Definition: In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
Input: SECTION 1. SHORT TITLE; ETC.

(a) Short Title.--This Act may be cited as the ''AMT Rate Reduction
Act of 2001''.
(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 this Act 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. REDUCTION IN MARGINAL INCOME TAX RATES FOR INDIVIDUALS.

(a) Rates for 2002.--Section 1 (relating to tax imposed) is amended
by striking subsections (a) through (d) 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 $12,000...............
14% of taxable income.
Over $12,000 but not over
$45,200.
$1,680, plus 15% of the excess
over $12,000.
Over $45,200 but not over
$109,250.
$6,660, plus 27% of the excess
over $45,200.
Over $109,250 but not over
$166,450.
$23,953.50, plus 30% of the
excess over $109,250.
Over $166,450 but not over
$297,300.
$41,113.50, plus 35% of the
excess over $166,450.
Over $297,300..................
$86,911, plus 38% of the excess
over $297,300.
''(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 $10,000...............
14% of taxable income.
Over $10,000 but not over
$36,250.
$1,400, plus 15% of the excess
over $10,000.
Over $36,250 but not over
$93,600.
$5,337.50, plus 27% of the
excess over $36,250.
Over $93,600 but not over
$151,600.
$20,822, plus 30% of the excess
over $93,600.
Over $151,600 but not over
$297,300.
$38,222, plus 35% of the excess
over $151,600.
Over $297,300..................
$89,217, plus 38% of the excess
over $297,300.
''(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 $6,000................
14% of taxable income.
Over $6,000 but not over
$27,050.
$840, plus 15% of the excess
over $6,000.
Over $27,050 but not over
$65,550.
$3,997.50, plus 27% of the
excess over $27,050.
Over $65,550 but not over
$136,750.
$14,362.50, plus 30% of the
excess over $65,550.
Over $136,750 but not over
$297,300.
$35,752.50, plus 35% of the
excess over $136,750.
Over $297,300..................
$91,945, plus 38% of the excess
over $297,300.
''(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 $6,000................
14% of taxable income.
Over $6,000 but not over
$22,600.
$840, plus 15% of the excess
over $6,000.
Over $22,600 but not over
$54,625.
$3,330, plus 27% of the excess
over $22,600.
Over $54,625 but not over
$83,225.
$11,976.75, plus 30% of the
excess over $54,625.
Over $83,225 but not over
$148,650.
$20,556.75, plus 35% of the
excess over $83,225.
Over $148,650..................
$43,455.50, plus 38% of the
excess over
$148,650.''.
(b) Phasein of Rate Reductions.--Section 1 is amended by adding at
the end the following new subsection:
''(i) Phasein of 2006 Rates of 10, 15, 25, and 33 Percent.--
''(1) In general.--In the case of taxable years beginning
in a calendar year after 2002, the tax rates determined under
subsection (a), (b), (c), or (d) shall be the tax rates imposed
by such subsection in taxable years beginning in calendar year
2002, reduced--
''(A) in the case of the 14 percent rate, by 1
percentage point in each taxable year beginning in a
calendar year after 2002 and before 2007,
''(B) in the case of the 27 and 35 percent rates,
by 1 percentage point in taxable years beginning in
calendar year 2004, and by an additional 1 percentage
point in taxable years beginning in calendar year 2006,
and
''(C) in the case of the 30 and 38 percent rate, by
1 percentage point in each taxable year beginning in a
calendar year after 2002 and before 2006, and by an
additional 2 percentage points in taxable years
beginning in calendar year 2006.
''(2) Adjustment of tables.--The Secretary shall adjust the
tables prescribed under subsection (f) to carry out the
reductions under this subsection.''.
(c) Inflation Adjustment To Apply in Determining Rates for 2002.--
Subsection (f) of section 1 is amended--
(1) by striking ''1993'' in paragraph (1) and inserting
''2001'',
(2) by striking ''1992'' in paragraph (3)(B) and inserting
''2000'', and
(3) by striking paragraph (7) and inserting the following
new paragraph:
''(7) Special rule for certain brackets.--
''(A) Calendar years 2002 through 2006.--In
prescribing the tables under paragraph (1) which apply
with respect to taxable years beginning in calendar
years after 2001 and before 2007, the Secretary shall
make no adjustment to the dollar amounts at which the
first rate bracket begins or at which the second rate
bracket begins under any table contained in subsection
(a), (b), (c), or (d).
''(B) Later calendar years.--In prescribing the
tables under paragraph (1) which apply with respect to
taxable years beginning in a calendar year after 2006,
the cost-of-living adjustment used in making
adjustments to the dollar amounts referred to in
subparagraph (A) shall be determined under paragraph
(3) by substituting '2005' for '2000'.''.
(d) Conforming Amendments.--
(1) The following provisions are each amended by striking
''1992'' and inserting ''2000'' each place it appears:
(A) Section 32(j)(1)(B).
(B) Section 41(e)(5)(C).
(C) Section 42(h)(3)(H)(i)(II).
(D) Section 59(j)(2)(B).
(E) Section 63(c)(4)(B).
(F) Section 68(b)(2)(B).
(G) Section 132(f)(6)(A)(ii).
(H) Section 135(b)(2)(B)(ii).
(I) Section 146(d)(2)(B).
(J) Section 151(d)(4).
(K) Section 220(g)(2).
(L) Section 221(g)(1)(B).
(M) Section 512(d)(2)(B).
(N) Section 513(h)(2)(C)(ii).
(O) Section 685(c)(3)(B).
(P) Section 877(a)(2).
(Q) Section 911(b)(2)(D)(ii)(II).
(R) Section 2032A(a)(3)(B).
(S) Section 2503(b)(2)(B).
(T) Section 2631(c)(2).
(U) Section 4001(e)(1)(B).
(V) Section 4261(e)(4)(A)(ii).
(W) Section 6039F(d).
(X) Section 6323(i)(4)(B).
(Y) Section 6334(g)(1)(B).
(Z) Section 6601(j)(3)(B).
(AA) Section 7430(c)(1).
(2) Sections 25A(h)(1)(A)(ii) and 25A(h)(2)(A)(ii) are each
amended by striking ''begins,'' and all that follows through
''thereof''.
(3) Subclause (II) of section 42(h)(6)(G)(i) is amended by
striking ''1987'' and inserting ''2000''.
(e) Additional Conforming Amendments.--
(1) Section 1(g)(7)(B)(ii)(II) is amended by striking ''15
percent'' and inserting ''10 percent''.
(2) Section 1(h) is amended--
(A) by striking ''28 percent'' both places it
appears in paragraphs (1)(A)(ii)(I) and (1)(B)(i) and
inserting ''15 percent'', and
(B) by striking paragraph (13).
(3) Section 531 is amended by striking ''39.6 percent'' and
inserting ''33 percent''.
(4) Section 541 of such Code is amended by striking ''39.6
percent'' and inserting ''33 percent''.
(5) Section 3402(p)(1)(B) is amended by striking ''7, 15,
28, or 31 percent'' and inserting ''5, 10, 15, or 25 percent''.
(6) Section 3402(p)(2) is amended by striking ''15
percent'' and inserting ''10 percent''.
(7) Section 3402(q)(1) is amended by striking ''28
percent'' and inserting ''15 percent''.
(8) Section 3402(r)(3) is amended by striking ''31
percent'' and inserting ''25 percent''.
(9) Section 3406(a)(1) is amended by striking ''31
percent'' and inserting ''25 percent''.
(10) The Secretary of the Treasury may prescribe
percentages which shall apply in lieu of the percentages
specified in the amendments made by this subsection in order to
coordinate those percentages with the percentages specified in the
tables prescribed under the last sentence of section 1(i)(1) of the
Internal Revenue Code of 1986, as added by this section.
(f) Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to taxable years
beginning after December 31, 2001.
(2) Amendments to withholding provisions.--The amendments
made by paragraphs (5), (6), (7), (8), and (9) of subsection
(e) shall apply to amounts paid after December 31, 2001.

SEC. 3. REDUCTION IN ALTERNATIVE MINIMUM TAX RATES FOR INDIVIDUALS.

(a) In General.--Clause (i) of section 55(b)(1)(A) (defining
tentative minimum tax) is amended to read as follows:
''(i) In general.--In the case of a
taxpayer other than a corporation, the
tentative minimum tax for the taxable year is
25 percent of the taxable excess.''
(b) Phasein of Reduced Rate for Certain Taxpayers.--Subparagraph
(A) of section 55(b)(1) is amended by redesignating clauses (ii) and
(iii) as clauses (iii) and (iv), respectively, and by inserting after
clause (ii) the following new clause:
''(iii) Phasein of reduced rate.--In the
case of so much of the taxable excess as
exceeds $175,000, clause (i) shall be applied
by substituting for '25 percent'--
''(I) 27 percent in the case of
taxable years beginning during 2002 or
2003, and
''(II) 26 percent in the case of
taxable years beginning during 2004 or
2005.''
(c) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2001.
Output:
AMT Rate Reduction Act of 2001 - Amends the Internal Revenue Code to provide for a reduction in tax rates for individuals for calendar year 2002, as well as further reductions through calendar year 2006.Provides for a reduction in the alternative minimum tax for individuals.