The Individual Income Tax Act of 1944, Pub. L. No. 315, Ch. 210, 58 Stat. 231 (May 29, 1944), raised individual

income tax An income tax is a tax imposed on individuals or entities (taxpayers) in respect of the income or profits earned by them (commonly called taxable income). Income tax generally is computed as the product of a tax rate times the taxable income. Ta ...

rates in the

United States The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country Continental United States, primarily located in North America. It consists of 50 U.S. state, states, a Washington, D.C., ...

and repealed the 3%

Victory Tax The Victory Tax was a 5% income tax established in the United States by the Revenue Act of 1942. Congress attempted to reduce the tax to 3% in the Revenue Act of 1943; that bill was vetoed by President Roosevelt, but his veto was overridden. The t ...

. The Act also amended section 22 of the Internal Revenue Code of 1939 to provide a definition for "adjusted gross income". It standardized the value of personal exemptions at $500 per person for those with adjusted gross income of $5,000 or more. The provisions of the Act were generally effective for tax years that began after December 31, 1943.Act, sec. 2.

References

{{US_tax_acts United States federal taxation legislation 1944 in law 1944 in the United States