Page:United States Statutes at Large Volume 83.djvu/714

 686

Anto, p. 581.

26 USC 62.

PUBLIC LAW 91-172-DEC. 30, 1969

[83 STAT.

"(2) EARNED TAXABLE INCOME.—The earned taxable income of an individual is the excess of— " (A) the amount which bears the same ratio (but not in excess of 100 percent) to his taxable income as his earned net income bears to his adjusted gross income, over " (B) the amount by which the greater of— " (i) one-fifth of the sum of the taxpayer's items of tax preference referred to in section 57 for the taxable year and the 4 preceding taxable years, or " (ii) the sum of the items of tax preference for the taxableyear, exceeds $30,000. For purposes of subparagraph (A), the term 'earned net income' means earned income reduced by any deductions allowable under section 62 which are properly allocable to or chargeable against such earned income. "(c) MARRIED INDIVIDUALS.—This section shall apply to a married individual only if such individual and his spouse make a single return jointly for the taxable year." (b) CLERICAL AMENDMENT.—The table of sections for part VI of subchapter Q of chapter 1 is amended by adding at the end thereof the following new item: "Sec. 1348. Fifty-percent maximum r a t e on earned income."

(c) EFFECTIVE DATE.—The amendments made by this section shall apply to taxable years beginning after December 31, 1970. SEC. 805. COLLECTION OF INCOME TAX AT SOURCE ON WAGES. 82 Stat. 256.

(a) REQUIREMENT OF WITHHOLDING.—Section 3402(a) (relating to

requirement of withholding) is amended by striking out paragraphs (1) and (2) and inserting in lieu thereof the following: "(1) I n the case of wages paid after December 31, 1969, and before July 1, 1970: "Table 1—If the payroll period with respect to an employee is WEEKLY " (a) Single Person—Including Head of Household: The amount of income tax to be with"If the amount of wages is: held shall be: Not over $21.00 Over $21.00 but not over $33.00 Over $33.00 but not over $52.00 Over $52.00 b u t not over $88.00 Over $88.00 but not over.$177.00— Over $177.00 but not over $212.00— Over $212.00 "(b)

0. 2 1 % of excess over $21.00. $2.52 plus 2 7 % of excess over $33.00. $7.65 plus 1 8 % of excess over $52.00. $14.13 plus 2 1 % of excess over $88.00. $32.82 plus 2 6 % of excess over $177.00. $41.92 plus 3 1 % of excess over $212.00.

Married Person:

The amount of income tax to be with"If the amount of wages i s: held shall b e: Not over $21.00 0. Over $21.00 b u t not over $48.00 2 1 % of excess over $21.00. Over $48.00 but not over $88.00 $5.67 plus 16% of excess over $48.00. Over.$88.00 b u t not over $177.00— $12.07 plus 1 8 % of excess over $88.00. Over $177.00 but not over $346.00— $28.09 plus 2 1 % of excess over $177.00. Over $346.00 b u t not over $423.00— $63.58 plus 2 6 % of excess over $346.00. Over $423.00 $83.60 plus 3 1 % of excess over $423.00.

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