The Revenue Act of 1936, 49 Stat. 1648 (June 22, 1936), established an "undistributed profits tax" on corporations in the United States .
Contents
It was signed into law by President Franklin D. Roosevelt.
The act was applicable to incomes for 1936 and thereafter.
Normal tax
A Normal Tax was levied on the net income of corporations as shown in the following table.
Surtax on undistributed profits
A Surtax was levied on corporations on "undistributed profits", i.e. profits not paid out in dividends, as shown in the following table.
Tax on individuals
A normal tax and a surtax were levied against the net income of individuals as shown in the following table.
References
Revenue Act of 1936 Wikipedia(Text) CC BY-SA