Alternative Minimum Tax Relief Act of 2008

Bill: 110-hr-6275
Sponsor: Rep. Rangel, Charles B. [D-NY-15]
Introduced: 2008-06-17 in the House
Policy area: Taxation
Subjects: Capital gains tax
Collection of accounts
Commerce
Corporation taxes
Energy
Finance and Financial Sector
Financial services
Foreign corporations
Government Operations and Politics
Government contractors
Government paperwork
Government procurement
Income tax
International Affairs
Investment advisers
Leases
Losses
Minimum tax
Natural gas
Partnerships
Petroleum
Petroleum industry
Rent
Tax administration
Tax credits
Tax deductions
Tax exemption
Tax penalties
Tax returns
Tax treaties
Taxation of foreign income
Withholding tax

Summary:
action_date: 2008-06-17
text: 
Alternative Minimum Tax Relief Act of 2008 - Amends the Internal Revenue Code to: (1) increase and extend through 2008 the alternative minimum tax (AMT) exemption amounts; (2) extend through 2008 the offset of certain nonrefundable personal tax credits against regular and AMT tax liabilities; (3) treat net income and loss from an investment services partnership interest as ordinary income and loss; (4) deny major integrated oil companies a tax deduction for income attributable to domestic production of oil, gas, or primary products thereof; (5) limit tax treaty benefits with respect to U.S. withholding of tax requirements imposed on certain tax deductible payments made directly to a foreign parent corporation; (6) require payment settlement entities to report certain identifying information to the Internal Revenue Service (IRS) relating to the settlement of payment card and third party network transactions; and (7) extend the applicability of the continuous levy for delinquent taxes on payments due to a vendor to property or services sold or leased to the federal government (currently, applicable to goods or services).

Amends the Tax Increase Prevention and Reconciliation Act of 2005 to increase estimated tax payments due in the third quarters of 2012 and 2013 for certain large corporations (corporations with assets of at least $1 billion).

action_date: 2008-06-25
text: 
Alternative Minimum Tax Relief Act of 2008 - 
Title I: Individual Tax Relief
 - Amends the Internal Revenue Code to: (1) increase and extend through 2008 the alternative minimum tax (AMT) exemption amounts; and (2) extend through 2008 the offset of certain nonrefundable personal tax credits against regular and AMT tax liability.

Title II: Revenue Provisions
- (Sec. 201) Defines an &quot;investment services partnership interest&quot; as any interest in a partnership held by a person who provides services to a partnership by: (1) advising the partnership about investing in, purchasing, or selling specified assets; (2) managing, acquiring, or disposing of specified assets; or (3) arranging financing with respect to acquiring specified assets. 

Treats as ordinary income (i.e., income taxed at regular income tax rates) net income received by a partner from such an interest, except to the extent such income is attributable to the partner's invested capital. Sets forth rules for the treatment of losses with respect to such an interest.

Directs the Secretary of the Treasury to prescribe regulations for implementing tax rules relating to such interests. Exempts real estate investment trusts (REITs) and publicly traded partnerships from the application of ordinary income tax rules for such interests. Imposes tax penalties for underpayment of tax resulting from noncompliance with tax rules relating to such interests. Makes net income from such an interest subject to self-employment tax. 

(Sec. 202) Denies any major integrated oil company (a company with an average daily worldwide production of crude oil of at least 500,000 barrels for the taxable year and gross receipts in excess of $1 billion for its last taxable year ending during calendar year 2005) a tax deduction for income attributable to the domestic production, refining, processing, transportation, or distribution of oil, gas, or any primary product thereof.

Reduces the tax deduction for income attributable to domestic production activities for taxpayers other than major integrated oil companies by 3% of the least of their: (1) oil related qualified production activities for the taxable year; (2) qualified production activities income for the taxable year; or (3) taxable income. Defines &quot;oil related qualified production activities income&quot; as income attributable to the production, refining, processing, transportation, or distribution of oil, gas, or any primary product thereof. 

Makes such provisions effective for taxable years beginning in 2009.

(Sec. 203) Prohibits any reduction of tax withholding for payments made by a U.S. subsidiary of a foreign parent corporation to a related subsidiary in any country that has a tax treaty with the United States, except for payments made directly to the foreign parent corporation.

(Sec. 204) Requires payment settlement entities (e.g., banks and third party settlement organizations) to report identifying information and the gross amount of reportable payment transactions (i.e., payment card and third party network transactions) to the Internal Revenue Service (IRS). 

(Sec. 205) Expands the continuous tax levy on payments to vendors for goods and services to include payments for all property and services.

(Sec. 206) Amends the Tax Increase Prevention and Reconciliation Act of 2005 to: (1) repeal the adjustment to the estimated tax liability of corporations with at least $1 billion in assets for the third quarter of 2012; and (2) increase the estimated tax payments of such corporations in the third quarter of 2013 by 59.5%.


Legislative actions:
action_date: 2008-06-26
text: Received in the Senate and Read twice and referred to the Committee on Finance.
action_date: 2008-06-25
text: Motion to reconsider laid on the table Agreed to without objection.
action_date: 2008-06-25
text: On passage Passed by recorded vote: 233 - 189 (Roll no. 455). (text: CR H6035-6038)
action_date: 2008-06-25
text: Passed/agreed to in House: On passage Passed by recorded vote: 233 - 189 (Roll no. 455).(text: CR H6035-6038)
action_date: 2008-06-25
text: On motion to recommit with instructions Failed by the Yeas and Nays: 199 - 222 (Roll no. 454).
action_date: 2008-06-25
text: The previous question on the motion to recommit with instructions was ordered without objection. (consideration: CR H6043)
action_date: 2008-06-25
text: DEBATE - The House proceeded with 10 minutes of debate on the McCrery motion to recommit with instructions. The instructions contained in the motion seek to require the bill to be reported back to the House with amendments which add a new section providing that charitable mileage rates are treated the same as medical and moving rates.
action_date: 2008-06-25
text: Mr. McCrery moved to recommit with instructions to Ways and Means. (consideration: CR H6042-6043; text: CR H6042)
action_date: 2008-06-25
text: The previous question was ordered pursuant to the rule. (consideration: CR H6042)
action_date: 2008-06-25
text: DEBATE - The House proceeded with one hour of debate on H.R. 6275.
action_date: 2008-06-25
text: Rule provides for consideration of H.R. 6275 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. Measure will be considered read. Bill is closed to amendments. All points of order against consideration of the bill are waived except those arising under clause 9 or 10 of rule XXI. The amendment in the nature of a substitute recommended by the Committee on Ways and Means now printed in the bill shall be considered as adopted.
action_date: 2008-06-25
text: Considered under the provisions of rule H. Res. 1297. (consideration: CR H6031-6044; text as reported in House: CR H6031-6035)
action_date: 2008-06-25
text: Rule H. Res. 1297 passed House.
action_date: 2008-06-24
text: Rules Committee Resolution H. Res. 1297 Reported to House. Rule provides for consideration of H.R. 6275 with 1 hour of general debate. Previous question shall be considered as ordered without intervening motions except motion to recommit with or without instructions. Measure will be considered read. Bill is closed to amendments. All points of order against consideration of the bill are waived except those arising under clause 9 or 10 of rule XXI.
action_date: 2008-06-20
text: Placed on the Union Calendar, Calendar No. 463.
action_date: 2008-06-20
text: Reported (Amended) by the Committee on Ways and Means. H. Rept. 110-728.
action_date: 2008-06-20
text: Reported (Amended) by the Committee on Ways and Means. H. Rept. 110-728.
action_date: 2008-06-18
text: Ordered to be Reported (Amended) by the Yeas and Nays: 22 - 16.
action_date: 2008-06-18
text: Committee Consideration and Mark-up Session Held.
action_date: 2008-06-17
text: Referred to the House Committee on Ways and Means.
action_date: 2008-06-17
text: Introduced in House
action_date: 2008-06-17
text: Introduced in House