HR523-119

2. Increase in standard deduction made permanent Section 63(c)(2) of the Internal Revenue Code of 1986 is amended— by striking $4,400 in subparagraph (B) and inserting $18,000, and by striking $3,000 in subparagraph (C) and inserting $12,000. Section 63(c)(4) of such Code is amended to read as follows: Each dollar amount in paragraph (2)(B), (2)(C), or (5) or subsection (f) shall be increased by an amount equal to— such dollar amount, multiplied by the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting for 2016 in subparagraph (A)(ii) thereof— in the case of the dollar amounts contained in paragraph (2)(B) or (2)(C), 2017, in the case of the dollar amounts contained in paragraph (5)(A) or subsection (f), 1987, and in the case of the dollar amount contained in paragraph (5)(B), 1997. If any increase under this clause is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50. Section 63(c) of such Code is amended by striking paragraph (7). The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act. (4)Adjustments for inflation (A)In generalEach dollar amount in paragraph (2)(B), (2)(C), or (5) or subsection (f) shall be increased by an amount equal to— (i)such dollar amount, multiplied by (ii)the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting for 2016 in subparagraph (A)(ii) thereof— (I)in the case of the dollar amounts contained in paragraph (2)(B) or (2)(C), 2017, (II)in the case of the dollar amounts contained in paragraph (5)(A) or subsection (f), 1987, and (III)in the case of the dollar amount contained in paragraph (5)(B), 1997. (B)RoundingIf any increase under this clause is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50..