77TH CONG., 2D SESS.-CH. 619-OCT. 21, 1942 as of the close of the taxable year without diminution by reason of any distributions made during the taxable year) and if prior to the date of enactment of the Revenue Act of 1942, the corpora- tion paid all or any portion of the tax imposed by Title 1A or Subchapter A for any such taxable year or years then the corpo- ration may elect, within six months after the date of enactment of the Revenue Act of 1942 to have the amount of a dividend paid within such six-month period considered as a deficiency divi- dend. Such election must be made by the filing of a claim (under regulations prescribed by the Commissioner with the approval of the Secretary) within such six-month period and after the pay- ment of the dividend, specifying the taxable year or years with respect to which such dividend applies, setting forth the amount of the dividend to be apportioned to each taxable year, and claiming the benefit of this subsection by reason of such dividend. "(2) EFFECT OF ELECTION. -If the corporation exercises the election authorized under paragraph (1) of this subsection- "(A) The credit or refund shall be computed, and credited or refunded without interest, as provided in subsection (b) and at the rates provided therein or in subsection (g), as the case may be, but shall be subject to the limitations in subsec- tion (f). In any case where a dividend is apportioned to more than one taxable year the credit or refund shall be deter- mined for each taxable year on the basis of the amount of the dividend apportioned thereto; and "(B) The dividends paid credit for the taxable year in which paid and for a prior taxable year or years shall be determined as provided in subsection (c) (2)." TITLE II-EXCESS PROFITS TAX Part I-Excess Profits Tax Amendments SEC. 201. TAXABLE YEARS TO WHICH AMENDMENTS APPLICABLE. Except as otherwise expressly provided, the amendments made by this title shall be applicable only with respect to taxable years beginning after December 31, 1941. SEC. 202 . RATE OF EXCESS-PROFITS TAX. Section 710 (a) (1) (relating to rate of excess-profits tax) is 5"4tas 75 amended to read as follows: 710 (a) (1). "(1) GENERAL RuLE.- There shall be levied, collected, and paid, for each taxable year, upon the adjusted excess-profits net income, as defined in subsection (b), of every corporation (except 54 sta. 9. a corporation exempt under section 727) a tax equal to whichever Post, pp . 90 of the following amounts is the lesser: "(A) 90 per centum of the adjusted excess-profits net income, or "(B) an amount which when added to the tax imposed for the taxable year under Chapter 1 (other than section 3StatS4 35 102) equals 80 per centum of the corporation surtax net supp. I, ch. 1 . income, computed under section 15 or Supplement G, as the 8An,8pp-878 case may be, but without regard to the credit provided in section 26 (e) (relating to income subject to the tax imposed Ante p. s0 by this subchapter)." supp. I, 727. , 920. ,71. § 1-398; 02, 805, 899 56 STAT.]
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