Sec. 12. (a) Definition of “sur- Sec. 12. (a) Definition of "surtax net income."-As used in this tax net income."-As used in this section the term "surtax net in-section the term "surtax net income" come" means the amount of the net means the amount of the net income income in excess of the credits in excess of the credits against net against net income provided in sec-income provided in section 25 (b). tion 25 (b).

Sec. 12. (b) Rates of surtax.— Sec. 12. (b) Rates of surtax.— There shall be levied, collected, and There shall be levied, collected, and paid for each taxable year upon the paid for each taxable year upon the surtax net income of every individ-surtax net income of every individual a surtax as follows: ual a surtax as follows:

Upon a surtax net income of Upon a surtax net income of $1,000 there shall be no surtax; $4,000 there shall be no surtax; upon surtax net incomes in excess upon surtax net incomes in excess of $4,000 and not in excess of of $4,000 and not in excess of $6,000, 4 per centum of such excess. $6,000, 4 per centum of such excess. $80 upon surtax net incomes of $80 upon surtax net incomes of $6,000; and upon surtax net in- $6,000; and upon surtax net incomes comes in excess of $6,000 and not in excess of $6,000 and not in exin excess of $8,000, 6 per centum cess of $8,000, 5 per centum in adin addition of such excess. dition of such excess.

Taxable Years
Beginning in 1940

Taxable Years
Beginning in 1939

Taxable Years Beginning before 1939

in excess of $18,000, 18 per centum in addition of such excess.

$1,160 upon surtax net incomes of $18,000; and upon surtax net incomes in excess of $18,000 and not in excess of $20,000, 21 per centum in addition of such excess.

$1,880 upon surtax net incomes of $20,000; and upon surtax net incomes in excess of $20,000 and not in excess of $22,000, 24 per centum in addition of such excess.

$2,360 upon surtax net incomes of $22,000; and upon surtax net incomes in excess of $22,000 and not in excess of $26,000, 27 per centum in addition of such excess.

$3,440 upon surtax net incomes of $26,000; and upon surtax net incomes in excess of $26,000 and not in excess of $32,000, 30 per centum in addition of such excess.

$5,240 upon surtax net incomes of $32,000; and upon surtax net incomes in excess of $32,000 and not in excess of $38,000, 33 per centum in addition of such excess.

$7,220 upon surtax net incomes of $38,000; and upon surtax net incomes in excess of $38,000 and not in excess of $44,000, 36 per centum in addition of such excess.

in excess of $18,000, 11 per centum
in addition of such excess.

$1,000 upon surtax net incomes
of $18,000; and upon surtax net
incomes in excess of $18,000 and
not in excess of $20,000, 13 per
centum in addition of such excess.

$1,260 upon surtax net incomes of $20,000; and upon surtax net incomes in excess of $20,000 and not in excess of $22,000, 15 per centum in addition of such excess.

$1,560 upon surtax net incomes of $22,000; and upon surtax net incomes in excess of $22,000 and not in excess of $26,000, 17 per centum in addition of such excess.

$2,240 upon surtax net incomes of $26,000; and upon surtax net incomes in excess of $26,000 and not in excess of $32,000, 19 per centum in addition of such excess.

$3,380 upon surtax net incomes of $32,000; and upon surtax net incomes in excess of $32,000 and not in excess of $38,000, 21 per centum in addition of such excess.

$4,640 upon surtax net incomes of $38,000; and upon surtax net incomes in excess of $38,000 and not in excess of $44,000, 24 per centum in addition of such excess.

$9,380 upon surtax net incomes $6,080 upon surtax net incomes of $44,000; and upon surtax net of $44,000; and upon surtax net incomes in excess of $44,000 and incomes in excess of $44,000 and not in excess of $50,000, 40 per cen- not in excess of $50,000, 27 per tum in addition of such excess. I centum in addition of such excess. $11,780 upon surtax net incomes $7,700 upon surtax net incomes of $50,000; and upon surtax net of $50,000; and upon surtax net incomes in excess of $50,000 and incomes in excess of $50,000 and not in excess of $60,000, 44 per not in excess of $56,000, 31 per centum in addition of such excess. centum in addition of such excess. $16,180 upon surtax net incomes $9,560 upon surtax net incomes of $60,000; and upon surtax net of $56,000; and upon surtax net incomes in excess of $60,000 and incomes in excess of $56,000 and not in excess of $70,000, 47 per not in excess of $62,000, 35 per centum in addition of such excess. centum in addition of such excess. $20,880 upon surtax net incomes $11,660 upon surtax net incomes of $70,000; and upon surtax net of $62,000; and upon surtax net incomes in excess of $70,000 and incomes in excess of $62,000 and not in excess of $80,000, 50 per not in excess of $68,000, 39 per centum in addition of such excess. centum in addition of such excess. $25,880 upon surtax net incomes $14,000 upon surtax net incomes of $80,000; and upon surtax net of $68,000; and upon surtax net incomes in excess of $80,000 and incomes in excess of $68,000 and not in excess of $90,000, 53 per not in excess of $74,000, 43 per centum in addition of such excess. centum in addition of such excess. $31,180 upon surtax net incomes $16,580 upon surtax net incomes of $90,000; and upon surtax net of $74,000; and upon surtax net incomes in excess of $90,000 and incomes in excess of $74,000 and

Taxable Years
Beginning in 1940

Taxable Years
Beginning in 1939

Taxable Years Beginning before 1939

not in excess of $80,000, 47 per
centum in addition of such excess.

$19,400 upon surtax net incomes
of $80,000; and upon surtax net
incomes in excess of $80,000 and
not in excess of $90,000, 51 per
centum in addition of such excess.

$24,500 upon surtax net incomes of $90,000; and upon surtax net incomes in excess of $90,000 and not in excess of $100,000, 55 per centum in addition of such excess.

$30,000 upon surtax net incomes of $100,000; and upon surtax net incomes in excess of $100,000 and not in excess of $150,000, 58 per centum in addition of such excess. $59,000 upon surtax net incomes

not in excess of $100,000, 56 per
centum in addition of such excess.
$36,780 upon surtax net incomes
of $100,000; and upon surtax net
incomes in excess of $100,000 and
not in excess of $150,000, 58 per
centum in addition of such excess.
$65,780 upon surtax net incomes
of $150,000; and upon surtax net
incomes in excess of $150,000 and
not in excess of $200,000, 60 per
centum in addition of such excess.
$95,780 upon surtax net incomes
of $200,000; and upon surtax net
incomes in excess of $200,000 and
not in excess of $250,000, 62 per
centum in addition of such excess.
$126,780 upon surtax net incomes
of $250,000; and upon surtax net of $150,000; and upon surtax net
incomes in excess of $250,000 and
not in excess of $300,000, 64 per
centum in addition of such excess.
$158,780 upon surtax net incomes
of $300,000; and upon surtax net
incomes in excess of $300,000 and
not in excess of $400,000, 66 per
centum in addition of such excess.
$224,780 upon surtax net in-
comes of $400,000; and upon sur-
tax net incomes in excess of $400,-
000 and not in excess of $500,000,
68 per centum in addition of such

excess.

incomes in excess of $150,000 and
not in excess of $200,000, 60 per
centum in addition of such excess.

$89,000 upon surtax net incomes
of $200,000; and upon surtax net
incomes in excess of $200,000 and
not in excess of $250,000, 62 per
centum in addition of such excess.

$120,000 upon surtax net incomes of $250,000; and upon surtax net incomes in excess of $250,000 and not in excess of $300,000, 64 per centum in addition of such excess.

incomes in excess of $400,000 and
not in excess of $500,000, 68 per
centum in addition of such excess.

$152,000 upon surtax net incomes $292,780 upon surtax net incomes of $300,000; and upon surtax net of $500,000; and upon surtax net incomes in excess of $300,000 and incomes in excess of $500,000 and not in excess of $400,000, 66 per not in excess of $750,000, 70 per centum in addition of such excess. centum in addition of such excess. $218,000 upon surtax net incomes $467,780 upon surtax net incomes of $400,000; and upon surtax net of $750,000; and upon surtax net incomes in excess of $750,000 and not in excess of $1,000,000, 72 per centum in addition of such excess. $647,780 upon surtax net incomes of $1,000,000; and upon surtax net incomes in excess of $1,000,000 and not in excess of $2,000,000, 73 per centum in addition of such excess. $1,377,780 upon surtax net incomes of $2,000,000; and upon sur

tax

net incomes in excess of $2,000,000 and not in excess of $5,000,000, 74 per centum in addition of such excess.

$3,597,780 upon surtax net incomes of $5,000,000; and upon surtax net incomes in excess of $5,000,000, 75 per centum in addition of such excess.

Sec. 12(b), I. R. C., supra, amended by Sec. 2, R. A. of

$286,000 upon surtax net incomes of $500,000; and upon surtax net incomes in excess of $500,000 and not in excess of $750,000, 70 per centum in addition of such excess.

$461,000 upon surtax net incomes of $750,000; and upon surtax net incomes in excess of $750,000 and not in excess of $1,000,000, 72 per centum in addition of such excess.

$641,000 upon surtax net incomes of $1,000,000; and upon surtax net incomes in excess of $1,000,000 and not in excess of $2,000,000, 73 per centum in addition of such excess.

$1,371,000 upon surtax net incomes of $2,000,000; and upon surtax net incomes in excess of $2,000,000 and not in excess of