED PUBLIC SUBSIDY CAN-
DIDATE FUND
‘‘Sec. 6098. Designation to Certified Public Subsidy Candidate
Fund.
‘‘SEC. 6098. DESIGNATION TO CERTIFIED PUBLIC SUBSIDY
CANDIDATE FUND.
‘‘(a) IN GENERAL.—Every individual (other than a
nonresident alien) whose adjusted income tax liability for
the taxable year is $1 or more may designate that $1 shall
be paid over to the Certified Public Subsidy Candidate
Fund in accordance with the provisions of section 9511.
In the case of a joint return of husband and wife having
an adjusted income tax liability of $2 or more, each spouse
may designate that $1 shall be paid to the fund.
‘‘(b) ADJUSTED INCOME TAX LIABILITY.—For pur-
poses of subsection (a), the term ‘adjusted income tax li-
ability’ means, for any individual for any taxable year, the
excess (if any) of—
‘‘(1) the income tax liability (as defined in sec-
tion 6096(b)) of the individual for the taxable year,
over
‘‘(2) any amount designated by the individual
(and, in the case of a joint return, any amount des-
ignated by the individual’s spouse) under section
6096(a) for such taxable year.
‘‘(c) MANNER AND TIME OF DESIGNATION.—A des-
ignation under subsection (a) may be made with respect
to any taxable year—
‘‘(1) at the time of filing the return of the tax
imposed by chapter 1 for such taxable year, or
‘‘(2) at any other time (after the time of filing
the return of the tax imposed by chapter 1 for such
taxable year) specified in regulations prescribed by
the Secretary.
Such designation shall be made in such manner as the
Secretary prescribes by regulations except that, if such
designation is made at the time of filing the return of the
tax imposed by chapter 1 for such taxable year, such des-
ignation shall be made either on the first page of the re-
turn or on the page bearing the taxpayer’s signature.’’
(b) 
CERTIFIED
PUBLIC
SUBSIDY
CANDIDATE
FUND.—Subchapter A of chapter 98 of such Code (relat-
ing to establishment of trust funds) is amended by adding
at the end the following new section:
‘‘SEC. 9511. CERTIFIED PUBLIC SUBSIDY CANDIDATE FUND.
‘‘(a) CREATION OF TRUST FUND.—There is estab-
lished in the Treasury of the United States a trust fund
to be known as the ‘Certified Public Subsidy Candidate
Fund’, consisting of such amounts as may be appropriated
or credited to such fund as provided in this section or sec-
tion 9602(b).
‘‘(b) TRANSFERS TO TRUST FUND.—There are here-
by appropriated to the Certified Public Subsidy Candidate
Fund amounts equivalent to the amounts designated
under section 6098.
‘‘(c) EXPENDITURES.—Amounts in the Certified
Public Subsidy Candidate Fund shall be available, as pro-
vided in appropriation Acts, for purposes of making pay-
ments to certified public subsidy candidates under title V
of the Federal Election Campaign Act of 1971, to the ex-
tent that such amounts exceed the aggregate of all Federal
administrative costs attributable to the implementation of
section 6098, subsections (a) and (b) of this section, and
(with respect to such fund) section 9602.’’
(c) CLERICAL AMENDMENTS.—
(1) The table of parts for subchapter A of chap-
ter 61 of such Code is amended by adding at the
end the following new item:
‘‘Part IX. Designation of income tax payments to Certified Public
Subsidy Candidate Fund.’’
(2) The table of sections for subchapter A of
chapter 98 of such Code is amended by adding at
the end the following new item:
‘‘Sec. 9511. Certified Public Subsidy Candidate Fund.’’
(d) EFFECTIVE DATE.—The amendments made by
this section shall apply to taxable years beginning after
December 31, 2001.
TITLE 
III—TAX 
CREDIT 
FOR
CONTRIBUTIONS TO PARTICI-
PATING CANDIDATES
SEC. 301. REFUNDABLE CREDIT FOR CONTRIBUTIONS TO
CERTIFIED PUBLIC SUBSIDY CANDIDATES.
(a) IN GENERAL.—Subpart C of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of
1986 (relating to refundable credits) is amended by redes-
ignating section 35 as section 36 and by inserting after
section 34 the following new section:
‘‘SEC. 35. CREDIT FOR CONTRIBUTIONS TO CERTIFIED PUB-
LIC SUBSIDY CANDIDATES.
‘‘(a) ALLOWANCE OF CREDIT.—In the case of an in-
dividual, there shall be allowed as a credit against the tax
imposed by this subtitle for the taxable year an amount
equal to the aggregate amount of contributions to certified
public subsidy candidates made by such individual during
such taxable year.
‘‘(b) LIMITATION.—The amount of the credit allowed
under subsection (a) for a taxable year shall not exceed
$100.
‘‘(c) CONTRIBUTIONS TO CERTIFIED PUBLIC SUB-
SIDY CANDIDATES.—For purposes of subsection (a), the
term ‘contributions to certified public subsidy candidates’
means the amount of a contribution for which a tax rebate
certificate is issued under section 531 of the Federal Elec-
tion Campaign Act of 1971.’’.
(b) TECHNICAL AMENDMENTS.—
(1) Paragraph (2) of section 1324(b) of title
31, United States Code, is amended by inserting ‘‘or
from section 35 of such Code’’ before the period at
the end.
(2) The table of sections for such subpart C of
the Internal Revenue Code of 1986 is amended by
striking the item relating to section 35 and inserting
the following new items: