A bill to amend the Internal Revenue Code of 1986 to provide a tax on the assets of trusts, and for other purposes.

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 4490 Introduced in Senate (IS)] <DOC> 119th CONGRESS 2d Session S. 4490 To amend the Internal Revenue Code of 1986 to provide a tax on the assets of trusts, and for other purposes. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES May 12, 2026 Mrs. Murray (for herself, Mr. Wyden, Mr. Van Hollen, Mr. Booker, and Ms. Alsobrooks) 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 provide a tax on the assets of trusts, 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. SHORT TITLE. This Act may be cited as the ``Fair Trusts for Fiscal Responsibility Act''. SEC. 2. IMPOSITION OF TAX ON ASSETS OF TRUSTS. (a) In General.--Subtitle B of the Internal Revenue Code of 1986 is amended by adding at the end the following new chapter: ``CHAPTER 16--TAX ON TRUST ASSETS ``subchapter a--tax imposed ``subchapter b--trust withholding credit account ``subchapter c--definitions and other rules ``Subchapter A--Tax Imposed ``Sec. 2901. Imposition of tax. ``Sec. 2902. Computation of tax. ``SEC. 2901. IMPOSITION OF TAX. ``(a) In General.--There is hereby imposed a tax on the net value of all assets of an applicable trust held on the last day of any calendar year. ``(b) Limitation.--The amount of tax imposed under this chapter on any applicable trust shall not exceed the excess (if any) of-- ``(1) product of-- ``(A) the sum of-- ``(i) the net value of all assets of the trust held as of the last day of the calendar year, plus ``(ii) the balance of the trust withholding credit account (as determined under section 2911) as of such day, and ``(B) the highest rate of tax under section 2001(c) on the