90 STAT. 2676
26 USC 3309.
26 USC 3303.
26 USC 3303 °"*^-
PUBLIC LAW 94-566—OCT. 20, 1976 required to make any such payment (in lieu of contributions) on account of compensation paid after its election as heretofore described which is attributable under the State law to such service performed in its employ, until the total of such compensation equals the amount— " (1) by which the contributions paid by such organization (or g r o u p) on the basis of wages for such service with respect to a period before the election provided by section 3309(a)(2), exceed " (2) the unemployment compensation for the same period which was charged to the experience-rating account of such organization (or g r o u p) or p a i d under the State law on the basis of such service performed in its employ or wages paid for such service, whichever is appropriate.". (b) TECHNICAL AMENDMENT.—Section 3303(f) of such Code (relating to transition to coverage of certain services) is amended by striking out "which elects, when such election first becomes available under the State law," and inserting i n lieu thereof "which elects before April 1, 1972,". (c) EFFECTIVE DATES.—The amendment made by subsection (a) shall take effect on the date of the enactment of this Act. The amendment made by subsection (b) shall take effect on January 1, 1970.
TITLE II—FINANCING PROVISIONS SEC. 211. INCREASE IN FEDERAL UNEMPLOYMENT TAX WAGE BASE AND RATE. (a) INCREASE I N W A G E B A S E. — Paragraph (1) of section 3306(b)
26 USC 3306. 26 USC 3301.
42 USC 1105.
of the I n t e r n a l Revenue Code of 1954 (defining wages) is amended by striking out "$4,200" each place i t appears and inserting i n lieu thereof "$6,000". (b) INCREASE I N T A X RATE.—Section 3301 of such Code (relating to rate of Federal unemployment tax) is amended to read as follows: "SEC. 3301. RATE OF TAX. "There is hereby imposed on every employer (as defined in section 3306(a)) for each calendar year an excise tax, with respect to h a v i n g individuals in his employ, equal to— " (1) 3.4 percent, in the case of a calendar year beginning before the first calendar year after 1976, as of January 1 of which there is not a balance of repayable advances made to the extended unemployed compensation account (established by section 905(a) of the Social Security Act); or " (2) 3.2 percent, in the case of such first calendar year and each calendar year thereafter; of the total wages (as defined in section 3306(b)) p a i d by him during the calendar year with respect to employment (as defined i n section 3306(c)).". (e) T E C H N I C A L AMENDMENTS. —
42 USC 1101.
26 USC 3301.
(1) Subparagraph (C) of section 9 0 1 (c)(3) of the Social Security Act is amended to read as follows: " (C) E a c h estimate of n e t receipts under this paragraph shall be based upon (i) a tax rate of 0.5 percent in the case of any calendar year for which the rate of tax under section 3301 of the Federal Unemployment T a x Act is 3.2 percent, and (ii) a tax rate of 0.7 percent in the case of any calendar year for which the rate of tax under such section 3301 is 3.4 percent.".
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