PUBLIC LAW 97-34—AUG. 13, 1981
95 STAT. 189
Index for all-urban consumers published by the Department of Labor." (b) DEFINITION OF ZERO BRACKET AMOUNT.—Subsection (d) of section 63 (defining zero bracket amount) is amended to read as follows: 26 USC 63. "(d) ZERO BRACKET AMOUNT.—For purposes of this subtitle, the term 'zero bracket amount' means— "(1) in the case of an individual to whom subsection (a), (b), (c), or (d) of section 1 applies, the maximum amount of taxable income on which no tax is imposed by the applicable subsection of section 1, or "(2) zero in any other case." (c) PERSONAL EXEMPTIONS.— (1) GENERAL RULE.—Section
151 (relating to allowance of 26 USC i5i. deductions for personal exemptions) is amended by striking out "$1,000" each place it appears and inserting in lieu thereof "the exemption amount". (2) EXEMPTION AMOUNT.—Section 151 is amended by adding at the end thereof the following new subsection: "(f) EXEMPTION AMOUNT.—For purposes of this section, the term 'exemption amount' means, with respect to any taxable year, $1,000 increased by an amount equal to $1,000 multiplied by the cost-ofliving adjustment (as defined in section l(f)(3)) for the calendar year in which the taxable year begins. If the amount determined under the preceding sentence is not a multiple of $10, such amount shall be rounded to the nearest multiple of $10 (or if such amount is a multiple of $5, such amount shall be increased to the next highest multiple of $10)." (d) RETURN REQUIREMENTS.— (1) AMENDMENTS TO SECTION 6012.—
(A) Clause (i) of section 6012(a)(l)(A) is amended by striking out "$3,300" and inserting in lieu thereof "the sum of the exemption amount plus the zero bracket amount applicable to such an individu£d". (B) Clause (ii) of section 6012(a)(l)(A) is amended by striking out "$4,400" and inserting in lieu thereof "the sum of the exemption amount plus the zero bracket amount applicable to such an individum". (C) Clause (iii) of section 6012(a)(l)(A) is amended by striking out "$5,400" and inserting in lieu thereof "the sum of twice the exemption amount plus the zero bracket amount applicable to a joint return". (D) Paragraph (1) of section 6012(a) is amended by striking out "$1,000" each place it appears and inserting in lieu thereof "the exemption amount. (E) Paragraph (1) of section 6012(a) is amended by adding at the end thereof the following new subparagraph: "(D) For purposes of this paragraph— "(i) The term 'zero bracket amount' has the meaning given to such term by section 63(d). "(ii) The term 'exemption amount' has the meaning given to such term by section 151(f)." (2) AMENDMENTS TO SECTION 6013.—Subparagraph (A) of section 6013(b)(3) is amended— (A) by striking out "$1,000" each place it appears and inserting in lieu thereof "the exemption amount', (B) by striking out "$2,000" each place it appears and inserting in lieu thereof "twice the exemption amount", and
26 USC 6012.
"Zero bracket amount." "Exemption amount." 26 USC 6013.
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