In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.

SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE.

(a) Short Title.--This Act may be cited as the ''Middle Class Tax
Relief Act of 1998''.I20 (b) Amendment of 1986 Code.--Except as
otherwise expressly provided, whenever in this Act an amendment or
repeal is expressed in terms of an amendment to, or repeal of, a
section or other provision, the reference shall be considered to be
made to a section or other provision of the Internal Revenue Code of
1986.
(c) Section 15 Not To Apply.--No amendment made by section 2 shall
be treated as a change in a rate of tax for purposes of section 15 of
the Internal Revenue Code of 1986.

SEC. 2. INCOME TAXED AT LOWEST RATE INCREASED TO $35,000 FOR UNMARRIED
INDIVIDUALS, $70,000 FOR JOINT RETURNS AND SURVIVING
SPOUSES, AND $52,600 FOR HEADS OF HOUSEHOLDS.

(a) General Rule.--Section 1 (relating to tax imposed) is amended
by striking subsections (a) through (e) and inserting the following:
''(a) Married Individuals Filing Joint Returns and Surviving
Spouses.--There is hereby imposed on the taxable income of--
''(1) every married individual (as defined in section 7703)
who makes a single return jointly with his spouse under section
6013, and
''(2) every surviving spouse (as defined in section 2(a)),
a tax determined in accordance with the following table:

''If taxable income is: The tax is:
Not over $70,000...............
15% of taxable income.
Over $70,000 but not over
$102,300.
$10,500, plus 28% of the excess
over $70,000.
Over $102,300 but not over
$155,950.
$19,544, plus 31% of the excess
over $102,300.
Over $155,950 but not over
$278,450.
$36,175, plus 36% of the excess
over $155,950.
Over $278,450..................
$80,275, plus 39.6% of the
excess over $278,450.
''(b)Heads of Households.--There is hereby imposed on the taxable
income of every head of a household (as defined in section 2(b)) a tax
determined in accordance with the following table:

''If taxable income is: The tax is:
Not over $52,600...............
15% of taxable income.
Over $52,600 but not over
$87,700.
$7,890, plus 28% of the excess
over $52,600.
Over $87,700 but not over
$142,000.
$17,718, plus 31% of the excess
over $87,700.
Over $142,000 but not over
$278,450.
$34,551, plus 36% of the excess
over $142,000.
Over $278,450..................
$83,673 plus 39.6% of the
excess over $278,450.
''(c) Unmarried Individuals (Other Than Surviving Spouses and Heads
of Households).--There is hereby imposed on the taxable income of every
individual (other than a surviving spouse as defined in section 2(a) or
the head of a household as defined in section 2(b)) who is not a
married individual (as defined in section 7703) a tax determined in
accordance with the following table:

''If taxable income is: The tax is:
Not over $35,000...............
15% of taxable income.
Over $35,000 but not over
$61,400.
$5,250, plus 28% of the excess
over $35,000.
Over $61,400 but not over
$128,100.
$12,642, plus 31% of the excess
over $61,400.
Over $128,100 but not over
$278,450.
$33,319, plus 36% of the excess
over $128,100.
Over $278,450..................
$87,445, plus 39.6% of the
excess over $278,450.
''(d) Married Individuals Filing Separate Returns.--There is hereby
imposed on the taxable income of every married individual (as defined
in section 7703) who does not make a single return jointly with his
spouse under section 6013, a tax determined in accordance with the
following table:

''If taxable income is: The tax is:
Not over $35,000...............
15% of taxable income.
Over $36,000 but not over
$51,150.
$5,250, plus 28% of the excess
over $35,000.
Over $51,150 but not over
$77,975.
$9,772, plus 31% of the excess
over $51,150.
Over $77,975 but not over
$139,225.
$18,088, plus 36% of the excess
over $77,975.
Over $139,225..................
$40,138, plus 39.6% of the
excess over $139,225.
''(e) Estates and Trusts.--There is hereby imposed on the taxable
income of--
''(1) every estate, and
''(2) every trust,
taxable under this subsection a tax determined in accordance with the
following table:Q10
''If taxable income is: The tax is:
Not over $1,700................
15% of taxable income.
Over $1,700 but not over $4,000
$255, plus 28% of the excess
over $1,700.
Over $4,000 but not over $6,100
$899, plus 31% of the excess
over $4,000.
Over $6,100 but not over $8,350
$1,550, plus 36% of the excess
over $6,100.
Over $8,350....................
$2,360, plus 39.6% of the
excess over $8,350.''.
(b) Inflation Adjustment To Apply in Determining Rates for 1999.--
Subsection (f) of section 1 is amended--
(1) by striking ''1993'' in paragraph (1) and inserting
''1998'',
(2) by striking ''1992'' in paragraph (3)(B) and inserting
''1997'', and
(3) by striking paragraph (7).
(c) Conforming Amendments.--
(1) The following provisions are each amended by striking
''1992'' and inserting ''1997'' each place it appears:
(A) Section 25A(h).
(B) Section 32(j)(1)(B).
(C) Section 41(e)(5)(C).
(D) Section 42(h)(6)(G)(i)(II).
(E) Section 68(b)(2)(B).
(F) Section 135(b)(2)(B)(ii).
(G) Section 151(d)(4).
(H) Section 221(g)(1)(B).
(I) Section 512(d)(2)(B).
(J) Section 513(h)(2)(C)(ii).
(K) Section 877(a)(2).
(L) Section 911(b)(2)(D)(ii)(II).
(M) Section 4001(e)(1)(B).
(N) Section 4261(e)(4)(A)(ii).
(O) Section 6039F(d).
(P) Section 6334(g)(1)(B).
(Q) Section 7430(c)(1).
(2) Subparagraph (B) of section 59(j)(2) is amended by
striking '', determined by substituting '1997' for '1992' in
subparagraph (B) thereof''.
(3) Subparagraph (B) of section 63(c)(4) is amended by
striking ''by substituting for'' and all that follows and
inserting ''by substituting for 'calendar year 1997' in
subparagraph (B) thereof 'calendar year 1987' in the case of
the dollar amounts contained in paragraph (2) or (5)(A) or
subsection (f).''
(4) Subparagraph (B) of section 132(f)(6) is amended by
inserting before the period '', determined by substituting
'calendar year 1992' for 'calendar year 1997' in subparagraph
(B) thereof''.
(5) Paragraph (2) of section 220(g) is amended by striking
''by substituting 'calendar year 1997' for 'calendar year 1992'
in subparagraph (B) thereof''.
(6) Subparagraph (B) of section 685(c)(3) is amended by
striking '', by substituting 'calendar year 1997' for 'calendar
year 1992' in subparagraph (B) thereof''.
(7) Subparagraph (B) of section 2032A(a)(3) is amended by
striking ''by substituting 'calendar year 1997' for 'calendar
year 1992' in subparagraph (B) thereof''.
(8) Subparagraph (B) of section 2503(b)(2) is amended by
striking ''by substituting 'calendar year 1997' for 'calendar
year 1992' in subparagraph (B) thereof''.
(9) Paragraph (2) of section 2631(c) is amended by striking
''by substituting 'calendar year 1997' for 'calendar year 1992'
in subparagraph (B) thereof''.
(10) Subparagraph (B) of 6601(j)(3) is amended by striking
''by substituting 'calendar year 1997' for 'calendar year 1992'
in subparagraph (B) thereof''.
(d) Modification of Withholding Tables for Taxable Year 1998.--
Notwithstanding the provisions of section 3402(a) of the Internal
Revenue Code of 1986, the Secretary of the Treasury shall modify the
tables and procedures under section 3402(a)(1) of such Code to reflect
the amendment made by subsection (a). Such modification shall--
(1) take effect on July 1, 1998, and
(2) reflect the entire reduction in taxes for calendar year
1998 made by such amendment during the 6-month period beginning
July 1, 1998.
(e) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 1997.
Middle Class Tax Relief Act of 1998 - Amends the Internal Revenue Code to revise the tax imposed and increase the 15 percent tax bracket for joint returns and surviving spouses, heads of households, other unmarried individuals, married individuals filing separately, and estates and trusts.