INCREASE IN TOP MARGINAL RATE UNDER SECTION 11.

SEC. 13221. INCREASE IN TOP MARGINAL RATE UNDER SECTION 11. (a) General Rule.— Paragraph (1) of section 11(b) (relating to amount of tax) is amended— (1) by striking “and” at the end of subparagraph (B), (2) by striking subparagraph (C) and inserting the following: “(C) 34 percent of so much of the taxable income as exceeds $75,000 but does not exceed $10,000,000, and “(D) 35 percent of so much of the taxable income as exceeds $10,000,000”, and (3) by adding at the end thereof the following new sentence: “In the case of a corporation which has taxable income in excess of $15,000,000, the amount of the tax determined under the foregoing provisions of this paragraph shall be increased by an additional amount equal to the lesser of (i) 3 percent of such excess, or (ii) $100,000.” (b) Certain Personal Service Corporations.— Paragraph (2) of section 11(b) is amended by striking “34 percent” and inserting “35 percent”. (c) Conforming Amendments.— (1) Clause (iii) of section 852(b)(3)(D) is amended by striking “66 percent” and inserting “65 percent”. (2) Subsection (a) of section 1201 is amended by striking “34 percent” each place it appears and inserting “35 percent”. (3) Paragraphs (1) and (2) of section 1445(e) are each amended by striking “34 percent” and inserting “35 percent”. (d) Effective Date.— The amendments made by this section shall apply to taxable years beginning on or after January 1, 1993; except mat the amendment made by subsection (c)(3) shall take effect on the date of the enactment of this Act.