September 19,2000

Committee Favorably Reports Tax and Trade Bills

WASHINGTON -- The Senate Finance Committee today favorably reported, by voice vote, two bills: H.R. 4986, the FSC Repeal and Extraterritorial Income Exclusion Act of 2000, as amended by the Grassley amendment striking the dividends-received deduction provision from the House bill; and the modified

Chairman's mark of the Tariff Suspension and Trade Bill of 2000.

The modified Chairman's mark of the Tariff Suspension and Trade Bill of 2000 combines Senate bills with H.R. 4868 as passed by the House in a unanimous vote.

The "Miscellaneous Trade and Technical Correction Act of 2000" is divided into two titles. Title I of the bill contains provisions which would temporarily suspend or reduce duties on a wide variety of products. These include a broad range of chemicals, including those used to manufacture drugs in the fight against HIV/AIDS, and environmentally friendly herbicides and insecticides. The bill also contains a provision that would ban the importation of products made with dog or cat fur, as well as a provision that would provide for the duty-free treatment of the personal effects of participants entering the United States to participate in all international athletic events.

Title II of the bill contains certain minor technical corrections to the Balanced Budget Act of 1997, a provision restricting the importation of gray market cigarettes, and provisions that would stream-line customs entry processing.

One amendment was adopted by voice vote to the modified mark that refunds duties paid on certain imports of defective athletic shoes that were recycled and donated for charitable purposes by the manufacturer.