Economic Growth and Tax Relief Reconciliation Act of 2001/Title VII

TITLE VII—ALTERNATIVE MINIMUM TAX

SEC. 701. INCREASE IN ALTERNATIVE MINIMUM TAX EXEMPTION.

(a) In General.—

(1) Subparagraph (A) of section 55(d)(1) (relating to exemption amount for taxpayers other than corporations) is amended by striking ``$45,000'' and inserting ``$45,000 ($49,000 in the case of taxable years beginning in 2001, 2002, 2003, and 2004)''.

(2) Subparagraph (B) of section 55(d)(1) (relating to exemption amount for taxpayers other than corporations) is amended by striking ``$33,750'' and inserting ``$33,750 ($35,750 in the case of taxable years beginning in 2001, 2002, 2003, and 2004)''.

(b) Conforming Amendments.—

(1) Paragraph (1) of section 55(d) is amended by striking ``and'' at the end of subparagraph (B), by striking subparagraph (C), and by inserting after subparagraph (B) the following new subparagraphs:

``(C) 50 percent of the dollar amount applicable under paragraph (1)(A) in the case of a married individual who files a separate return, and

``(D) $22,500 in the case of an estate or trust.''.

(2) Subparagraph (C) of section 55(d)(3) is amended by striking ``paragraph (1)(C)'' and inserting ``subparagraph (C) or (D) of paragraph (1)''.

(3) The last sentence of section 55(d)(3) is amended—

(A) by striking ``paragraph (1)(C)(i)'' and inserting ``paragraph (1)(C)''; and

(B) by striking ``$165,000 or (ii) $22,500'' and inserting ``the minimum amount of such income (as so determined) for which the exemption amount under paragraph (1)(C) is zero, or (ii) such exemption amount (determined without regard to this paragraph)''.

(c) Effective Date.—The amendments made by this section shall apply to taxable years beginning after December 31, 2000.