I
105TH CONGRESS
1ST SESSION
H. R. 2462
To amend the Internal Revenue Code of 1986 to allow the taxable income
of each spouse of a married couple to be taxed using either the rates
applicable to single filers or the rates applicable to joint returns.
IN THE HOUSE OF REPRESENTATIVES
SEPTEMBER 11, 1997
Mr. KASICH (for himself, Mr. FRANKS of New Jersey, Mr. HOBSON, Mr.
PORTMAN, Mrs. CUBIN, and Mrs. NORTHUP) introduced the following
bill; which was referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to allow the
taxable income of each spouse of a married couple to
be taxed using either the rates applicable to single filers
or the rates applicable to joint returns.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. PURPOSE.
This Act eliminates the marriage penalty.
SEC. 2. COMBINED RETURN TO WHICH UNMARRIED RATES
APPLY.
(a) IN GENERAL.—Subpart B of part II of sub-
chapter A of chapter 61 of the Internal Revenue Code of
1986 (relating to income tax returns) is amended by in-
serting after section 6013 the following new section:
‘‘SEC. 6013A. COMBINED RETURN WITH SEPARATE RATES.
‘‘(a) GENERAL RULE.—A husband and wife may
make a combined return of income taxes under subtitle
A under which—
‘‘(1) a separate taxable income is determined
for each spouse by applying the rules provided in
this section, and
‘‘(2) the tax imposed by section 1 is the aggre-
gate amount resulting from applying the separate
rates set forth in section 1(c) to each such taxable
income.
‘‘(b) TREATMENT OF INCOME.—For purposes of this
section—
‘‘(1) earned income (within the meaning of sec-
tion 911(d)), and any income received as a pension
or annuity which arises from an employer-employee
relationship, shall be treated as the income of the
spouse who rendered the services, and
‘‘(2) income from property shall be divided be-
tween the spouses in accordance with their respec-
tive ownership rights in such property.
‘‘(c) TREATMENT OF DEDUCTIONS.—For purposes of
this section—
‘‘(1) except as otherwise provided in this sub-
section, the deductions allowed by section 62(a) shall
be allowed to the spouse treated as having the in-
come to which such deductions relate,
‘‘(2) the deduction for retirement savings de-
scribed in paragraph (7) of section 62(a) shall be al-
lowed to the spouse for whose benefit the savings are
maintained,
‘‘(3) the deduction for alimony described in
paragraph (10) of section 62(a) shall be allowed to
the spouse who has the liability to pay the alimony,
‘‘(4) the deduction referred to in paragraph
(16) of section 62(a) (relating to contributions to
medical savings accounts) shall be allowed to the
spouse with respect to whose employment or self-em-
ployment such account relates,
‘‘(5) the deductions allowable by section 151
(relating to personal exemptions) shall be deter-
mined by requiring each spouse to claim 1 personal
exemption and by allocating the personal exemptions
under section 151(c) (relating to dependents) as pro-
vided in paragraph (7) or in such other manner as
the spouses agree,
‘‘(6) section 63 shall be applied as if such
spouses were not married, and