A bill to amend the Internal Revenue Code of 1954 to increase for taxable years beginning after December 31, 1975, the personal income tax exemptions of a taxpayer (including the exemption for a spouse, the exemptions for dependents, and the additional exemptions for old age and blindness).

Increases to $1,200 the personal income tax exemptions of a taxpayer under the Internal Revenue Code (including the exemption for a spouse, the exemptions for dependents, and the additional exemptions for old age and blindness).

Increases the amounts of the withholding exemptions applicable for purposes of the collection of income tax at the source in order to reduce the amount withheld at the source.