SMART Act
Latest action · Apr 11, 2019 Read twice and referred to the Committee on Finance.
Progress
Where this bill reached, and when. A stage with no date was not reached; one that failed a vote and later carried shows the date it carried.
- IntroducedApr 11, 2019
- Passed SenateNot reached
- Passed HouseNot reached
- To the PresidentNot reached
- Became lawNot reached
Summary
Simplified, Manageable, And Responsible Tax Act or the SMART Act
This bill replaces the marginal income tax rates in the Internal Revenue Code with a single rate of 17% on individual taxable income.
The bill redefines "taxable income" to mean the amount by which wages, retirement distributions, and unemployment compensation exceed the standard deduction. It also
- increases the basic standard deduction,
- includes an additional standard deduction for dependents, and
- includes the taxable income of each dependent child under the age of 14 in an individual's taxable income.
The bill revises the tax on corporations to (1) replace it with a tax on every person engaged in a business activity equal to 17% of the business taxable income of such person; and (2) make the person engaged in the business activity liable for the tax, whether or not such person is an individual, a partnership, or a corporation.
The bill imposes on employers a 17% tax on the value of excludable compensation provided during the year to employees.
With respect to pension rules, the bill (1) repeals rules relating to non-discrimination, contribution limits, and restrictions on distributions; and (2) revises rules relating to transfers of excess pension assets.
The bill also repeals
- the alternative minimum tax;
- all income tax credits;
- estate, gift, and generation-skipping transfer taxes; and
- income tax provisions, except certain provisions relating to retirement distributions and tax-exempt organizations.
The bill prohibits Congress from considering legislation to make specified changes to tax policy unless Congress waives or suspends the prohibition with a three-fifths vote.
Cosponsors
Members who signed on, in the order they did.
Committees 1
Where it was sent and what each committee and subcommittee did with it, in order.
| Chamber | Committee | What it did |
|---|---|---|
| Senate | Finance Committee | Referred Apr 11, 2019 |
Actions 2
Everything that happened, newest first.
- Apr 11, 2019Introduced in Senate
- Apr 11, 2019Read twice and referred to the Committee on Finance.
Related bills 2
Companion bills and other measures the record links to this one.
Titles 3
Every title it has carried, official and short, at each stage.
- Official Title as Introduced
- A bill to repeal the current Internal Revenue Code and replace it with a flat tax, thereby guaranteeing economic growth and fairness for all Americans.
- Short Title(s) as Introduced
- SMART Act
- Simplified, Manageable, And Responsible Tax Act
Subjects
Assigned by the Library of Congress. Policy area: Taxation.
Text 1
Each version as it was printed, newest first.
- Apr 11, 2019Introduced in Senate
Everything here is as published by Congress: the summary is the Congressional Research Service's, the action wording is the clerks', and the subjects are the Library of Congress's. How far it got is read from the actions themselves, taking the most recent one of each kind, so a bill that failed a vote and later passed is shown as having passed. Records come from this bill on Congress.gov and govinfo.gov; cost estimates are the Congressional Budget Office's, and the hearings are the printed hearings GovInfo publishes, which can appear months after the hearing.
