Page:United States Statutes at Large Volume 95.djvu/214

 95 STAT. 188 26 USC 85.

26 USC 105.

PUBLIC LAW 97-34—AUG. 13, 1981 (1) Subsection (a) of section 85 (relating to unemployment compensation) is amended by striking out "and without regard to section 105(d)" and inserting in lieu thereof ", section 105(d), and section 221". (2) Subsection (d)(3) of section 105 (relating to amounts received under accident and health plans) is amended by inserting "and section 221" after "subsection" the first place it appears. (3) The table of sections for such part Vn is amended by striking out the item relating to section 221 and inserting in lieu thereof the following new items: "Sec. 221. Deduction for two^amer married couples. "Sec. 222. Cross references."

26 USC 221 note. 26 USC 1.

(d) EFFECTIVE DATES.—The amendments made by this section shall apply to taxable years beginning after December 31, 1981. SEC. 104. ADJUSTMENT TO PREVENT INFLATION-CAUSED TAX INCREASE. (a) ADJUSTMENTS TO INDIVIDUAL INCOME TAX BRACKETS.—Section 1

(relating to tax imposed) is amended by adding at the end thereof the following new subsection: "(f) ADJUSTMENTS IN TAX TABLES SO THAT INFLATION WILL NOT RESULT IN TAX INCREASES.—

"(1) IN GENERAL.—Not later than December 15 of 1984 and each subsequent calendar year, the Secretary shall prescribe tables which shall apply in lieu of the tables contained in paragraph (3) of subsections (a), (b), (c), (d), and (e) with respect to taxable years beginning in the succeeding calendar year. "(2) METHOD OP PRESCRIBING TABLES.—The table which under paragraph (1) is to apply in lieu of the table contained in paragraph (3) of subsection (a), (b), (c), (d), or (e), as the case may be, with respect to taxable years beginning in any calendar year shall be prescribed— "(A) by increasing— "(i) the maxunum dollar amount on which no tax is imi>9sed under such table, and (ii) the minimum and maximum dollar amounts for each rate bracket for which a tax is imposed under such table, by the cost-of-living adjustment for such calendar year, "(B) by not changing the rate applicable to any rate bracket as adjusted under subparagraph (A)(ii), and "(C) by adjusting the amounts setting forth the tax to the extent necessary to reflect the adjustments in the rate brackets. If any increase determined under subparagraph (A) is not a multiple of $10, such increase shall be rounded to the nearest multiple of $10 (or if such increase is a multiple of $5, such increase shall be increased to the next highest multiple of $10). "(3) COST-OF-LIVING ADJUSTMENT.—For purposes of paragraph (2), the cost-of-living ac^justment for any calendar year is the percentage (if any) by wmch— "(A) the CPI for the preceding calendar year, exceeds "(B) the CPI for the calendar year 1983. "(4) CPI FOR ANY CALENDAR YEAR.—For purposes of paragraph (3), the CPI for any calendar year is the average of the Consumer Price Index as of the close of the l^month period ending on September 30 of such calendar year. (5) CONSUMER PRICE INDEX.—For purposes of paragraph (4), the term 'Consumer Price Index' means the last Consumer Price

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