Page:United States Statutes at Large Volume 91.djvu/174

 91 STAT. 140

PUBLIC LAW 95-30—MAY 23, 1977

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" ( i i i) an individual making a return under section 443(a) (1) for a period of less than 12 months on account of a change ^ >;:?<: in his annual accounting period; " ( i v) an individual who has income (other than earned V. income) of $750 or more and who is described in section Ante, p. 135. ,,., 63(e)(1)(D); or " (v) an estate or trust." SEC. 105. WITHHOLDING TAX. 26 USC 3402. (a) IN GENERAL.—Subsection (a) of section 3402 (relating to income taxes collected at source) is amended to read as follows: " (a) REQUIKKMENT OF W I T H H O L D I N G. — E x c e p t as otherwise provided in this section, every employer making payment of wages shall deduct and withhold upon such wages a tax determined in accordance with tables prescribed by the Secretary. W i t h respect to wages paid • -- • - " after INIay 31, 1977, and before January 1, 1979, the tables so pioscribed shall be the same as the tables prescribed under this subsection which weie in eH'ect on January 1, 1976; except that such tables shall be modi (led to the extent necessary so that, had they been in effect for all of 1977, they would reflect the full year effect of the amendments made by sections 101 and 102 of the T a x Reduction and Simplification Act of 1977. AVith respect to wages paid after December 31, 1978, the tables so prescribed shall be the same as the tables prescribed inider this subsection which were in effect on January 1, 1975, except that such tables shall be modified to the extent necessary to reflect the amendments made by sections 101 and 102 of the T a x Reduction and Simplification Act of 1977. For purposes of applying such tables, the term 'the amount of wages' means the amount by which the Avages exceed the number of withholding exemptions claimed, multiplied by the amount of one such exemption as shown in the table pi-escribed under subsection (b)(1). " (b) TixMiNicAL ANo CONFORMING AMENDMENTS. —

26 USC 3402.

(1) Paragraph (1) of section 3402(f) (relating to withholding exemptions) is amended— (A) by striking out "a standard deduction" in subparagraph (G) and inserting in lieu thereof "a zero bracket", and (B) by striking out " standard deduction" in the sentence following subparagraph (G) and inserting in lieu thereof "zero bracket". (2) Subparagraph (B) of section 3402(m)(1) (relating to, withholding allowances based on itemized deductions) is amended to read as follows: " (B) an amount equal to $3,200 ($2,200 in the case of an, 143) and who is not a surviving spouse (as defined in section n' 2(a)))," (3) Section 3402(m)(2) (relating to definitions) is amended— (A) by striking out "sections 141 and " in subparagraph (A) and inserting in lieu thereof "section", (B) by striking out " ( o r the amount of the standard _,. deduction) " in subparagraph (A) and inserting in lieu thereof " ( o r the zero bracket amount (within the meaning of section 63(d))) ", and
 * „individual who is not married (within the meaning of section

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