,,ii  #aaf? ,,congress  #a/ ,session    
,s4 #agbf  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #e1 #bjai,mr4    
,:iteh\se 7= himself1 ,mr4 ,m]kley1 ,mr4
 ,re$1 ,mr4 ,blum5?al1 ,mrs4 ,fe9/e91   
,ms4 ,duckwor?1 ,mr4 ,van ,holl51 ,mr4  
,book]1 ,ms4 ,baldw91 ,ms4 ,w>r51 ,mr4  
,m>key1 ,mr4 ,durb91 ,ms4 ,klobu*>1 ,mr4
 ,leahy1 ,mrs4 ,gillibr&1 & ,ms4        
,hirono7 introduc$ ! foll[+ bill2 :i* 0 
read twice & ref]r$ to ! ,committee on  
,f9ance  ,a ,,bill  ,to ensure          
high-income e>n]s pay a fair %>e (      
,f$]al taxes4  #a4 ,%ort title ,?is ,act
 may be cit$ z ! ,pay+ a ,fair ,%>e ,act
 ( #bjai4  #b4 ,fair %>e tax on         
high-income taxpay]s  7a7 ,9 g5]al      
,sub*apt] ,a ( *apt] #a ( ! ,int]nal    
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new "p3  ,,viii ,fair 
,%>e ,tax on ,high-,income ,taxpay]s    
,sec4 #ei;,b4 ,fair %>e tax4  #ei;,b4   
,fair %>e tax  7a7 ,g5]al rule  7#a7    
,phase-9 ( tax ,9 ! case ( any          
high-income taxpay]1 !re is h]eby impos$

 = a taxable ye> 79 addition to any o!r 
tax impos$ by ?is subtitle7 a tax equal 
to ! product (-- 7,a7 ! am\nt det]m9$ "u
 p>agraph 7#b71 &  7,b7 a fraction 7n to
 exce$ #a7-- 7i7 ! num]ator ( :i* is !  
excess (-- 7,i7 ! taxpay]'s adju/$ gross
 income1 ov]  7,,ii7 ! doll> am\nt 9    
effect "u subsection 7c77#a71 &  7ii7 ! 
d5om9ator ( :i* is ! doll> am\nt 9      
effect "u subsection 7c77#a74  7#b7     
,am\nt ( tax ,! am\nt ( tax det]m9$ "u  
?is p>agraph is an am\nt equal to !     
excess 7if any7 (-- 7,a7 ! t5tative fair
 %>e tax = ! taxable ye>1 ov]  7,b7 !   
excess (-- 7i7 ! sum (-- 7,i7 ! regul>  
tax liability 7z def9$ 9 section        
#bf7;b77 = ! taxable ye>1 det]m9$ )\t   
reg>d to any tax liability det]m9$ "u   
?is section1  7,,ii7 ! tax impos$ by    
section #ee = ! taxable ye>1 plus       
7,,iii7 ! payroll tax = ! taxable ye>1  
ov]  7ii7 ! cr$its all[able "u "p ,,iv (
 sub*apt] ,a 7o!r ?an sections #bg7;a71 
#ca1 & #cd74  7b7 ,t5tative fair %>e tax
 ,= purposes ( ?is section-- 7#a7 ,9    

g5]al ,! t5tative fair %>e tax = !      
taxable ye> is #cj p]c5t ( ! excess (-- 
7,a7 ! adju/$ gross income ( ! taxpay]1 
ov]  7,b7 ! modifi$ *>itable            
contribution d$uction = ! taxable ye>4  
7#b7 ,modifi$ *>itable contribution     
d$uction ,= purposes ( p>agraph 7#a7--  
7,a7 ,9 g5]al ,! modifi$ *>itable       
contribution d$uction = any taxable ye> 
is an am\nt equal to ! am\nt :i* be>s ! 
same ratio to ! d$uction all[able "u    
section #agj 7section #fdb7;c7 9 ! case 
( a tru/ or e/ate7 = su* taxable ye> z--
 7i7 ! am\nt ( itemiz$ d$uctions        
all[able "u ! regul> tax 7z def9$ 9     
section #ee7 = su* taxable ye>1 det]m9$ 
aft] ! application ( section #fh1 be>s  
to  7ii7 su* am\nt1 det]m9$ be=e !      
application ( section #fh4  7,b7        
,taxpay] mu/ itemize ,9 ! case ( any    
individual :o does n elect to itemize   
d$uctions = ! taxable ye>1 ! modifi$    
*>itable contribution d$uction %all be  
z]o4  7c7 ,high-,income taxpay] ,=      
purposes ( ?is section-- 7#a7 ,9 g5]al  

,! t]m high-income taxpay] means1 )     
respect to any taxable ye>1 any taxpay] 
7o!r ?an a corporation7 ) an adju/$     
gross income = su* taxable ye> 9 excess 
( #a1jjj1jjj 7#ej p]c5t ( su* am\nt 9 ! 
case ( a m>ri$ individual :o files a    
sep>ate return74  7#b7 ,inflation       
adju/m5t  7,a7 ,9 g5]al ,9 ! case ( a   
taxable ye> beg9n+ aft] #bjbj1 !        
#a1jjj1jjj am\nt "u p>agraph 7#a7 %all  
be increas$ by an am\nt equal to-- 7i7  
su* doll> am\nt1 multipli$ by  7ii7 !   
co/-(-liv+ adju/m5t det]m9$ "u section  
#a7;f77#c7 = ! cal5d> ye> 9 :i* !       
taxable ye> beg9s1 det]m9$ by sub/itut+ 
cal5d> ye> #bjai = cal5d> ye> #bjaf 9   
subp>agraph 7,a77ii7 !re(4  7,b7 ,r\nd+ 
,if any am\nt z adju/$ "u subp>agraph   
7,a7 is n a multiple ( #aj1jjj1 su*     
am\nt %all be r\nd$ to ! next l[e/      
multiple ( #aj1jjj4  7d7 ,payroll tax ,=
 purposes ( ?is section1 ! payroll tax =
 any taxable ye> is an am\nt equal to ! 
excess (-- 7#a7 ! taxes impos$ on !     
taxpay] "u sections #adja1 #adaa1 #caja1

 #cbja1 & #cbaa7;a7 7to ! ext5t su* tax 
is attributable to ! rate ( tax 9 effect
 "u section #caja7 ) respect to su*     
taxable ye> or wages or comp5sation     
receiv$ dur+ su* taxable ye>1 ov]  7#b7 
! d$uction all[able "u section #afd7;f7 
= su* taxable ye>4  7e7 ,special rule = 
e/ates & tru/s ,= purposes ( ?is        
section1 9 ! case ( an e/ate or tru/1   
adju/$ gross income %all be comput$ 9 ! 
mann] describ$ 9 section #fg7;e74  7f7  
,n treat$ z tax impos$ by ?is *apt] =   
c]ta9 purposes ,! tax impos$ "u ?is     
section %all n be treat$ z tax impos$ by
 ?is *apt] = purposes ( det]m9+ ! am\nt 
( any cr$it "u ?is *apt] 7o!r ?an !     
cr$it all[$ "u section #bg7;a77 or =    
purposes ( section #ee4  4  7b7 ,cl]ical
 am5dm5t ,! table ( p>ts = sub*apt] ,a (
 *apt] #a ( ! ,int]nal ,rev5ue ,code (  
#aihf is am5d$ by add+ at ! end ! foll[+
 new item3  ,"p ,,viii--,fair ,%>e ,tax 
on ,high-,income ,taxpay]s  4  7c7      
,effective date ,! am5dm5ts made by ?is 
section %all apply to taxable ye>s      

beg9n+ aft] ,decemb] #ca1 #bjai4  #c4   
,s5se ( ! ,s5ate reg>d+ tax re=m ,x is !
 s5se ( ! ,s5ate t-- 7#a7 ,congress %\ld
 enact tax re=m t repeals unfair &      
unnecess>y tax loopholes & exp5ditures1 
simplifies ! sy/em = millions ( taxpay]s
 & bus9esses1 & makes sure t ! weal?ie/ 
taxpay]s pay a fair %>e2 &  7#b7 ?is    
,act is an int]im /ep t c be done       
quickly & s]ve z a floor on taxes = !   
highe/-income taxpay]s1 cut ! deficit by
 billions ( doll>s a ye>1 & help        
enc\rage m fundam5tal re=m ( ! tax      
sy/em4