increase of earnings counted for benefit and tax purposes

increase of earnings counted for benefit and tax purposes Sec. 320. (a) (1) (A) Section 209(a)(3) of the Social Security Act is amended by inserting “and prior to 1966” after “1958”, (B) Section 209(a) of such Act is further amended by adding at the end thereof the following new paragraph: “(4) That part of remuneration which, after remuneration (other than remuneration referred to in the succeeding subsections of this section) equal to $6,600 with respect to employment has been paid to an individual during any calendar year after 1965, is paid to such individual during such calendar year;”. (2) (A) Section 211 (b)(1)(C) of such Act is amended by inserting “and prior to 1966” after “1958”, and by striking out “; or” and inserting in lieu thereof “; and”. (B) Section 211(b)(1) of such Act is further amended by adding at the end thereof the following new subparagraph: “(D) For any taxable year ending after 1965, (i) $6,600, minus (ii) the amount of the wages paid to such individual during the taxable year; or”. (3) (A) Section 213(a)(2)(ii) of such Act is amended by striking out “after 1958” and inserting in lieu thereof “after 1958 and before 1966, or $6,600 in the case of a calendar year after 1965”. (B) Section 213(a)(2)(iii) of such Act is amended by striking out “after 1958” and inserting in lieu thereof “after 1958 and before 1966, or $6,600 in the case of a taxable year ending after 1965”. (4) Section 215(e)(1) of such Act is amended by striking out “and the excess over $4,800 in the case of any calendar year after 1958” and inserting in lieu thereof “the excess over $4,800 in the case of any calendar year after 1958 and before 1966, and the excess over $6,600 in the case of any calendar year after 1965”. (b) (1) (A) Section 1402(b)(1)(C) of the Internal Revenue Code of 1954 (relating to definition of self-employment income) is amended by inserting “and before 1966” after “1958”, and by striking out “; or” and inserting in lieu thereof “; and”. (B) Section 1402(b)(1) of such Code is further amended by adding at the end thereof the following new subparagraph: “(D) for any taxable year ending after 1965, (i) $6,600, minus (ii) the amount of the wages paid to such individual during the taxable year; or”. (2) Section 3121(a)(1) of such Code (relating to definition of wages) is amended by striking out “$4,800” each place it appears and inserting in lieu thereof “$6,600”. (3) The second sentence of section 3122 of such Code (relating to Federal service) is amended by striking out “$4,800” and inserting in lieu thereof “$6,600”. (4) Section 3125 of such Code (relating to returns in the case of governmental employees in Guam and American Samoa) is amended by striking out “$4,800” where it appears in subsections (a) and (b) and inserting in lieu thereof “$6,600”. (5) Section 6413(c)(1) of such Code (relating to special refunds of employment taxes) is amended— (A) by inserting “and prior to the calendar year 1966” after “the calendar year 1958”; 79 Stat. 394 (B) by inserting after “exceed $4,800,” the following: “or (C) during any calendar year after the calendar year 1965, the wages received by him during such year exceed $6,600”. (C) by inserting before the period at the end thereof the following: “and before 1966, or which exceeds the tax with respect to the first $6,600 of such wages received in such calendar year after 1965”. (6) Section 6413(c)(2)(A) of such Code (relating to refunds of employment taxes in the case of Federal employees) is amended by striking out “or $4,800 for any calendar year after 1958” and inserting in lieu thereof “$4,800 for the calendar year 1959, 1960, 1961, 1962, 1963, 1964, or 1965, or $6,600 for any calendar year after 1965”. (c) The amendments made by subsections (a)(1) and (a)(3)(A), and the amendments made by subsection (b)(except paragraph (1) thereof), shall apply only with respect to remuneration paid after December 1965. The amendments made by subsections (a)(2), (a)(3)(B), and (b)(1) shall apply only with respect to taxable years ending after 1965. The amendment made by subsection (a)(4) shall apply only with respect to calendar years after 1965.