annualized tax

(3) Annualized tax For purposes of paragraph (1), the term “annualized tax” means, with respect to any payment, the amount of tax which would be imposed by section 1(c) 1 (determined without regard to any rate of tax in excess of the fourth lowest rate of tax applicable under section 1(c) 1 ) on an amount of taxable income equal to the excess of— (A) the annualized amount of such payment, over (B) the amount determined under paragraph (2).

Source

26 USC § 3402(r)(3)

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Scoping language

None identified, default scope is assumed to be the parent (chapter 24) of this section.

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