Tax Equity Act

[AI summary unavailable — showing source text] Tax Equity Act - Title I: Capital Gains and Losses - Disallows the alternative tax on capital gains. Excludes from gross income so much of the gain on the sale or exchange of property held for more than twelve months as does not exceed the smaller of: (1) an amount equal to one-third of one percent of the adjusted basis of such property times the number of full months the property was held after the date it was held for twelve months; or (2) an amount equal to sixty percent of such adjusted basis of the property. States that capital losses with respect to a corporation shall be allowed only to the extent of gains for the taxable year from the sale or exchange of capital assets and property used in the trade or business. Provides that capital losses in the case of other taxpayers shall be allowed only to the extent of gains from the sale or exchange of capital assets and property used in a trade or business plus the taxable income of the taxpayer or $1000 ($500 in the case of a separate return of a married individual), whichever is smaller. Establishes criteria for determining capital loss carrybacks and carryovers. Defines the terms "capital gain", "capital loss", "net capital gain…