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SECTION 2. CHANGES

.01 For taxable years beginning after December 31, 2020, Div. EE, Title I, Subtitle A, §104 of the Consolidated Appropriations Act, 2021, Pub. L. No. 116-260 (Consolidated Appropriations Act, 2021) provides that the allowable amount of the: (i) American Opportunity Tax Credit under § 25A(b) of the Code is phased out for taxpayers with modified adjusted gross income in excess of $80,000 ($160,000 for joint returns); and (ii) Lifetime Learning Credit under § 25A(c) of the Code is phased out for taxpayers with modified adjusted gross income in excess of $80,000 ($160,000 for joint returns). The phaseout range provided in § 25A(d)(2) is not adjusted for inflation for taxable years beginning after December 31, 2020.

.02 For taxable years beginning after December 31, 2020, Div. EE, Title I, Subtitle A, §102 of the Consolidated Appropriations Act, 2021, provides that the energy efficient commercial buildings deduction is made permanent. In addition, the amount under § 179D(b)(1) used to determine the maximum amount of the deductions and the amount under § 179D(d)(1)(A) used to determine the partial allowance amount of the deduction are adjusted for inflation, beginning with taxable years beginning after December 31, 2020. As a result, for taxable years beginning in 2021, the maximum amount of the deduction allowed under section 179D(b) is $1.82. For taxable years beginning in 2021, the amount used to determine the partial allowance of the deduction under section 179D(d)(1)(A) is $0.61. SECTION 3. 2022 ADJUSTED ITEMS .01 Tax Rate Tables. For taxable years beginning in 2022, the tax rate tables under § 1 are as follows: