Tap any paragraph to write a margin note. Your notes collect in the Desk below the text and file under cases with @. The side-by-side margin rail opens on a larger screen.

Code · U.S. Code · Title 26 - INTERNAL REVENUE CODE · CHAPTER 22— RAILROAD RETIREMENT TAX ACT · Subchapter E— Tier 2 Tax Rate Determination · § 3241

§ 3241. Determination of tier 2 tax rate based on average account benefits ratio

333 words·~2 min read·/usc/title-26/section-3241

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)In general For purposes of sections 3201(b), 3211(b), and 3221(b), the applicable percentage for any calendar year is the percentage determined in accordance with the table in subsection (b).
(b)Tax rate schedule Average account benefits ratioApplicable percentage for sections 3211(b) and 3221(b)Applicable percentage for section 3201(b) At leastBut less than ..............2.522.14.9 2.53.018.14.9 3.03.515.14.9 3.54.014.14.9 4.06.113.14.9 6.16.512.64.4 6.57.012.13.9 7.07.511.63.4 7.58.011.12.9 8.08.510.11.9 8.59.09.10.9 9.0..............8.20
(c)Definitions related to determination of rates of tax
(1)Average account benefits ratio For purposes of this section, the term “average account benefits ratio” means, with respect to any calendar year, the average determined by the Secretary of the account benefits ratios for the 10 most recent fiscal years ending before such calendar year. If the amount determined under the preceding sentence is not a multiple of 0.1, such amount shall be increased to the next highest multiple of 0.1.
(2)Account benefits ratio For purposes of this section, the term “account benefits ratio” means, with respect to any fiscal year, the amount determined by the Railroad Retirement Board by dividing the fair market value of the assets in the Railroad Retirement Account and of the National Railroad Retirement Investment Trust (and for years before 2002, the Social Security Equivalent Benefits Account) as of the close of such fiscal year by the total benefits and administrative expenses paid from the Railroad Retirement Account and the National Railroad Retirement Investment Trust during such fiscal year.
(d)Notice No later than December 1 of each calendar year, the Secretary shall publish a notice in the Federal Register of the rates of tax determined under this section which are applicable for the following calendar year.
(Added Pub. L. 107–90, title II, § 204(d), Dec. 21, 2001, 115 Stat. 892.)
Connections16 cite this · traces to 1
3 references not yet in our index
  • Pub. L. 107–90, title II, § 204(d)
  • 115 Stat. 892
  • section 204(f) of Pub. L. 107–90
Citation graph
cites case law
§ 3241
Determination of tier 2 tax rate based on average account benefits ratio
Fed. Reg.×13
U.S.C.×2
Stat.×1
Pub. L.Pub. L. 107–90, title II, § 204(d)
Stat.115 Stat. 892
Pub. L.section 204(f) of Pub. L. 107–90
Cites 4Cited by 16 across 3 sources
★   the supreme law of the land   ★
Don't Tread on Me
E Pluribus Unum — out of many, one

"If you don't know your rights, you don't have any."

Marginalia · a citizen's law index
A research desk, not legal advice. Always read the cited source before relying on a summary.
Questions or an issue? support@self-law.org
disclaimerMarginalia is a research index, not a law firm. Nothing on this site is legal, tax, or financial advice and no attorney–client relationship is formed by using it. Statutes, regulations, and case law change; summaries, search results, AI output, and member posts may be incomplete, out of date, or wrong. Any interpretation drawn from material on this site should be validated by a licensed attorney in your jurisdiction before you act on it.