76 STAT. ]
PUBLIC LAW 8 7 - 8 3 4 - O C T. 16, 1962
989
(2) The table of sections for subpart B of part III of subchapter A of chapter 61 (relating to information concerning transactions with other persons) is amended by adding at the end thereof '•Sec. 6048. Returns as to creation of or transfers to certain foreign trusts."
(3) The table of sections for subchapter B of chapter 68 (relating to assessable penalties) is amended by adding at the end thereof "Sec. 6677. Failure to file information returns with respect to certain foreign trusts."
(j) EFFECTIVE DATE.—The amendments made by this section (other than by subsections (f), (g), and (h)) shall apply with respect to distributions made after December 31, 1962. SEC. 8. MUTUAL INSURANCE COMPANIES (OTHER THAN LIFE, MARINE, AND CERTAIN FIRE OR FLOOD INSURANCE COMPANIES), ETC. (a) IMPOSITION or TAX.—So much of part II of subchapter L (re- 26 USC 821-826; lating to mutual insurance companies, other than life or marine or ^"^^' ^- ^ ^^^ fire insurance companies issuing perpetual policies) of chapter 1 as precedes section 822 is amended to read as follows:
"PART II—MUTUAL INSURANCE COMPANIES (OTHER THAN LIFE AND CERTAIN MARINE INSURANCE COMPANIES AND OTHER THAN FIRE OR FLOOD INSURANCE COMPANIES WHICH OPERATE ON BASIS OF PERPETUAL POLICIES OR PREMIUM DEPOSITS) "Sec. 821. Tax on mutual insurance companies to which! part II applies. "Sec. 822. Determination of taxable investment income. "Sec. 823. Determination of statutory underwriting income or loss. "Sec. 824. Adjustments to provide protection against losses. "Sec. 825. Unused loss deduction. "Sec. 826. Election by reciprocal. "SEC. 821. TAX ON MUTUAL INSURANCE COMPANIES TO WHICH PART II APPLIES.
"(a) IMPOSITION OF T A X. — A tax is hereby imposed for each taxable year beginning after December 31, 1962, on the mutual insurance company taxable income of every mutual insurance company (other than a life insurance company and other than a fire, flood, or marine insurance company subject to the tax imposed by Section 831). Such tax Post, pp.997, shall consist of— ^^**' (1) NORMAL TAX.— " (A) TAXABLE YEARS BEGINNINO BEFORE JULY 1, 1963.—
In the case of taxable years beginning before July 1, 1963, a normal tax of 30 percent of the mutual insurance company taxable income, or 60 percent of the amount by which such taxable income exceeds $6,000, whichever is the lesser; " (B) TAXABU; YEARS BEGINNING AFTER J U N E 30, loes.— In the case of taxable years beginning after June 30, 1963, a normal tax of 25 percent of the mutual insurance company taxable income, or 50 percent of the amount by which such taxable income exceeds $6^00, whichever is the lesser; plus "(2) SURTAX,—A surtax of 22 percent of the mutual insurance company taxable income (computed without regard to the deduction provided in section 242 for partially tax-exempt interest) in excess of $25,000. " (b) MUTUAL INSUTJANC^E COMPANY TAXABLE INCOME DEFINED.—
For purposes of this part, the term 'mutual insurance company tax-
26 USC 242.
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