Common use of Applicable Amount Clause in Contracts

Applicable Amount. The applicable amount is determined under (1) or (2) below. (1) If the Owner is under age 50, the applicable amount is $3,000 for any taxable year beginning in 2002 through 2004, $4,000 for any taxable year beginning in 2005 through 2007, and $5,000 for any taxable year beginning in 2008 and years thereafter. (2) If the Owner is age 50 or older, the applicable amount is $3,500 for any taxable year beginning in 2002 through 2004, $4,500 for any taxable year beginning in 2005, $5,000 for any taxable year beginning in 2006 through 2007, and $6,000 for any taxable year beginning in 2008 and years thereafter. RA-2008 After 2008, the limits in paragraph (b)(1) and (2) above will be adjusted by the Secretary of the Treasury for cost-of-living increases under Code Section 219(b)(5)(C). Such adjustments will be in multiples of $500.

Applicable Amount. The applicable amount is determined under (1i) or (2ii) below.: (1i) If the Owner is under age 50, the applicable amount is $3,000 for any taxable year beginning in 2002 through 2004, $4,000 for any taxable year beginning in 2005 through 2007, and $5,000 for any taxable year beginning in 2008 and years thereafter. (2ii) If the Owner is age 50 or older, the applicable amount is $3,500 for any taxable year beginning beginnning in 2002 through 2004, $4,500 for any taxable year beginning in 2005, $5,000 for any taxable year beginning in 2006 through 2007, and $6,000 for any taxable year beginning in 2008 and years thereafter. RA-2008 After 2008, the limits in paragraph (b)(1b)(i) and (2ii) above will be adjusted by the Secretary of the Treasury for cost-of-living increases under Code Section 219(b)(5)(Csection 219(b) (5) (C). Such adjustments will be in multiples of $500.