TASK DEFINITION: In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Restore Fiscal Discipline and
Safeguard Social Security Act of 2002''.

SEC. 2. FINDINGS AND PURPOSES.

(a) Findings.--The Congress finds the following:
(1) When Congress enacted the fiscal year 2002 budget
resolution, it did so based on the assurance that the
Government would balance the budget without relying on social
security surpluses for the remainder of the decade and beyond.
Congress was also assured that it would not have to act to
increase the statutory debt limit until 2008.
(2) The Government is projected to run on-budget deficits
that will require it to spend the social security and medicare
trust fund surpluses for the rest of the decade, even before
additional spending for defense and homeland security is
counted, and after the economy recovers and returns to strong
growth.
(3) The total debt is increasing because we have not kept
the commitment to save the social security and medicare trust
fund surpluses. The Secretary of the Treasury has formally
requested that Congress increase the statutory limit on the
public debt by $750 billion, from the current level of $5.95
trillion to $6.70 trillion. Congress will have to vote to raise
the debt limit because we have been borrowing those trust fund
surpluses to cover a deficit in the rest of the budget instead
of saving them.
(4) A $750 billion increase in the debt limit would be the
second largest increase in history and is irresponsible in the
absence of a framework to protect taxpayers from even further
increases in the national debt.
(5) Congress should authorize a limited increase in the
debt limit to prevent a financial default, but should also work
together with the President to develop a plan to restore fiscal
discipline before further increasing our debt.
(6) Current law provides for enforcement of budget
resolutions:
(A) Legislation violating discretionary spending
totals set in a budget resolution or the suballocations
set by the Committee on Appropriations is subject to a
point of order under section 302(f) of the
Congressional Budget Act of 1974.
(B) Legislation reducing receipts below a budget
resolution's total is subject to a point of order under
section 311(a) of the Congressional Budget Act of 1974.
(b) Purpose.--The purpose of this Act is--
(1) to provide a responsible, measured increase in the debt
limit to ensure that the Government meets its current legal
obligations;
(2) effective immediately thereafter, to limit strictly the
size of further increases in the debt limit until the enactment
of a plan to bring the budget into balance in five years
without reliance on the social security trust fund surplus,
such that any larger increase in the debt limit this fall would
require a plan to balance the budget in fiscal year 2007, but
if this deficit reduction should prove insufficient, the
restrictions are automatically reestablished by the next
regular semi-annual report of the Congressional Budget Office;
(3) to require that the President submit a budget plan
before the end of this fiscal year to achieve balance, without
reliance on the social security trust fund surplus, by fiscal
year 2007;
(4) as a backup and discipline for these debt limit
provisions, to establish points of order against any budget
resolution that does not within five years and in all
subsequent years eliminate any deficits projected by the
Congressional Budget Office, without reliance on the social
security trust fund surplus, using the enforcement provisions
in current law to require that all subsequent spending and tax
legislation conform to the budget resolution's deficit-reduction plan;
and
(5) thereby to restore fiscal discipline and to preserve
social security for future retirees.

TITLE I--INCREASE IN DEBT LIMIT

SEC. 101. INCREASE IN DEBT LIMIT.

(a) Increase in Statutory Debt Limit.--Section 3101(b) of title 31,
United States Code, is amended by striking ''$5,950,000,000,000'' and
inserting ''$6,100,000,000,000''.
(b) Point of Order.--(1) Effective immediately, except as provided
by paragraph (2) or (3), it shall not be in order in the House of
Representatives or the Senate to consider any bill, joint resolution,
amendment, or conference report that includes any provision that
increases the limit on the public debt above the limit set forth in
section 3101(b) of title 31, United States Code, as in effect
immediately before the date of consideration of that measure by more
than $100,000,000,000.
(2) Except as provided by paragraph (3), any bill or joint
resolution may carry an increase in such limit of more than
$100,000,000,000 only if the concurrent resolution on the budget for
the budget year has been adopted and--
(A) sets forth or assumes a budget that is in on-budget
balance or surplus within 4 fiscal years after the budget year
and is in on-budget balance or surplus for every subsequent
fiscal year covered by that resolution; and
(B) does not contain any reduction in social security
benefits.
(3) Paragraphs (1) and (2) shall not apply in the House of
Representatives or the Senate if the chairman of the Committee on the
Budget of the House or of the Senate, as applicable, certifies, based
on the report of the Congressional Budget Office pursuant to section
202(e)(1) or (2) of the Congressional Budget Act of 1974, whichever
report is the most recent, that the budget will be in on-budget balance
or surplus within 4 fiscal years after the budget year and is in on-
budget balance or surplus for every subsequent fiscal year covered by
that report. If legislation to extend the discretionary spending limits
beyond fiscal year 2002 is enacted before the date of release of such
report, the Congressional Budget Office shall assume such discretionary
spending levels. Any such certification shall only have force and
effect until the date of submission of the next report under either
such section.

SEC. 102. PRESIDENTIAL PLAN TO BALANCE THE BUDGET.

(a) Presidential Plan.--The President shall submit to the Congress
by September 30, 2002, a proposal to bring the budget of the Government
(excluding the receipts and disbursements of the Federal Old-Age and
Survivors Insurance Trust Fund and the Federal Disability Insurance
Trust Fund) into balance or surplus by fiscal year 2007.
(b) Sense of Congress.--It is the sense of Congress that the plan
described in subsection (a) should be based on the most recent economic
and technical assumptions of the Congressional Budget Office.

TITLE II--CIRCUIT BREAKER TO PROTECT SOCIAL SECURITY

SEC. 201. CIRCUIT BREAKER TO PROTECT SOCIAL SECURITY.

(a) Circuit Breaker Points of Order.--(1) Effective January 1,
2003, whenever the most recent report of the Congressional Budget
Office pursuant to section 202(e)(1) of the Congressional Budget Act of
1974 projects an on-budget deficit for any fiscal year, it shall not be
in order in the House of Representatives or the Senate to consider any
concurrent resolution on the budget that--
(A) sets forth or assumes an on-budget deficit for any such
fiscal year that is larger than such Congressional Budget
Office projection for that fiscal year;
(B) sets forth or assumes a budget that is not in on-budget
balance or surplus within 4 fiscal years after the budget year
and is not in on-budget balance or surplus for any subsequent
fiscal year covered by that resolution; or
(C) contains any reduction in social security benefits.
(2) Effective January 1, 2003, whenever the most recent report of
the Congressional Budget Office pursuant to section 202(e)(1) of the
Congressional Budget Act of 1974 projects both on-budget surpluses (or
a balanced budget) and deficits for the fiscal years included in that
report, it shall not be in order in the House of Representatives or the
Senate to consider any concurrent resolution on the budget that--
(A) sets forth or assumes an on-budget deficit for any
fiscal year for which such Congressional Budget Office
projection for that fiscal year is for an on-budget surplus or
balance; or
(B) contains any reduction in social security benefits.
(b) Suspension of Requirement During War or Low Economic Growth.--
(1) Low growth.--If the most recent of the Department of
Commerce's advance, preliminary, or final reports of actual
real economic growth indicate that the rate of real economic
growth (as measured by real GDP) for each of the most recently
reported quarter and the immediately preceding quarter is less
than 1 percent, this section is suspended.
(2) War.--If a declaration of war is in effect, this
section is suspended.

SOLUTION: Restore Fiscal Discipline and Safeguard Social Security Act of 2002 - Amends Federal money and finance law to increase the statutory debt limit to $6.1 trillion.Makes it out of order for the House of Representatives or the Senate to consider any bill or amendment that increases the public debt limit above the new one established by this Act by more than $100 billion, except in specified circumstances.Directs the President to submit to Congress a proposal to bring the budget of the Government (excluding the Federal Old-Age and Survivors Insurance Trust Fund and the Federal Disability Insurance Trust Fund) into balance or surplus by FY 2007.Makes it out of order for the House or the Senate, whenever the most recent CBO report projects an on-budget deficit for any fiscal year, to consider any concurrent resolution on the budget that: (1) sets forth or assumes an on-budget deficit for any such fiscal year larger than such projection; (2) sets forth or assumes a budget that is not in on-budget balance or surplus within four fiscal years, and is not in on-budget balance or surplus for any covered subsequent fiscal year; or (3) contains any reduction in social security benefits.Makes it out of order for the House or the Senate, whenever the most recent CBO report projects both on-budget surpluses (or a balanced budget) and deficits for the fiscal years concerned, to consider any concurrent resolution on the budget that: (1) sets forth or assumes an on-budget deficit for any fiscal year for which the CBO projection is for an on-budget surplus or balance; or (2) contains any reduction in social security benefits.Suspends such requirements during war or low economic growth.

PROBLEM: SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ''Keeping Families
Together Act of 2001''.
(b) Table of Contents.--The table of contents of this Act is as
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Restoration of definition of aggravated felony (repeal of
section 321 of IIRIRA).
Sec. 3. Restoration of detention policy.
Sec. 4. Repeal of time stop provisions.
Sec. 5. Repeal of section 101(a)(48).
Sec. 6. Restoration of section 212(c).
Sec. 7. Restoration of judicial review provisions.
Sec. 8. Post-proceeding relief for affected aliens.

SEC. 2. RESTORATION OF DEFINITION OF AGGRAVATED FELONY (REPEAL OF
SECTION 321 OF IIRIRA).

(a) In General.--Effective as if included in the enactment of the
Illegal Immigration Reform and Immigrant Responsibility Act of 1996
(division C of Public Law 104-208), section 321 of such Act is repealed
and the provisions of law amended by such section are restored as if
such section had not been enacted.
(b) Restoration of Rights.--Any alien whose legal permanent
resident status, application for permanent residence, or application
for cancellation of removal, was affected by the changes in the
definition of ''aggravated felony'' made by such section 321 may apply
to the Attorney General to be considered for adjustment of status or
cancellation of removal in conformance with the provisions of section
101(a)(43) of the Immigration and Nationality Act, as restored by
subsection (a).

SEC. 3. RESTORATION OF DETENTION POLICY.

(a) In General.--Section 236(c) of the Immigration and Nationality
Act (8 U.S.C. 1226(c)) is amended to read as follows:
''(c) Detention of Criminal Aliens.--
''(1) In general.--The Attorney General shall take into
custody any alien convicted of an aggravated felony upon
release of the alien (regardless of whether or not such release
is on parole, supervised release, or probation, and regardless
of the possibility of rearrest or further confinement in
respect of the same offense). Notwithstanding subsection (a) or
section 241(a) but subject to paragraph (2), the Attorney
General shall not release such felon from custody.
''(2) Non-release.--The Attorney General may not release
from custody any who has been convicted of an aggravated
felony, either before or after a determination of removability,
unless--
''(A)(i) the alien was lawfully admitted, or
''(ii) the alien was not lawfully admitted but the
alien cannot be removed because the designated country
of removal will not accept the alien; and
''(B) the alien satisfies the Attorney General that
the alien will not pose a danger to the safety of other
persons or of property and is likely to appear for any
scheduled proceeding.''.
(b) Effective Date.--The amendment made by subsection (a) shall be
effective as if included in the Illegal Immigration Reform and
Immigrant Responsibility Act of 1996.

SEC. 4. REPEAL OF TIME STOP PROVISIONS.

(a) In General.--Section 240A(d) of the Immigration and Nationality
Act (8 U.S.C. 1229b(d)) is repealed.
(b) Effective Date.--The repeal made by subsection (a) shall be
effective as if included in the enactment of subtitle A of title III of
the Illegal Immigration Reform and Immigrant Responsibility Act of
1996.

SEC. 5. REPEAL OF SECTION 101(A)(48).

(a) In General.--Paragraph (48) of section 101(a)(48) of the
Immigration and Nationality Act (8 U.S.C. 1101(a)) is repealed.
(b) Effective Date.--The repeal made by subsection (a) shall take
effect as if included in the enactment of section 322(a) of the Illegal
Immigration Reform and Immigrant Responsibility Act of 1996.

SEC. 6. RESTORATION OF SECTION 212(C).

(a) In General.--Section 212 of the Immigration and Nationality Act
(8 U.S.C. 1182) is amended by inserting after subsection (b) the
following new subsection:
''(c) Aliens lawfully admitted for permanent residence who
temporarily proceeded abroad voluntarily and not under an order of
deportation or removal, and who are returning to a lawful
unrelinquished domicile of seven consecutive years, may be admitted in
the discretion of the Attorney General without regard to the provisions
of subsection (a) (other than paragraphs (3) and (10)(C)). Nothing
contained in this subsection shall limit the authority of the Attorney
General to exercise the discretion vested in him under section 211(b).
The first sentence of this subsection shall not apply to an alien who
has been convicted of one or more aggravated felonies and has served
for such felony or felonies a term of imprisonment of at least 5
years.''.
(b) Effective Date.--The amendment made by subsection (a) applies
as of April 24, 1996, as if section 440(d) of the Antiterrorism and
Effective Death Penalty Act of 1996 (Public Law 104-132) and section
304(b) of Illegal Immigration Reform and Immigrant Responsibility Act
of 1996 (division C of Public Law 104-208) had not been enacted.

SEC. 7. RESTORATION OF JUDICIAL REVIEW PROVISIONS.

(a) In General.--Section 242 of the Immigration and Nationality Act
(8 U.S.C. 1252) is amended to read as follows:

''judicial review of orders of removal

''Sec. 242. (a) The procedure prescribed by, and all the provisions
of chapter 158 of title 28, United States Code, shall apply to, and
shall be the sole and exclusive procedure for, the judicial review of
all final orders of removal heretofore or hereafter made against aliens
within the United States pursuant to administrative proceedings under
section 240 of this Act or comparable provisions of any prior Act,
except that--
''(1) a petition for review may be filed not later than 90
days after the date of the issuance of the final removal order,
or, in the case of an alien convicted of an aggravated felony
not later than 30 days after the issuance of such order;
''(2) the venue of any petition for review under this
section shall be in the judicial circuit in which the
administrative proceedings before an immigration judge were
conducted in whole or in part, or in the judicial circuit
wherein is the residence, as defined in this Act, of the
petitioner, but not in more than one circuit;
''(3) the action shall be brought against the Immigration
and Naturalization Service, as respondent. Service of the
petition to review shall be made upon the Attorney General of
the United States and upon the official of the Immigration and
Naturalization Service in charge of the Service district in
which the office of the clerk of the court is located. The
service of the petition for review upon such official of the
Service shall stay the removal of the alien pending
determination of the petition by the court, unless the court
otherwise directs or unless the alien is convicted of an
aggravated felony, in which case the Service shall not stay the
removal of the alien pending determination of the petition of
the court unless the court otherwise directs;
''(4) except as provided in clause (B) of paragraph (5) of
this subsection, the petition shall be determined solely upon
the administrative record upon which the removal order is based
and the Attorney General's findings of fact, if supported by
reasonable, substantial, and probative evidence on the record
considered as a whole, shall be conclusive;
''(5) whenever any petitioner, who seeks review of an order
under this section, claims to be a national of the United
States and makes a showing that his claim is not frivolous, the
court shall (A) pass upon the issues presented when it appears
from the pleadings and affidavits filed by the parties that no
genuine issue of material fact is presented; or (B) where a
genuine issue of material fact as to the petitioner's
nationality is presented, transfer the proceedings to a United
States district court for the district where the petitioner has
his residence for hearing de novo of the nationality claim and
determination as if such proceedings were originally initiated
in the district court under the provisions of section 2201 of
title 28, United States Code. Any such petitioner shall not be
entitled to have such issue determined under section 360(a) of
this Act or otherwise;
''(6) whenever a petitioner seeks review of an order under
this section, any review sought with respect to a motion to
reopen or reconsider such an order shall be consolidated with
the review of the order;
''(7) if the validity of a removal order has not been
judicially determined, its validity may be challenged in a
criminal proceeding against the alien for violation of
subsection (a) or (b) of section 243 of this Act only by
separate motion for judicial review before trial. Such motion
shall be determined by the court without a jury and before the
trial of the general issue. Whenever a claim to United States
nationality is made in such motion, and in the opinion of the
court, a genuine issue of material fact as to the alien's
nationality is presented, the court shall accord him a hearing
de novo on the nationality claim and determine that issue as if
proceedings had been initiated under the provisions of section
2201 of title 28, United States Code. Any such alien shall not
be entitled to have such issue determined under section 360(a)
of this Act or otherwise. If no such hearing de novo as to
nationality is conducted, the determination shall be made
solely upon the administrative record upon which the removal
order is based and the Attorney General's findings of fact, if
supported by reasonable, substantial, and probative evidence on
the record considered as a whole, shall be conclusive. If the
removal order is held invalid, the court shall dismiss the
indictment and the United States shall have the right to appeal
to the court of appeals within 30 days. The procedure on such
appeals shall be as provided in the Federal rules of criminal
procedure. No petition for review under this section may be
filed by any alien during the pendency of a criminal proceeding
against such alien for violation of subsection (a) or (b) of
section 243 of this Act;
''(8) nothing in this section shall be construed to require
the Attorney General to defer removal of an alien after the
issuance of a removal order because of the right of judicial
review of the order granted by this section, or to relieve any
alien from compliance with subsections (a) and (b) of section
243 of this Act. Nothing contained in this section shall be
construed to preclude the Attorney General from detaining or
continuing to detain an alien or from taking the alien into
custody pursuant to section 241 of this Act at any time after
the issuance of a removal order;
''(9) it shall not be necessary to print the record or any
part thereof, or the briefs, and the court shall review the
proceedings on a typewritten record and on typewritten briefs;
and
''(10) any alien held in custody pursuant to an order of
removal may obtain judicial review thereof by habeas corpus
proceedings.
''(b) Notwithstanding the provisions of any other law, any alien
against whom a final order of removal has been made heretofore or
hereafter under the provisions of section 235 of this Act or comparable
provisions of any prior Act may obtain judicial review of such order by
habeas corpus proceedings and not otherwise.
''(c) An order of removal shall not be reviewed by any court if the
alien has not exhausted the administrative remedies available to the
alien as of right under the immigration laws and regulations or if the
alien has departed from the United States after the issuance of the
order. Every petition for review or for habeas corpus shall state
whether the validity of the order has been upheld in any prior judicial
proceeding, and, if so, the nature and date thereof, and the court in
which such proceeding took place. No petition for review or for habeas
corpus shall be entertained if the validity of the order has been
previously determined in any civil or criminal proceeding, unless the
petition presents grounds which the court finds could not have been
presented in such prior proceeding, or the court finds that the remedy
provided by such prior proceeding was inadequate or ineffective to test
the validity of the order.
''(d)(1) A petition for review or for habeas corpus on behalf of an
alien against whom a final order of removal has been issued pursuant to
section 238(b) may challenge only--
''(A) whether the alien is in fact the alien described in
the order;
''(B) whether the alien is in fact an alien described in
section 238(b)(2);
''(C) whether the alien has been convicted of an aggravated
felony and such conviction has become final; and
''(D) whether the alien was afforded the procedures
required by section 238(b)(4).
''(2) No court shall have jurisdiction to review any issue other
than an issue described in paragraph (1).''.
(b) Effective Date.--The amendment made by subsection (a) shall
take effect on the date of the enactment of this Act and shall apply to
determinations pending on or after such date with respect to which--
(1) a final administrative decision has been not been
rendered as of such date; or
(2) such a decision has been rendered but the period for
seeking judicial review of the decision has not expired.

SEC. 8. POST-PROCEEDING RELIEF FOR AFFECTED ALIENS.

(a) In General.--Notwithstanding section 240(c)(6) of the
Immigration and Nationality Act (8 U.S.C. 1229a(c)(6)) or any other
limitation imposed by law on motions to reopen removal proceedings, the
Attorney General shall establish a process (whether through permitting
the reopening of a removal proceeding or otherwise) under which an
alien--
(1) who is (or was) in removal proceedings before the date
of the enactment of this Act (whether or not the alien has been
removed as of such date); and
(2) whose eligibility for cancellation of removal has been
established by this Act;
may apply (or reapply) for cancellation of removal under section
240A(a) of the Immigration and Nationality Act (8 U.S.C. 1229b(a)) as a
beneficiary of the relief provided under this Act.
(b) Parole.--The Attorney General should exercise the parole
authority under section 212(d)(5)(A) of the Immigration and Nationality
Act (8 U.S.C. 1182(d)(5)(A)) for the purpose of permitting aliens
removed from the United States to participate in the process
established under subsection (a).

SOLUTION: Keeping Families Together Act of 2001 - Amends the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (Act) to repeal the provision amending the definition of "aggravated felony," and restore provisions of law amended by such provision as if it had not been enacted, including residency-or status-related rights of an affected legal alien. Amends the Immigration and Nationality Act to revise detention of criminal alien provisions, effective as if included in the Act. Repeals, as if included in the Act: (1) certain provisions respecting termination of continuous presence or physical presence in the United States; and (2) the definition of "conviction."Authorizes the Attorney General to admit certain lawfully admitted permanent resident aliens returning to the United States who temporarily proceeded abroad voluntarily and not under an order of deportation or removal, effective as of a specified date, as if certain sections of the Antiterrorism and Effective Death Penalty Act of 1996 and the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 had not been enacted. Revises provisions respecting judicial review of removal orders.Requires the Attorney General to establish a post-proceeding removal relief process for affected aliens.

PROBLEM: SECTION 1. SHORT TITLE.

This Act may be cited as the ''Invest in the U.S.A. Act of 2003''.

SEC. 2. TOLL TAX ON EXCESS QUALIFIED FOREIGN DISTRIBUTION AMOUNT.

(a) In General.--Subpart F of part III of subchapter N of chapter 1
of the Internal Revenue Code of 1986 is amended by adding at the end
the following new section:

''SEC. 965. TOLL TAX IMPOSED ON EXCESS QUALIFIED FOREIGN DISTRIBUTION
AMOUNT.

''(a) Toll Tax Imposed on Excess Qualified Foreign Distribution
Amount.--If a corporation elects the application of this section, a tax
shall be imposed on the taxpayer in an amount equal to 5.25 percent
of--
''(1) the taxpayer's excess qualified foreign distribution
amount, and
''(2) the amount determined under section 78 which is
attributable to such excess qualified foreign distribution
amount.
Such tax shall be imposed in lieu of the tax imposed under section 11
or 55 on the amounts described in paragraphs (1) and (2) for such
taxable year.
''(b) Excess Qualified Foreign Distribution Amount.--For purposes
of this section--
''(1) In general.--The term 'excess qualified foreign
distribution amount' means the excess (if any) of--
''(A) dividends received by the taxpayer during the
taxable year which are--
''(i) from 1 or more corporations which are
controlled foreign corporations in which the
taxpayer is a United States shareholder on the
date such dividends are paid, and
''(ii) described in a domestic reinvestment
plan approved by the taxpayer's president,
chief executive officer, or comparable official
before the payment of such dividends and
subsequently approved by the taxpayer's board
of directors, management committee, executive
committee, or similar body, which plan shall
provide for the reinvestment of such dividends
in the United States, including as a source for
the funding of worker hiring and training;
infrastructure; research and development;
capital investments; or the financial
stabilization of the corporation for the
purposes of job retention or creation, over
''(B) the base dividend amount.
''(2) Base dividend amount.--The term 'base dividend
amount' means an amount designated under subsection (c)(7), but
not less than the average amount of dividends received during
the fixed base period from 1 or more corporations which are
controlled foreign corporations in which the taxpayer is a
United States shareholder on the date such dividends are paid.
''(3) Fixed base period.--
''(A) In general.--The term 'fixed base period'
means each of 3 taxable years which are among the 5
most recent taxable years of the taxpayer ending on or
before December 31, 2002, determined by disregarding--
''(i) the 1 taxable year for which the
taxpayer had the highest amount of dividends
from 1 or more corporations which are
controlled foreign corporations relative to the
other 4 taxable years, and
''(ii) the 1 taxable year for which the
taxpayer had the lowest amount of dividends
from such corporations relative to the other 4
taxable years.
''(B) Shorter period.--If the taxpayer has fewer
than 5 taxable years ending on or before December 31,
2002, then in lieu of applying subparagraph (A), the
fixed base period shall mean such shorter period
representing all of the taxable years of the taxpayer
ending on or before December 31, 2002.
''(c) Definitions and Special Rules.--For purposes of this
section--
''(1) Dividends.--The term 'dividend' means a dividend as
defined in section 316, except that the term shall also include
amounts described in section 951(a)(1)(B), and shall exclude
amounts described in sections 78 and 959.
''(2) Controlled foreign corporations and united states
shareholders.--The term 'controlled foreign corporation' shall
have the same meaning as under section 957(a) and the term
'United States shareholder' shall have the same meaning as
under section 951(b).
''(3) Foreign tax credits.--The amount of any income, war,
profits, or excess profit taxes paid (or deemed paid under
sections 902 and 960) or accrued by the taxpayer with respect
to the excess qualified foreign distribution amount for which a
credit would be allowable under section 901 in the absence of
this section, shall be reduced by 85 percent.
''(4) Foreign tax credit limitation.--For all purposes of
section 904, there shall be disregarded 85 percent of--
''(A) the excess qualified foreign distribution
amount,
''(B) the amount determined under section 78 which
is attributable to such excess qualified foreign
distribution amount, and
''(C) the amounts (including assets, gross income,
and other relevant bases of apportionment) which are
attributable to the excess qualified foreign
distribution amount which would, determined without
regard to this section, be used to apportion the
expenses, losses, and deductions of the taxpayer under
section 861 and 864 in determining its taxable income
from sources without the United States.
For purposes of applying subparagraph (C), the principles of
section 864(e)(3)(A) shall apply.
''(5) Treatment of acquisitions and dispositions.--Rules
similar to the rules of section 41(f)(3) shall apply in the
case of acquisitions or dispositions of controlled foreign
corporations occurring on or after the first day of the
earliest taxable year taken into account in determining the
fixed base period.
''(6) Treatment of consolidated groups.--Members of an
affiliated group of corporations filing a consolidated return
under section 1501 shall be treated as a single taxpayer in
applying the rules of this section.
''(7) Designation of dividends.--Subject to subsection
(b)(2), the taxpayer shall designate the particular dividends
received during the taxable year from 1 or more corporations
which are controlled foreign corporations in which it is a
United States shareholder which are dividends excluded from the
excess qualified foreign distribution amount. The total amount
of such designated dividends shall equal the base dividend
amount.
''(8) Treatment of expenses, losses, and deductions.--Any
expenses, losses, or deductions of the taxpayer allowable under
subchapter B--
''(A) shall not be applied to reduce the amounts
described in subsection (a)(1), and
''(B) shall be applied to reduce other income of
the taxpayer (determined without regard to the amounts
described in subsection (a)(1)).
''(d) Election.--
''(1) In general.--An election under this section shall be
made on the taxpayer's timely filed income tax return for the
taxable year (determined by taking extensions into account)
ending 120 days or more after the date of the enactment of this
section, and, once made, may be revoked only with the consent
of the Secretary.
''(2) All controlled foreign corporations.--The election
shall apply to all corporations which are controlled foreign
corporations in which the taxpayer is a United States
shareholder during the taxable year.
''(3) Consolidated groups.--If a taxpayer is a member of an
affiliated group of corporations filing a consolidated return
under section 1501 for the taxable year, an election under this
section shall be made by the common parent of the affiliated
group which includes the taxpayer, and shall apply to all
members of the affiliated group.
''(e) Regulations.--The Secretary shall prescribe such regulations
as may be necessary and appropriate to carry out the purposes of this
section, including regulations under section 55 and regulations
addressing corporations which, during the fixed base period or
thereafter, join or leave an affiliated group of corporations filing a
consolidated return.''.
(b) Conforming Amendment.--The table of sections for subpart F of
part III of subchapter N of chapter 1 of the Internal Revenue Code of
1986 is amended by adding at the end the following new item:

''Sec. 965. Toll tax imposed on excess
qualified foreign distribution
amount.''.
(c) Effective Date.--The amendments made by this section shall
apply only to the first taxable year of the electing taxpayer ending
120 days or more after the date of the enactment of this Act.

SOLUTION:
Invest in the U.S.A. Act of 2003 - Amends the Internal Revenue Code to permit a U.S. corporation doing business abroad to elect to have its foreign earnings taxed in the United States for one year at a rate equal to 5.25 percent of the excess qualified foreign distribution and the amount attributable to such corporation as controlled foreign-earned dividends in lieu of being taxed under alternative minimum tax or corporate rates, if dividends received are reinvested in the United States in an approved plan.Limits foreign tax credits with respect to dividends taxed at such 5.25 percent rate.