Page:United States Statutes at Large Volume 56 Part 1.djvu/929

 56 STAT.] 77TH CONG., 2D SESS.-CH. 619-OCT. 21, 1942 excess profits credit shall be an unused excess profits credit carry-back for each of the two preceding taxable years, except that the carry-back in the case of the first preceding taxable year shall be the excess, if any, of the amount of such unused excess profits credit over the adjusted excess profits net income for the second preceding taxable year computed for such taxable year (i) by determining the unused excess profits credit adjustment without regard to such unused excess profits credit, and (ii) without the deduction of the specific exemption provided in subsection (b) (1). Pod,. g. "(B) Unused Excess Profits Credit Carry-Over. - I f for any taxable year beginning after December 31, 1939, the tax- payer has an unused excess profits credit, such unused excess profits credit shall be an unused excess profits credit carry- over for each of the two succeeding taxable years, except that the carry-over in the case of the second succeeding tax- able year shall be the excess, if any, of the amount of such unused excess profits credit over the adjusted excess profits net income for the intervening taxable year computed for such intervening taxable year (i) by determining the un- used excess profits credit adjustment without regard to such unused excess profits credit or to any unused excess profits credit carry-back, and (ii) without the deduction of the specific exemption provided in subsection (b) (1). For the Po p.902 purposes of the preceding sentence, the unused excess profits credit for any taxable year beginning after December 31, 1941, shall first be reduced by the sum of the adjusted excess profits net income for each of the two preceding tax- able years (computed for each such preceding taxable year (i) by determining the unused excess profits credit adjust- ment without regard to such unused excess profits credit or to the unused excess profits credit for the succeeding taxable year, and (ii) without the deduction of the specific exemption provided in subsection (b) (1)). Pod, p.N0. " (4) NO CARRY-BACK TO YEAR PRIOR TO 1941.-A S used in this subsection, the term 'preceding taxable year' and the term 'pre- ceding taxable years' do not include any taxable year beginning prior to January 1, 1941." (c) TAXABLE YEARS TO WHICH AMENDMENTS APPLICABLE.-The amendments made by this section shall be applicable only to taxable years beginning after December 31, 194.0. SEC. 205. COMPUTATION OF EXCESS PROFITS AND INVESTED CAP- ITAL OF INSURANCE COMPANIES. (a) Section 710 (a) (relating to imposition of excess profits tax) Ante, P. 0. is amended by inserting at the end thereof the following new para- graph: "(4) MUTUAL INSURANCE COMPANIES.-In the case of a mutual insurance company other than life or marine, if the gross amount received from interest, dividends, rents, and premiums (including deposits and assessments) is over $75,000 but less than $125,000, the tax imposed under this section shall be an amount which bears the same proportion to the amount ascertained under this section, computed without reference to this paragraph, as the excess over $75,000 of such gross amount received bears to $50,000." 901

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