,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #efeb  ,,in ,,the ,,house ,,of  
,,representatives  ,january #ag1        
#bjbj,mr4 ,arrington introduced the     
following bill2 which was referred to   
the ,committee on ,ways and ,means1 and 
in addition to the ,committee on the    
,budget1 for a period to be subsequently
 determined by the ,speaker1 in each    
case for consideration of such          
provisions as fall within the           
jurisdiction of the committee concerned 
,a ,,bill  ,to amend the ,internal      
,revenue ,code of #aihf to reduce the   
rate of tax on estates1 gifts1 and      
generation-skipping transfers4  #a4     
,short title ,this ,act may be cited as 
the ,estate ,tax ,rate ,reduction ,act4 
#b4 ,reduction of rate of tax on        
estates1 gifts1 and generation-skipping 
transfers  7a7 ,in general ,section     
#bjja of the ,internal ,revenue ,code of
 #aihf is amended--  7#a7 by striking   
subsection 7c7 and inserting the        
following3  7c7 ,rate of tax ,for       

purposes of determining the tentative   
tax1 the rate of tax shall be #bj       
percent of the amount with respect to   
which the tentative tax is computed4  2 
and  7#b7 in subsection 7g77#a71 by     
striking rates of tax under subsection  
7c7 and inserting rate of tax under     
subsection 7c74  7b7 ,conforming        
amendments  7#a7 ,section               
#bjef;,a7b77#b7 of the ,internal        
,revenue ,code of #aihf is amended--    
7,a7 in subparagraph 7,b77i71 by        
striking highest2 and  7,b7 in          
subparagraph 7,c71 by striking highest4 
7#b7 ,section #bajg7;a7 of such ,code is
 amended by striking the table contained
 in and inserting the rate of tax under4
  7#c7 ,section #bbja7;a7 of such ,code 
is amended by striking the rate schedule
 set forth in section #bjja7;c7 and     
inserting the rate of tax under section 
#bjja7;c74  7#d7 ,section #bfda of such 
,code is amended to read as follows3    
#bfda4 ,applicable rate ,for purposes of
 this chapter1 the term applicable rate 

means1 with respect to any              
generation-skipping transfer1 the       
product of--  7#a7 the rate imposed by  
section #bjja on the estates of         
decedents dying at the time of the      
taxable distribution1 taxable           
termination1 or direct skip1 as the case
 may be1 and  7#b7 the inclusion ratio  
with respect to the transfer4  4  7#e7  
,section #bhja7;a77#a7 of such ,code is 
amended by striking the highest rate of 
tax specified in the table contained in 
and inserting the rate of tax under4    
7#f7 ,section #ffja7;j77#b77;,a77i7 of  
such ,code is amended by striking the   
rate schedule set forth in4  7c7        
,effective date ,the amendments made by 
this section shall apply to estates of  
decedents dying1 generation-skipping    
transfers1 and gifts made1 after        
,december #ca1 #bjai4  7d7 ,budgetary   
effects  7#a7 ,,paygo scorecard ,the    
budgetary effects of this section shall 
not be entered on either ,,paygo        
scorecard maintained pursuant to section

 #d7;d7 of the ,statutory               
,pay-,as-,you-,go ,act of #bjaj 7#b     
,u4,s4,c4 #icc7;d774  7#b7 ,senate      
,,paygo scorecard ,the budgetary effects
 of this section shall not be entered on
 any ,,paygo scorecard maintained for   
purposes of section #dajf of ,h4 ,con4  
,res4 #ga 7#aaeth ,congress71 the       
concurrent resolution on the budget for 
fiscal year #bjah4