Taxable Years Taxable Years Taxable Years law in possession of part only of law in possession of part only of law in possession of part only of the property of an individual) the property of an individual) the property of an individual) shall make under oath a return for shall make under oath a return for shall make under oath a return for any of the following individuals, any of the following individuals, any of the following individuals, estates, or trusts for which he acts, estates, or trusts for which he acts, estates, or trusts for which he acts, stating specifically the items of stating specifically the items of stating specifically the items of gross income thereof and the de- gross income thereof and the de- gross income thereof and the deductions and credits allowed under ductions and credits allowed under ductions and credits allowed under this chapter and such other infor- this chapter and such other infor- this chapter and such other information for the purpose of carry-mation for the purpose of carry-mation for the purpose of carrying out the provisions of this chap- ing out the provisions of this chap-ing out the provisions of this chapter as the Commissioner with the ter as the Commissioner with the ter as the Commissioner with the approval of the Secretary may by approval of the Secretary may by approval of the Secretary may by regulations prescribe― regulations prescriberegulations prescribe Sec. 142. (b) Joint fiduciaries. -Under such regulations as the Commissioner with the approval Sec. 142. (a) (5) Every estate or trust of which any beneficiary is a nonresident alien. Sec. 142 (a), I. R. C., supra, amended by Sec. 131 (c) (2), R. A. of 1942, by omitting language in stricken through type and adding language in italics. Sec. 101 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1941. Sec. 142. (a) (5) Every estate or trust of which any beneficiary is a nonresident alien. Sec. 142 (a), I. R. C., supra, amended by Sec. 112 (b), R. A. of 1941, by omitting language in stricken through type and adding language in italics. Sec. 118 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1940. Sec. 142. (b) Joint fiduciaries. Sec. 142. (b) Joint fiduciaries. Under such regulations as the-Under such regulations as the Commissioner with the approval Commissioner with the approval law in possession of part only of law in possession of part only of Sec. 142. (a) (1) Every individual having a gross net income for the taxable year of $800 $1,000- or over, if single, or if married and not living with husband or wife; Sec. 142. (a) (2) Every individual having a gross net income for the taxable year of $2000 $2,500-or over, if married and living with husband or wife; See. 149. (a) (3) Every individual having a gross income for the taxable year of $5,000 or over, re gardless of the amount of his net income; Sec. 142. (a) (3) (4) Every estate the gross net income of which for the taxable year is $800 $1,000 or over; Sec. 142. (a) (4) (5) Every ing out the provisions of this chap- Sec. 142. (a) (1) Every individ- Sec. 142. (a) (2) Every individual having a net income for the taxable year of $2,500 or over, if married and living with husband or wife; Sec. 142. (a) (3) Every individual having a gross income for the taxable year of $5,000 or over, regardless of the amount of his net income; Sec. 142. (a) (4) Every estate the net income of which for the taxable year is $1,000 or over; Sec. 142. (a) (5) Every trust the trust the net income of which for net income of which for the tax the taxable year is $100 or over, able year is $100 or over; or the gross income of which for the taxable year is $800 or over, regardless of the amount of the net income; and See. 142. (a) (6) Every estate or trust the gross income of which for the taxable year is $5,000 or over, regardless of the amount of the net income, and Sec. 142. (a) (5) (7 Every estate or trust of which any beneficiary is a nonresident alien. Sec. 142 (a), I. R. C., supra, amended by Sec. 7 (b), R. A. of 1940, by omitting language in stricken through type and adding language in italics. Sec. 9 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1939. Sec. 142. (a) (6) Every estate or trust the gross income of which for the taxable year is $5,000 or over, regardless of the amount of the net income; and Sec. 142. (a) (7) Every estate or trust of which any beneficiary is a nonresident alien. Sec. 142. (b) Joint fiduciaries. Sec. 142. (b) Joint fiduciaries. -Under such regulations as the-Under such regulations as the Commissioner with the approval | Commissioner with the approval Taxable Years Beginning before 1939 Sec. 142. (b) Joint fiduciaries See p. 248, Eighth Edition. Taxable Years of the Secretary may prescribe a return made by one of two or more joint fiduciaries and filed in the office of the collector of the district where such fiduciary resides shall be sufficient compliance with the above requirement. Such fiduciary shall make oath (1) that he has sufficient knowledge of the affairs of the individual, estate, or trust for which the return is made, to enable him to make the return, and (2) that the return is, to the best of his knowledge and belief, of the Secretary may prescribe a of the Secretary may prescribe a return made by one of two or more return made by one of two or more joint fiduciaries and filed in the joint fiduciaries and filed in the office of the collector of the dis-office of the collector of the district where such fiduciary resides trict where such fiduciary resides shall be sufficient compliance with shall be sufficient compliance with the above requirement. Such fidu- the above requirement. Such fiduciary shall make oath (1) that he ciary shall make oath (1) that he has sufficient knowledge of the af- has sufficient knowledge of the affairs of the individual, estate, or fairs of the individual, estate, or trust for which the return is made, trust for which the return is made, to enable him to make the return, to enable him to make the return, and (2) that the return is, to the and (2) that the return is, to the best of his knowledge and belief, best of his knowledge and belief, true and correct. true and correct. Sec. 143. Sec. 142. (c) Law applicable to fiduciary required to make a return under this chapter shall be subject to all the provisions of law which apply to individuals. Sec. 143. Withholding of tax at source. Sec. 143. (a) Tax-free covenant bonds. Sec. 143. (a) (1) Requirement (a) (1) Requirement Sec. 143. (a) (1) Requirement of withholding.-In any case where of withholding.-In any case where of withholding.-In any case where bonds, mortgages, or deeds of bonds, mortgages, or deeds of bonds, mortgages, or deeds of trust, or other similar obligations trust, or other similar obligations trust, or other similar obligations of a corporation, issued before of a corporation, issued before of a corporation, issued before January 1, 1934, contain a contract January 1, 1934, contain a contract January 1, 1934, contain a contract or provision by which the obligor or provision by which the obligor or provision by which the obligor agrees to pay any portion of the agrees to pay any portion of the agrees to pay any portion of the tax imposed by this chapter upon tax imposed by this chapter upon tax imposed by this chapter upon the obligee, or to reimburse the the obligee, or to reimburse the the obligee, or to reimburse the obligee for any portion of the tax, obligee for any portion of the tax, obligee for any portion of the tax, or to pay the interest without de- or to pay the interest without de- or to pay the interest without deduction for any tax which the duction for any tax which the duction for any tax which the obligor may be required or per- obligor may be required or per- obligor may be required or permitted to pay thereon, or to retain mitted to pay thereon, or to retain mitted to pay thereon, or to retain therefrom under any law of the therefrom under any law of the therefrom under any law of the United States, the obligor shall de- United States, the obligor shall de- United States, the obligor shall deduct and withhold a tax equal to 2 duct and withhold a tax equal to 2 duct and withhold a tax equal to 2 per centum of the interest upon per centum of the interest upon per centum of the interest upon such bonds, mortgages, deeds of such bonds, mortgages, deeds of such bonds, mortgages, deeds of trust, or other obligations, whether trust, or other obligations, whether trust, or other obligations, whether such interest is payable annually such interest is payable annually such interest is payable annually or at shorter or longer periods, if or at shorter or longer periods, if or at shorter or longer periods, if payable to an individual, a part-payable to an individual, a partnership, or a foreign corporation nership, or a foreign corporation payable to an individual, a partnot engaged in trade or business within the United States and not not engaged in trade or business nership, or a foreign corporation not engaged in trade or business within the United States: Provided, having any office or place of busi within the United States and not That if the liability assumed by the ness therein: Provided, That if the having any office or place of busiobligor does not exceed 2 per cen- liability assumed by the obligor ness therein: Provided, That if the tum of the interest, then the deduc- does not exceed 2 per centum of liability assumed by the obligor tion and withholding shall be at the the interest, then the deduction and does not exceed 2 per centum of following rates: (A) 30 per withholding shall be at the follow-the interest, then the deduction and centum in the case of a nonresident ing rates: (A) 30 27% per centum withholding shall be at the followalien individual (except that such in the case of a nonresident alien ing rates: (A) 271⁄2 15 per centum rate shall be reduced, in the case of individual (except that such rate in the case of a nonresident alien of the Secretary may prescribe a of the Secretary may prescribe a trict where such fiduciary resides Taxable Years Sec. 142. (c) Law applicable to Sec. 142. (c) Law applicable to fiduciary re- fiduciaries. quired to make a return under this chapter shall be subject to all the provisions of law which apply to individuals. Sec. 142. (c) Law applicable to fiduciaries. Any fiduciary re- fiduciaries.-Any quired to make a return under this chapter shall be subject to all the provisions of law which apply to individuals. See p. 248, Eighth Edition. Sec. 143. Withholding of tax at source. Sec. 143. (a) Tax-free covenant bonds. Sec. 143. (a) (1) Requirement See p. 250, Eighth Edition. Sec. 143. (a) (1) Requirement Sec. 143. (a) (1) Requirement of withholding.—In any case where of withholding. In any case where of withholding. bonds, mortgages, or deeds of bonds, mortgages, or deeds of trust, or other similar obligations trust, or other similar obligations of a corporation, issued before of a corporation, issued before JanJanuary 1, 1934, contain a contract uary 1, 1934, contain a contract or or provision by which the obligor provision by which the obligor agrees to pay any portion of the agrees to pay any portion of the tax imposed by this chapter upon tax imposed by this chapter upon the obligee, or to reimburse the the obligee, or to reimburse the obligee for any portion of the tax, obligee for any portion of the tax, or to pay the interest without de- or to pay the interest without deduction for any tax which the duction for any tax which the obligor may be required or per- obligor may be required or permitted to pay thereon, or to retain mitted to pay thereon, or to retain therefrom under any law of the therefrom under any law of the United States, the obligor shall de- United States, the obligor shall deduct and withhold a tax equal to 2 duct and withhold a tax equal to 2 per centum of the interest upon per centum of the interest upon such bonds, mortgages, deeds of such bonds, mortgages, deeds of trust, or other obligations, whether trust, or other obligations, whether such interest is payable annually such interest is payable annually or at shorter or longer periods, if or at shorter or longer periods, if payable to an individual, a part- payable to an individual, a partnership, or a foreign corporation nership, or a foreign corporation not engaged in trade or business not engaged in trade or business within the United States and not within the United States and not having any office or place of busi- having any office or place of business therein: Provided, That if the ness therein: Provided, That if the liability assumed by the obligor liability assumed by the obligor does does not exceed 2 per centum of not exceed 2 per centum of the inthe interest, then the deduction and terest, then the deduction and withwithholding shall be at the follow- holding shall be at the following ing rates: (A) 15 10 per centum rates: (A) 10 per centum in the in the case of a nonresident alien case of a nonresident alien individindividual (except that such rate ual (except that such rate shall be a resident of any country in North, Taxable Years shall be reduced, in the case of a individual (except that such rate Sec. 143. (a) (2) Benefit of cred- Sec. 143. (a) (2) Benefit of cred- Sec. 143. (a) (2) Benefit of credits against net income.-Such de- its against net income.-Such de- its against net income.-Such deduction and withholding shall not duction and withholding shall not duction and withholding_shall not be required in the case of a citizen be required in the case of a citizen be required in the case of a citizen or resident entitled to receive such or resident entitled to receive such or resident entitled to receive such interest, if he files with the with- interest, if he files with the with-interest, if he files with the withholding agent on or before Febru- holding agent on or before Febru- holding agent on or before February 1 a signed notice in writing ary 1 a signed notice in writing ary 1 a signed notice in writing claiming the benefit of the credits claiming the benefit of the credits claiming the benefit of the credits provided in section 25 (b); nor provided in section 25 (b); nor provided in section 25 (b); nor in the case of a nonresident alien in the case of a nonresident alien in the case of a nonresident alien individual if so provided for in individual if so provided for in individual if so provided for in regulations prescribed by the Com-regulations prescribed by the Com-regulations prescribed by the Commissioner under section 215. missioner under section 215. missioner under section 215. Sec. 143. (a) (3) Income of Sec. 143. (a) (3) Income of Sec. 143. (a) (3) Income of obligor and obligee. The obligor obligor and obligee. The obligor obligor and obligee. The obligor shall not be allowed a deduction shall not be allowed a deduction shall not be allowed a deduction for the payment of the tax imposed for the payment of the tax imposed for the payment of the tax imposed by this chapter, or any other tax by this chapter, or any other tax by this chapter, or any other tax paid pursuant to the tax-free cov-paid pursuant to the tax-free cov-paid pursuant to the tax-free covenant clause, nor shall such tax be enant clause, nor shall such tax be enant clause, nor shall such tax be included in the gross income of the included in the gross income of the included in the gross income of the obligee. obligee. obligee. Sec. 143 (a), I. R. C., supra, amended by Sec. 107 (a), R. A. of 1941, by substituting "27" for "15." Sec. 107 (c) of said Act makes amendment effective Sept. 30, 1941. Sec. 143 (a), I. R. C., again amended by Sec. 109 (a), R. A. of 1941, by omitting words "a contiguous country" and adding language in underlined italics. Sec. 118 of said Act makes amendment applicable to taxable years beginning after Dec. 31, 1940. |