
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC3]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                        Subtitle A--Income Taxes
 
                  CHAPTER 1--NORMAL TAXES AND SURTAXES
 
              Subchapter A--Determination of Tax Liability
 
                       PART I--TAX ON INDIVIDUALS
 
Sec. 3. Tax tables for individuals


(a) Imposition of tax table tax

                           (1) In general

        In lieu of the tax imposed by section 1, there is hereby imposed 
    for each taxable year on the taxable income of every individual--
            (A) who does not itemize his deductions for the taxable 
        year, and
            (B) whose taxable income for such taxable year does not 
        exceed the ceiling amount,

    a tax determined under tables, applicable to such taxable year, 
    which shall be prescribed by the Secretary and which shall be in 
    such form as he determines appropriate. In the table so prescribed, 
    the amounts of the tax shall be computed on the basis of the rates 
    prescribed by section 1.

                     (2) Ceiling amount defined

        For purposes of paragraph (1), the term ``ceiling amount'' 
    means, with respect to any taxpayer, the amount (not less than 
    $20,000) determined by the Secretary for the tax rate category in 
    which such taxpayer falls.

    (3) Authority to prescribe tables for taxpayers who itemize 
                                 deductions

        The Secretary may provide that this section shall apply also for 
    any taxable year to individuals who itemize their deductions. Any 
    tables prescribed under the preceding sentence shall be on the basis 
    of taxable income.

(b) Section inapplicable to certain individuals

    This section shall not apply to--
        (1) an individual making a return under section 443(a)(1) for a 
    period of less than 12 months on account of a change in annual 
    accounting period, and
        (2) an estate or trust.

(c) Tax treated as imposed by section 1

    For purposes of this title, the tax imposed by this section shall be 
treated as tax imposed by section 1.

(d) Taxable income

    Whenever it is necessary to determine the taxable income of an 
individual to whom this section applies, the taxable income shall be 
determined under section 63.

(e) Cross reference

            For computation of tax by Secretary, see section 6014.

(Aug. 16, 1954, ch. 736, 68A Stat. 8; Pub. L. 88-272, title III, 
Sec. 301(a), Feb. 26, 1964, 78 Stat. 129; Pub. L. 91-172, title VIII, 
Sec. 803(c), Dec. 30, 1969, 83 Stat. 684; Pub. L. 94-12, title II, 
Sec. 201(c), Mar. 29, 1975, 89 Stat. 29; Pub. L. 94-455, title V, 
Sec. 501(a), Oct. 4, 1976, 90 Stat. 1558; Pub. L. 95-30, title I, 
Sec. 101(b), May 23, 1977, 91 Stat. 131; Pub. L. 95-600, title IV, 
Sec. 401(b)(1), Nov. 6, 1978, 92 Stat. 2867; Pub. L. 95-600, title II, 
Sec. 202(g), as added Pub. L. 96-222, title I, Sec. 108(a)(1)(A), Apr. 
1, 1980, 94 Stat. 223; Pub. L. 96-222, title I, Sec. 108(a)(1)(E), Apr. 
1, 1980, 94 Stat. 225; Pub. L. 97-34, title I, Secs. 101(b)(2)(B), (C), 
(c)(2)(A), 121(c)(3), Aug. 13, 1981, 95 Stat. 183, 197; Pub. L. 99-514, 
title I, Secs. 102(b), 141(b)(1), Oct. 22, 1986, 100 Stat. 2102, 2117.)


                               Amendments

    1986--Subsec. (a). Pub. L. 99-514, Sec. 102(b), substituted subsec. 
(a) for former subsec. (a) which read as follows:
        ``(1) In general.--In lieu of the tax imposed by section 1, 
    there is hereby imposed for each taxable year on the tax table 
    income of every individual whose tax table income for such year does 
    not exceed the ceiling amount, a tax determined under tables, 
    applicable to such taxable year, which shall be prescribed by the 
    Secretary and which shall be in such form as he determines 
    appropriate. In the tables so prescribed, the amounts of tax shall 
    be computed on the basis of the rates prescribed by section 1.
        ``(2) Ceiling amount defined.--For purposes of paragraph (1), 
    the term ``ceiling amount'' means, with respect to any taxpayer, the 
    amount (not less than $20,000) determined by the Secretary for the 
    tax rate category in which such taxpayer falls.
        ``(3) Certain taxpayers with large number of exemptions.--The 
    Secretary may exclude from the application of this section taxpayers 
    in any tax rate category having more than the number of exemptions 
    for that category determined by the Secretary.
        ``(4) Tax table income defined.--For purposes of this section, 
    the term `tax table income' means adjusted gross income--
            ``(A) reduced by the sum of--
                ``(i) the excess itemized deductions, and
                ``(ii) the direct charitable deduction, and
            ``(B) increased (in the case of an individual to whom 
        section 63(e) applies) by the unused zero bracket amount.
        ``(5) Section may be applied on the basis of taxable income.--
    The Secretary may provide that this section shall be applied for any 
    taxable year on the basis of taxable income in lieu of tax table 
    income.''
    Subsec. (b). Pub. L. 99-514, Sec. 141(b)(1), struck out par. (1) 
which read: ``an individual to whom section 1301 (relating to income 
averaging) applies for the taxable year,'' and redesignated pars. (2) 
and (3) as (1) and (2), respectively.
    1981--Subsec. (a)(1). Pub. L. 97-34, Sec. 101(b)(2)(B), inserted 
``and which shall be in such form as he determines appropriate'' after 
``Secretary''.
    Subsec. (a)(4)(A). Pub. L. 97-34, Sec. 121(c)(3), substituted 
``reduced by the sum of (i) the excess itemized deductions, and (ii) the 
direct charitable deduction'' for ``reduced by the excess itemized 
deductions''.
    Subsec. (a)(5). Pub. L. 97-34, Sec. 101(b)(2)(C), added par. (5).
    Subsec. (b)(1). Pub. L. 97-34, Sec. 101(c)(2)(A), substituted ``an 
individual to whom section 1301 (relating to income averaging) applies 
for the taxable year'' for ``an individual to whom (A) section 1301 
(relating to income averaging), or (B) section 1348 (relating to maximum 
rate on personal service income), applies for the taxable year''.
    1980--Subsec. (b)(1). Pub. L. 96-222 redesignated subpars. (B) and 
(C) as (A) and (B), respectively, and struck out former subpar. (A) 
which made reference to section 911 (relating to earned income from 
sources without the United States).
    1978--Subsec. (b)(1). Pub. L. 95-600 struck out subpar. (B) which 
related to the alternative capital gains tax under section 1201 of this 
title, and redesignated subpars. (C) and (D) as (B) and (C), 
respectively.
    1977--Pub. L. 95-30 struck out ``having taxable income of less than 
$20,000'' after ``individuals'' in section catchline.
    Subsec. (a). Pub. L. 95-30 designated existing provisions as par. 
(1), substituted ``tax table income'' for ``taxable income'' and ``does 
not exceed the ceiling amount'' for ``does not exceed $20,000'', and 
added pars. (2) to (4).
    Subsecs. (b) to (e). Pub. L. 95-30 added subsec. (b), redesignated 
former subsec. (b) as (c), and added subsecs. (d) and (e).
    1976--Pub. L. 94-455 designated existing provisions as subsec. (a), 
substituted provision relating to taxable income for such year does not 
exceed $20,000 for provision relating to adjusted gross income for such 
year is less than $15,000 and who has elected for such year to pay the 
tax imposed by this section, struck out ``or his delegate'' after 
``Secretary'', ``beginning after Dec. 31, 1969'' after ``each taxable 
year'', struck out provision requiring computation of taxable income by 
using standard deduction, and added subsec. (b).
    1975--Pub. L. 94-12 substituted ``$15,000'' for ``$10,000''.
    1969--Pub. L. 91-172 raised the individual gross income limit of 
$5,000 to $10,000 for exercising the option and substituted provision 
that the tax has to be determined under tables to be prescribed by the 
Secretary or his delegate for tables of tax rates for single persons, 
heads of household, married persons filing joint returns, married 
persons filing separate returns with 10 per cent standard deduction and 
married persons filing separate returns with minimum standard deduction.
    1964--Pub. L. 88-272 substituted optional tax tables covering five 
categories for taxable years beginning on or after Jan. 1, 1964, and 
before Jan. 1, 1965, and for years beginning after Dec. 31, 1964, for a 
single general table.


                    Effective Date of 1986 Amendment

    Amendment by Pub. L. 99-514 applicable to taxable years beginning 
after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a 
note under section 1 of this title.


                    Effective Date of 1981 Amendment

    Amendment by section 101(c)(2)(A) of Pub. L. 97-34 applicable to 
taxable years beginning after Dec. 31, 1981, see section 101(f)(1) of 
Pub. L. 97-34, set out as a note under section 1 of this title.
    Amendment by section 121(c)(3) of Pub. L. 97-34 applicable to 
contributions made after Dec. 31, 1981, in taxable years beginning after 
such date, see section 121(d) of Pub. L. 97-34, set out as a note under 
section 170 of this title.


                    Effective Date of 1980 Amendment

    Section 108(a)(2) of Pub. L. 96-222 provided that:
    ``(A) In general.--Except as provided in subparagraph (B), the 
amendments made by paragraph (1) [amending this section and sections 
119, 911, and 913 of this title] shall take effect as if included in the 
Foreign Earned Income Act of 1978 [Pub. L. 95-615].
    ``(B) Paragraph (1)(E).--The amendment made by paragraph (1)(E) 
[amending this section] shall apply to taxable years beginning after 
December 31, 1978.''


                    Effective Date of 1978 Amendment

    Amendment by section 401(b)(1) of Pub. L. 95-600 applicable to 
taxable years beginning after Dec. 31, 1978, see section 401(c) of Pub. 
L. 95-600, set out as a note under section 1201 of this title.


                    Effective Date of 1977 Amendment

    Amendment by Pub. L. 95-30 applicable to taxable years beginning 
after Dec. 31, 1976, see section 106(a) of Pub. L. 95-30, set out as a 
note under section 1 of this title.


                    Effective Date of 1976 Amendment

    Section 508 of Pub. L. 94-455 provided that: ``Except as otherwise 
provided, the amendments made by this title [enacting section 44A, 
amending this section and sections 36, 37, 41, 42, 46, 50A, 104, 144, 
213, 217, 904, 1211, 1304, 3402, 6014, and 6096, enacting provisions set 
out as notes under sections 105, 8022, and repealing sections 4 and 214 
of this title] shall apply to taxable years beginning after December 31, 
1975.''


            Effective and Termination Dates of 1975 Amendment

    Section 209(a) of Pub. L. 94-12, as amended by Pub. L. 94-164, 
Sec. 2(e), Dec. 23, 1975, 89 Stat. 972, provided that: ``The amendments 
made by sections 201, 202(a), and 203 [enacting section 42 of this title 
and amending this section and sections 56, 141, 6012, and 6096 of this 
title] shall apply to taxable years ending after December 31, 1974. The 
amendments made by sections 201(a) and 202(a) [amending section 141 of 
this title] shall cease to apply to taxable years ending after December 
31, 1975; those made by sections 201(b), 201(c), and 203 [enacting 
section 42 of this title and amending this section and sections 56, 
6012, and 6096 of this title] shall cease to apply to taxable years 
ending after December 31, 1976.''


                    Effective Date of 1969 Amendment

    Amendment by Pub. L. 91-172 applicable to taxable years beginning 
after Dec. 31, 1969, see section 803(f) of Pub. L. 91-172, set out as a 
note under section 1 of this title.


                    Effective Date of 1964 Amendment

    Section 301(c) of Pub. L. 88-272, as amended by Pub. L. 99-514, 
Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ``Except for 
purposes of section 21 of the Internal Revenue Code of 1986 [formerly 
I.R.C. 1954] (relating to effect of changes in rates during a taxable 
year), the amendments made by this section [amending this section and 
sections 4 and 6014 of this title] shall apply to taxable years 
beginning after December 31, 1963.''

                  Section Referred to in Other Sections

    This section is referred to in section 891 of this title.
