Page:United States Statutes at Large Volume 98 Part 1.djvu/1091

 PUBLIC LAW 98-369—JULY 18, 1984

98 STAT. 1043

(2) SPECIAL RULE FOR CERTIFICATION.—Subparagraph (A) of

section 51(d)(16) (relating to special rules for certifications) is 26 USC 51. amended by adding at the end thereof the following new sentence: "For purposes of the preceding sentence, if on or before the day on which such individual begins work for the employer, such individual has received from a designated local agency (or other agency or organization designated pursuant to a written agreement with such designated local agency) a written preliminary determination that such individual is a member of a targeted group, then 'the fifth day' shall be substituted for 'the day' in such sentence." (3)

-

AGE

REQUIREMENT

FOR

QUALIFIED

SUMMER

YOUTH

EMPLOYEE.—Clause (ii) of section 51(d)(12)(A) (defining qualified summer youth employee) is amended by striking out "(as defined in paragraph (14))" and inserting in lieu thereof "(or if later, on May 1 of the calendar year involved)". (4) TECHNICAL AMENDMENT.—Paragraph (2) of section 51(b) is amended by striking out "(or, in the case of a vocational rehabilitation referral, the day the individual begins work for the employer on or after the beginning of such individual's rehabili' ^^^' * ^ tation plan)". (5) EFFECTIVE DATES.— 26 USC 51 note. (A) IN GENERAL.—Except as provided in subparagraph (B), the amendments made by this section shall apply to individuals who begin work for the employer after the date of the enactment of this Act. (B) SPECIAL RULE FOR EMPLOYEES PERFORMING SERVICES

FOR OTHER PERSONS.—Paragraph (2) of section 51(j) of the Internal Revenue Code of 1954 (as added by this subsection) Ante, p. 837. and the amendment made by paragraph (3) of this subsection shall apply to individuals who begin work for the employer after December 31, 1984. SEC. 1042. INCREASE IN EARNED INCOME CREDIT. (a) INCREASE IN RATE OF CREDIT.—Subsection (a) of section 32 26 USC 32. (relating to earned income credit), as redesignated by title IV of this ^"-te, p. 826. Act, is amended by striking out "10 percent" and inserting in lieu thereof "11 percent". (b) ADJUSTMENT OF CREDIT PHASE-OUT.—Paragraph (2) of section

32(b) (as so redesignated) is amended to read as follows: "(2) 12% percent of so much of the adjusted gross income (or, if greater, the earned income) of the taxpayer for the taxable year as exceeds $6,500." (c) CREDIT NOT ALLOWABLE TO TAXPAYERS SUBJECT TO ALTERNA-

M >8 b.i.

TivE MINIMUM TAX.—Section 32 (as so redesignated) is amended by adding at the end thereof the following new subsection: "(h) REDUCTION OF CREDIT TO TAXPAYERS SUBJECT TO ALTERNATIVE MINIMUM TAX.—The credit allowed under this section for the tax-

able year shall be reduced by the amount of tax imposed by section 55 (relating to alternative minimum tax for taxpayers other than corporations) with respect to such taxpayer for such taxable year." (d) TECHNICAL AMENDMENTS.—

(1) Paragraph (1) of section 32(b) (as so redesignated) is amended by striking out "$500" and inserting in lieu thereof "$550". (2) Subparagraphs (A) and (B) of section 32(f)(2» (as so redesignated) are amended to read as follows:

i •;-

'«^''

�