[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 1226 Introduced in Senate (IS)]

<DOC>






118th CONGRESS
  1st Session
                                S. 1226

   To amend the Internal Revenue Code of 1986 to make permanent the 
    individual tax provisions of the tax reform law, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 20, 2023

  Mr. Cruz (for himself and Mr. Braun) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to make permanent the 
    individual tax provisions of the tax reform law, and for other 
                               purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. PERMANENT MODIFICATION OF INDIVIDUAL RATE BRACKETS.

    (a) Married Individuals Filing Joint Returns and Surviving 
Spouses.--The table contained in subsection (a) of section 1 of the 
Internal Revenue Code of 1986 is amended to read as follows:


 
       ``If taxable income is:                    The tax is:
------------------------------------------------------------------------
Not over $19,050.....................  10% of taxable income.
Over $19,050 but not over $77,400....  $1,905, plus 12% of the excess
                                        over $19,050.
Over $77,400 but not over $165,000...  $8,907, plus 22% of the excess
                                        over $77,400.
Over $165,000 but not over $315,000..  $28,179, plus 24% of the excess
                                        over $165,000.
Over $315,000 but not over $400,000..  $64,179, plus 32% of the excess
                                        over $315,000.
Over $400,000 but not over $600,000..  $91,379, plus 35% of the excess
                                        over $400,000.
Over $600,000........................  $161,379, plus 37% of the excess
                                        over $600,000.''.

    (b) Heads of Households.--The table contained in subsection (b) of 
section 1 of the Internal Revenue Code of 1986 is amended to read as 
follows:


 
       ``If taxable income is:                    The tax is:
------------------------------------------------------------------------
Not over $13,600.....................  10% of taxable income.
Over $13,600 but not over $51,800....  $1,360, plus 12% of the excess
                                        over $13,600.
Over $51,800 but not over $82,500....  $5,944, plus 22% of the excess
                                        over $51,800.
Over $82,500 but not over $157,500...  $12,698, plus 24% of the excess
                                        over $82,500.
Over $157,500 but not over $200,000..  $30,698, plus 32% of the excess
                                        over $157,500.
Over $200,000 but not over $500,000..  $44,298, plus 35% of the excess
                                        over $200,000.
Over $500,000........................  $149,298, plus 37% of the excess
                                        over $500,000.''.

    (c) Unmarried Individuals Other Than Surviving Spouses and Heads of 
Households.--The table contained in subsection (c) of section 1 of the 
Internal Revenue Code of 1986 is amended to read as follows:


 
       ``If taxable income is:                    The tax is:
------------------------------------------------------------------------
Not over $9,525......................  10% of taxable income.
Over $9,525 but not over $38,700.....  $952.50, plus 12% of the excess
                                        over $9,525.
Over $38,700 but not over $82,500....  $4,453.50, plus 22% of the excess
                                        over $38,700.
Over $82,500 but not over $157,500...  $14,089.50, plus 24% of the
                                        excess over $82,500.
Over $157,500 but not over $200,000..  $32,089.50, plus 32% of the
                                        excess over $157,500.
Over $200,000 but not over $500,000..  $45,689.50, plus 35% of the
                                        excess over $200,000.
Over $500,000........................  $150,689.50, plus 37% of the
                                        excess over $500,000.''.

    (d) Married Individuals Filing Separate Returns.--The table 
contained in subsection (d) of section 1 of the Internal Revenue Code 
of 1986 is amended to read as follows:


 
       ``If taxable income is:                    The tax is:
------------------------------------------------------------------------
Not over $9,525......................  10% of taxable income.
Over $9,525 but not over $38,700.....  $952.50, plus 12% of the excess
                                        over $9,525.
Over $38,700 but not over $82,500....  $4,453.50, plus 22% of the excess
                                        over $38,700.
Over $82,500 but not over $157,500...  $14,089.50, plus 24% of the
                                        excess over $82,500.
Over $157,500 but not over $200,000..  $32,089.50, plus 32% of the
                                        excess over $157,500.
Over $200,000 but not over $300,000..  $45,689.50, plus 35% of the
                                        excess over $200,000.
Over $300,000........................  $80,689.50, plus 37% of the
                                        excess over $300,000.''.

    (e) Estates and Trusts.--The table contained in subsection (e) of 
section 1 of the Internal Revenue Code of 1986 is amended to read as 
follows:


 
       ``If taxable income is:                    The tax is:
------------------------------------------------------------------------
Not over $2,550......................  10% of taxable income.
Over $2,550 but not over $9,150......  $255, plus 24% of the excess over
                                        $2,550.
Over $9,150 but not over $12,500.....  $1,839, plus 35% of the excess
                                        over $9,150.
Over $12,500.........................  $3,011.50, plus 37% of the excess
                                        over $12,500.''.

    (f) Adjustment for Inflation.--Subsection (f) of section 1 of the 
Internal Revenue Code of 1986 is amended--
            (1) by striking ``1993'' in paragraph (1) and inserting 
        ``2018'',
            (2) by striking ``determined--'' and all that follows in 
        paragraph (2)(A) and inserting ``determined by substituting 
        `2017' for `2016' in paragraph (3)(A)(ii),'',
            (3) by striking ``a married individual filing a separate 
        return'' in paragraph (7)(B) and inserting ``any unmarried 
        individual other than a surviving spouse or head of 
        household'',
            (4) by striking ``married individuals filing separately'' 
        in the heading of subparagraph (B) of paragraph (7) and 
        inserting ``certain unmarried individuals'', and
            (5) by striking paragraph (8).
    (g) Capital Gains Brackets.--Subsection (h) of section 1 of the 
Internal Revenue Code of 1986 is amended--
            (1) by striking ``which would (without regard to this 
        paragraph) be taxed at a rate below 25 percent'' in paragraph 
        (1)(B)(i) and inserting ``below the maximum zero rate amount'',
            (2) by striking ``which would (without regard to this 
        paragraph) be taxed at a rate below 39.6 percent'' in paragraph 
        (1)(C)(ii)(I) and inserting ``below the maximum 15-percent rate 
        amount'', and
            (3) by adding at the end the following new paragraph:
            ``(12) Maximum amounts defined.--For purposes of this 
        subsection--
                    ``(A) Maximum zero rate amount.--The maximum zero 
                rate amount shall be--
                            ``(i) in the case of a joint return or 
                        surviving spouse, $77,200,
                            ``(ii) in the case of an individual who is 
                        a head of household (as defined in section 
                        2(b)), $51,700,
                            ``(iii) in the case of any other individual 
                        (other than an estate or trust), an amount 
                        equal to \1/2\ of the amount in effect for the 
                        taxable year under clause (i), and
                            ``(iv) in the case of an estate or trust, 
                        $2,600.
                    ``(B) Maximum 15-percent rate amount.--The maximum 
                15-percent rate amount shall be--
                            ``(i) in the case of a joint return or 
                        surviving spouse, $479,000 (\1/2\ such amount 
                        in the case of a married individual filing a 
                        separate return),
                            ``(ii) in the case of an individual who is 
                        the head of a household (as defined in section 
                        2(b)), $452,400,
                            ``(iii) in the case of any other individual 
                        (other than an estate or trust), $425,800, and
                            ``(iv) in the case of an estate or trust, 
                        $12,700.
                    ``(C) Inflation adjustment.--In the case of any 
                taxable year beginning after 2018, each of the dollar 
                amounts in subparagraphs (A) and (B) shall be increased 
                by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under subsection (f)(3) for the 
                        calendar year in which the taxable year begins, 
                        determined by substituting `calendar year 2017' 
                        for `calendar year 2016' in subparagraph 
                        (A)(ii) thereof.
                If any increase under this subparagraph is not a 
                multiple of $50, such increase shall be rounded to the 
                next lowest multiple of $50.''.
    (h) Conforming Amendments.--
            (1) Section 1 of the Internal Revenue Code of 1986 is 
        amended by striking subsections (i) and (j).
            (2) Section 3402(q)(1) of such Code is amended by striking 
        ``third lowest'' and inserting ``fourth lowest''.
    (i) Section 15 Not To Apply.--Section 15 of the Internal Revenue 
Code of 1986 shall not apply to any change in a rate of tax by reason 
of this section.
    (j) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 2. PERMANENT EXTENSION OF DEDUCTION FOR QUALIFIED BUSINESS INCOME 
              OF PASS-THRU ENTITIES.

    (a) In General.--Section 199A of the Internal Revenue Code of 1986 
is amended by striking subsection (i).
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2022.

SEC. 3. PERMANENT EXTENSION OF LIMITATION ON LOSSES FOR TAXPAYERS OTHER 
              THAN CORPORATIONS.

    (a) In General.--Paragraph (1) of section 461(l) of the Internal 
Revenue Code of 1986 is amended to read as follows:
            ``(1) Limitation.--In the case of taxable year of a 
        taxpayer other than a corporation, any excess business loss of 
        the taxpayer for the taxable year shall not be allowed.''.
    (b) Conforming Amendment.--Section 461 of the Internal Revenue Code 
of 1986 is amended by striking subsection (j) (relating to limitation 
on excess farm losses of certain taxpayers).
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 4. PERMANENT EXTENSION OF INCREASE IN STANDARD DEDUCTION.

    (a) In General.--Section 63(c)(2) of the Internal Revenue Code of 
1986 is amended--
            (1) by striking ``$4,400'' in subparagraph (B) and 
        inserting ``$18,800'', and
            (2) by striking ``$3,000'' in subparagraph (C) and 
        inserting ``$12,000''.
    (b) Inflation Adjustment.--Paragraph (4) of section 63(c) of the 
Internal Revenue Code of 1986 is amended to read as follows:
            ``(4) Adjustments for inflation.--
                    ``(A) In general.--In the case of any taxable year 
                beginning in a calendar year after 2018, the $18,000 
                and $12,000 amounts in paragraph (2) shall each be 
                increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        by substituting `2017' for `2016' in 
                        subparagraph (A)(ii) thereof.
                    ``(B) Certain amounts.--In the case of any taxable 
                year beginning in a calendar year after 1988, each 
                dollar amount contained in paragraph (5) or subsection 
                (f) shall be increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        by substituting for `calendar year 2016' in 
                        subparagraph (A)(ii) thereof--
                                    ``(I) `calendar year 1987' in the 
                                case of the dollar amounts contained in 
                                paragraph (5)(A) or subsection (f), and
                                    ``(II) `calendar year 1997' in the 
                                case of the dollar amount contained in 
                                paragraph (5)(B).''.
    (c) Conforming Amendment.--Section 63(c) of the Internal Revenue 
Code of 1986 is amended by striking paragraph (7).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 5. PERMANENT INCREASE AND MODIFICATION OF CHILD TAX CREDIT.

    (a) Increase in Credit Amount.--Section 24(a) of the Internal 
Revenue Code of 1986 is amended by striking ``$1,000'' and inserting 
``$2,000''.
    (b) Limitation.--Paragraph (2) of section 24(b) of the Internal 
Revenue Code of 1986 is amended to read as follows:
            ``(2) Threshold amount.--For purposes of paragraph (1), the 
        term `threshold amount' means--
                    ``(A) $400,000 in the case of a joint return, and
                    ``(B) $200,000 in any other case.''.
    (c) Partial Credit Allowed for Certain Other Dependents.--
Subsection (h) of section 24 of the Internal Revenue Code of 1986 is 
amended to read as follows:
    ``(h) Partial Credit Allowed for Certain Other Dependents.--
            ``(1) In general.--The credit determined under subsection 
        (a) shall be increased by $500 for each dependent of the 
        taxpayer (as defined in section 7706) other than a qualifying 
        child described in subsection (c).
            ``(2) Exception for certain noncitizens.--Paragraph (1) 
        shall not apply with respect to any individual who would not be 
        a dependent if subparagraph (A) of section 7706(b)(3) were 
        applied without regard to all that follows `resident of the 
        United States'.
            ``(3) Certain qualifying children.--In the case of any 
        qualifying child with respect to whom a credit is not allowed 
        under this section by reason of subsection (e)(1), such child 
        shall be treated as a dependent to whom subparagraph (A) 
        applies.''.
    (d) Maximum Amount of Refundable Credit.--Subsection (d) of section 
24 of the Internal Revenue Code of 1986 is amended by inserting after 
paragraph (2) the following new paragraph:
            ``(3) Limitation.--
                    ``(A) In general.--The amount determined under 
                paragraph (1)(A) with respect to any qualifying child 
                shall not exceed $1,400, and such paragraph shall be 
                applied without regard to subsection (h).
                    ``(B) Adjustment for inflation.--In the case of a 
                taxable year beginning after 2018, the $1,400 amount in 
                subparagraph (A) shall be increased by an amount equal 
                to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        determined by substituting `2017' for `2016' in 
                        subparagraph (A)(ii) thereof.
                If any increase under this clause is not a multiple of 
                $100, such increase shall be rounded to the next lowest 
                multiple of $100.''.
    (e) Earned Income Threshold for Refundable Credit.--Section 
24(d)(1)(B) of the Internal Revenue Code of 1986 is amended by striking 
``$3,000'' and inserting ``$2,500''.
    (f) Social Security Number Required.--Paragraph (1) of section 
24(e) of the Internal Revenue Code of 1986 is amended to read as 
follows:
            ``(1) Qualifying child social security number 
        requirement.--No credit shall be allowed under this section to 
        a taxpayer with respect to any qualifying child unless the 
        taxpayer includes the name and social security number of such 
        child on the return of tax for the taxable year. For purposes 
        of the preceding sentence, the term `social security number' 
        means a social security number issued to an individual by the 
        Social Security Administration, but only if the social security 
        number is issued--
                    ``(A) to a citizen of the United States or pursuant 
                to subclause (I) (or that portion of subclause (III) 
                that relates to subclause (I)) of section 
                205(c)(2)(B)(i) of the Social Security Act, and
                    ``(B) before the due date for such return.''.
    (g) Repeal of Deadwood.--
            (1) In general.--Section 24 of the Internal Revenue Code of 
        1986 is amended by striking subsections (i) and (j) and by 
        redesignating subsection (k) as subsection (i).
            (2) Conforming amendments.--Subsection (i) of section 24 of 
        such Code, as redesignated by paragraph (1), is amended--
                    (A) by striking paragraph (2)(A),
                    (B) in paragraph (2)(B)--
                            (i) by striking and all that precedes ``In 
                        the case'', and
                            (ii) by redesignating clauses (i) and (ii) 
                        as subparagraphs (A) and (B), respectively, and 
                        by moving such subparagraphs 2 ems to the left,
                    (C) in paragraph (3)(A), by striking ``and without 
                regard to the application of this section to bona fide 
                residents of Puerto Rico under subsection (i)(1)'', and
                    (D) in paragraph (3)(C)(ii)--
                            (i) by striking ``under subparagraph (B)'' 
                        and all that follows through ``December 31, 
                        2021,'' and inserting ``under subparagraph 
                        (B),'', and
                            (ii) by striking ``paragraph (2)(B)'' and 
                        inserting ``paragraph (2)''.
    (h) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 6. PERMANENT EXTENSION OF INCREASED LIMITATION FOR CERTAIN 
              CHARITABLE CONTRIBUTIONS.

    (a) In General.--Section 170(b)(1)(G) of the Internal Revenue Code 
of 1986 is amended--
            (1) by striking ``for any taxable year beginning after 
        December 31, 2017, and before January 1, 2026,'' in clause (i),
            (2) by striking ``for any taxable year described in such 
        clause'' in clause (ii), and
            (3) by striking ``For each taxable year described in clause 
        (i), and each taxable year to which any contribution under this 
        subparagraph is carried over under clause (ii), subparagraph 
        (A)'' in clause (iii) and inserting ``Subparagraph (A)''.
    (b) Effective Date.--The amendments made by this section shall 
apply to contributions in taxable years beginning after December 31, 
2025.

SEC. 7. PERMANENT EXTENSION OF INCREASED CONTRIBUTIONS TO ABLE 
              ACCOUNTS.

    (a) In General.--Section 529A(b)(2)(B)(ii) of the Internal Revenue 
Code of 1986 is amended by striking ``before January 1, 2026''.
    (b) Allowance of Savers Credit.--Section 25B(d)(1)(D) of the 
Internal Revenue Code of 1986 is amended by striking ``before January 
1, 2026,''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

SEC. 8. PERMANENT EXTENSION OF ROLLOVERS TO ABLE PROGRAMS FROM 529 
              PROGRAMS.

    (a) In General.--Section 529(c)(3)(C)(i)(III) is amended by 
striking ``before January 1, 2026,''.
    (b) Effective Date.--The amendments made by this section shall 
apply to distributions made after the date of the enactment of this 
Act.

SEC. 9. PERMANENT EXTENSION OF TREATMENT OF CERTAIN INDIVIDUALS 
              PERFORMING SERVICES IN THE SINAI PENINSULA OF EGYPT.

    (a) In General.--Subsection (c) of section 11026 of Public Law 115-
97 is amended--
            (1) by striking ``beginning before January 1, 2026'' in 
        paragraph (1)(B), and
            (2) by striking ``beginning before January 1, 2026'' in 
        paragraph (2)(B).
    (b) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.

SEC. 10. PERMANENT EXTENSION OF TREATMENT OF STUDENT LOANS DISCHARGED 
              ON ACCOUNT OF DEATH OR DISABILITY.

    (a) In General.--Subparagraph (A) of section 108(f)(5) of the 
Internal Revenue Code of 1986 is amended by striking ``and before 
January 1, 2026,''.
    (b) Effective Date.--The amendment made by this section shall apply 
to discharges of indebtedness after December 31, 2022.

SEC. 11. REPEAL OF DEDUCTION FOR PERSONAL EXEMPTIONS.

    (a) In General.--Part V of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 is hereby repealed.
    (b) Definition of Dependent Retained.--Section 152 of the Internal 
Revenue Code of 1986, prior to repeal by subsection (a), is hereby 
redesignated as section 7706 of such Code and moved to the end of 
chapter 79 of such Code.
    (c) Application to Estates and Trusts.--Subparagraph (C) of section 
642(b)(2) of the Internal Revenue Code of 1986 is amended--
            (1) by striking ``the exemption amount under section 
        151(d)'' in clause (i) and inserting ``$4,150'', and
            (2) by striking clause (iii) and inserting the following:
                            ``(iii) Inflation adjustment.--In the case 
                        of any taxable year beginning in a calendar 
                        year after 2018, the $4,150 amount in clause 
                        (i) shall be increased by an amount equal to--
                                    ``(I) such dollar amount, 
                                multiplied by
                                    ``(II) the cost-of-living 
                                adjustment determined under section 
                                1(f)(3) for the calendar year in which 
                                the taxable begins, determined by 
                                substituting `2017' for `2016' in 
                                subparagraph (A)(ii) thereof.
                        If any increase determined under the preceding 
                        sentence is not a multiple of $100, such 
                        increase shall be rounded to the next lowest 
                        multiple of $100.''.
    (d) Application to Nonresident Aliens.--Section 873(b) of the 
Internal Revenue Code of 1986 is amended by striking paragraph (3).
    (e) Modification of Return Requirement.--
            (1) In general.--Section 6012 of the Internal Revenue Code 
        of 1986 is amended--
                    (A) by striking paragraph (1) of subsection (a) and 
                inserting the following:
            ``(1) Every individual who has gross income for the taxable 
        year, except that a return shall not be required of--
                    ``(A) an individual who is not married (determined 
                by applying section 7703) and who has gross income for 
                the taxable year which does not exceed the standard 
                deduction applicable to such individual for such 
                taxable year under section 63, or
                    ``(B) an individual entitled to make a joint return 
                if--
                            ``(i) the gross income of such individual, 
                        when combined with the gross income of such 
                        individual's spouse, for the taxable year does 
                        not exceed the standard deduction which would 
                        be applicable to the taxpayer for such taxable 
                        year under section 63 if such individual and 
                        such individual's spouse made a joint return,
                            ``(ii) such individual and such 
                        individual's spouse have the same household as 
                        their home at the close of the taxable year,
                            ``(iii) such individual's spouse does not 
                        make a separate return, and
                            ``(iv) neither such individual nor such 
                        individual's spouse is an individual described 
                        in section 63(c)(2) who has income (other than 
                        earned income) in excess of the amount in 
                        effect under section 63(c)(2)(A).'', and
                    (B) by striking subsection (f).
            (2) Bankruptcy estates.--Paragraph (8) of section 6012(a) 
        of such Code is amended by striking ``the sum of the exemption 
        amount plus the basic standard deduction under section 
        63(c)(2)(D)'' and inserting ``the standard deduction in effect 
        under section 63(c)(1)(B)''.
    (f) Conforming Amendments.--
            (1) Section 1(f)(7) of the Internal Revenue Code of 1986 is 
        amended--
                    (A) by striking ``section 151(d)(4)'' in 
                subparagraph (A) and inserting ``section 7706(d)(6)'', 
                and
                    (B) by striking ``151(d)(4)'' in subparagraph (B) 
                and inserting ``7706(d)(6)''.
            (2) Section 2(a)(1)(B) of the Internal Revenue Code of 1986 
        is amended by striking ``a dependent'' and all that follows 
        through ``section 151'' and inserting ``a dependent who (within 
        the meaning of section 7706, determined without regard to 
        subsections (b)(1), (b)(2), and (d)(1)(B) thereof) is a son, 
        stepson, daughter, or stepdaughter of the taxpayer''.
            (3) Section 21 of such Code is amended--
                    (A) in subsection (b)(1)(A), by striking ``section 
                152(a)(1)'' and inserting ``section 7706(a)(1)'',
                    (B) in subsection (b)(1)(B), by striking ``section 
                152'' and inserting ``section 7706'',
                    (C) in subsection (e)(5)--
                            (i) by striking ``section 152(e)'' in 
                        subparagraph (A) and inserting ``section 
                        7706(e)'', and
                            (ii) by striking ``section 152(e)(4)(A)'' 
                        and inserting ``section 7706(e)(4)(A)'', and
                    (D) in subsection (e)(6)(B), by striking ``section 
                152(f)(1)'' and inserting ``section 7706(f)(1)''.
            (4) Section 24(a) of such Code is amended by striking ``for 
        which the taxpayer is allowed a deduction under section 151'' 
        and inserting ``which is a dependent of the taxpayer''.
            (5) Section 24(c) of such Code is amended--
                    (A) in paragraph (1), by striking ``section 
                152(c)'' and inserting ``section 7706(c)'', and
                    (B) in paragraph (2), by striking ``section 
                152(b)(3)'' and inserting ``section 7706(b)(3)''.
            (6) Section 25A(f)(1)(A)(iii) of such Code is amended by 
        striking ``with respect to whom the taxpayer is allowed a 
        deduction under section 151''.
            (7) Section 25A(g)(3) of such Code is amended by striking 
        ``If a deduction under section 151 with respect to an 
        individual is allowed to another taxpayer'' and inserting ``If 
        an individual is a dependent (as defined in section 7706) of 
        another taxpayer''.
            (8) Section 25B(c)(2) of such Code is amended--
                    (A) in subparagraph (A), by striking ``with respect 
                to whom a deduction under section 151 is allowed to 
                another taxpayer'' and inserting ``who is a dependent 
                of another taxpayer'', and
                    (B) in subparagraph (B), by striking ``section 
                152(f)(2)'' and inserting ``section 7706(f)(2)''.
            (9) Section 25E(c)(3)(C) is amended by striking ``with 
        respect to whom no deduction is allowable with respect to 
        another taxpayer under section 151'' and inserting ``who is a 
        dependent (as defined in section 7706) of another taxpayer''.
            (10) Section 32(c)(1)(A)(iii) of such Code is amended by 
        striking ``for whom a deduction is allowable under section 151 
        to'' and inserting ``of''.
            (11) Section 32(c)(3) of such Code is amended--
                    (A) in subparagraph (A)--
                            (i) by striking ``section 152(c)'' and 
                        inserting ``section 7706(c)'', and
                            (ii) by striking ``section 152(e)'' and 
                        inserting ``section 7706(e)'',
                    (B) in subparagraph (B), by striking ``unless the 
                taxpayer is entitled to a deduction under section 151 
                for such taxable year with respect to such individual 
                (or would be so entitled but for section 152(e))'' and 
                inserting ``unless such individual is a dependent (as 
                defined in section 7706) of such taxpayer for such 
                taxable year (or would be a dependent bu for section 
                7706(e)'', and
                    (C) in subparagraph (C), by striking ``section 
                152(c)(1)(B)'' and inserting ``section 7706(c)(1)(B)''.
            (12) Section 35(d)(1) of such Code is amended by striking 
        ``with respect to whom the taxpayer is entitled to a deduction 
        under section 151(c)''.
            (13) Section 35(d)(2) of such Code is amended--
                    (A) by striking ``section 152(e)'' and inserting 
                ``section 7706(e)'', and
                    (B) by striking ``section 152(e)(4)(A)'' and 
                inserting ``section 7706(e)(4)(A)''.
            (14) Section 35(g)(4) of such Code is amended by striking 
        ``with respect to whom a deduction under section 151 is 
        allowable to'' and inserting ``is a dependent (as defined in 
        section 7706) of''.
            (15) Section 35(g)(10)(C)(ii) of such Code is amended by 
        striking ``the taxpayer to whom the deduction under section 151 
        is allowable'' and inserting ``the taxpayer of whom such 
        individual is a dependent of''.
            (16) Section 36(d)(3) of such Code is amended by striking 
        ``a deduction under section 151 with respect to such taxpayer 
        is allowable to another taxpayer for such taxable year'' and 
        inserting ``such taxpayer is a dependent of another taxpayer 
        for such taxable year''.
            (17) Section 36B(b)(2)(A) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (18) Section 36B(b)(3)(B) of such Code is amended--
                    (A) by striking ``who is not allowed a deduction 
                under section 151 for the taxable year with respect to 
                a dependent'' and inserting ``who does not have any 
                dependents for the taxable year'', and
                    (B) by striking ``unless a deduction is allowed 
                under section 151 for the taxable year with respect to 
                a dependent'' in the flush matter at the end and 
                inserting ``unless the taxpayer has a dependent for the 
                taxable year''.
            (19) Section 36B(c)(1)(D) of such Code is amended by 
        striking ``with respect to whom a deduction under section 151 
        is allowable to another taxpayer'' and inserting ``who is a 
        dependent of another taxpayer''.
            (20) Section 36B(d)(1) of such Code is amended by striking 
        ``equal to the number of individuals for whom the taxpayer is 
        allowed a deduction under section 151 (relating to allowance of 
        deduction for personal exemptions) for the taxable year'' and 
        inserting ``the sum of 1 (2 in the case of a joint return) plus 
        the number of the taxpayer's dependents for the taxable year''.
            (21) Section 36B(e)(1) of such Code is amended by striking 
        ``1 or more individuals for whom a taxpayer is allowed a 
        deduction under section 151 (relating to allowance of deduction 
        for personal exemptions) for the taxable year (including the 
        taxpayer or his spouse)'' and inserting ``1 or more of the 
        taxpayer, the taxpayer's spouse, or any dependent of the 
        taxpayer''.
            (22) Section 42(i)(3)(D)(ii)(I) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (23) Section 45R(e)(1)(A)(iv) of such Code is amended--
                    (A) by striking ``section 152(d)(2)'' and inserting 
                ``section 7706(d)(2)'', and
                    (B) by striking ``section 152(d)(2)(H)'' and 
                inserting ``section 7706(d)(2)(H)''.
            (24) Section 51(i)(1) of such Code is amended--
                    (A) by striking ``section 152(d)(2)'' each place it 
                appears and inserting ``section 7706(d)(2)'', and
                    (B) by striking ``section 152(d)(2)(H)'' in 
                subparagraph (C) thereof and inserting ``section 
                7706(d)(2)(H)''.
            (25) Section 56(b)(1)(D) of such Code is amended by 
        striking ``, the deduction for personal exemptions under 
        section 151,''.
            (26) Section 63(b) of such Code is amended by striking 
        paragraph (2) and by redesignating paragraphs (3) and (4) as 
        paragraphs (2) and (3), respectively.
            (27) Section 63(c)(5) is amended by striking ``with respect 
        to whom a deduction under section 151 is allowable to'' and 
        inserting ``who is a dependent of''.
            (28) Subparagraph (B) of section 63(f)(1) of such Code is 
        amended to read as follows:
                    ``(B) for the spouse of the taxpayer if--
                            ``(i) the spouse has attained age 65 before 
                        the close of the taxable year, and
                            ``(ii) a joint return is not made by the 
                        taxpayer and his spouse, and the spouse, for 
                        the calendar year in which the taxable year of 
                        the taxpayer begins, has no gross income and is 
                        not the dependent of another taxpayer.''.
            (29) Subparagraph (B) of section 63(f)(2) of such Code is 
        amended to read as follows:
                    ``(B) for the spouse of the taxpayer if--
                            ``(i) the spouse is blind as of the close 
                        of the taxable year, and
                            ``(ii) a joint return is not made by the 
                        taxpayer and his spouse, and the spouse, for 
                        the calendar year in which the taxable year of 
                        the taxpayer begins, has no gross income and is 
                        not the dependent of another taxpayer.''.
            (30) Section 72(t)(2)(D)(i)(III) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (31) Section 72(t)(7)(A)(iii) of such Code is amended by 
        striking ``section 152(f)(1)'' and inserting ``section 
        7706(f)(1)''.
            (32) Section 105(b) of such Code is amended--
                    (A) by striking ``as defined in section 152'' and 
                inserting ``as defined in section 7706'',
                    (B) by striking ``section 152(f)(1)'' and inserting 
                ``section 7706(f)(1)'', and
                    (C) by striking ``section 152(e)'' and inserting 
                ``section 7706(e)''.
            (33) Section 105(c)(1) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (34) Section 125(e)(1)(D) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (35) Section 129(c) of such Code is amended--
                    (A) by striking ``with respect to whom, for such 
                taxable year, a deduction is allowable under section 
                151(c) (relating to personal exemptions for dependents) 
                to'' in paragraph (1) and inserting ``who is a 
                dependent of'', and
                    (B) by striking ``section 152(f)(1)'' in paragraph 
                (2) and inserting ``section 7706(f)(1)''.
            (36) Section 132(h)(2)(B) of such Code is amended--
                    (A) by striking ``section 152(f)(1)'' and inserting 
                ``section 7706(f)(1)'', and
                    (B) by striking ``section 152(e)'' and inserting 
                ``section 7706(e)''.
            (37) Section 135(c)(2)(A)(iii) is amended by striking 
        ``with respect to whom the taxpayer is allowed a deduction 
        under section 151''.
            (38) Section 139D(c)(5) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (39) Section 139E(c)(2) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (40) Section 162(l)(1)(D) of such Code is amended by 
        striking ``section 152(f)(1)'' and inserting ``section 
        7706(f)(1)''.
            (41) Section 170(g)(1) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (42) Section 170(g)(3) of such Code is amended by striking 
        ``section 152(d)(2)'' and inserting ``section 7706(d)(2)''.
            (43) Section 172(d) of such Code is amended by striking 
        paragraph (3).
            (44) Section 213(a) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (45) Section 213(d)(5) of such Code is amended by striking 
        ``section 152(e)'' and inserting ``section 7706(e)''.
            (46) Section 213(e)(11) of such Code is amended by striking 
        ``section 152(d)(2)'' and inserting ``section 7706(d)(2)''.
            (47) Section 220(b)(6) of such Code is amended by striking 
        ``with respect to whom a deduction under section 151 is 
        allowable to'' and inserting ``who is a dependent of''.
            (48) Section 220(d)(2)(A) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (49) Section 221(c) of such Code is amended by striking ``a 
        deduction under section 151 with respect to such individual is 
        allowed to'' and inserting ``such individual is a dependent 
        of''.
            (50) Section 221(d)(4) of such Code is amended by striking 
        ``section 152'' and inserting ``section 7706''.
            (51) Section 223(b)(6) of such Code is amended by striking 
        ``with respect to whom a deduction under section 151 is 
        allowable to'' and inserting ``who is a dependent of''.
            (52) Section 223(d)(2)(A) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (53) Section 401(h) of such Code is amended by striking 
        ``section 152(f)(1)'' in the last sentence and inserting 
        ``section 7706(f)(1)''.
            (54) Section 402(l)(4)(D) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (55) Section 409A(a)(2)(B)(ii)(I) of such Code is amended 
        by striking ``section 152(a)'' and inserting ``section 
        7706(a)''.
            (56) Section 443 is amended by striking subsection (c).
            (57) Section 501(c)(9) of such Code is amended by striking 
        ``section 152(f)(1)'' and inserting ``section 7706(f)(1)''.
            (58) Section 529(c)(9)(C)(iii) of such Code is amended by 
        striking ``section 152(d)(2)(B)'' and inserting ``section 
        7706(d)(2)(B)''.
            (59) Section 529(e)(2)(B) of such Code is amended by 
        striking ``section 152(d)(2)'' and inserting ``section 
        7706(d)(2)''.
            (60) Section 529A(e)(4) of such Code is amended--
                    (A) by striking ``section 152(d)(2)(B)'' and 
                inserting ``section 7706(d)(2)(B)'', and
                    (B) by striking ``section 152(f)(1)(B)'' and 
                inserting ``section 7706(f)(1)(B)''.
            (61) Section 703(a)(2) of such Code is amended by striking 
        subparagraph (A) and by redesignating subparagraphs (B) through 
        (F) as subparagraphs (A) through (E), respectively.
            (62) Section 873(b) is amended by striking paragraph (3).
            (63) Section 874 of such Code is amended by striking 
        subsection (b) and by redesignating subsection (c) as 
        subsection (b).
            (64) Section 891 of such Code is amended by striking 
        ``under section 151 and''.
            (65) Section 904(b) of such Code is amended by striking 
        paragraph (1).
            (66) Section 931(b)(1) of such Code is amended by striking 
        ``(other than the deduction under section 151, relating to 
        personal exemptions)''.
            (67) Section 933 of such Code is amended--
                    (A) by striking ``(other than the deduction under 
                section 151, relating to personal exemptions)'' in 
                paragraph (1), and
                    (B) by striking ``(other than the deduction for 
                personal exemptions under section 151)'' in paragraph 
                (2).
            (68) Section 1212(b)(2)(B)(ii) of such Code is amended to 
        read as follows:
                            ``(ii) in the case of an estate or trust, 
                        the deduction allowed for such year under 
                        section 642(b).''.
            (69) Section 1361(c)(1)(C) of such Code is amended by 
        striking ``section 152(f)(1)(C)'' and inserting ``section 
        7706(f)(1)(C)''.
            (70) Section 1402(a) of such Code is amended by striking 
        paragraph (7).
            (71) Section 2032A(c)(7)(D) of such Code is amended by 
        striking ``section 152(f)(2)'' and inserting ``section 
        7706(f)(2)''.
            (72) Section 3402(f)(1)(A) of such Code is amended by 
        striking ``for whom a deduction is allowed with respect to 
        another taxpayer under section 151'' and inserting ``who is a 
        dependent of another taxpayer''.
            (73) Section 3402(m)(1) of such Code is amended by striking 
        ``other than the deductions referred to in section 151 and''.
            (74) Section 3402(r)(2) of such Code is amended by striking 
        ``the sum of--'' and all that follows and inserting ``the 
        standard deduction in effect under section 63(c)(1)(B).''.
            (75) Section 5000A(b)(3)(A) of such Code is amended by 
        striking ``section 152'' and inserting ``section 7706''.
            (76) Section 5000A(c)(4)(A) of such Code is amended by 
        striking ``the number of individuals for whom the taxpayer is 
        allowed a deduction under section 151 (relating to allowance of 
        deduction for personal exemptions) for the taxable year'' and 
        inserting ``the sum of 1 (2 in the case of a joint return) plus 
        the number of the taxpayer's dependents for the taxable year''.
            (77) Section 6013(b)(3)(A) of such Code is amended--
                    (A) by striking ``had less than the exemption 
                amount of gross income'' in clause (ii) and inserting 
                ``had no gross income'',
                    (B) by striking ``had gross income of the exemption 
                amount or more'' in clause (iii) and inserting ``had 
                any gross income'', and
                    (C) by striking the flush language following clause 
                (iii).
            (78) Section 6103(l)(21)(A)(iii) of such Code is amended to 
        read as follows:
                            ``(iii) the number of the taxpayer's 
                        dependents,''.
            (79) Section 6213(g)(2)(H) of such Code is amended by 
        striking ``or section 151 (relating to allowance of deductions 
        for personal exemptions)''.
            (80) Section 6334(d)(2) of such Code is amended to read as 
        follows:
            ``(2) Exempt amount.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the term `exempt amount' means an amount equal to--
                            ``(i) the sum of the amount determined 
                        under subparagraph (B) and the standard 
                        deduction, divided by
                            ``(ii) 52.
                    ``(B) Amount determined.--For purposes of 
                subparagraph (A), the amount determined under this 
                subparagraph is $4,150 multiplied by the number of the 
                taxpayer's dependents for the taxable year in which the 
                levy occurs.
                    ``(C) Inflation adjustment.--In the case of any 
                taxable year beginning after 2018, the $4,150 amount in 
                subparagraph (B) shall be increased by an amount equal 
                to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        by substituting `calendar year 2017' for 
                        `calendar year 2016' in subparagraph (A) 
                        thereof.
                If any increase determined under the preceding sentence 
                is not a multiple of $100, such increase shall be 
                rounded to the next lowest multiple of $100.
                    ``(D) Verified statement.--Unless the taxpayer 
                submits to the Secretary a written and properly 
                verified statement specifying the facts necessary to 
                determine the proper amount under subparagraph (A), 
                subparagraph (A) shall be applied as if the taxpayer 
                were a married individual filing a separate return with 
                no dependents.''.
            (81) Section 6334(d) of such Code is amended by striking 
        paragraph (4).
            (82) Section 7702B(f)(2)(C)(iii) of such Code is amended by 
        striking ``section 152(d)(2)'' and inserting ``section 
        7706(d)(2)''.
            (83) Section 7703(a) of such Code is amended by striking 
        ``part V of subchapter B of chapter 1 and''.
            (84) Section 7703(b)(1) of such Code is amended--
                    (A) by striking ``section 152(f)(1)'' and all that 
                follows and inserting ``section 7706(f)(1),'', and
                    (B) by striking ``section 152(e)'' and inserting 
                ``section 7706(e)''.
            (85) Section 7706(a) of such Code, as redesignated by this 
        section, is amended by striking ``this subtitle'' and inserting 
        ``subtitle A''.
            (86)(A) Section 7706(d)(1)(B) of such Code, as redesignated 
        by this section, is amended by striking ``the exemption amount 
        (as defined in section 151(d))'' and inserting ``$4,150''.
            (B) Section 7706(d) of such Code, as redesignated by this 
        section, is amended by adding at the end the following new 
        paragraph:
            ``(6) Inflation adjustment.--In the case of any calendar 
        year beginning after 2018, the $4,150 amount in paragraph 
        (1)(B) shall be increased by an amount equal to--
                    ``(A) such dollar amount, multiplied by
                    ``(B) the cost-of-living adjustment determined 
                under section 1(f)(3) for such calendar year, 
                determined by substituting `calendar year 2017' for 
                `calendar year 2016' in subparagraph (A)(ii) thereof.
        If any increase determined under the preceding sentence is not 
        a multiple of $100, such increase shall be rounded to the next 
        lowest multiple of $100.''.
            (87) The table of sections for chapter 79 of such Code is 
        amended by adding at the end the following new item:

``Sec. 7706. Dependent defined.''.
    (g) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 12. PERMANENT EXTENSION OF LIMITATION ON DEDUCTION FOR STATE AND 
              LOCAL, ETC., TAXES.

    (a) In General.--Paragraph (6) of section 164(b) of the Internal 
Revenue Code of 1986 is amended--
            (1) by striking ``, and before January 1, 2026'', and
            (2) by striking ``2018 through 2025'' in the heading and 
        inserting ``after 2017''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 13. PERMANENT EXTENSION OF LIMITATION ON DEDUCTION FOR QUALIFIED 
              RESIDENCE INTEREST.

    (a) Repeal of Home Equity Indebtedness.--
            (1) In general.--Section 163(h)(3)(A) of the Internal 
        Revenue Code of 1986 is amended by striking ``during the 
        taxable year on'' and all that follows through ``For purposes 
        of'' and inserting ``during the taxable year on acquisition 
        indebtedness with respect to any qualified principal residence 
        of the taxpayer. For purposes of''.
            (2) Conforming amendment.--Section 163(h)(3) of such Code 
        is amended by striking subparagraph (C).
    (b) Limitation on Acquisition Indebtedness.--
            (1) In general.--Section 163(h)(3)(B)(ii) of the Internal 
        Revenue Code of 1986 is amended by striking ``$1,000,000 
        ($500,000'' and inserting ``$750,000 ($375,000''.
            (2) Treatment of indebtedness incurred on or before 
        december 31, 2017; refinancings.--Section 163(h)(3) of the 
        Internal Revenue Code of 1986, as amended by subsection (a)(2), 
        is amended by inserting after subparagraph (B) the following 
        new subparagraph:
                    ``(C) Treatment of indebtedness incurred on or 
                before december 15, 2017; refinancings.--
                            ``(i) In general.--In the case of any 
                        indebtedness incurred on or before December 15, 
                        2017, subparagraph (B)(ii) shall apply as in 
                        effect immediately before the enactment of the 
                        Public Law 115-97, and, in applying such 
                        subparagraph to any indebtedness incurred after 
                        such date, the limitation under such 
                        subparagraph shall be reduced (but not below 
                        zero) by the amount of any indebtedness 
                        incurred on or before December 15, 2017, which 
                        is treated as acquisition indebtedness for 
                        purposes of this subsection for the taxable 
                        year.
                            ``(ii) Binding contract exception.--In the 
                        case of a taxpayer who enters into a written 
                        binding contract before December 15, 2017, to 
                        close on the purchase of a principal residence 
                        before January 1, 2018, and who purchases such 
                        residence before April 1, 2018, subclause (III) 
                        shall be applied by substituting `April 1, 
                        2018' for `December 15, 2017'.
                            ``(iii) Treatment of refinancings of 
                        indebtedness.--
                                    ``(I) In general.--In the case of 
                                any indebtedness which is incurred to 
                                refinance indebtedness, such refinanced 
                                indebtedness shall be treated for 
                                purposes of clause (i) as incurred on 
                                the date that the original indebtedness 
                                was incurred to the extent the amount 
                                of the indebtedness resulting from such 
                                refinancing does not exceed the amount 
                                of the refinanced indebtedness.
                                    ``(II) Limitation on period of 
                                refinancing.--Subclause (I) shall not 
                                apply to any indebtedness after the 
                                expiration of the term of the original 
                                indebtedness or, if the principal of 
                                such original indebtedness is not 
                                amortized over its term, the expiration 
                                of the term of the 1st refinancing of 
                                such indebtedness (or if earlier, the 
                                date which is 30 years after the date 
                                of such 1st refinancing).''.
    (c) Coordination With Exclusion of Income From Discharge of 
Indebtedness.--Section 108(h)(2) of the Internal Revenue Code of 1986 
is amended by striking ``, applied by substituting'' and all that 
follows through ``section 163(h)(3)(F)(i)(II)''.
    (d) Conforming Amendments.--Section 163(h)(3) of the Internal 
Revenue Code of 1986 is amended--
            (1) in the heading of subparagraph (D)(ii), by striking 
        ``$1,000,000'', and
            (2) by striking subparagraph (F).
    (e) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 14. PERMANENT EXTENSION OF MODIFICATIONS TO DEDUCTION FOR PERSONAL 
              CASUALTY LOSSES.

    (a) In General.--Paragraph (5) of section 165(h) of the Internal 
Revenue Code of 1986 is amended--
            (1) by striking ``, and before January 1, 2026'' in 
        subparagraph (A), and
            (2) by striking ``2018 through 2025'' in the heading and 
        inserting ``after 2017''.
    (b) Effective Date.--The amendments made by this section shall 
apply to losses incurred in taxable years beginning after December 31, 
2022.

SEC. 15. REPEAL OF MISCELLANEOUS ITEMIZED DEDUCTIONS.

    (a) In General.--Section 67 of the Internal Revenue Code of 1986 is 
amended--
            (1) by striking subsection (a) and inserting the following:
    ``(a) General Rule.--No miscellaneous itemized deduction shall be 
allowed for any taxable year beginning after December 31, 2017.'',
            (2) by striking subsection (g), and
            (3) by striking ``2-percent floor on'' in the heading and 
        inserting ``treatment of''.
    (b) Conforming Amendment.--The table of sections for part I of 
subchapter B of chapter 1 of the Internal Revenue Code of 1986 is 
amended by striking ``2-percent floor on'' in the item relating to 
section 67 and inserting ``Treatment of''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 16. REPEAL OF OVERALL LIMITATION ON ITEMIZED DEDUCTIONS.

    (a) In General.--Part 1 of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 is amended by striking section 68 (and 
the item relating to such section in the table of sections for such 
part).
    (b) Conforming Amendments.--
            (1) Section 1(f)(7) of the Internal Revenue Code of 1986, 
        as amended by this Act, is amended by striking ``section 
        63(c)(4), or section 68(b)(2)'' and inserting ``or section 
        63(c)(4)''.
            (2) Section 56(b)(1) of such Code is amended by striking 
        subparagraph (E).
            (3) Section 164(b)(5)(H)(ii)(III) of such Code is amended 
        by inserting ``(as in effect before the date of the enactment 
        of the Tax Cuts and Jobs Act)'' after ``68(b)''.
            (4) Section 642(b)(2)(C)(i)(I) of such Code is amended by 
        striking ``as an individual described in section 68(b)(1)(C)'' 
        and inserting ``as an individual who is not married and who is 
        not a surviving spouse or head of household''.
            (5) Section 773(a)(3)(B) of such Code is amended by 
        striking clause (i) and redesignating clauses (ii) through (iv) 
        as clauses (i) through (iii), respectively.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 17. REPEAL OF EXCLUSION FOR QUALIFIED BICYCLE COMMUTING 
              REIMBURSEMENT.

    (a) In General.--Section 132(f)(1) of the Internal Revenue Code of 
1986 is amended by striking subparagraph (D).
    (b) Conforming Amendments.--
            (1) Section 132(f)(2) of the Internal Revenue Code of 1986 
        is amended by inserting ``and'' at the end of subparagraph (A), 
        by striking ``, and'' at the end of subparagraph (B) and 
        inserting a period, and by striking subparagraph (C).
            (2) Section 132(f)(4) of such Code is amended by striking 
        ``(other than a qualified bicycle commuting reimbursement)''.
            (3) Section 132(f)(5) of such Code is amended by striking 
        subparagraph (F).
            (4) Section 132(f) of such Code is amended by striking 
        paragraph (8).
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 18. PERMANENT EXTENSION OF MODIFICATION OF EXCLUSION FOR QUALIFIED 
              MOVING EXPENSE REIMBURSEMENT.

    (a) In General.--Section 132(g) of the Internal Revenue Code of 
1986 is amended--
            (1) in paragraph (1), by striking ``individual'' and 
        inserting ``qualified military member'', and
            (2) by striking paragraph (2) and inserting the following:
            ``(2) Qualified military member.--For purposes of paragraph 
        (1), the term `qualified military member' means a member of the 
        Armed Forces of the United States on active duty who moves 
        pursuant to a military order and incident to a permanent change 
        of station.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 19. REPEAL OF DEDUCTION FOR MOVING EXPENSES.

    (a) In General.--Subsection (a) of section 217 of the Internal 
Revenue Code of 1986 is amended to read as follows:
    ``(a) Deduction Allowed.--There shall be allowed as a deduction 
moving expenses paid or incurred during the taxable year in connection 
with the commencement of work by a member of the Armed Forces of the 
United States on active duty who moves pursuant to a military order and 
incident to a permanent change of station.''.
    (b) Conforming Amendments.--
            (1) Section 217 of the Internal Revenue Code of 1986 is 
        amended--
                    (A) by striking subsections (c), (d), (f), and (i),
                    (B) by redesignating subsections (g), (h), and (j) 
                as subsections (c), (d), and (e), respectively, and
                    (C) in subsection (c), as so redesignated--
                            (i) by striking paragraph (1) and 
                        redesignating paragraphs (2) and (3) as 
                        paragraphs (1) and (2), respectively, and
                            (ii) in paragraph (2) (as so redesignated), 
                        by striking ``moving expenses of his spouse and 
                        dependents'' and all that follows and inserting 
                        ``moving expenses of his spouse and dependents 
                        as if his spouse commenced work as an employee 
                        at a new principal place of work at such 
                        location.''.
            (2) Section 23 of such Code is amended by striking 
        ``217(h)(3)'' each place it appears in subsections (d)(3) and 
        (e) and inserting ``217(d)(3)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 20. PERMANENT EXTENSION OF LIMITATION ON WAGERING LOSSES.

    (a) In General.--The second sentence of section 165(d) of the 
Internal Revenue Code of 1986 is amended by striking ``in the case of 
taxable years beginning after December 31, 2017, and before January 1, 
2026,''.
    (b) Effective Date.--The amendments made by this section shall not 
apply to taxable years beginning after December 31, 2022.

SEC. 21. INCREASE IN ESTATE AND GIFT TAX EXEMPTION MADE PERMANENT.

    (a) In General.--Section 2010(c)(3)(A) of the Internal Revenue Code 
of 1986 is amended by striking ``$5,000,000'' and inserting 
``$10,000,000''.
    (b) Conforming Amendments.--
            (1) Section 2010(c)(3) of the Internal Revenue Code of 1986 
        is amended by striking subparagraph (C).
            (2) Subsection (g) of section 2001 of such Code is amended 
        to read as follows:
    ``(g) Modifications To Gift Tax Payable To Reflect Different Tax 
Rates.--For purposes of applying subsection (b)(2) with respect to 1 or 
more gifts, the rates of tax under subsection (c) in effect at the 
decedent's death shall, in lieu of the rates of tax in effect at the 
time of such gifts, be used both to compute--
            ``(1) the tax imposed by chapter 12 with respect to such 
        gifts, and
            ``(2) the credit allowed against such tax under section 
        2505, including in computing--
                    ``(A) the applicable credit amount under section 
                2505(a)(1), and
                    ``(B) the sum of the amounts allowed as a credit 
                for all preceding periods under section 2505(a)(2).''.
    (c) Effective Date.--The amendments made by this section shall 
apply to estates of decedents dying and gifts made after December 31, 
2022.

SEC. 22. INCREASE IN ALTERNATIVE MINIMUM TAX EXEMPTION MADE PERMANENT.

    (a) In General.--Section 55(d) of the Internal Revenue Code of 1986 
is amended--
            (1) in paragraph (1)--
                    (A) by striking ``$78,750'' in subparagraph (A) and 
                inserting ``$109,400'', and
                    (B) by striking ``$50,600'' in subparagraph (B) and 
                inserting ``$70,300'', and
            (2) in paragraph (2)--
                    (A) by striking ``$150,000'' in subparagraph (A) 
                and inserting ``$1,000,000'', and
                    (B) by striking subparagraphs (B) and (C) and 
                inserting the following:
                    ``(B) 50 percent of the dollar amount applicable 
                under subparagraph (A) in the case of a taxpayer 
                described in subparagraph (B) or (C) of paragraph (1), 
                and
                    ``(C) 50 percent of $150,000 in the case of a 
                taxpayer described in paragraph (1)(D).''.
    (b) Inflation Adjustment.--
            (1) In general.--Section 55(d)(3)(A)(ii) of the Internal 
        Revenue Code of 1986 is amended to read as follows:
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        by substituting for `calendar year 2016' in 
                        subparagraph (A)(ii) thereof--
                                    ``(I) `calendar year 2011' in the 
                                case of the dollar amounts described in 
                                clauses (i), (iv), and (v) of 
                                subparagraph (B), and
                                    ``(II) `calendar year 2017' in the 
                                case of the dollar amounts described in 
                                clauses (ii) and (iii) of subparagraph 
                                (B).''.
            (2) Conforming amendments.--Section 55(d)(3)(B) of such 
        Code is amended--
                    (A) by striking ``subparagraphs (A), (B), and (D) 
                of paragraph (1), and'' in clause (ii) and inserting 
                ``subparagraphs (A) and (B) of paragraph (1),'',
                    (B) by striking ``subparagraphs (A) and (B) of 
                paragraph (2).'' in clause (iii) and inserting 
                ``paragraph (2)(A),'', and
                    (C) by adding at the end the following:
                            ``(iv) the dollar amount contained in 
                        paragraph (1)(D), and
                            ``(v) the dollar amount contained in 
                        paragraph (2)(C).''.
    (c) Treatment of Unearned Income of Minor Children.--Section 59 of 
the Internal Revenue Code of 1986 is amended by striking subsection 
(j).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2022.

SEC. 23. TECHNICAL AMENDMENT.

    Section 11000 of Public Law 115-97 is amended by redesignating 
subsection (a) as subsection (b) and by inserting before subsection (b) 
(as so redesignated) the following new subsection:
    ``(a) Short Title.--This title may be cited as the `Tax Cuts and 
Jobs Act'.''.
                                 <all>