Taxable Years Beginning in 1945 Sec. 25. (b) Credits for surtax only. Sec. 25. (b) (1) Credits. Same as 1944. Taxable Years Beginning in 1944 tion shall be $1000, except that if the adjusted gross income of one spouse is less than $500, the normal-tax exemption shall be $500 plus the adjusted gross income of such spouse. Sec. 25 (a) (3), I. R. C., supra, added to I. R. C. by Sec. 10 (a), I. I. T. A. of 1944. Sec. 2 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1943. See, 25, (a) (4) Earned-income definitions Sec. 25 (a) (4), I. R. C., For section before repeal, see Sec. 25. (b) Credits for surtax only. Sec. 25 (b) (1) Credits.-There shall be allowed for the purpose of the surtax, but not for the normal tax, the following credits against net income: (A) A surtax exemption of $500 for the taxpayer; (B) A surtax exemption of $500 for the spouse of the taxpayer if (i) a joint return is made by the taxpayer and his spouse under section 51, in which case the surtax exemption of the spouses under subparagraph (A) and this subparagraph shall be only $1,000 in the aggregate, or (ii) a separate return is made by the taxpayer, and his spouse has no gross income for the calendar year in which the taxable year of the taxpayer begins and is not the dependent of another taxpayer; (C) A surtax exemption of $500 for each dependent whose gross income for the calendar year in which the taxable year of the taxpayer begins is less than $500, except that if such dependent is married the exemption in respect of such dependent shall not be allowed if such dependent has made a joint return with the other spouse under section Taxable Years Beginning before 1944 Sec. 25. (a) (4) Earned income definitions. Section originated 1924 as Second Edition, p. 56, Sec. 25. (b) Credits for both normal tax and surtax. Section originated 1913 88 For any amendments prior to Second Edition, p. 116, Eighth Edition, pp. 66, 85, Sec. 25. (b) (1) Personal exemption. Section originated 1913 as For any amendments prior to Second Edition, p. 116, Taxable Years Beginning in 1949 (ii) An additional exemption of $600 for the spouse of the taxpayer if a separate return is made by the taxpayer, and if the spouse is blind and, for the calendar year in which the taxable year of the taxpayer begins, has no gross income and is not the dependent of another taxpayer. For the purposes of this clause the determination of whether the spouse is blind shall be made as of the close of the taxable year of the taxpayer, unless the spouse dies during such taxable year, in which case such determination shall be made as of the time of such death; (iii) For the purposes of this subparagraph an individual is blind only if either: his central visual acuity does not exceed 20/200 in the better eye with correcting lenses, or his visual acuity is greater than 20/200 but is accompanied by a limitation in the fields of vision such that the widest diameter of the visual field subtends an angle no greater than 20 degrees; (D) An exemption of $600 for each dependent whose gross income for the calendar year in which the taxable year of the taxpayer begins is less than $500, except that the exemption shall not be allowed in respect of a dependent who has made a joint return with his spouse under section 51 for the taxable year beginning in such calendar (A) the determination of whether an individual is married shall be made as of the close of his taxable year, unless his spouse dies during his taxable year, in which case such determination shall be made as of the time of such death; and Taxable Years Beginning in 1948 (ii) An additional exemption of $600 for the spouse of the taxpayer if a separate return is made by the taxpayer, and if the spouse is blind and, for the calendar year in which the taxable year of the taxpayer begins, has no gross income and is not the dependent of another taxpayer. For the purposes of this clause the determination of whether the spouse is blind shall be made as of the close of the taxable year of the taxpayer, unless the spouse dies during such taxable year, in which case such determination shall be made as of the time of such death; (iii) For the purposes of this subparagraph an individual is blind only if either: his central visual acuity does not exceed 20/200 in the better eye with correcting lenses, or his visual acuity is greater than 20/200 but is accompanied by a limitation in the fields of vision such that the widest diameter of the visual field subtends an angle no greater than 20 degrees; (D) An exemption of $600 for each dependent whose gross income for the calendar year in which the taxable year of the taxpayer begins is less than $500, except that the exemption shall not be allowed in respect of a dependent who has made a joint return with his spouse under section 51 for the taxable year beginning in such calendar year. Taxable Years Beginning in 1946 and 1947 Sec. 25 (b) and Sec. 25 (b) (1), I. R. C., supra, as shown, in 1944 column, amended by Sec. 102 (a), R. A. of 1945, to read as above. Sec. 102 (c) of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1945. Sec. 25. (b) (2) Determination Sec. 25. (b) (2) Determination of Status. For the purposes of of status. this subsection (A) the determination of whether an individual is married shall be made as of the close of his taxable year, unless his spouse dies during his taxable year, in which case such determination shall be made as of the time of such death: and (B) an individual legally sepa- (B) an individual legally separated from his spouse under a de-rated from his spouse under a decree of divorce or of separate cree of divorce or of separate mainmaintenance shall not be consid- tenance shall not be considered as ered as married. married. Sec. 25 (b) (1) and (2), I. R. C., as shown in 1946 and 1947 columns amended to read as above by Sec. 201, R. A. of 1948. Sec. 203 of said Act makes amendment applicable to taxable years beginning after Dec. 31, Same as 1944. Taxable Years Beginning in 1949 Sec. 25. (b) (3) Definiton of dependent.-As used in this chapter the term "dependent" means any of the following persons over half of whose support, for the calendar year in which the taxable year of the taxpayer begins, was received from the taxpayer: (A) a son or daughter of the taxpayer, or a descendant of either, (B) a stepson or stepdaughter of the taxpayer, (C) a brother, sister, stepbrother, or stepsister of the taxpayer, (D) the father or mother of the taxpayer, or an ancestor of either, (E) a stepfather or stepmother of the taxpayer, (F) a son or daughter of a brother or sister of the taxpayer, (G) a brother or sister of the father or mother of the taxpayer, (H) a son-in-law, daughter-inlaw, father-in-law, mother-in-law, brother-in-law, or sister-in-law of the taxpayer. As used in this paragraph, the terms "brother" and "sister" inIclude a brother or sister by the half-blood. For the purposes of determining whether any of the foregoing relationships exist, a legally adopted child of a person shall be considered a child of such person by blood. The term "dependent" does not include any individual who is a citizen or subject of a foreign country unless such individual is a resident of the United States or of a country contiguous to the United States. A payment to a wife which is includible under section 22 (k) or section 171 in the gross income of such wife shall not be considered a payment by her husband for the support of any dependent. Sec. 26. Credits of corporations. In the case of a corporation the tions. following credits shall be allowed to the extent provided in the various sections imposing tax Sec. 26. Credits of corporations. Same as 1944. Taxable Years Beginning in 1945 Sec. 25. (b) (3) Definition of dependent. Same as 1944. Sec. 26. Credits of corporations. Same as 1944. Taxable Years Beginning in 1944 Sec. 25. (b) (3) Definition of dependent.-As used in this chapter the term "dependent" means any of the following persons over half of whose support, for the calendar year in which the taxable year of the taxpayer begins, was received from the taxpayer: (A) a son or daughter of the taxpayer, or a descendant of either, (B) a stepson or stepdaughter of the taxpayer, (C) a brother, sister, stepbrother, or stepsister of the taxpayer, (D) the father or mother of the taxpayer, or an ancestor of either, (E) a stepfather or stepmother of the taxpayer, (F) a son or daughter of a brother or sister of the taxpayer, (G) a brother or sister of the father or mother of the taxpayer, (H) a son-in-law, daughter-inlaw, father-in-law, mother-in-law, brother-in-law, or sister-in-law of the taxpayer. As used in this paragraph, the terms "brother" and "sister" include a brother or sister by the half-blood. For the purposes of determining whether any of the foregoing relationships exist, a legally adopted child of a person shall be considered a child of such person by blood. The term "dependent" does not include any individual who is a citizen or subject of a foreign country unless such individual is a resident of the United States or of a country contiguous to the United States. A payment to a wife which is includible under section 22 (k) or section 171 in the gross income of such wife shall not be considered a payment by her husband for the support of any dependent. Sec. 25 (b), I. R. C., supra, amended by Sec. 10 (b) I. I. T. A. of 1944, to read as above. Sec. 2 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1943. Sec. 25 (b) (3) was also amended previously by Sec. 103, R. A. of 1943 as shown in fn. 4. Taxable Years Beginning before 1944 Sec. 25. (b) (3) Change of status. Section originated 1921 as Second Edition, p. 118, Sec. 26. Credits of corpora Sec. 26. Credits of corporations. In the case of a corporation the tions. following credits shall be allowed to the extent provided in the various sections imposing tax 4 Sec. 103, R. A. of 1943, amended 25 (b) (3), I. R. C., to read as follows: "(3) DETERMINATION OF STATUS.-For the purpose of determining the amount of the personal exemption and credit for dependents, the status of the taxpayer shall be determined as of July 1 of the taxable year, unless the taxable year does not include July 1, in which case such status shall be determined as of the last day of the taxable year." |