H.R.3972 - Savings and Economic Growth Act of 1990101st Congress (1989-1990)
|Sponsor:||Rep. Archer, Bill [R-TX-7] (Introduced 02/07/1990)|
|Committees:||House - Ways and Means|
|Latest Action:||House - 02/07/1990 Referred to the House Committee on Ways and Means. (All Actions)|
This bill has the status Introduced
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Summary: H.R.3972 — 101st Congress (1989-1990)All Information (Except Text)
Introduced in House (02/07/1990)
Savings and Economic Growth Act of 1990 - Title I: Capital Gains Provisions - Subtitle A: Reduction in Capital Gains Tax - Amends the Internal Revenue Code to reduce the capital gains rate for noncorporate taxpayers through a deduction of: (1) 30 percent for assets held at least three years; (2) 20 percent for assets held at least two years; and (3) ten percent for assets held at least one year.
Provides for the treatment of collectibles as short-term gains or losses (making them ineligible for such deduction).
Disallows the capital gains deduction in computing the alternative minimum tax.
Subtitle B: Depreciation Recapture - Provides for the treatment of gain from the disposition of certain depreciable realty as ordinary income.
Title II: Home Ownership and Savings Incentives - Allows an exemption from the ten-percent additional tax on early distributions from qualified retirement plans up to $10,000, if the distribution is used to make a first-home purchase at a cost of no more than 110 percent of the median home price in the geographic area where the residence is located.
Allows an individual (other than a dependent) to establish a family savings account for the exclusive benefit of an individual and the individual's beneficiaries. Limits contributions to such accounts to $2,500 for the taxable year, if the individual's adjusted income does not exceed $60,000 ($120,000 in the case of joint returns).
Subjects the family savings account to the tax imposed on unrelated business income of tax-exempt organizations. Provides that distributions paid out of such accounts shall not be included in gross income, except for earnings on contributions held less than seven years. Establishes a ten-percent additional tax on earnings on contributions held less than three years.