multiplied by (ii) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which the taxable year begins, determined by substituting 2023 for 2016 in subparagraph (A)(ii) thereof. If any increase under this subparagraph is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50. (D) Limitation on bonus guaranteed deduction based on modified adjusted gross income (i) In general The bonus guaranteed deduction determined under subparagraph (B) shall be reduced (but not below zero) by 5 percent of so much of the taxpayer's modified adjusted gross income as exceeds the threshold amount. For purposes of the preceding sentence, the term modified adjusted gross income means adjusted gross income increased by any amount excluded from gross income under section 911, 931, or 933. (ii) Threshold amount For purposes of clause (i), the threshold amount is— (I) $400,000 in the case of a joint return or a surviving spouse (as defined in section 2(a)), (II) $300,000 in the case of a head of household, and (III) $200,000 in any other case. (E) Bonus guaranteed deduction not allowed to dependents In the case of any individual with respect to whom paragraph (5) applies for any taxable year, subparagraph (A) shall not apply. . (b) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2023.