Repeal of child tax credit

(a) In general Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by striking section 24 (and by striking the item relating to such section in the table of sections for such subpart). (b) Conforming amendments (1) Section 26(b)(2) of such Code is amended by striking subparagraph (Z). (2) Section 45R(f)(3)(B) of such Code is amended to read as follows: (B) Special rule Any amounts paid pursuant to an agreement under section 3121(l) (relating to agreements entered into by American employers with respect to foreign affiliates) which are equivalent to the taxes referred to in subparagraph (A) shall be treated as taxes referred to in such subparagraph.. (3) Section 48D(d)(4) of such Code is amended— (A) by striking possessions.— In the case of and inserting the following: possessions.— (A) In general In the case of, (B) by striking (as defined in section 24(k), and (C) by adding at the end the following new subparagraph: (B) Mirror code tax system For purposes of this paragraph, the term mirror code tax system means, with respect to any possession of the United States, the income tax system of such possession if the income tax liability of the residents of such possession under such system is determined by reference to the income tax laws of the United States as if such possession were the United States.. (4) Section 152(f)(6)(B) of such Code is amended by striking clause (ii). (5) The second sentence of section 501(c)(26) of such Code is amended— (A) by striking (as defined in section 24(c)), and (B) by adding at the end the following: For purposes of the preceding sentence, the term qualifying child has the meaning given such term by section 152(c), except such term shall not include any individual who has attained the age of 17 or who would not be a dependent if subparagraph (A) of section 152(b)(3) were applied without regard to all that follows resident of the United States.. (6) Section 3402(f)(1) of such Code is amended by striking subparagraph (C). (7) Section 6402(m) of such Code is amended by striking section 24 (by reason of subsection (d) thereof) or. (8) Section 6211(b)(4)(A) of such Code is amended by striking 24 by reason of subsections (d) and (i)(1) thereof,. (9) Section 6417(f) of such Code is amended by striking (as defined in section 24(k)) and inserting (as defined in section 48D(d)(4)(B)). (10) (A) Chapter 77 of such Code is amended by striking section 7527A (and by striking the item relating to such section in the table of sections for such chapter). (B) Section 6211(b)(4)(A) of such Code is amended by striking 7527A,. (11) Section 6213(g)(2) of such Code is amended by striking subparagraphs (I) and (P). (12) Section 6695(g)(2) of such Code is amended by striking 24,. (13) Section 1324(b)(2) of title 31, United States Code, is amended by striking, 24. (c) Effective date (1) In general The amendments made by this section shall apply to taxable years beginning after the first taxable year during which the 1st calendar month described in section 2(l) begins. (2) Transition rule In the case of any such first taxable year which does not begin with such 1st calendar month, the credit otherwise determined under section 24 of the Internal Revenue Code of 1986 shall be reduced to an amount which bears the same ratio to the amount of such credit (determined without regard to this paragraph) as— (A) the number of calendar months ending during such taxable year before such 1st calendar month, bears to (B) 12.