REPUBLIC OF LITHUANIA                                     
                                                                                
                         PROVISIONAL LAW                                        
                               ON                                               
                  INCOME TAX OF NATURAL PERSONS                                 
                                                                                
                                                                                
                                                                                
                            Chapter 1                                           
                                                                                
                       General Provisions                                       
                                                                                
                                                                                
                                                                                
     Article 1. Income tax of natural persons shall be paid by:                 
     (1)  persons   deriving  income   through  their  labour  at               
enterprises,institutions,   and organizations on the territory of               
the  Republic   of  Lithuania   and   at   foreign   enterprises,               
institutions and organizations owned by Lithuania;                              
     (2)  permanent   residents  of  the  Republic  of  Lithuania               
deriving income  from inhabitants as well as deriving income from               
enterprises, institutions   and organizations on the territory of               
Lithuania and  beyond its  boundaries   not connected with labour               
relations;                                                                      
     (3) private  enterprises or  partnerships without  rights of               
legal persons   and  partnerships deriving income from commercial               
activity registered  in the established manner.                                 
     Foreigners and  persons possessing  no  citizenship  of  the               
Republic   of Lithuania  pay this  tax  in  the  same  manner  as               
citizens of  the  Republic    of  Lithuania.    If  international               
agreements provide  for a  different   procedure of  paying,  the               
income tax is paid as provided by these agreements.                             
                                                                                
     Article 2. Income tax shall not be levied on:                              
     (1) retirement  and old-age  pensions paid  out  from  state               
social insurance  funds, and state and local government budgets;                
     (2) stipends  and other  benefits and payments paid from the               
stipend   funds of  students of educational institutions financed               
from the budget  (Amended 13 July 1993).                                        
                                                                                
     Article 3.  Income received  in foreign  currency  shall  be               
subject   to taxation according to the regulations promulgated by               
the Government  (Amended 13 July 1993).                                         
                                                                                
                                                                                
                            Chapter 2                                           
                                                                                
 Determination of Taxes on Income Derived from Sources Connected                
                      with Labour Relations                                     
                                                                                
                                                                                
                                                                                
     Article  4.   Income  received  at  the  principal  job  and               
connected   with the  labour relations, as well as income derived               
from  other  activities    provided  for  in  the  bylaws  of  an               
enterprise (  with the exception of  income the taxation of which               
shall be  regulated by  Articles 3  and   4 of this Law) shall be               
subject to  taxation  at  income  tax  rates  provided    in  the               
Supplement 1  of this  Law, having  subtracted from  it the  tax-               
exempt  minimum (Amended 13 July 1993).                                         
                                                                                
     Article 5.  The tax-exempt  minimum income earnings received               
at   the principal  job from  the sources  connected with  labour               
relations  shall be:                                                            
                                                                                
                                                                                
     (1) for  the disabled of Group 1 - 1.1 MSL earnings (minimum               
standard   of living determined in accordance with the Law of the               
Republic of  Lithuania on Individual Income Security) ;                         
     (2) for the disabled of Group 2 - 1.0 MSL earnings;                        
     (3) for the disabled of Group 3 - 0.9 MSL earnings;                        
     (4) for  persons with three and more children under 18 years               
of age  -1.0 MSL earnings;                                                      
     (5) for  the mother  or father  in case  of a  single parent               
family with   one  child under 18 - 0.9 MSL earnings and with two               
or more children  under 18 - 1.0 MSL earnings;                                  
     (6) for  employees  of  enterprises  producing  agricultural               
products,   whose monthly  income generated  from activities  not               
connected with  production or processing of agricultural products               
does not  exceed   20 percent  of gross  monthly income - 0.9 MSL               
earnings; and                                                                   
     (7) for  other persons  not indicated  in Par.  1-6 of  this               
Article -  O.8 MSL earnings.                                                    
     In addition, for visually handicapped persons of Group 1 and               
2, for   parents  with at least one handicapped child, as well as               
for parents   with  4 and  more children  for the  4th  and  each               
successive child  the   tax shall  be further  reduced by 0.1 MSL               
earnings (Amended 13 July  1993).                                               
                                                                                
     Article 6.  The following  monthly earnings  in cash  and in               
kind   received at the principal job shall be included in taxable               
income:                                                                         
     (1) wages,  including various additional payments, sickness,               
maternity  benefits paid from the resources of social insurance -               
the sums calculated  for that month.                                            
     Sums of  earnings payable  by enterprises,  institutions and               
organizations   for work  of more  than one month in duration and               
whose duration  has  been recorded provided the full monthly wage               
or a portion thereof  has not been paid during that period, shall               
be phased  out in proportion  to the number of months worked (but               
not for a period in excess of  12 months);                                      
     (2) one-time  bonuses, taxable allowances and other payments               
- the  sums paid out within a month;                                            
     (3) bonuses  and other  incentive  payments  for  work  done               
within the   period  exceeding one  month  shall  be  phased  out               
proportionately to   the  number  of  recorded  months  (but  not               
exceeding 12  months) and shall  be subject to taxation at income               
tax rates provided in Supplement  2 of this Law, which were valid               
in that  month when  these payments   were  calculated for  being               
paid. Additional  payment (shares of profit)  shall also be taxed               
in the  same manner.  Provided several  such bonuses    or  other               
incentive payments  shall be  paid within  a month, tax shall  be               
imposed on each of them;                                                        
     (4) upon  discharge from  work an  employee shall  be paid a               
compensation   in the amount established in Articles 30 and 42 of               
the Law on the  Employment Contract, compensations for the unused               
vacations,  gratuities,    as  well  as  sums  adjudged  for  the               
compensation of  damage due to the  constrained absence from work               
resulting from  the unlawful dismissal  from work, in calculating               
income tax  from these  payments, they  must   be divided into as               
many parts  as the  sum of  respective payments  make  up average               
monthly wages  and each  of them  shall be  taxed separately   at               
income tax  rates provided  in Supplement  2 of this Law (Amended               
13 July 1993).                                                                  
                                                                                
     Article 7. The following shall be exempt from taxation:                    
     (1) social security and social assistance benefits paid from               
state   and social  insurance resources,  excluding sickness  and               
maternity allowances;  benefits administered by the Government of               
the Republic  of Lithuania   or  local governments,  as  well  as               
benefits paid  from charity funds  and organizations ( benefits -               
paid  to  the  employees  of  the  above    mentioned  funds  and               
organizations   excluded);    benefits   paid   by   enterprises,               
institutions and  organizations on  the death  of a  member of an               
employee's   family as  well as in cases of natural calamities or               
fire (  Amended   13 July  1993); bonuses  from the  state budget               
which are distributed  on the basis of merit;                                   
     (2) compensation  for material  and moral  damage as well as               
compensations  in   the  amounts  established  by  laws  and  the               
Government of the Republic  of Lithuania:                                       
     to refund business trip expenses,                                          
     to reduce  food prices at canteens and cafes of enterprises,               
compensations of  other expenses  of  employees,  connected  with               
business;                                                                       
     (3)  prizes   received  during   personal  celebrations   or               
competitions or  on any other occasion provided that the value of               
these gifts  and prizes   during  the calendar year do not exceed               
the tax-exempt minimum income  earnings.                                        
     Taxable income  shall be  reduced by  the amount expended on               
charity   and sponsorship  according to the procedure established               
by the  Republic   of Lithuania  Law on  Charity and  Sponsorship               
(Amended 13 July 1993).                                                         
     Article 8.  The income  earned at  extra jobs  specified  in               
Article   6 of  this Law shall be subject to taxation pursuant to               
Article 6 at  the rates provided in Supplement 2.                               
     If a  person is  employed at  several jobs,  taxes shall  be               
withheld at   the job which the employee chooses as his principal               
job and  indicates  it in the employment contract or in a special               
application submitted  to the principal job.                                    
     Payments made  to students  of educational  instututions for               
work done during practical training or for collective assistance,               
payments made   to  patients of  medical and  labour preventoria,               
inmates of boarding  homes, as well as the value of gifts donated               
to members  of  public  organizations  (associations,  societies,               
trade unions,  etc.) and  political  parties and sums of benefits               
paid  to  them  from  the  resources  of  these    organizations,               
exceeding the  established tax- exempt minimum (provided  that no               
subsidies from  the State  budget were  received), shall be taxed               
according to  the procedure  provided for  in Articles 4 and 6 of               
this  Law (Amended 13 July 1993).                                               
                                                                                
     Article 9.  Income tax  at the  rates specified in Article 4               
and   8 of  this Law  shall be  withheld  by  those  enterprises,               
institutions   and organizations  which assessed and paid out the               
income as  well as   by  individual employers  who pay  wages  to               
persons hired by them.                                                          
     Article 10.  Enterprises,  institutions,  organizations  and               
individual   employers, upon  the receipt  of money  from banking               
institutions for   paying wages for the appropriate month (or the               
second half  of a  month),   shall simultaneously  file a payment               
order to such banking institutions  for paying sums of income tax               
withheld  from   that  month's  wages.  In  calculating  payments               
specified in paragraph 3 of Article 6, the tax withheld from them               
must be  transferred to the budget upon receiving  money for said               
payments from banking institutions (Amended 13 July  1993). It is               
prohibited to  pay income tax from the financial resources  of an               
organization.                                                                   
     Organizations and  individual employers  having no  clearing               
accounts   with the  banking institution,  or who  pay wages from               
their current   receipts,  shall file payment orders to a banking               
institution for  the   payment of withheld income taxes not later               
than the day after the  wage was paid out.                                      
                                                                                
     Article  11.  Enterprises,  institutions  and  organizations               
possessing   subsidiaries located on the territory of other local               
governments shall transfer the income taxes withheld from incomes               
of employees  of those  subsidiaries  to  that  budget  which  is               
located on the same territory.  The taxes shall be transferred so               
only in  cases where  more than 20  persons are employed in these               
subsidiaries.                                                                   
                                                                                
     Article 12. Refunds of overpaid income taxes are allowed for               
a period  not exceeding  2 years  from the  month  in  which  the               
overpayment  was discovered.                                                    
                                                                                
     Article 13.  For unpaid  sums, whether  or not  withheld  as               
taxes,   said sums  plus a  penalty of  300 percent of the unpaid               
sums,  shall   be  recovered   from  the  delinquent  enterprise,               
institution or  organization,   without a  suit, but  a claim for               
such  sums   shall  extend   only  to   the  preceding  2  years.               
Institutions and organizations which are financed from the budget               
shall not  pay penalties for underpaid sums of taxes  (Amended 13               
July  1993).  An  enterprise,  institution  or  organization  can               
recover up  to 3  months of  unpaid sums  of income  tax from  an               
employee,  which   are  calculated   from  the  months  when  the               
underpayment was discovered.                                                    
     If an  employee indicates more than one job as his principal               
job, the   principal job shall be considered the one in which the               
smallest wages   is  received, and  from it the underpaid sum and               
the penalty  of 300   percent  shall be sought out for the entire               
period (Amended 13 July  1993).                                                 
                                                                                
     Article 14.  If the sums of tax withheld are not transferred               
to the  budgets when due, interest at the rate of 0.5 percent for               
each day thereafter is charged on the amount due.                               
                                                                                
     Article  15.  Income  of  churches  as  well  as  clergymen,               
religious   ceremony attendants  and technical  staff  (excluding               
persons who  perform   construction and  restoration work) earned               
from the believers is exempt  from taxes paid by natural persons.               
                                                                                
                                                                                
                                                                                
                            Chapter 3                                           
                                                                                
    Imposition of Income Tax on Royalties Paid to Authors and                   
     their Descendants for Works of Science, Literature, Art                    
                   and Other Individual  Works                                  
                                                                                
                                                                                
     Article 16.  The royalty  paid to  authors and  their lineal               
descendants   for works  of science, literature, art, discoveries               
and inventions   as well as for other individual works is subject               
to taxation at the  rate of 13 percent.                                         
     The  authors   of  discoveries   and  inventions  possessing               
author's certificate    are  entitled  to  a  tax-exempt  minimal               
royalty of  8 MSL  earnings (Amended   13  July  1993)  for  each               
discovery or invention.                                                         
                                                                                
     Article 17.  Income tax  on royalties  shall be assessed and               
withheld  where they are paid out and shall be transferred to the               
budget according   to the procedure provided for in Article 10 of               
this Law.                                                                       
                                                                                
     Article 18. The royalty paid to the author's descendants for               
works for which such royalty had been paid already, is subject to               
an income tax rate of 60 percent.                                               
     Children under  18, spouses  and parents  (women over 55 and               
men over   60  as well  as disabled  persons of  Group  1  and  2               
irrespective of  their   age) are  eligible for  the  50  percent               
reduction of income tax computed  under this Article.                           
                                                                                
     Article 19.  Erroneously assessed  income tax imposed upon a               
royalty   for  works  of  science,  literature  and  art  can  be               
reassessed and  recovered   for a  period  not  exceeding  the  2               
preceding years.                                                                
                                                                                
     Article 20.  The underpaid  sums of income tax, not withheld               
or   withheld, as  well as  a penalty equal to 300 percent of the               
sum due,   may  be recovered without initiation of a lawsuit from               
an enterprise,   institution  or organization  which has paid out               
such a royalty.                                                                 
                                                                                
     Article 21. The overpayment of tax is allowed to be refunded               
only for  the period not exceeding the 2 preceding years starting               
from  the month when the overpayment was discovered.                            
                                                                                
     Article 22. If sums of taxes withheld are not transferred to               
the budget when due, interest at the rate of 0.5 percent for each               
day thereafter is charged on the sums not transferred.                          
                                                                                
     Article 23.  Councils of  local governments  shall have  the               
right   to reduce  income tax for certain taxpayers, or to exempt               
them from  income tax, by compensating same from local budget.                  
                                                                                
                                                                                
                                                                                
                            Chapter 4                                           
                                                                                
     Taxation of Income Derived from the Commercial Activity                    
                           Registered                                           
                    in the Established Manner                                   
                                                                                
                                                                                
                                                                                
     Article 24.  The taxable  income of partnerships and private               
(personal)   enterprises without the rights of a legal person the               
sales revenues   of  which account for 80 percent of total income               
derived from  commercial   activity registered in the established               
manner is subject to a 10 percent  rate of income tax.                          
     Taxable income  of other  partnerships, or  other private  (               
personal) enterprises  without the rights of a legal person, used               
for capital   investments in commercial-economic activities shall               
be subject  to   taxation at  the rate of 12 percent whereas a 24               
percent rate of income  tax is imposed on other taxable income.                 
     The Government  of the  Republic of  Lithuania may establish               
lower   rates of  income tax  on the  taxable income  of priority               
branches of  economy (Amended 13 July 1993).                                    
                                                                                
     Article 25.   Patent  fee may  be  established  for  private               
(personal)   enterprises and partnerships without the rights of a               
legal person.   Enterprises  which have aqcuired the patent shall               
not pay  income tax   from  income derived  from  the  activities               
stated in the patent.                                                           
     The procedure  for issuing  patents shall  be established by               
the Government   of  the Republic  of Lithuania  (Amended 13 July               
1993).                                                                          
                                                                                
     Article 26.  Taxable income shall be calculated by deducting               
the following certified input costs from gross income.                          
     (1) material expenditure and other comparable expenditure;                 
     (2) depreciation charges not exceeding tax rates approved by               
the Government   of  the Republic  of Lithuania  (Amended 13 July               
1993);                                                                          
     (3) labour costs;                                                          
     (4) social insurance contributions;                                        
     (5) compulsory insurance contributions;                                    
     (6) taxes  for state  natural  resources  and  environmental               
pollution,   without exceeding established rates and limits, fees               
                                                                                
for licences,  land taxes and land rent, excise duties and value-               
added taxes;                                                                    
     (7) interest paid on loans redeemed when due;                              
     (8) repealed 13 July 1993.                                                 
                                                                                
     Article 27.  In determining  taxable income,  charitable and               
sponsorship   expenses shall  be entirely or partly deducted from               
gross income (Amended  13 July 1993).                                           
     The rules  for deducting expenses from gross income shall be               
the  same as computing the tax on profit of legal persons.                      
                                                                                
     Article 28.  Income derived  from the  sale of  agricultural               
goods   produced on  individual small  farm  holdings,  excluding               
income derived  from the sale of soft-fur carnivorous animals and               
nutrias and their  products, shall be exempt from taxation.                     
     Private (personal)  enterprises  of  creative  unions  (  of               
architects,  artists,   designers,   photo   artists,   composers               
cinematographers, scientists,   writers,  folk artists,  theatre,               
journalists) without the right of  legal person shall be entitled               
to a  tax relief  provided for in Article  8 of the Law on Profit               
Tax of Legal Persons (Amended 13 July 1993).                                    
                                                                                
     Article 29.  Councils of  local governments  shall have  the               
right   to reduce  income tax  or to  entirely exempt  from taxes               
certain private   ( personal) enterprises without the rights of a               
legal person  and partnerships,   by  compensating same  from the               
local budget.                                                                   
     If the taxpayer is entitled to several tax reliefs under the               
laws  of the Republic of Lithuania, only the biggest relief shall               
be provided  (Amended 13 July 1993).                                            
                                                                                
     Article 30.  Private enterprises and partnerships shall file               
their returns  with the  State Tax  Inspectorate not  later  than               
within   15 days  following the  close of  the  current  calendar               
quarter.                                                                        
                                                                                
     Article 31.  Income tax is due not later than within 20 days               
following the  close of the current calendar quarter.  Failure to               
pay  taxes when due shall subject the taxpayer to a liability for               
interest  at the rate of 0.5 percent for each day thereafter.                   
                                                                                
     Article 32.  If tax returns are not filed with the State Tax               
Inspectorate, or  if not  all income  received is declared in the               
return,   the sum  from the  undeclared income, regardless of the               
expenses and   computed  without applying  reliefs established by               
this Law  plus a  penalty   twice as  high as  this sum  shall be               
recovered from the enterprise.                                                  
     If taxable  income is  understated in  the return,  the  sum               
computed   without applying  reliefs plus a penalty twice as high               
as the sum shall be recovered from the understated income without               
sueing for claims  (Amended 13 July 1993).                                      
                                                                                
                                                                                
                                                                                
                            Chapter 5                                           
                                                                                
               Taxation of Miscellaneous Receipts                               
                                                                                
                                                                                
                                                                                
     Article  33.   Gross  income  generated  from  the  rent  of               
property,   and income derived from interest on credit as well as               
other receipts   not  provided in  Chapter 2, 3 and 4 of this Law               
shall be subject to  a 20 percent rate of income tax.                           
                                                                                
                                                                                
     Article 34.  Taxes on  miscellaneous receipts of persons are               
levied by the State Tax Inspectorate according to their permanent               
place of residence.                                                             
     Tax levied  on interest  paid  by  credit  institutions  for               
deposits of  natural persons is calculated and paid to the budget               
by credit institutions  (Amended 13 July 1993).                                 
                                                                                
     Article 35. Income Tax is not levied on:                                   
     (1) income derived from blood-donations;                                   
     (2) income received by legacy and gift, except the inherited               
royalty  and gifts of enterprises, institutions and organizations               
(Amended  13 July 1993);                                                        
     (3) recovered alimony;                                                     
     (4) sums  received as  compensations  for  loosing  a  bread               
winner or capacity  to work;                                                    
     (5) sums  received as  compensation, the  rate of  which  is               
established   by the  existing laws  on labour, for business trip               
expenses, and  for  material and moral damages, and not exceeding               
the amount fixed;                                                               
     (6) sums  paid out  for  bonds  issued  by  state  or  local               
government;                                                                     
     (7) lottery winnings;                                                      
     (8) dividends on stocks and shares;                                        
     (9) sums received from compulsory and voluntary insurance;                 
     (10) refunds for returned shares and sums for sold stocks;                 
     (11) gains  from  sale  of  personal  property  owned  by  a               
resident  by  ownership  right,  excluding  self-made  or  bought               
commodities meant for sale (Amended  13 July 1993).                             
     (12) prizes and gifts received for merit in sports and other               
competitions  in other fields.                                                  
                                                                                
     Article 36. Income tax is assessed in the following manner:                
     (1) income tax for the current year is computed according to               
the income  return filed by the taxpayer.                                       
     In such  cases when  the amount of income earned has changed               
considerably   during the  taxable year,  the income  tax can  be               
reassessed;                                                                     
     (2) following  the close of the year or upon the loss of the               
source   of income, the tax is reassessed taking into account the               
factual amount   of  income earned.   The  difference between the               
amount of tax paid and  the amount due is sought and recovered or               
refunded within  a month   and  in case  of loss of the source of               
income, within 15 days from the  day that it was filed.                         
                                                                                
     Article 37. Assessment of the tax is based on:                             
     (1) a  return filed with the State Tax Inspectorate prior to               
January   15 by  taxpayer receiving  miscellaneous  remuneration.               
Returns of  income  earned within a one-year period must be filed               
within 5  days after  the first month that income is received and               
within 5  days after the  loss of employment for which income has               
been received;                                                                  
     (2) the  investigation results  carried out by the State Tax               
Inspectorate   and other  material hearing  upon  the  income  of               
taxpayers.                                                                      
     The tax  shall be  calculated and required to be paid by the               
property  owner (main tenant).                                                  
                                                                                
     Article 38.   If the tax was not collected from the taxpayer               
when due,  it can be collected for the period not exceeding the 2               
preceding   years.   Amendments to  returns and  refunds of taxes               
erroneously paid,   are  permissible only  with  respect  to  the               
preceding 2 years.                                                              
                                                                                
     Article 39.  If the taxpayer has failed to pay tax when due,               
interest at the rate of 0.5 percent per day thereafter is imposed               
on the amount due.                                                              
                                                                                
     Article 40. Gross receipts derived from the sale of property               
of the  inhabitants excluding  that specified  in paragraph 10 of               
Article   35 shall  be taxed  at the  rate of  5 percent. The tax               
shall be  computed  and paid by an enterprise which has sold this               
property not  later than   within  10 days following the close of               
the month  during which it was  sold. For failure to pay tax when               
due, interest at the rate of 0.5 percent per day thereafter shall               
be imposed on the amount due.                                                   
                                                                                
     Article 41. Enterprises, institutions and organizations must               
provide  the   State  Tax   Inspectorate  with   the  information               
pertaining   to the sums of money paid to individuals not related               
with labour  relations,  excluding payments from which income tax               
has been  withheld and  benefits  set forth in Article 35 of this               
Law.                                                                            
     This  information   must  be  submitted  to  the  State  Tax               
Inspectorate   on whose territory the person receiving the income               
permanently resides.                                                            
     If an  enterprise,  institution  or  organization  fails  to               
submit information   by  the fixed date, it shall be subject to a               
penalty at the rate of  0.5 percent per day but not exceeding 300               
percent of the amount paid  over.                                               
                                                                                
     Article 42.  Councils of  local governments  are entitled to               
reduce the  income tax  or to  totally exempt from taxes separate               
individuals   who have  other earnings,  compensating  same  from               
local budgets.                                                                  
                                                                                
                                                                                
                                                                                
VYTAUTAS LANDSBERGIS                                                            
President                                                                       
Supreme Council                                                                 
Republic of Lithuania                                                           
                                                                                
                                                                                
Vilnius                                                                         
5 October 1990                                                                  
No. I-641                                                                       
                                                                                
                                                                                
                                                                                
        PROVISIONAL LAW ON INCOME TAX OF NATURAL PERSONS                        
                                                                                
                                                                                
                                                                                
                          Supplement 1                                          
                                                                                
                                                                                
     Income Tax  Rates used  while computing the tax from monthly               
taxable income received at the principal job                                    
     1. The 10 % rate is upheld for the portion of taxable income               
in the  amount of 0.7 MSL earnings and less.                                    
     2. The 18 % rate is upheld for the portion of taxable income               
in excess   of  0.7 MSL  earnings but  not in  excess of  1.2 MSL               
earnings.                                                                       
     3. The 24 % rate is upheld for the portion of taxable income               
in excess   of  1.2 MSL  earnings but  not in  excess  of  2  MLS               
earnings.                                                                       
     4. The  28 %  rate is  upheld for  the portion  of  taxcable               
income in  excess  of 2 MSL earnings but not in excess of 3.8 MSL               
earnings.                                                                       
     5. The 33 % rate is upheld for the portion of taxable income               
in excess  of 3.8 MSL earnings.                                                 
     (Amended 13 July 1993)                                                     
                                                                                
                                                                                
                                                                                
                                                                                
        PROVISIONAL LAW ON INCOME TAX OF NATURAL PERSONS                        
                                                                                
                                                                                
                                                                                
                          Supplement 2                                          
                                                                                
                                                                                
                                                                                
     Rates of  Income Tax  which are used while computing the tax               
from monthly  wages received at an extra job                                    
     1. The  18% rate is upheld for the portion of taxable income               
less than  0.4 MSL earnings.                                                    
     2. The  20% rate is upheld for the portion of taxable income               
in excess   of  0.4 MSL  earnings but  not in  excess of  1.0 MSL               
earning.                                                                        
     3. The  25% rate is upheld for the portion of taxable income               
in excess   of  1.0 MSL  earning but  not in  excess of  1.5  MSL               
earnings.                                                                       
     4. The  30% rate is upheld for the portion of taxable income               
in excess   of  1.5 MSL  earnings but  not in  excess of  2.0 MSL               
earnings.                                                                       
     5. The  33% rate  is upheld  for the  portion of the taxable               
income exceeding  2.0 MSL earning.                                              
                                                                                
(Amended 13 July 1993)                                                          
                                                                                
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