(9) This transfer tax would be assessed on the 
sale and purchase of financial instruments such as 
stocks, options, and futures. A quarter percent (0.25 
percent) tax on financial transactions could raise ap-
proximately $150,000,000,000 a year. 
(10) The United States had a transfer tax from 
1914 to 1966. The Revenue Act of 1914 (Act of 
Oct. 22, 1914 (ch. 331, 38 Stat. 745)) levied a 0.2 
percent tax on all sales or transfers of stock. In 
1932, Congress more than doubled the tax to help 
financial recovery and job creation during the Great 
Depression. 
(11) Half the revenue generated by this trans-
action tax will be used to directly reduce the deficit. 
(12) Half of the revenue generated by this 
transaction tax will deposited in a Job Creation Re-
serve to fund the creation of good paying jobs and 
put Americans back to work rebuilding our Nation. 
SEC. 3. JOB CREATION RESERVE FOR INVESTMENTS IN 
MIDDLE CLASS JOBS. 
(a) IN GENERAL.—For budgetary purposes, half the 
additional Federal receipts by reason of the enactment of 
this Act shall be held in a separate account to be known 
as the ‘‘Job Creation Reserve’’. The Job Creation Reserve 
shall be available to offset the additional costs from the 
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Surface Transportation Authorization Act of 2009 and 
subsequent legislation to fund job creation in the United 
States provided that the subsequent legislation— 
(1) promotes jobs that pay at least the median 
wage of the United States; 
(2) promotes manufacturing and other jobs we 
are losing to unfair overseas competition; and 
(3) prohibits any recipient of the Troubled 
Asset Relief Program from directly benefitting from 
any funds in this reserve. 
(b) PROCEDURE FOR ADJUSTMENTS.— 
(1) BUDGET COMMITTEE CHAIRMAN.—After the 
reporting of a bill or joint resolution, or the offering 
of an amendment thereto or the submission of a con-
ference report thereon, providing funding for the 
purposes set forth in subsection (a) in excess of the 
amounts provided for those purposes for fiscal year 
2010, the chairman of the Committee on the Budget 
of the applicable House of Congress shall make the 
adjustments set forth in paragraph (2) for the 
amount of new budget authority and outlays in that 
measure and the outlays flowing from that budget 
authority. 
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(2) MATTERS TO BE ADJUSTED.—The adjust-
ments referred to in paragraph (1) are to be made 
to— 
(A) the discretionary spending limits, if 
any, set forth in the appropriate concurrent res-
olution on the budget; 
(B) the allocations made pursuant to the 
appropriate concurrent resolution on the budget 
pursuant to section 302(a) of the Congressional 
Budget Act of 1974; and 
(C) the budget aggregates contained in the 
appropriate concurrent resolution on the budget 
as required by section 301(a) of the Congres-
sional Budget Act of 1974. 
(3) AMOUNTS OF ADJUSTMENTS.—The adjust-
ments referred to in paragraphs (1) and (2) shall 
not exceed half the receipts estimated by the Con-
gressional Budget Office that are attributable to this 
Act for the fiscal year in which the adjustments are 
made. 
SEC. 4. DEFICIT REDUCTION. 
It is the Sense of Congress that half the additional 
Federal receipts by reason of the enactment of this Act 
shall not be expended and therefore reduce the Federal 
deficit. The Committee on the Budget shall clearly report 
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this deficit reduction in the committee report for the budg-
et resolution. 
SEC. 5. RECOUPMENT OF WALL STREET BAILOUT. 
(a) IN GENERAL.—Chapter 36 of the Internal Rev-
enue Code of 1986 is amended by inserting after sub-
chapter B the following new subchapter: 
‘‘Subchapter C—Tax on Securities 
Transactions 
‘‘Sec. 4475. Tax on securities transactions. 
‘‘SEC. 4475. TAX ON SECURITIES TRANSACTIONS. 
‘‘(a) IMPOSITION OF TAX.— 
‘‘(1) STOCKS.—There is hereby imposed a tax 
on each covered transaction in a stock contract of 
0.25 percent of the value of the instruments involved 
in such transaction. 
‘‘(2) FUTURES.—There is hereby imposed a tax 
on each covered transaction in a futures contract of 
0.02 percent of the value of the instruments involved 
in such transaction. 
‘‘(3) SWAPS.—There is hereby imposed a tax on 
each covered transaction in a swaps contract of 0.02 
percent of the value of the instruments involved in 
such transaction. 
‘‘(4) CREDIT DEFAULT SWAPS.—There is here-
by imposed a tax on each covered transaction in a 
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credit default swaps contract of 0.02 percent of the 
value of the instruments involved in such trans-
action. 
‘‘(5) OPTIONS.—There is hereby imposed a tax 
on each covered transaction in an options contract 
with respect to a transaction described in paragraph 
(1), (2), (3), or (4) of— 
‘‘(A) the rate imposed with respect to such 
underlying transaction under paragraph (1), 
(2), (3), or (4) (as the case may be), multiplied 
by 
‘‘(B) the premium paid on such option. 
‘‘(b) EXCEPTION
FOR
RETIREMENT
ACCOUNTS, 
ETC.—No tax shall be imposed under subsection (a) with 
respect to any stock contract, futures contract, swaps con-
tract, credit default swap, or options contract which is 
held in any plan, account, or arrangement described in 
section 220, 223, 401(a), 403(a), 403(b), 408, 408A, 529, 
or 530. 
‘‘(c) EXCEPTION
FOR
INTERESTS
IN
MUTUAL 
FUNDS.—No tax shall be imposed under subsection (a) 
with respect to the purchase or sale of any interest in a 
regulated investment company (as defined in section 851) 
or of any derivative of such an interest. 
‘‘(d) BY WHOM PAID.— 
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‘‘(1) IN GENERAL.—The tax imposed by this 
section shall be paid by— 
‘‘(A) in the case of a transaction which oc-
curs on a trading facility located in the United 
States, such trading facility, or 
‘‘(B) in any other case, the purchaser with 
respect to the transaction. 
‘‘(2) WITHHOLDING
IF
BUYER
IS
NOT
A 
UNITED
STATES
PERSON.—See section 1447 for 
withholding by seller if buyer is a foreign person. 
‘‘(e) COVERED TRANSACTION.—The term ‘covered 
transaction’ means any purchase or sale if— 
‘‘(1) such purchase or sale occurs on a trading 
facility located in the United States, or 
‘‘(2) the purchaser or seller is a United States 
person. 
‘‘(f) ADMINISTRATION.—The Secretary shall carry 
out this section in consultation with the Securities and Ex-
change Commission and the Commodity Futures Trading 
Commission.’’. 
(b) CREDIT FOR FIRST $100,000 OF STOCK TRANS-
ACTIONS PER YEAR.—Subpart C of part IV of subchapter 
A of chapter 1 of such Code is amended by inserting after 
section 36A the following new section: 
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hold a tax equal to the tax imposed under section 4475 
with respect to such transaction. 
‘‘(b) OUTBOUND SECURITIES TRANSACTION.—For 
purposes of this section, the term ‘outbound securities 
transaction’ means any covered transaction to which sec-
tion 4475(a) applies if— 
‘‘(1) such transaction does not occur on a trad-
ing facility located in the United States, and 
‘‘(2) the purchaser with respect to such trans-
action in not a United States person.’’. 
(d) CONFORMING AMENDMENTS.— 
(1) Section 6211(b)(4)(A) of such Code is 
amended by inserting ‘‘36B,’’ after ‘‘36A,’’. 
(2) Section 1324(b)(2) of title 31, United 
States Code, is amended by inserting ‘‘36B,’’ after 
‘‘36A,’’. 
(3) The table of subchapters for chapter 36 of 
the Internal Revenue Code of 1986 is amended by 
inserting after the item relating to subchapter B the 
following new item: 
‘‘Subchapter C. Tax on securities transactions.’’. 
(4) The table of sections for subchapter A of 
chapter 3 of such Code is amended by adding at the 
end the following new item: 
‘‘Sec. 1447. Withholding on securities transactions.’’. 
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(5) The table of sections for subpart C of part 
IV of subchapter A of chapter 1 of such Code is 
amended by inserting after the item relating to sec-
tion 36A the following new item: 
‘‘Sec. 36B. Credit for securities transaction taxes.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to transactions occurring more 
than 180 days after the date of the enactment of this Act. 
Æ 
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