Page:United States Statutes at Large Volume 83.djvu/614

 586

PUBLIC LAW 91-172-DEC. 30, 1969

[335^^^

by section 56 (relating to minimum tax for tax preferences)," afte "not be allowed". ' r (10) Section 1373(c) (relating to definition of "undistributed taxable income) is amended by striking out "tax imposed by section 1378(a)" and inserting in lieu thereof "taxes imposed by sections 56 and 1378(a)". ^ (H) Section 1375(a)(3) (relating to reduction for taxes imposed) is amended—

80 Stat. 114. 26 USC 1373. 72 Stat. 1654.

(A)

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by striking out "TAX IMPOSED BY SECTIOX ISTS" in the heading of such section and inserting in lieu thereof "TAXES IMPOSED"; and

- •' '

80 Stat. 62.

Ante. p. 580.

(B) by striking out "tax imposed by section 1378(a) on the income of" in the text of such section and inserting in lieu thereof "taxes imposed by sections 56 and 1378(a) on". (12) Section 6015(c) (relating to definition of estimated tax) is -*-* amended by inserting after "taxable year" in paragraph (1) "(other than the tax imposed by section 56)". (13) Section 6654(f) (relating to definition of tax) is amended by inserting after "chapter 1" in paragraph (1) "(other thanbv section 56)". (c) EFFECTIVE DATE.—The amendments made by this section shall apply to taxable years ending after December 31, 1969. In the case of a taxable year beginning in 1969 and ending in 1970, the tax imposed by section 56 of the Internal Revenue Code of 1954 (as added by subsection (a)) shall be an amount equal to the tax imposed by such section (determined without regard to this sentence) multiplied by a fraction— (1) the numerator of which is the niunber of days in the taxable year occurring after December 31, 1969, and (2) the denominator of which is the number of days in the entire taxable year. Subtitle B—Income Averaging

78 Stat. 105.

SEC. 311. INCOME AVERAGING. (^Q^-j LIMITATION ox TAX.—Section 1301 (relating to limitation on tax) is amended by striking out "20 percent of such income" and all that follows and inserting m lieu thereof "20 percent of such income to 120 percent of average base period income." (b) AVERAGABLE INCOME.—Section 1302 (relating to the definition of averagable income and related definitions) is amended to read as follows: "SEC. 1302. DEFINITION OF AVERAGABLE INCOME; RELATED DEFINITIONS.
 * •••:"(a)

AVERAGABLE INCOME.—

"(1) IN GENERAL.—For purposes of this part, the term 'aAeragable income' means the amount by which taxable income for the computation year (reduced as provided in paragraph (2)) .fit; - 5 ^ » exceeds 120 percent of average base period income. f "(2) REDUCTIONS.—The taxable income for the computation a year shall be reduced by— " (A) the amount (if any) to which section 72(ni)(3) f applies, and " (B) the amounts included in the income of a beneficiary Post, p. 594. of a trust under section 668(a). "(b) AVEILVGE BASE PERIOD INCOME.—For purposes of this part"^ "(1) IN GENERAL.—The term 'average base period income means one-fourth of the sum of the base period incomes for the base period.

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