Sec. 2001. Repeal of alternative minimum tax
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Subchapter A of chapter 1 is amended by striking part VI (and by striking the item relating to such part in the table of parts for subchapter A). Subsection
(c)of section 53 is amended to read as follows: The credit allowable under subsection
(a)shall not exceed the regular tax liability of the taxpayer reduced by the sum of the credits allowed under subparts A, B, and D. . Section 53 is amended by adding at the end the following new subsection: In the case of any taxable year beginning in 2019, 2020, 2021, or 2022, the limitation under subsection
(c)shall be increased by the AMT refundable credit amount for such year. For purposes of paragraph (1), the AMT refundable credit amount is an amount equal to 50 percent (100 percent in the case of a taxable year beginning in 2022) of the excess (if any) of— the minimum tax credit determined under subsection
(b)for the taxable year, over the minimum tax credit allowed under subsection
(a)for such year (before the application of this subsection for such year). For purposes of this title (other than this section), the credit allowed by reason of this subsection shall be treated as a credit allowed under subpart C (and not this subpart). In the case of any taxable year of less than 365 days, the AMT refundable credit amount determined under paragraph
(2)with respect to such taxable year shall be the amount which bears the same ratio to such amount determined without regard to this paragraph as the number of days in such taxable year bears to 365. . Section 53(d) is amended by adding at the end the following new paragraph: Any references in this subsection to section 55, 56, or 57 shall be treated as a reference to such section as in effect before its repeal by the Tax Cuts and Jobs Act . . Section 2(d) is amended by striking sections 1 and 55 and inserting section 1 . Section 5(a) is amended by striking paragraph (4). Section 11(d) is amended by striking the taxes imposed by subsection
(a)and section 55 and inserting the tax imposed by subsection
(a). Section 12 is amended by striking paragraph (7). Section 26(a) is amended to read as follows: The aggregate amount of credits allowed by this subpart for the taxable year shall not exceed the taxpayer’s regular tax liability for the taxable year. . Section 26(b)(2) is amended by striking subparagraph (A). Section 26 is amended by striking subsection (c). Section 38(c) is amended— by striking paragraphs
(1)through (5), by redesignating paragraph
(6)as paragraph (2), by inserting before paragraph
(2)(as so redesignated) the following new paragraph: The credit allowed under subsection
(a)for any taxable year shall not exceed the excess (if any) of— the sum of— so much of the regular tax liability as does not exceed $25,000, plus 75 percent of so much of the regular tax liability as exceeds $25,000, over the sum of the credits allowable under subparts A and B of this part. , and by striking subparagraph
(B)of paragraph
(1)each place it appears in paragraph
(2)(as so redesignated) and inserting clauses
(i)and
(ii)of paragraph (1)(A) . Section 39(a) is amended— by striking or the eligible small business credits in paragraph (3)(A), and by striking paragraph (4). Section 45D(g)(4)(B) is amended by striking or for purposes of section 55 . Section 54(c)(1) is amended to read as follows: regular tax liability (as defined in section 26(b)), over . Section 54A(c)(1)(A) is amended to read as follows: regular tax liability (as defined in section 26(b)), over . Section 148(b)(3) is amended to read as follows: The term investment property does not include any tax-exempt bond. . Section 168(k)(2) is amended by striking subparagraph (G). Section 168(k) is amended by striking paragraph (4). Section 168(k)(5) is amended by striking subparagraph (E). Section 168(m)(2)(B)(i) is amended by striking (determined without regard to paragraph
(4)thereof) . Section 168(m)(2) is amended by striking subparagraph (D). Section 173 is amended by striking subsection (b). Section 263(c) is amended by striking section 59(e) or 291 and inserting section 291 . Section 263A(c) is amended by striking paragraph
(6)and by redesignating paragraph
(7)(as amended) as paragraph (6). Section 382(l) is amended by striking paragraph
(7)and by redesignating paragraph
(8)as paragraph (7). Section 443 is amended by striking subsection
(d)and by redesignating subsection
(e)as subsection (d). Section 616 is amended by striking subsection (e). Section 617 is amended by striking subsection (i). Section 641(c) is amended— in paragraph
(2)by striking subparagraph
(B)and by redesignating subparagraphs
(C)and
(D)as subparagraphs
(B)and (C), respectively, and in paragraph (3), by striking paragraph (2)(C) and inserting paragraph (2)(B) . Subsections
(b)and
(c)of section 666 are each amended by striking (other than the tax imposed by section 55) . Section 848 is amended by striking subsection (i). Section 860E(a) is amended by striking paragraph (4). Section 871(b)(1) is amended by striking or 55 . Section 882(a)(1) is amended by striking 55, . Section 897(a) is amended to read as follows: For purposes of this title, gain or loss of a nonresident alien individual or a foreign corporation from the disposition of a United States real property interest shall be taken into account— in the case of a nonresident alien individual, under section 871(b)(1), or in the case of a foreign corporation, under section 882(a)(1), as if the taxpayer were engaged in a trade or business within the United States during the taxable year and as if such gain or loss were effectively connected with such trade or business. . Section 904(k) is amended to read as follows: For increase of limitation under subsection
(a)for taxes paid with respect to amounts received which were included in the gross income of the taxpayer for a prior taxable year as a United States shareholder with respect to a controlled foreign corporation, see section 960(b). . Section 911(f) is amended to read as follows: If, for any taxable year, any amount is excluded from gross income of a taxpayer under subsection (a), then, notwithstanding section 1, if such taxpayer has taxable income for such taxable year, the tax imposed by section 1 for such taxable year shall be equal to the excess (if any) of— the tax which would be imposed by section 1 for such taxable year if the taxpayer’s taxable income were increased by the amount excluded under subsection
(a)for such taxable year, over the tax which would be imposed by section 1 for such taxable year if the taxpayer’s taxable income were equal to the amount excluded under subsection
(a)for such taxable year. For purposes of this paragraph, the amount excluded under subsection
(a)shall be reduced by the aggregate amount of any deductions or exclusions disallowed under subsection (d)(6) with respect to such excluded amount. In applying section 1(h) for purposes of determining the tax under paragraph (1)(A) for any taxable year in which, without regard to this subsection, the taxpayer’s net capital gain exceeds taxable income (hereafter in this subparagraph referred to as the capital gain excess)— the taxpayer’s net capital gain (determined without regard to section 1(h)(11)) shall be reduced (but not below zero) by such capital gain excess, the taxpayer’s qualified dividend income shall be reduced by so much of such capital gain excess as exceeds the taxpayer’s net capital gain (determined without regard to section 1(h)(11) and the reduction under clause (i)), and adjusted net capital gain, unrecaptured section 1250 gain, and 28-percent rate gain shall each be determined after increasing the amount described in section 1(h)(4)(B) by such capital gain excess. Terms used in this paragraph which are also used in section 1(h) shall have the respective meanings given such terms by section 1(h). . Section 962(a)(1) is amended— by striking sections 1 and 55 and inserting section 1 , and by striking sections 11 and 55 and inserting section 11 . Section 1016(a) is amended by striking paragraph (20). Section 1202(a)(4) is amended by inserting and at the end of subparagraph (A), by striking , and and inserting a period at the end of subparagraph (B), and by striking subparagraph (C). Section 1374(b)(3)(B) is amended by striking the last sentence thereof. Section 1561(a) is amended— by inserting and at the end of paragraph (1), by striking , and at the end of paragraph
(2)and inserting a period, and by striking paragraph (3), and by striking the last sentence. Section 6015(d)(2)(B) is amended by striking or 55 . Section 6211(b)(4)(A) is amended by striking , 168(k)(4) . Section 6425(c)(1)(A) is amended to read as follows: the tax imposed under section 11 or subchapter L of chapter 1, whichever is applicable, over . Section 6654(d)(2) is amended— in clause
(i)of subparagraph (B), by striking , alternative minimum taxable income, , and in clause
(i)of subparagraph (C), by striking , alternative minimum taxable income, . Section 6655(e)(2)(B)(i) is amended by striking The taxable income and alternative minimum taxable income shall and inserting Taxable income shall . Section 6655(g)(1)(A) is amended by adding plus at the end of clause (i), by striking clause (ii), and by redesignating clause
(iii)as clause (ii). Section 6662(e)(3)(C) is amended by striking the regular tax (as defined in section 55(c)) and inserting the regular tax liability (as defined in section 26(b)) . Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years beginning after December 31, 2017. So much of the amendment made by subsection
(a)as relates to the repeal of section 59(e) of the Internal Revenue Code of 1986 shall apply to amounts paid or incurred after December 31, 2017. For purposes of section 56(d) of the Internal Revenue Code of 1986 (as in effect before its repeal), the amount of any net operating loss which may be carried back from a taxable year beginning after December 31, 2017, to taxable years beginning before January 1, 2018, shall be determined without regard to any adjustments under section 56(d)(2)(A) of such Code (as so in effect).