Sec. 105. Modifications to earned income tax credit
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Paragraph
(1)of section 32(b) of the Internal Revenue Code of 1986, as amended by the Tax Increase Prevention Act of 2014, is amended by adding at the end the following flush sentence: In the case of an eligible individual with 3 or more qualifying children, the second column shall be applied by substituting 45 for 40 . . Subparagraph
(B)of section 32(b)(2) of the Internal Revenue Code of 1986, as amended by the Tax Increase Prevention Act of 2014, is amended by striking $3,000 and inserting $5,000. . Clause
(ii)of section 32(j)(1)(B) of such Code is amended— by striking $3,000 and inserting $5,000 , by striking subsection (b)(2)(B)(iii) and inserting subsection (b)(2)(B) , and by striking calendar year 2007 and inserting calendar year 2008 . Section 32(b) of such Code is amended by striking paragraph (3). The table in subparagraph
(A)of section 32(b)(2) of the Internal Revenue Code of 1986 is amended— by striking $4,220 in the second column and inserting $8,820 , and by striking $5,280 in the last column and inserting $10,425 . Subparagraph
(B)of section 32(j)(1) of the Internal Revenue Code of 1986, as amended by this Act, is amended— in clause (i)— by inserting (except as provided in clause (iii)) after (b)(2)(A) , and by striking and at the end, and by adding at the end the following new clause: in the case of the $8,820 and $10,4250 amount in the table in subsection (b)(2)(A), by substituting calendar year 2012 for calendar year 1992 in subparagraph
(B)of such section 1. . Subclause
(II)of section 32(c)(1)(A)(ii) of the Internal Revenue Code of 1986 is amended by striking age 25 and inserting age 21 . Section 32(c)(1) of the Internal Revenue Code of 1986 (relating to eligible individual) is amended by adding at the end the following new paragraph: For purposes of this section, an individual who— is married (within the meaning of section 7703(a)) and files a separate return for the taxable year, lives with a qualifying child of the individual for more than one-half of such taxable year, and during the last 6 months of such taxable year, does not have the same principal place of abode as the individual's spouse, or has a legally binding separation agreement with the individual’s spouse and is not a member of the same household with the individual’s spouse by the end of the taxable year, shall not be considered as married. . The last sentence of section 32(c)(1)(A) of the Internal Revenue Code of 1986 is amended by striking section 7703 and inserting section 7703(a) . Section 32(d) of such Code is amended by striking In the case of an individual who is married (within the meaning of section 7703) and inserting In the case of an individual who is married (within the meaning of section 7703(a)) and is not described in subsection (c)(1)(G) . Section 32(c)(1) of the Internal Revenue Code of 1986 (relating to eligible individual), as amended by this Act, is amended by adding at the end the following new paragraph: Except as provided in clause (ii), in the case of 2 or more eligible individuals who may claim for such taxable year the same individual as a qualifying child, if such individual is claimed as a qualifying child by such an eligible individual, then any other such eligible individual who does not make such a claim of such child or of any other qualifying child may be considered an eligible individual without a qualifying child for purposes of the credit allowed under this section for such taxable year. If an individual is claimed as a qualifying child for any taxable year by an eligible individual who is a parent of such child, then no other custodial parent of such child who does not make such a claim of such child may be considered an eligible individual without a qualifying child for purposes of the credit allowed under this section for such taxable year. . Subparagraph
(F)of section 32(c)(1) of the Internal Revenue Code of 1986 is amended to read as follows: In the case of any eligible individual who has one or more qualifying children, if no qualifying child of such individual is taken into account under subsection
(b)by reason of paragraph (3)(D), for purposes of the credit allowed under this section, such individual may be considered an eligible individual without a qualifying child. . Section 32 of the Internal Revenue Code of 1986 is amended by striking subsection (i). Section 32(j)(1)(B)(i) of such Code, as amended by this Act, is amended— by striking subsections and inserting subsection , and by striking and (i)(1) . Section 32(j)(2) of such Code is amended to read as follows: If any dollar amount in subsection (b)(2)(A) (after being increased under subparagraph
(B)thereof), after being increased under paragraph (1), is not a multiple of $10, such amount shall be rounded to the next nearest multiple of $10. . The amendments made by this section shall apply to taxable years beginning after December 31, 2014.