101 STAT. 1330-426
PUBLIC LAW 100-203—DEC. 22, 1987
, ^,, ^ required installments to the extent that the reduction has not previously been recaptured under this subparagraph). A reduction shall be treated as recaptured for purposes of subparagraph (B) if 90 percent of the reduction is recaptured. "(2) DETERMINATION OF ANNUAUZED INCOME INSTALLMENT.—
"(A) IN GENERAL.—In the case of any required installment, the annualized income installment is the excess (if any) of— "(i) an amount equal to the applicable percentage of the tax for the taxable year computed by placing on an annualized basis the taxable income, alternative minimum taxable income, and modified alternative minir' mum taxable income— ^' ' "(I) for the first 3 months of the taxable year, in the case of the 1st required installment, "(II) for the first 3 months or for the first 5 months of the taxable year, in the case of the 2nd required installment, =^^{ ' "(III) for the first 6 months or for the first 8 -.;.' r:-. '-• • ^ months of the taxable year in the case of the 3rd < required installment, and ' ' "•'••' "(IV) for the first 9 months or for the first 11 months of the taxable year, in the case of the 4th required installment, over "(ii) the aggregate amount of any prior required installments for the taxable year. "(B) SPECIAL RULES.—For purposes of this paragraph— "^ " "(i) ANNUAUZATION.—The taxable income, alternative minimum taxable income, and modified alterl "^" ^ native minimum taxable income shall be placed on an •iKo -'•• annualized basis under regulations prescribed by the Secretary, "(ii) APPLICABLE PERCENTAGE.—
"In the case of the following required installments: 1st 2nd 3rd i- 4th
ily
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The applicable percentage is: 22.5 45 67.5 90
"(iii) MODIFIED ALTERNATIVE MINIMUM TAXABLE INCOME.—The term 'modified alternative minimum taxable income' has the meaning given to such term by section 59A(b). "(3) DETERMINATION OF ADJUSTED SEASONAL INSTALLMENT.—
"(A) IN GENERAL.—In the case of any required installment, the amount of the adjusted seasonal installment is the excess (if any) of— .i "(i) 90 percent of the amount determined under C7..;>, subparagraph (C), over
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"(ii) the aggregate amount of all prior required installments for the taxable year. "(B)
^.-r
LIMITATION ON APPLICATION OF PARAGRAPH.—This
paragraph shall apply only if the base period percentage for any 6 consecutive months of the taxable year equals or exceeds70percent. , r,.^. -^i,' i «: 's- isn; •:%..
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