§ 15. Effect of changes

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1954

   Aug. 16, 1954, ch. 736, 68A Stat. 12, § 21 · 68A Stat. 12

   Enacted · 26 U.S.C. § 15

   Aug. 16, 1954, ch. 736, 68A Stat. 12, § 21

   Source evidence

   Code source credit
   Aug. 16, 1954, ch. 736, 68A Stat. 12, § 21

2. 1964

   Revenue Act of 1964

   Pub. L. 88–272 title I § 132 · 78 Stat. 19

   Substituted · 26 U.S.C. § 15(d)

   Pub. L. 88–272 amended subsection generally by substituting provisions relating to changes made by the Revenue Act of 1964, for provisions relating to taxable years beginning before Jan. 1, 1954, and ending after Dec. 31, 1953

   Source evidence

   Code amendment note
   Subsec. (d). Pub. L. 88–272 amended subsection generally by substituting provisions relating to changes made by the Revenue Act of 1964, for provisions relating to taxable years beginning before Jan. 1, 1954, and ending after Dec. 31, 1953.

   Enacted provision · exact public law section
   SEC. 132. FISCAL YEAR TAXPAYERS. Effective with respect to taxable years ending after December 31, 1963, subsection (d) of section 21 (relating to effect of changes in rates during taxable year) is amended to read as follows: “(d) Changes Made by Revenue Act of 1964.— “(1) Individuals.— In applying subsection (a) to the taxable year of an individual beginning in 1963 and ending in 1964— “(A) the rate of tax for the period on and after January 1, 1964, shall be applied to the taxable income determined as if part IV of subchapter B (relating to standard deduction for individuals), as amended by the Revenue Act of 1964, applied to taxable years ending after December 31, 1963, and “(B) section 4 (relating to rules for optional tax), as 68A Stat. 10; post, pp. 111, 140. 26 USC 4. amended by such Act, shall be applied to taxable years ending after December 31, 1963. In applying subsection (a) to a taxable year of an individual beginning in 1963 and ending in 1964, or beginning in 1964 and ending in 1965, the change in the tax imposed under section 3 shall be treated as a change in a rate of tax. Post, p. 129. 26 USC 3. “(2) Corporations.— In applying subsection (a) to a taxable year of a corporation beginning in 1963 and ending in 1964, if— “(A) the surtax exemption of such corporation for such taxable year is less than $25,000 by reason of the application of section 1561 (relating to surtax exemptions Post, p. 116. in case of certain controlled corporations), or “(B) an additional tax is imposed on the taxable income of such corporation for such taxable year by section 1562(b) (relating to additional tax in case of component Post, p. 117. members of controlled groups which elect multiple surtax exemptions), the change in the surtax exemption, or the imposition of such additional tax, shall be treated as a change in a rate of tax taking effect on January 1, 1964.”

3. 1969

   Tax Reform Act of 1969

   Pub. L. 91–172 title VIII § 803(e) · 83 Stat. 487

   Substituted · 26 U.S.C. § 15(d)

   Pub. L. 91–172 substituted provisions covering changes made by the Tax Reform Act of 1969 in case of individuals for provisions covering changes made by Revenue Act of 1964

   Source evidence

   Code amendment note
   Subsec. (d). Pub. L. 91–172 substituted provisions covering changes made by the Tax Reform Act of 1969 in case of individuals for provisions covering changes made by Revenue Act of 1964.

   Enacted provision · exact public law section
   (e) Section 21(d) (relating to changes in rates during a taxable 78 Stat. 30. 26 USC 21. year) is amended to read as follows: “(d) Changes Made by Tax Reform Act of 1909 in Case of Individuals.— In applying subsection (a) to a taxable year of an individual which is not a calendar year, each change made by the Tax Reform Act of 1969 in part I or in the application of part IV or V of subchapter B for purposes of the determination of taxable income shall be treated as a change in a rate of tax.”

4. 1971

   Revenue Act of 1971

   Pub. L. 92–178 title II § 205 · 85 Stat. 494

   Added · 26 U.S.C. § 15(e)

   Pub. L. 92–178 added subsec. (e)

   Source evidence

   Code amendment note
   Subsec. (e). Pub. L. 92–178 added subsec. (e).

   Enacted provision · exact public law section
   SEC. 205. CERTAIN FISCAL YEAR TAXPAYERS. Section 21 (relating to effect of changes) is amended by adding at 68A Stat. 12; 83 Stat. 685. the end thereof the following new subsection: “(e) Changes Made by Revenue Act of 1971.— In applying sub-section (a) to a taxable year of an individual which is not a calendar year, each change made by the Revenue Act of 1971 in section 141 Supra; Post, p. 520. Ante, p. 510. (relating to the standard deduction) and section 151 (relating to personal exemptions) shall be treated as a change in a rate of tax.

5. 1975

   Tax Reduction Act of 1975

   Pub. L. 94–12 title III § 305(b)(2) · 89 Stat. 26

   Added · 26 U.S.C. § 15(f)

   Pub. L. 94–12 added subsec. (f)

   Target inherited from the preceding amendment note.

   Source evidence

   Code amendment note
   Pub. L. 94–12 added subsec. (f).

   Enacted provision · exact public law section
   (2) Changes treated as changes in tax rate.— Section 21 26 USC 21. (relating to change in rates during taxable year) is amended by adding at the end thereof the following new subsection: “(f) Increase in Surtax Exemption.— In applying subsection (a) to a taxable year of a taxpayer which is not a calendar year, the change made by section 303(b) of the Tax Reduction Act of 1975 in section 11(d) (relating to corporate surtax exemption) shall be treated as a Ante, p. 44. change in a rate of tax.”

6. 1975

   Revenue Adjustment Act of 1975

   Pub. L. 94–164 § 4(d)(2) · 89 Stat. 970

   Inserted · 26 U.S.C. § 15(f)

   Pub. L. 94–164 inserted reference to change made by section 3(c) of the Revenue Adjustment Act of 1975

   Source evidence

   Code amendment note
   Subsec. (f). Pub. L. 94–164 inserted reference to change made by section 3(c) of the Revenue Adjustment Act of 1975.

   Enacted provision · exact public law section
   (2) Section 21(f) of such Code (relating to increase in surtax 26 USC 21. exemptions) is amended— (A) by striking out “Increase” in the caption and inserting “Change” in lieu thereof, and (B) by inserting after “Tax Reduction Act of 1975” the following: “and the change made by section 3(c) of the Revenue Adjustment Act of 1975”.

7. 1976

   Pub. L. 94–455 title IX § 901(c)(2) · 90 Stat. 1520

   Substituted · 26 U.S.C. § 15(f)

   Pub. L. 94–455 substituted “in the surtax exemption and any change under section 11(d) in the surtax exemption” for “and the change made by section 3(c) of the Revenue Adjustment Act of 1975 in section 11(d) (relating to corporate surtax exemption)”

   Source evidence

   Code amendment note
   Subsec. (f). Pub. L. 94–455 substituted “in the surtax exemption and any change under section 11(d) in the surtax exemption” for “and the change made by section 3(c) of the Revenue Adjustment Act of 1975 in section 11(d) (relating to corporate surtax exemption)”.

   Enacted provision · exact public law section
   (2) Subsection (f) of section 21 (relating to change in surtax 26 USC 21. exemption treated as a change in a rate of tax) is amended by striking out “Tax Reduction Act of 1975” and all that follows and inserting in lieu thereof the following: “Tax Reduction Act of 1975 in the surtax exemption and any change under section 11(d) 26 USC 1 note. in the surtax exemption shall be treated as a change in a rate of tax.”

8. 1977

   Tax Reduction and Simplification Act of 1977

   Pub. L. 95–30 § 101(d)(2)(A) · 91 Stat. 126

   Redesignated · 26 U.S.C. § 15(d)

   Pub. L. 95–30, § 101(d)(2)(A), (B), redesignated subsec. (f) as (d). Former subsec. (d), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Tax Reform Act of 1969 in part I or in the application of part IV or V of subchapter B for purposes of the determination of taxable income should be treated as a change in a rate of tax, was struck out

   Source evidence

   Code amendment note
   Subsec. (d). Pub. L. 95–30, § 101(d)(2)(A), (B), redesignated subsec. (f) as (d). Former subsec. (d), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Tax Reform Act of 1969 in part I or in the application of part IV or V of subchapter B for purposes of the determination of taxable income should be treated as a change in a rate of tax, was struck out.

   Enacted provision · exact public law section
   (A) by striking out subsections (d) and (e),

9. 1977

   Tax Reduction and Simplification Act of 1977

   Pub. L. 95–30 § 101(d)(2)(A) · 91 Stat. 126

   Struck · 26 U.S.C. § 15(e)

   Pub. L. 95–30, § 101(d)(2)(A), (C), added subsec. (e). Former subsec. (e), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Revenue Act of 1971 in section 141 (relating to the standard deduction) and section 151 (relating to personal exemptions) should be treated as a change in a rate of tax, was struck out

   Source evidence

   Code amendment note
   Subsec. (e). Pub. L. 95–30, § 101(d)(2)(A), (C), added subsec. (e). Former subsec. (e), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Revenue Act of 1971 in section 141 (relating to the standard deduction) and section 151 (relating to personal exemptions) should be treated as a change in a rate of tax, was struck out.

   Enacted provision · exact public law section
   (A) by striking out subsections (d) and (e),

10. 1977

    Tax Reduction and Simplification Act of 1977

    Pub. L. 95–30 § 101(d)(2)(B) · 91 Stat. 126

    Redesignated · 26 U.S.C. § 15(f)

    Pub. L. 95–30, § 101(d)(2)(B), redesignated subsec. (f) as (d)

    Source evidence

    Code amendment note
    Subsec. (f). Pub. L. 95–30, § 101(d)(2)(B), redesignated subsec. (f) as (d).

    Enacted provision · exact public law section
    (B) by redesignating subsection (f) as subsection (d),and

11. 1978

    Pub. L. 95–600 title I § 106 · 92 Stat. 2763

    Added · 26 U.S.C. § 15(f)

    Pub. L. 95–600 added subsec. (f)

    Source evidence

    Code amendment note
    Subsec. (f). Pub. L. 95–600 added subsec. (f).

    Enacted provision · exact public law section
    SEC. 106. APPLICATION OF CERTAIN CHANGES IN THE CASE OF FISCAL YEAR TAXPAYERS. 26 USC 21. Section 21 (relating to effects of changes in rate of tax) is amended by adding at the end thereof the following new subsection: “(f) Changes Made by Revenue Act of 1978.— In applying subsection (a) to a taxable year which is not a calendar year— “(1) Ante, pp. 2767, 2771; Post, p. 2820 the amendments made by sections 101,102, and 301 of the Revenue Act of 1978 (and no other amendments made by such Act), and “(2) 26 USC 42. the expiration of section 42 (relating to general tax credit), shall be treated as a change in a rate of tax.”.

12. 1981

    Economic Recovery Tax Act of 1981

    Pub. L. 97–34 title I § 101(d)(3) · 95 Stat. 175

    Substituted · 26 U.S.C. § 15(d)

    Pub. L. 97–34 substituted provisions that this section shall not apply to any change in rates under section 1 attributable to the amendments made by section 101 of the Economic Recovery Tax Act of 1981 or subsec. (f) of section 1 for provisions that had related to the changes made by section 303(b) of the Tax Reduction Act of 1975 in the surtax exemption

    Source evidence

    Code amendment note
    Subsec. (d). Pub. L. 97–34 substituted provisions that this section shall not apply to any change in rates under section 1 attributable to the amendments made by section 101 of the Economic Recovery Tax Act of 1981 or subsec. (f) of section 1 for provisions that had related to the changes made by section 303(b) of the Tax Reduction Act of 1975 in the surtax exemption.

    Enacted provision · exact public law section
    (3) Amendment to section 21.— Section 21 (relating to effect of changes in rates during taxable year) is amended by striking out subsections (d), (e), and (f) and inserting in lieu thereof the following: “(d) Section Not To Apply to Section 1 Rate Changes Made by Economic Recovery Tax Act of 1981.— This section shall not apply to any change in rates under section 1 attributable to the amendments made by section 101 of the Economic Recovery Tax Act of Ante, p. 176. 1981 or subsection (f) of section 1 (relating to adjustments in tax tables so that inflation will not result in tax increases).”

13. 1981

    Economic Recovery Tax Act of 1981

    Pub. L. 97–34 title I § 101(d)(3) · 95 Stat. 175

    Struck · 26 U.S.C. § 15(e); 26 U.S.C. § 15(f)

    Pub. L. 97–34 struck out subsecs. (e) and (f) which had related, respectively, to changes made by the Tax Reduction and Simplification Act of 1977 and to changes made by Revenue Act of 1978

    Source evidence

    Code amendment note
    Subsecs. (e), (f). Pub. L. 97–34 struck out subsecs. (e) and (f) which had related, respectively, to changes made by the Tax Reduction and Simplification Act of 1977 and to changes made by Revenue Act of 1978.

    Enacted provision · exact public law section
    (3) Amendment to section 21.— Section 21 (relating to effect of changes in rates during taxable year) is amended by striking out subsections (d), (e), and (f) and inserting in lieu thereof the following: “(d) Section Not To Apply to Section 1 Rate Changes Made by Economic Recovery Tax Act of 1981.— This section shall not apply to any change in rates under section 1 attributable to the amendments made by section 101 of the Economic Recovery Tax Act of Ante, p. 176. 1981 or subsection (f) of section 1 (relating to adjustments in tax tables so that inflation will not result in tax increases).”

14. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 div. A title IV § 474(b)(1) · 98 Stat. 494

    Changed · 26 U.S.C. § 15

    Pub. L. 98–369 renumbered section 21 of this title as this section

    Source evidence

    Code amendment note
    Pub. L. 98–369 renumbered section 21 of this title as this section.

    Enacted provision · exact public law section
    (1) Redesignation.— Old section 21 (relating to effect of changes) is redesignated as section 15.

15. 1986

    Tax Reform Act of 1986

    Pub. L. 99–514 title I § 101(b) · 100 Stat. 2085

    1. Amended · 26 U.S.C. § 15(d)

       Pub. L. 99–514 amended subsec. (d) generally

    2. Substituted · 26 U.S.C. § 15(d)

       Pub. L. 99–514 substituting “apply to inflation adjustments” for “apply to section 1 rate changes made by Economic Recovery Tax Act of 1981” in heading

    3. Struck · 26 U.S.C. § 15(d)

       Pub. L. 99–514 struck out “section 1 attributable to the amendments made by section 101 of the Economic Tax Act of 1981 or” before “subsection (f)” in text

    Source evidence

    Code amendment note
    Subsec. (d). Pub. L. 99–514 amended subsec. (d) generally, substituting “apply to inflation adjustments” for “apply to section 1 rate changes made by Economic Recovery Tax Act of 1981” in heading and struck out “section 1 attributable to the amendments made by section 101 of the Economic Tax Act of 1981 or” before “subsection (f)” in text.

    Enacted provision · exact public law section
    (b) Amendment of Section 15.— Subsection (d) of section 15 (relating to effect of changes in rates during a taxable year) is amended to read as follows: “(d) Section Not To Apply to Inflation Adjustments.— This section shall not apply to any change in rates under subsection (f) of section 1 (relating to adjustments in tax tables so that inflation will not result in tax increases).”

16. 1988

    Technical and Miscellaneous Revenue Act of 1988

    Pub. L. 100–647 title I § 1006(a) · 102 Stat. 3342

    Added · 26 U.S.C. § 15(e)

    Pub. L. 100–647 added subsec. (e)

    Source evidence

    Code amendment note
    Subsec. (e). Pub. L. 100–647 added subsec. (e).

    Enacted provision · exact public law section
    (a) Amendment Related to Section 601 of the Reform Act.— Section 15 of the 1986 Code is amended by adding at the end thereof the following new subsection: “(e) References to Highest Rate.— If the change referred to in subsection (a) involves a change in the highest rate of tax imposed by section 1 or 11(b), any reference in this chapter to such highest rate (other than in a provision imposing a tax by reference to such rate) shall be treated as a reference to the weighted average of the highest rates before and after the change determined on the basis of the respective portions of the taxable year before the date of the change and on or after the date of the change.”

17. 2001

    Pub. L. 107–16 § 101(c)(3) · 115 Stat. 38

    Added · 26 U.S.C. § 15(f)

    Pub. L. 107–16, § 101(c)(3), added subsec. (f)

    Source evidence

    Code amendment note
    Subsec. (f). Pub. L. 107–16, § 101(c)(3), added subsec. (f).

    Enacted provision · exact public law section
    (3) Section 15 is amended by adding at the end the following new subsection: “(f) Rate Reductions Enacted by Economic Growth and Tax Relief Reconciliation Act of 2001.— This section shall not apply to any change in rates under subsection (i) of section 1 (relating to rate reductions after 2000).”.

    Effective date note
    Amendment by Pub. L. 107–16 applicable to taxable years beginning after Dec. 31, 2000, see section 101(d)(1) of Pub. L. 107–16, set out as an Effective and Termination Dates of 2001 Amendment note under section 1 of this title.

18 of 19 references resolved to an enrolled provision · 1 partial