Page:United States Statutes at Large Volume 100 Part 3.djvu/300

 100 STAT. 2108

PUBLIC LAW 99-514—OCT. 22, 1986

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"(A) for earned income between $0 and the amount of earned income at which the credit is phased out under subsection (b), and "(B) for adjusted gross income between the dollar amount i& tiOii at which the phaseout begins under subsection (b) and the amount of adjusted gross income at which the credit is j::•-' phased out under subsection (b)." (2) Subparagraph (B) of section 3507(c)(2) (relating to earned "^^ income advance amount) is amended by striking out clauses (i) and (ii) and inserting in lieu thereof the following: "(i) of not more than 14 percent of earned income not in excess of the amount of earned income taken into '• account under section 32(a), which "(ii) phases out between the amount of earned income at which the phaseout begins under subsection V ~ • (b) of section 32 and the amount of earned income at which the credit under section 32 is phased out under such subsection, or". (3) Subparagraph (C) of section 3507(c)(2) is amended by striking out clauses (i) and (ii) and inserting in lieu thereof the following: "(i) of not more than 14 percent of earned income not in excess of Vz of the amount of earned income taken into account under section 32(a), which "(ii) phases out between amounts of earned income which are V2 of the amounts of earned income described in subparagraph (B)(ii)." (e) EMPLOYEE NOTIFICATION.—The Secretary of the Treasury is

directed to require, under regulations, employers to notify any employee who has not had any tax withheld from wages (other than an employee whose wages are exempt from withholding pursuant to section 3402(n) of the Internal Revenue Code of 1986) that such employee may be eligible for a refund because of the earned income credit. SEC. 112. REPEAL OF CREDIT FOR CONTRIBUTIONS TO CANDIDATES FOR PUBLIC OFFICE.

(a) GENERAL RULE.—Section 24 (relating to contributions to candidates for public office) is hereby repealed. (b) TECHNICAL AMENDMENTS.—

(1) Subsection (g) of section 527 (relating to treatment of newsletter funds) is amended— (A) by striking out "section 24(c)(2)" in paragraph (1) and inserting in lieu thereof "paragraph (3)", and (B) by adding at the end thereof the following new paragraph: '^ "(3) CANDIDATE.—For purposes of paragraph (1), the term 'candidate' means, with respect to any Federal, State, or local elective public office, an individual who— "(A) publicly announces that he is a candidate for > nomination or election to such office, and "(B) meets the qualifications prescribed by law to hold such office." (2) Subsection (a) of section 642 (relating to credits against tax for estates and trusts) is amended to read as follows: "(a) FOREIGN TAX CREDIT ALLOWED.—An estate or trust shall be allowed the credit against tax for taxes imposed by foreign countries

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