,i  #aah? ,,congress  #b;d ,session  ,h4
 ,r4 #ihgc  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,septemb] #bg1        
#bjbd,ms4 ,lee ( ,p5nsylvania 7= h]self1
 ,ms4 ,lee ( ,cali=nia1 ,mr4 ,jackson ( 
,ill9ois1 ,ms4 ,tlaib1 ,ms4 ,bu%1 ,ms4  
,s*ak[sky1 ,ms4 ,mc,collum1 ,mrs4       
,ramirez1 & ,mr4 ,huffman7 introduc$ !  
foll[+ bill2 :i* 0 ref]r$ to !          
,committee on ,education & ! ,work=ce1 &
 9 addition to ! ,committees on ,ways & 
,means1 & ,ov]sight & ,acc\ntability1 = 
a p]iod to be subsequ5tly det]m9$ by !  
,speak]1 9 ea* case = consid]ation ( su*
 provisions z fall )9 ! jurisdiction ( !
 committee conc]n$  ,a ,,bill  ,to am5d 
! ,fair ,labor ,/&>ds ,act ( #aich & !  
,int]nal ,rev5ue ,code ( #aihf to make  
c]ta9 modifications 9 relation to !     
m9imum wage4  #a4 ,%ort title2 table (  
cont5ts  7a7 ,%ort title ,?is ,act may  
be cit$ z ! ,am]ican ,/ability ,act4    
7b7 ,table ( cont5ts ,! table ( cont5ts 
= ?is ,act is z foll[s3 ,sec4 #a4 ,%ort 
title2 table ( cont5ts4,title           

,i--,m9imum wage,sec4 #aja4 ,m9imum wage
 increases4,sec4 #ajb4 ,tipp$           
employees4,sec4 #ajc4 ,s*$ul$ repeal (  
sep>ate m9imum wage = newly hir$        
employees :o are less ?an #bj ye>s      
old4,sec4 #ajd4 ,publication (          
notice4,sec4 #aje4 ,promot+ economic    
self-suffici5cy = individuals )         
disabilities4,title ,,ii--,income tax   
modifications,sec4 #bja4 ,modification (
 income tax brackets bas$ on annualiz$  
/ability wage4,sec4 #bjb4 ,sur*>ge on   
high income individuals1 e/ates1 &      
tru/s4,sec4 #bjc4 ,alt]native maximum   
tax = l[-income individuals4,title      
,,iii--,e>n$ income disallowance,sec4   
#cja4 ,e>n$ income disall[ance4,title   
,,iv--,effective date,sec4 #dja4        
,effective date4  ,i ,m9imum wage  #aja4
 ,m9imum wage increases  7a7 ,9 g5]al   
,section #f7;a77#a7 ( ! ,fair ,labor    
,/&>ds ,act ( #aich 7#bi ,u4,s4,c4      
#bjf7;a77#a77 is am5d$ to read z foll[s3
  7#a7 except z o!rwise provid$ 9 ?is   
section1 n less ?an-- 7,a7 #ae4jj an h\r

 = ! fir/ cal5d> ye> beg9n+ aft] ! date 
( enactm5t ( ! ,am]ican ,/ability ,act2 
7,b7 = ea* cal5d> ye> dur+ ! int]val    
p]iod 7z def9$ 9 subsection 7g771 a     
m9imum wage equal to ! am\nt det]m9$ "u 
?is p>agraph = ! prec$+ ye>1 increas$ by
 ! less] (-- 7i7 #aj p]c5t2 or  7ii7 !  
am\nt necess>y = ! m9imum wage to equal 
! /ability wage = su* cal5d> ye>2 &     
7,c7 = ea* cal5d> ye> t beg9s aft] !    
int]val p]iod1 ! /ability wage = su*    
cal5d> ye>4  4  7b7 ,/ability wage      
,section #f ( su* ,act 7#bi ,u4,s4,c4   
#bjf7 is fur!r am5d$ by add+ at ! end ! 
foll[+3  7h7 ,/ability wage  7#a7 ,9    
g5]al  7,a7 ,det]m9ation ,! /ability    
wage det]m9$ "u ?is p>agraph = a cal5d> 
ye> %all be an am\nt equal to ! great]  
(-- 7i7 ! av]age h\rly e>n+s wage       
det]m9$ "u p>agraph 7#b7 = t cal5d> ye>2
  7ii7 ! co/-(-liv+ wage det]m9$ "u     
p>agraph 7#c7 = t cal5d> ye>2 or  7iii7 
! /ability wage 9 effect = ! prec$+ ye>4
  7,b7 ,r\nd+ ,if ! am\nt det]m9$ "u    
subp>agraph 7,a7 is n a multiple ( #e   

c5ts1 su* am\nt %all be r\nd$ to ! next 
high] multiple ( #e c5ts4  7#b7 ,av]age 
h\rly e>n+s wage ,! av]age h\rly e>n+s  
wage = any cal5d> ye> %all be an am\nt  
equal to #bj4jj1 multipli$ by ! ratio   
(-- 7,a7 ! av]age h\rly e>n+s = ! ye>   
prec$+ su* cal5d> ye>1 to  7,b7 ! av]age
 h\rly e>n+s = ! ye> prec$+ ! cal5d> ye>
 ( ! date ( enactm5t ( ! ,am]ican       
,/ability ,act4  7#c7 ,co/-(-liv+ wage  
,! co/-(-liv+ wage = any cal5d> ye> %all
 be an am\nt equal to #bj4jj1 multipli$ 
by ! ratio (-- 7,a7 ! ,,cpi-,u = ! ye>  
prec$+ su* cal5d> ye>1 to  7,b7 !       
,,cpi-,u = ! ye> prec$+ ! cal5d> ye> ( !
 date ( enactm5t ( ! ,am]ican ,/ability 
,act4  7#d7 ,def9itions ,= ! purposes ( 
?is p>agraph & subsection 7a77#a73 7,a7 
,,cpi-,u ,! t]m ,,cpi-,u means1 :5 us$ )
 respect to a cal5d> ye>1 ! ,consum]    
,price ,index = all urban consum]s1 z   
publi%$ by ! ,bureau ( ,labor ,/ati/ics1
 = ,septemb] ( su* ye>4  7,b7 ,av]age   
h\rly e>n+s ,! t]m av]age h\rly e>n+s   
means1 :5 us$ ) respect to a cal5d> ye>1

 ! total private av]age h\rly e>n+s f ! 
data on av]age h\rly & weekly e>n+s (   
production & nonsup]visory employees on 
private nonf>m payrolls by indu/ry      
sector1 seasonally adju/$1 z publi%$ by 
! ,bureau ( ,labor ,/ati/ics1 =         
,septemb] ( su* ye>4  7,c7 ,int]val     
p]iod ,! t]m int]val p]iod means !      
p]iod-- 7i7 beg9n+ on ! fir/ day ( ! #a/
 cal5d> ye> beg9n+ aft] ! date (        
enactm5t ( ! ,am]ican ,/ability ,act2 & 
7ii7 end+ at ! close ( ! la/ day ( !    
fir/ cal5d> ye> = :i* ! m9imum wage "u  
subsection 7a77#a7 equals ! /ability    
wage det]m9$ "u p>agraph 7#a7 ( ?is     
subsection = su* cal5d> ye>4  4  #ajb4  
,tipp$ employees  7a7 ,base m9imum wage 
= tipp$ employees & tips reta9$ by      
employees  7#a7 ,9 g5]al ,section       
#c7m77#b77;,a7 ( ! ,fair ,labor ,/&>ds  
,act ( #aich 7#bi ,u4,s4,c4             
#bjc7m77#b77;,a77 %all be am5d$ to read 
z foll[s3  7,a7 ,! wage requir$ to be   
paid to a tipp$ employee %all be ! wage 
set =? 9 section #f7;a77#a74 ,any       

employee %all h ! "r to reta9 any tips  
receiv$ by su* employee1 except t ?is   
subsection %all n be con/ru$ to prohibit
 ! pool+ ( tips among employees :o      
cu/om>ily & regul>ly receive tips4 ,an  
employ] %all in=m ea* employee ( ! "r & 
exception provid$ "u ! prec$+ s5t5ce4  4
  7#b7 ,effective date ,! am5dm5t made  
by subsection 7a7 %all take effect on   
,janu>y #a ( ! fir/ cal5d> ye> t beg9s  
aft] ! date ( enactm5t ( ?is ,act4  7b7 
,p5alties ,section #af ( ! ,fair ,labor 
,/&>ds ,act ( #aich 7#bi ,u4,s4,c4 #baf7
 is am5d$-- 7#a7 9 ! ?ird s5t5ce (      
subsection 7b71 by ins]t+ or us$ aft]   
kept2 &  7#b7 9 ! second s5t5ce (       
subsection 7e77#b71 by ins]t+ or us$    
aft] kept4  #ajc4 ,s*$ul$ repeal (      
sep>ate m9imum wage = newly hir$        
employees :o are less ?an #bj ye>s old  
7a7 ,9 g5]al ,section #f7;g7 ( ! ,fair  
,labor ,/&>ds ,act ( #aich 7#bi         
,u4,s4,c4 #bjf7;g771 z am5d$ by         
subsection 7a71 %all be repeal$4  7b7   
,effective date ,! repeal made by       

subsection 7a7 %all take effect on      
,janu>y #a ( ! fir/ cal5d> ye> t beg9s  
aft] ! date ( enactm5t ( ?is ,act4      
#ajd4 ,publication ( notice2 te*nical   
assi/ance ,section #f ( ! ,fair ,labor  
,/&>ds ,act ( #aich 7#bi ,u4,s4,c4      
#bjf71 z am5d$ by section #b7;b71 is    
fur!r am5d$ by add+ at ! end ! foll[+3  
7i7 ,publication ( wage rates ,n lat]   
?an #fj days prior to ! effective date (
 any increase 9 ! requir$ wage det]m9$  
"u subsection 7a77#a71 ! ,secret>y %all 
publi% 9 ! ,f$]al ,regi/] & on ! website
 ( ! ,dep>tm5t ( ,labor a notice ann\nc+
 ea* increase 9 su* requir$ wage4  7j7  
,transition assi/ance ,^u reque/1 !     
,secret>y %all provide-- 7#a7 te*nical  
assi/ance & in=mation to employ]s = !   
purposes (-- 7,a7 assi/+ su* employ]s to
 comply ) subsection 7a71 z am5d$ by !  
,am]ican ,/ability ,act2 &  7,b7 ensur+ 
cont9u+ employm5t opportunities =       
individuals ) disabilities :o receiv$ a 
special m9imum wage rate "u ?is section 
#ad7;c7 7z 9 effect on ! day be=e ! date

 ( enactm5t ( ! ,am]ican ,/ability      
,act72 &  7#b7 in=mation to individuals 
:o 7 employ$ at a special m9imum wage   
rate "u section #ad7;c7 7z 9 effect on !
 day be=e ! date ( enactm5t ( ! ,am]ican
 ,/ability ,act71 :i* may include       
ref]rals to ,f$]al or ,/ate entities )  
exp]tise 9 competitive integrat$        
employm5t4  4  #aje4 ,promot+ economic  
self-suffici5cy = individuals )         
disabilities  7a7 ,transition to fair   
wages = individuals ) disabilities  7#a7
 ,9 g5]al ,subp>agraph 7,a7 ( section   
#ad7;c77#a7 ( ! ,fair ,labor ,/&>ds ,act
 ( #aich 7#bi ,u4,s4,c4 #bad7;c77#a77   
%all be am5d$ to read z foll[s3  7,a7 at
 a rate t equals or exce$s1 = ea* ye>1 !
 wage set =? 9 section #f7;a77#a74  4   
7#b7 ,effective date ,! am5dm5t made by 
p>agraph 7,a7 %all take effect on       
,janu>y #a ( ! fir/ cal5d> ye> t beg9s  
aft] ! date ( enactm5t ( ?is ,act4  7b7 
,prohibition on new special c]tificates 
7#a7 ,9 g5]al ,section #ad7;c7 ( ! ,fair
 ,labor ,/&>ds ,act ( #aich 7#bi        

,u4,s4,c4 #bad7;c77 is am5d$ by add+ at 
! end ! foll[+3  7#f7 ,prohibition on   
new special c]tificates ,not)/&+        
p>agraph 7#a71 ! ,secret>y %all n issue 
a special c]tificate "u ?is subsection  
to an employ] t 0 n issu$ a special     
c]tificate "u ?is subsection be=e ! date
 ( enactm5t ( ! ,am]ican ,/ability ,act4
  4  7#b7 ,sunset ,section #ad7;c7 ( !  
,fair ,labor ,/&>ds ,act ( #aich 7#bi   
,u4,s4,c4 #bad7;c771 z am5d$ by p>agraph
 7#b71 is fur!r am5d$ by add+ at ! end !
 foll[+3  7#g7 ,sunset ,on ,janu>y #a ( 
! fir/ cal5d> ye> t beg9s aft] ! date ( 
enactm5t ( ! ,am]ican ,/ability ,act1 ! 
au?ority to issue special c]tificates "u
 p>agraph 7#a7 %all expire1 & no special
 c]tificates issu$ "u p>agraph 7#a7 %all
 h any legal effect 4  4  7#c7          
,effective date ,! am5dm5ts made by ?is 
p>agraph %all take effect on ! date (   
enactm5t ( ?is ,act4  ,i ,income tax    
modifications  #a4 ,modification (      
income tax brackets bas$ on annualiz$   
/ability wage  7a7 ,9 g5]al ,section #a 

( ! ,int]nal ,rev5ue ,code ( #aihf is   
am5d$ by /rik+ subsections 7a71 7b71    
7c71 7d71 & 7e7 & ins]t+ ! foll[+ new   
subsections3  7a7 ,9 g5]al ,!re is h]eby
 impos$ on ! taxable income ( e         
individual1 e e/ate1 & e tru/ a tax     
det]m9$ "u ?is section4  7b7 ,am\nt (   
tax ,! tax det]m9$ "u ?is section %all  
be equal to-- 7#a7 9 ! case ( any       
taxpay] ^: taxable income does n exce$ !
 maximum bracket am\nt = ! l[e/ tax     
bracket = ! taxpay]'s fil+ /atus1 !     
product ( ! p]c5tage :i* con/itutes su* 
l[e/ tax bracket multipli$ by su*       
taxable income1 &  7#b7 9 ! case ( any  
taxpay] ^: taxable income exce$s !      
maximum bracket am\nt = su* l[e/ tax    
bracket1 ! sum (-- 7,a7 ! maximum tax   
am\nt = ea* tax bracket = ! taxpay]'s   
fil+ /atus ) respect to :i* ! taxpay]'s 
taxable income exce$s ! maximum bracket 
am\nt = su* tax bracket1 plus  7,b7 !   
product (-- 7i7 ! p]c5tage :i*          
con/itutes ! tax bracket = ! taxpay]'s  
fil+ /atus :i* is next above ! highe/   

bracket am\nt = :i* an am\nt is includ$ 
"u subp>agraph 7,a71 multipli$ by  7ii7 
s mu* ( ! taxable income ( ! taxpay] z  
exce$s ! maximum bracket am\nt ( su*    
highe/ tax bracket4  7c7 ,det]m9ation ( 
maximum bracket am\nts  7#a7 ,m>ri$     
individuals fil+ jo9t returns & surviv+ 
sp\ses ,9 ! case ( e m>ri$ individual 7z
 def9$ 9 section #ggjc7 :o makes a s+le 
return jo9tly ) ! individual's sp\se "u 
section #fjac1 & e surviv+ sp\se-- 7,a7 
! maximum bracket am\nt = ! #aj p]c5t   
bracket is ! product ( #j4ef multipli$  
by ! annualiz$ /ability wage = ! taxable
 ye>1  7,b7 ! maximum bracket am\nt = ! 
#ab p]c5t bracket is ! product ( #b4bh  
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,c7 ! maximum bracket 
am\nt = ! #bb p]c5t bracket is ! product
 ( #d4h multipli$ by ! annualiz$        
/ability wage = ! taxable ye>1  7,d7 !  
maximum bracket am\nt = ! #bd p]c5t     
bracket is ! product ( #i4b multipli$ by
 ! annualiz$ /ability wage = ! taxable  
ye>1  7,e7 ! maximum bracket am\nt = !  

#cb p]c5t bracket is ! product ( #aa4f  
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,f7 ! maximum bracket 
am\nt = ! #ce p]c5t bracket is ! product
 ( #ag4f multipli$ by ! annualiz$       
/ability wage = ! taxable ye>1 &  7,g7 !
 maximum bracket am\nt = ! #cg p]c5t    
bracket is inf9ite4  7#b7 ,heads (      
h\seholds ,9 ! case ( e head (          
h\sehold-- 7,a7 ! maximum bracket am\nt 
= ! #aj p]c5t bracket is ! product (    
#j4db multipli$ by ! annualiz$ /ability 
wage = ! taxable ye>1  7,b7 ! maximum   
bracket am\nt = ! #ab p]c5t bracket is !
 product ( #a4eb multipli$ by !         
annualiz$ /ability wage = ! taxable ye>1
  7,c7 ! maximum bracket am\nt = ! #bb  
p]c5t bracket is ! product ( #b4d       
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,d7 ! maximum bracket 
am\nt = ! #bd p]c5t bracket is ! product
 ( #d4f multipli$ by ! annualiz$        
/ability wage = ! taxable ye>1  7,e7 !  
maximum bracket am\nt = ! #cb p]c5t     
bracket is ! product ( #e4h multipli$ by

 ! annualiz$ /ability wage = ! taxable  
ye>1  7,f7 ! maximum bracket am\nt = !  
#ce p]c5t bracket is ! product ( #ad4f  
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1 &  7,g7 ! maximum       
bracket am\nt = ! #cg p]c5t bracket is  
inf9ite4  7#c7 ,unm>ri$ individuals 7o!r
 ?an surviv+ sp\ses & heads ( h\seholds7
 ,9 ! case ( e individual 7o!r ?an a    
surviv+ sp\se or a head ( h\sehold7 :o  
is n a m>ri$ individual 7z def9$ 9      
section #ggjc7-- 7,a7 ! maximum bracket 
am\nt = ! #aj p]c5t bracket is ! product
 ( #j4bh multipli$ by ! annualiz$       
/ability wage = ! taxable ye>1  7,b7 !  
maximum bracket am\nt = ! #ab p]c5t     
bracket is ! product ( #a4ad multipli$  
by ! annualiz$ /ability wage = ! taxable
 ye>1  7,c7 ! maximum bracket am\nt = ! 
#bb p]c5t bracket is ! product ( #b4d   
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,d7 ! maximum bracket 
am\nt = ! #bd p]c5t bracket is ! product
 ( #d4f multipli$ by ! annualiz$        
/ability wage = ! taxable ye>1  7,e7 !  

maximum bracket am\nt = ! #cb p]c5t     
bracket is ! product ( #e4h multipli$ by
 ! annualiz$ /ability wage = ! taxable  
ye>1  7,f7 ! maximum bracket am\nt = !  
#ce p]c5t bracket is ! product ( #ad4f  
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1 &  7,g7 ! maximum       
bracket am\nt = ! #cg p]c5t bracket is  
inf9ite4  7#d7 ,m>ri$ individuals fil+  
sep>ate returns ,9 ! case ( e m>ri$     
individual 7z def9$ 9 section #ggjc7 :o 
does n make a s+le return jo9tly ) !    
individual's sp\se "u section #fjac--   
7,a7 ! maximum bracket am\nt = ! #aj    
p]c5t bracket is ! product ( #j4bh      
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,b7 ! maximum bracket 
am\nt = ! #ab p]c5t bracket is ! product
 ( #a4ad multipli$ by ! annualiz$       
/ability wage = ! taxable ye>1  7,c7 !  
maximum bracket am\nt = ! #bb p]c5t     
bracket is ! product ( #b4d multipli$ by
 ! annualiz$ /ability wage = ! taxable  
ye>1  7,d7 ! maximum bracket am\nt = !  
#bd p]c5t bracket is ! product ( #d4f   

multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,e7 ! maximum bracket 
am\nt = ! #cb p]c5t bracket is ! product
 ( #e4h multipli$ by ! annualiz$        
/ability wage = ! taxable ye>1  7,f7 !  
maximum bracket am\nt = ! #ce p]c5t     
bracket is ! product ( #h4h multipli$ by
 ! annualiz$ /ability wage = ! taxable  
ye>1 &  7,g7 ! maximum bracket am\nt = !
 #cg p]c5t bracket is inf9ite4  7#e7    
,e/ates & tru/s ,9 ! case ( e e/ate & e 
tru/ = ! taxable ye>-- 7,a7 ! maximum   
bracket am\nt = ! #aj p]c5t bracket is !
 product ( #j4jh multipli$ by !         
annualiz$ /ability wage = ! taxable ye>1
  7,b7 ! maximum bracket am\nt = ! #bd  
p]c5t bracket is ! product ( #j4bg      
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1  7,c7 ! maximum bracket 
am\nt = ! #ce p]c5t bracket is ! product
 ( #j4cg multipli$ by ! annualiz$       
/ability wage = ! taxable ye>1 &  7,d7 !
 maximum bracket am\nt = ! #cg p]c5t    
bracket is inf9ite4  7d7 ,def9itions ,= 
purposes ( ?is section-- 7#a7 ,annualiz$

 /ability wage ,! t]m annualiz$ /ability
 wage means1 ) respect to any taxable   
ye>1 ! product ( #b1jhj multipli$ by !  
/ability wage 7z def9$ 9 section #f ( ! 
,fair ,labor ,/&>ds ,act ( #aich7 = !   
cal5d> ye> 9 :i* or ) :i* su* taxable   
ye> beg9s4  7#b7 ,maximum tax am\nt     
7,a7 ,9 g5]al ,! t]m maximum tax am\nt  
means1 ) respect to any tax bracket1 !  
product (-- 7i7 ! p]c5tage :i*          
con/itutes su* tax bracket1 multipli$ by
  7ii7 ! excess (-- 7,i7 ! maximum      
bracket am\nt = su* tax bracket1 ov]    
7,,ii7 ! highe/ maximum bracket am\nt = 
! taxpay]'s fil+ /atus :i* is less ?an !
 maximum bracket am\nt ref]r$ to 9      
subclause 7,i74  7,b7 ,special rule =   
l[e/ tax bracket ,= purposes ( det]m9+ !
 maximum tax am\nt ) respect to ! l[e/  
tax bracket = a taxpay]'s fil+ /atus1 ! 
am\nt specifi$ 9 subp>agraph            
7,a77ii77,,ii7 %all be treat$ z be+ z]o4
  7#c7 ,fil+ /atus ,! t]m fil+ /atus    
means1 ) respect to any taxpay]1 ! /atus
 ( su* taxpay] z be+ describ$ 9 p>agraph

 7#a71 7#b71 7#c71 7#d71 or 7#e7 (      
subsection 7c74  7#d7 ,tax brackets ,!  
t]m tax bracket means1 ) respect to !   
fil+ /atus ( any taxpay]1 ea* bracket = 
:i* a maximum bracket am\nt is det]m9$ =
 su* fil+ /atus4  4  7b7 ,con=m+        
am5dm5ts  7#a7 ,section #a7;f7 ( su*    
,code is am5d$ by /rik+ all t prec$es   
p>agraph 7#c7 & ins]t+ ! foll[+3  7f7   
,publication ( tax tables2 ret5tion (   
co/-(-,liv+ adju/m5t = o!r provisions   
7#a7 ,publication ( tax tables ,n lat]  
?an ,decemb] #ae ( #bjbd1 & ea*         
subsequ5t cal5d> ye>1 ! ,secret>y %all  
publi% tax tables :i* /ate ! doll>      
am\nts 9 effect "u subsections 7b7 & 7c7
 ) respect to taxable ye>s beg9n+ 9 !   
succe$+ cal5d> ye>4  4  7#b7 ,section   
#a7;f77#c7 ( su* ,code is am5d$ by /rik+
 ,= purposes ( ?is subsection & ins]t+  
,= purposes ( any provision ( law :i*   
ref]s to ?is subsection4  7#c7 ,section 
#a7;f7 ( su* ,code is am5d$ by /rik+    
p>agraphs 7#g7 & 7#h7 & ins]t+ ! foll[+ 
new p>agraph3  7#g7 ,r\nd+ ,if any      

increase det]m9$ "u section #fc7;c77#d71
 section #fh7;b77#b71 or section        
#aea7;d77#d7 is n a multiple ( #ej1 su* 
increase %all be r\nd$ to ! next l[e/   
multiple ( #ej4  4  7#d7 ,section #a (  
su* ,code is am5d$ by /rik+ subsections 
7i7 & 7j74  7c7 ,effective date ,!      
am5dm5ts made by ?is section %all apply 
to taxable ye>s beg9n+ aft] ,decemb]    
#ca1 #bjbd4  #b4 ,sur*>ge on high income
 individuals1 e/ates1 & tru/s  7a7 ,9   
g5]al ,"p ,i ( sub*apt] ,a ( *apt] #a ( 
! ,int]nal ,rev5ue ,code ( #aihf is     
am5d$ by ins]t+ aft] section #a ! foll[+
 new section3  #a;,a4 ,sur*>ge on high  
income individuals1 e/ates1 & tru/s  7a7
 ,g5]al rule ,9 ! case ( a taxpay] o!r  
?an a corporation1 !re is h]eby impos$  
79 addition to any o!r tax impos$ by ?is
 subtitle7 a tax equal to ! sum (-- 7#a7
 #c p]c5t ( s mu* ( ! modifi$ adju/$    
gross income ( ! taxpay] z exce$s-- 7,a7
 ! product ( #be multipli$ by !         
annualiz$ /ability wage = ! taxable ye>1
 9 ! case ( any taxpay] n describ$ 9    

subp>agraph 7,b7 or 7,c71  7,b7 !       
product ( #ab4e multipli$ by ! annualiz$
 /ability wage = ! taxable ye>1 9 ! case
 ( a m>ri$ individual fil+ a sep>ate    
return1 &  7,c7 ! product ( #d4h        
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1 9 ! case ( an e/ate or  
tru/1 plus  7#b7 #e p]c5t ( s mu* ( !   
modifi$ adju/$ gross income ( ! taxpay] 
z exce$s-- 7,a7 ! product ( #cfe        
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1 9 ! case ( any taxpay] n
 describ$ 9 subp>agraph 7,b7 or 7,c71   
7,b7 ! product ( #ahb4e multipli$ by !  
annualiz$ /ability wage = ! taxable ye>1
 9 ! case ( a m>ri$ individual fil+ a   
sep>ate return1 &  7,c7 ! product ( #ab 
multipli$ by ! annualiz$ /ability wage =
 ! taxable ye>1 9 ! case ( an e/ate or  
tru/4  7b7 ,modifi$ adju/$ gross income 
,= purposes ( ?is section1 ! t]m modifi$
 adju/$ gross income means adju/$ gross 
income r$uc$ by any d$uction 7n tak5    
into acc\nt 9 det]m9+ adju/$ gross      
income7 all[$ = inve/m5t int]e/ 7z def9$

 9 section #afc7;d77 or bus9ess int]e/  
7z def9$ 9 section #afc7;j774 ,9 ! case 
( an e/ate or tru/1 adju/$ gross income 
%all be det]m9$ z provid$ 9 section     
#fg7;e71 & r$uc$ by ! am\nt all[$ z a   
d$uction "u section #fdb7;c74  7c7      
,annualiz$ /ability wage ,= purposes (  
?is section1 ! t]m annualiz$ /ability   
wage has ! mean+ giv5 su* t]m 9 section 
#a7;d77#a74  7d7 ,special rules  7#a7   
,nonresid5t ali5 ,9 ! case ( a          
nonresid5t ali5 individual 7o!r ?an an  
individual describ$ 9 section #hgf7;a7  
or #hgg7;a771 only am\nts tak5 into     
acc\nt 9 connection ) ! tax impos$ "u   
section #hga7;b7 %all be tak5 into      
acc\nt "u ?is section4  7#b7 ,citiz5s & 
resid5ts liv+ abroad ,ea* doll> am\nt   
:i* is applicable to any taxpay] "u     
subsection 7a7 %all be decreas$ 7b n    
bel[ z]o7 by ! excess 7if any7 (-- 7,a7 
! am\nts exclud$ f ! taxpay]'s gross    
income "u section #iaa1 ov]  7,b7 !     
am\nts ( any d$uctions or exclusions    
disall[$ "u section #iaa7;d77#f7 )      

respect to ! am\nts describ$ 9          
subp>agraph 7,a74  7#c7 ,*>itable tru/s 
,subsection 7a7 %all n apply to a tru/  
all ! unexpir$ int]e/s 9 :i* are devot$ 
to "o or m ( ! purposes describ$ 9      
section #agj7;c77#b77;,b74  7#d7 ,n     
treat$ z tax impos$ by ?is *apt] = c]ta9
 purposes ,! tax impos$ "u ?is section  
%all n be treat$ z tax impos$ by ?is    
*apt] = purposes ( det]m9+ ! am\nt ( any
 cr$it "u ?is *apt] 7o!r ?an sections   
#bg & #ija7 or = purposes ( section #ee4
  7#e7 ,elect+ small bus9ess tru/s ,=   
purposes ( ! det]m9ation ( adju/$ gross 
income1 section #fda7;c77#a77;,a7 %all n
 apply & all portions ( any elect+ small
 bus9ess tru/ %all be treat$ z a s+le   
tru/4  7e7 ,regulations ,! ,secret>y    
%all issue su* regulations or o!r       
guidance z may be necess>y or           
appropriate to c>ry out ! purposes ( ?is
 section1 includ+ regulations or o!r    
guidance to prev5t ! avoidance ( !      
purposes ( ?is section4  4  7b7         
,coord9ation ) c]ta9 provisions  7#a7   

,int]e/ on c]ta9 def]r$ tax liability   
,section #dec;,a7c7 ( su* ,code is am5d$
 by r$esignat+ p>agraph 7#f7 z p>agraph 
7#g7 & by ins]t+ aft] p>agraph 7#e7 !   
foll[+ new p>agraph3  7#f7 ,sur*>ge on  
high income individuals tak5 into acc\nt
 9 det]m9+ maximum rate ( tax ,=        
purposes ( p>agraph 7#c77;,b71 ! maximum
 rate ( tax 9 effect "u section #a %all 
be treat$ z be+ equal to ! sum ( su*    
rate & ! rates 9 effect "u p>agraphs    
7#a7 & 7#b7 ( section #a;,a7a74  4  7#b7
 ,ali5 resid5ts ( ,pu]to ,rico1 ,guam1  
,am]ican ,samoa1 or ! ,nor!rn ,m>iana   
,isl&s ,section #hgf7;a7 ( su* ,code is 
am5d$ by /rik+ section #a & ins]t+      
sections #a & #a;,a4  7#c7 ,expatriation
 to avoid tax ,section #hgg7;b7 ( su*   
,code is am5d$ by ins]t+ & section #a;,a
 aft] section #a or #ee4  7#d7          
,limitation on =eign tax cr$it  7,a7    
,section #ijd7;b77#c77;,e77i77,i7 ( su* 
,code is am5d$ by ins]t+ increas$ by !  
sum ( ! rates set =? 9 p>agraphs 7#a7 & 
7#b7 ( section #a;,a7a7 aft] 7:i*ev]    

applies74  7,b7 ,section                
#ijd7;d77#b77;,f7 ( su* ,code is am5d$  
by add+ at ! end ! foll[+3 ,= purposes (
 ! fir/ s5t5ce ( ?is subp>agraph1 !     
highe/ rate ( tax specifi$ 9 section #a 
%all be treat$ z be+ equal to ! sum (   
su* rate & ! rates 9 effect "u p>agraphs
 7#a7 & 7#b7 ( section #a;,a7a744  7#e7 
,election by individuals to be subject  
to tax at corporate rates ,section      
#ifb7;a77#a7 ( su* ,code is am5d$ by    
ins]t+ 1 #a;,a1 aft] sections #a4  7#f7 
,int]e/ on c]ta9 tax def]ral ,section   
#abia7;c77#b7 ( su* ,code is am5d$ by   
add+ at ! end ! foll[+3 ,= purposes ( ! 
prec$+ s5t5ce1 ! highe/ rate ( tax 9    
effect "u section #a %all be treat$ z   
be+ equal to ! sum ( su* rate & ! rates 
9 effect "u p>agraphs 7#a7 & 7#b7 (     
section #a;,a7a744  7#g7 ,av]ag+ ( f>m  
income ,section #acja7;a7 ( su* ,code is
 am5d$ by /rik+ section #a bo? places x 
appe>s & ins]t+ sections #a & #a;,a4    
7#h7 ,title #aa cases ,section          
#acih7;c77#b7 ( su* ,code is am5d$ by   

ins]t+ & tax %all be impos$ "u section  
#a;,a by treat+ ! e/ate z a m>ri$       
individual fil+ a sep>ate return be=e ! 
p]iod at ! end4  7#i7 ,)hold+ ( tax on  
=eign p>tn]s' %>e ( effectively connect$
 income ,section #addf7;b77#b7 ( su*    
,code is am5d$ by add+ at ! end ! foll[+
 flu% s5t5ce3 ,= purposes ( subp>agraph 
7,a71 ! highe/ rate ( tax 9 effect "u   
section #a %all be treat$ z be+ equal to
 ! sum ( su* rate & ! rates 9 effect "u 
p>agraphs 7#a7 & 7#b7 ( section         
#a;,a7a74 4  7#aj7 ,relief f jo9t &     
sev]al liability on jo9t return ,section
 #fjae7;d77#b77;,b7 ( su* ,code is am5d$
 by ins]t+ 1 #a;,a1 aft] section #a4    
7#aa7 ,p>tn]%ip adju/m5ts  7,a7 ,section
 #fbbe7;b77#a7 ( su* ,code is am5d$ by  
add+ at ! end ! foll[+ flu% s5t5ce3 ,=  
purposes ( subp>agraph 7,b71 ! highe/   
rate ( tax 9 effect "u section #a %all  
be treat$ z be+ equal to ! sum ( su*    
rate & ! rates 9 effect "u p>agraphs    
7#a7 & 7#b7 ( section #a;,a7a74 4  7,b7 
,section #fbbe7;c77#d77;,a7 ( su* ,code 

is am5d$-- 7i7 by /rik+ subsection      
7b77#a77;,a7 & ins]t+ subsection        
7b77#a77;,b71 &  7ii7 by /rik+ or at !  
end ( clause 7i71 by add+ or at ! end ( 
clause 7ii71 & by ins]t+ aft] clause    
7ii7 ! foll[+ new clause3  7iii7 is n an
 individual subject to "o or bo? ( !    
rates ( tax 9 effect "u p>agraphs 7#a7 &
 7#b7 ( section #a;,a7a71  4  7#ab7     
,requir$ paym5ts = entities elect+ n to 
h requir$ taxable ye> ,section #geai7;b7
 ( su* ,code is am5d$ by ins]t+ &       
increas$ by ! sum ( ! rates 9 effect "u 
p>agraphs 7#a7 & 7#b7 ( section #a;,a7a7
 be=e ! p]iod at ! end4  7c7 ,cl]ical   
am5dm5t ,! table ( sections = "p ,i (   
sub*apt] ,a ( *apt] #a ( su* ,code is   
am5d$ by ins]t+ aft] ! item relat+ to   
section #a ! foll[+ new item3  ,sec4    
#a;,a4 ,sur*>ge on high income          
individuals4  4  7d7 ,effective date ,! 
am5dm5ts made by ?is section %all apply 
to taxable ye>s beg9n+ aft] ,decemb]    
#ca1 #bjbd4  #c4 ,alt]native maximum tax
 = l[-income individuals  7a7 ,9 g5]al  

,"p ,i ( sub*apt] ,a ( *apt] #a ( !     
,int]nal ,rev5ue ,code ( #aihf1 z am5d$ 
by section #bjb1 is am5d$ by ins]t+ aft]
 section #a;,a ! foll[+ new section3    
#a;,b4 ,alt]native maximum tax =        
l[-income individuals  7a7 ,9 g5]al ,9 !
 case ( an qualifi$ l[-income           
individual1 ! tax impos$ "u section #a =
 any taxable ye> %all n exce$ #bd4d     
p]c5t ( ! excess (-- 7#a7 ! taxpay]'s   
modifi$ adju/$ gross income = su*       
taxable ye>1 ov]  7#b7 ! co/-(-liv+     
exemption = su* taxable ye>4  7b7       
,qualifi$ l[-,income individual ,=      
purposes ( ?is section1 ! t]m qualifi$  
l[-income individual means1 ) respect to
 any taxable ye>1 any individual 7o!r   
?an an e/ate or tru/7 if ! taxpay]s     
modifi$ adju/$ gross income = su*       
taxable ye> is less ?an #bjj p]c5t ( !  
co/-(-liv+ exemption = su* taxable ye>4 
7c7 ,co/-(-,liv+ exemption ,= purposes (
 ?is section-- 7#a7 ,9 g5]al ,! t]m     
co/-(-liv+ exemption means1 ) respect to
 any taxable ye>-- 7,a7 9 ! case ( a    

taxpay] n describ$ 9 subp>agraph 7,b7 or
 7,c71 #ajj p]c5t ( annualiz$ co/-(-liv+
 wage1  7,b7 9 ! case ( a jo9t return1  
#bjj p]c5t ( ! annualiz$ co/-(-liv+     
wage1 &  7,c7 9 ! case ( a head (       
h\sehold1 #adj p]c5t ( ! annualiz$      
co/-(-liv+ wage4  7#b7 ,annualiz$       
co/-(-liv+ wage ,! t]m annualiz$        
co/-(-liv+ wage means1 ) respect to any 
taxable ye>1 ! product ( #b1jhj         
multipli$ by ! co/-(-liv+ wage 7z def9$ 
9 section #f ( ! ,fair ,labor ,/&>ds    
,act ( #aich7 = ! cal5d> ye> 9 :i* or ) 
:i* su* taxable ye> beg9s4  7d7 ,modifi$
 adju/$ gross income ,= purposes ( ?is  
section1 ! t]m modifi$ adju/$ gross     
income means adju/$ gross income        
increas$ by any am\nt exclud$ f gross   
income "u section #iaa1 #ica1 or #icc4  
4  7b7 ,cl]ical am5dm5t ,! table (      
sections = "p ,i ( sub*apt] ,a ( *apt]  
#a ( su* ,code1 z am5d$ by section #bjb1
 is am5d$ by ins]t+ aft] ! item relat+  
to section #a;,a ! foll[+ new item3     
,sec4 #a;,b4 ,alt]native maximum tax =  

l[-income individuals4  4  7c7          
,effective date ,! am5dm5ts made by ?is 
section %all apply to taxable ye>s      
beg9n+ aft] ,decemb] #ca1 #bjbd4  ,,ii  
,e>n$ income disall[ance  #cja4 ,e>n$   
income disall[ance  7a7 ,9 g5]al        
,not)/&+ any o!r provision ( law1 =     
purposes ( det]m9+ ! eligibility ( a    
specifi$ individual = b5efits or        
assi/ance 7or ! am\nt or ext5t ( b5efits
 or assi/ance7 "u any means-te/$ ,f$]al 
program1 or "u any means-te/$ ,/ate or  
local program f9anc$ 9 :ole or 9 "p )   
,f$]al funds-- 7#a7 ) respect to !      
#a-ye> p]iod beg9n+ on ! effective date 
describ$ 9 section #dja1 if ! e>n$      
income ( su* individual = su* #a-ye>    
p]iod 7det]m9$ )\t reg>d to ?is section7
 does n exce$ ! product ( #b1jhj        
multipli$ by ! co/-(-liv+ wage 7z def9$ 
9 section #f ( ! ,fair ,labor ,/&>ds    
,act ( #aich7 = ! cal5d> ye> 9 :i* su*  
#a-ye> p]iod ends1 ! e>n$ income ( su*  
individual %all n be treat$ z exce$+ !  
e>n$ income ( su* individual = ! #a-ye> 

p]iod end+ on su* effective date1 &     
7#b7 ) respect to ! #a-ye> p]iod beg9n+ 
#a ye> aft] su* effective date1 if !    
e>n$ income ( su* individual = su*      
#a-ye> p]iod 7det]m9$ )\t reg>d to ?is  
section7 does n exce$ ! product ( #b1jhj
 multipli$ by ! co/-(-liv+ wage 7z def9$
 9 section #f ( ! ,fair ,labor ,/&>ds   
,act ( #aich7 = ! cal5d> ye> 9 :i* su*  
#a-ye> p]iod ends1 ! e>n$ income ( su*  
individual %all n be treat$ z exce$+ !  
sum (-- 7,a7 ! e>n$ income ( su*        
individual = ! #a-ye> p]iod end+ on su* 
effective date1 plus  7,b7 #ej p]c5t ( !
 excess 7if any7 (-- 7i7 ! e>n$ income (
 su* individual = ! #a-ye> p]iod beg9n+ 
#a ye> aft] su* effective date1 ov]     
7ii7 ! e>n$ income ( su* individual = ! 
#a-ye> p]iod end+ on su* effective date4
  7b7 ,specifi$ individual ,= purposes (
 ?is section1 ! specifi$ individual     
means any individual if ! e>n$ income ( 
su* individual = ! #a-ye> p]iod end+ on 
! effective date describ$ 9 section #daj
 exce$s z]o4  ,,iii ,effective date     

#dja4 ,effective date ,except z o!rwise 
specifi$ 9 ?is ,act1 ?is ,act1 & !      
am5dm5ts made by ?is ,act1 %all take    
effect on ! #a/ day ( ! #crd mon? t     
beg9s aft] ! date ( enactm5t ( ?is ,act4