Part III-Miscellaneous Provisions SEC. 1133. FEE FOR TRANSCRIPT OF RECORD. The Tax Court is authorized to fix a fee, not in excess of the fee fixed by law to be charged and collected therefor by the clerks of the district courts, for comparing, or for preparing and comparing, a transcript of the record, or for copying any record, entry, or other paper and the comparison and certification thereof. SUBCHAPTER B-COURT REVIEW OF TAX COURT DECISIONS SEC. 1140. DATE WHEN TAX COURT DECISION BECOMES FINAL. (a) PETITION FOR REVIEW NOT FILED ON TIME. Upon the expiration of the time allowed for filing a petition for review, if no such petition has been duly filed within such time; or (b) DECISION Affirmed or PETITION FOR REVIEW DISMISSED. (1) PETITION FOR CERTIORARI NOT FILED ON TIME. Upon the expiration of the time allowed for filing a petition for certiorari, if the decision of the Tax Court has been affirmed or the petition for review dismissed by the Circuit Court of Appeals and no petition for certiorari has been duly filed; or (2) PETITION FOR CERTIORARI DENIED.-Upon the denial of a petition for certiorari, if the decision of the Tax Court has been affirmed or the petition for review dismissed by the Circuit Court of Appeals; or (3) AFTER MANDATE OF SUPREME COURT.-Upon the expiration of 30 days from the date of issuance of the mandate of the Supreme Court, if such Court directs that the decision of the Tax Court be affirmed or the petition for review dismissed. (c) DECISION MODIFIED OR REVERSED. (1) UPON MANDATE OF SUPREME COURT.-If the Supreme Court directs that the decision of the Tax Court be modified or reversed, the decision of the Tax Court rendered in accordance with the mandate of the Supreme Court shall become final upon the expiration of 30 days from the time it was rendered, unless within such 30 days either the Commissioner or the taxpayer has instituted proceedings to have such decision corrected to accord with the mandate, in which event the decision of the Tax Court shall become final when so corrected. (2) UPON MANDATE OF THE CIRCUIT COURT OF APPEALS.—If the decision of the Tax Court is modified or reversed by the Circuit Court of Appeals, and if (1) the time allowed for filing a petition for certiorari has expired and no such petition has been duly filed, or (2) the petition for certiorari has been denied, or (3) the decision of the Circuit Court of Appeals 1 has been affirmed by the Supreme Court, then the decision of the Tax Court rendered in accordance with the mandate of the Circuit Court of Appeals shall become final on the expiration of 30 days from the time such decision of the Tax Court was rendered, unless within 1 1 The statute reads "the Court," not "the Circuit Court of Appeals". such 30 days either the Commissioner or the taxpayer has instituted proceedings to have such decision corrected so that it will accord with the mandate, in which event the decision of the Tax Court shall become final when so corrected. (d) REHEARING.-If the Supreme Court orders a rehearing; or if the case is remanded by the Circuit Court of Appeals to the Tax Court for a rehearing, and if (1) the time allowed for filing a petition for certiorari has expired, and no such petition has been duly filed, or (2) the petition for certiorari has been denied, or (3) the decision of the Circuit Court of Appeals has been affirmed by the Supreme Court, then the decision of the Tax Court rendered upon such rehearing shall become final in the same manner as though no prior decision of the Tax Court had been rendered. (e) DEFINITIONS.-As used in this section (1) CIRCUIT COURT OF APPEALS.-The term "Circuit Court of Appeals" includes the United States Court of Appeals for the District of Columbia; (2) MANDATE.-The term "mandate," in case a mandate has been recalled prior to the expiration of 30 days from the date of issuance thereof, means the final mandate. SEC. 1141. COURTS OF REVIEW. (a) JURISDICTION.-The Circuit Courts of Appeals and the United States Court of Appeals for the District of Columbia shall have exclusive jurisdiction to review the decisions of the Tax Court, except as provided in section 239 of the Judicial Code, as amended, 43 Stat. 938 (U. S. C., Title 28, § 346); and the judgment of any such court shall be final, except that it shall be subject to review by the Supreme Court of the United States upon certiorari, in the manner provided in section 240 of the Judicial Code, as amended, 43 Stat. 938 (U. S. C., Title 28, § 347). (b) VENUE. (1) IN GENERAL.-Except as provided in paragraph (2), such decisions may be reviewed by the Circuit Court of Appeals for the circuit in which is located the collector's office to which was made the return of the tax in respect of which the liability arises or, if no return was made, then by the United States Court of Appeals for the District of Columbia. (2) BY AGREEMENT.-Notwithstanding the provisions of paragraph (1), such decisions may be reviewed by any circuit court of appeals, or the United States Court of Appeals for the District of Columbia, which may be designated by the Commissioner and the taxpayer by stipulation in writing. (c) POWERS. (1) TO AFFIRM, MODIFY, OR REVERSE.-Upon such review, such courts shall have power to affirm or, if the decision of the Tax Court is not in accordance with law, to modify or to reverse the decision of the Tax Court, with or without remanding the case for a rehearing, as justice may require. 1 The statute reads "the Court", not "the Circuit Court of Appeals". (2) TO MAKE RULES. Such courts are authorized to adopt rules for the filing of the petition for review. the preparation of the record for review, and the conduct of proceedings upon such review. (3) TO REQUIRE ADDITIONAL SECURITY. Nothing in section 1145 shall be construed as relieving the petitioner from making or filing such undertakings as the court may require as a condition of or in connection with the review. (4) TO IMPOSE DAMAGES.-The Circuit Court of Appeals, the United States Court of Appeals for the District of Columbia, and the Supreme Court shall have power to impose damages in any case where the decision of the Tax Court is affirmed and it appears that the petition was filed merely for delay. SEC. 1142. PETITION FOR REVIEW. The decisions 1 of the Tax Court * * * may be reviewed by a Circuit Court of Appeals, or the United States Court of Appeals for the District of Columbia, as provided in section 1141, if a petition for such review is filed by either the Commissioner or the taxpayer within three months after the decision is rendered * SEC. 1143. CHANGE OF COMMISSIONER. When the incumbent of the office of Commissioner changes, no substitution of the name of his successor shall be required in proceedings pending * * * before any appellate court reviewing the action of the Tax Court. SEC. 1145. BOND TO STAY ASSESSMENT AND COLLECTION. Notwithstanding any provision of law imposing restrictions on the assessment and collection of deficiencies, the review under section 1142 shall not operate as a stay of assessment or collection of any portion of the amount of the deficiency determined by the Tax Court unless a petition for review in respect of such portion is duly filed by the taxpayer, and then only if the taxpayer (1) on or before the time his petition for review is filed has filed with the Tax Court a bond in a sum fixed by the Tax Court not exceeding double the amount of the portion of the deficiency in respect of which the petition for review is filed, and with surety approved by the Tax Court, conditioned upon the payment of the deficiency as finally determined, together with any interest, additional amounts, or additions to the tax provided for by law, or (2) has filed a jeopardy bond under the income tax laws. If as a result of a waiver of the restrictions on the assessment and collection of a deficiency any part of the amount determined by the Tax Court is paid after the filing of the review bond, such bond shall, at the request of the taxpayer, be proportionately reduced. SEC. 1146. REFUND, CREDIT, OR ABATEMENT OF AMOUNTS DISALLOWED. * * * In cases where assessment or collection has not been stayed by the filing of a bond, then if the amount of the deficiency determined by the Tax Court is disallowed in whole or in part by the court, the amount so disallowed shall be credited or refunded to the taxpayer, without the making of claim therefor, or, if collection has not been made, shall be abated. 1 The statute reads "decision". Subtitle B-Miscellaneous Taxes CHAPTER 9-EMPLOYMENT TAXES SUBCHAPTER D-COLLECTION OF INCOME TAX AT SOURCE ON WAGES SEC. 1621. DEFINITIONS. As used in this subchapter (a) WAGES.-The term "wages" means all remuneration (other than fees paid to a public official) for services performed by an employee for his employer, including the cash value of all remuneration paid in any medium other than cash; except that such term shall not include remuneration paid (1) for services performed as a member of the military or naval forces of the United States, other than pensions and retired pay includible in gross income under Chapter 1, or [For exception of remuneration of commissioned officers of the Public Health Service, see the last paragraph of the note under section 3804.] (2) for agricultural labor (as defined in section 1426 (h)), or (3) for domestic service in a private home, local college club, or local chapter of a college fraternity or sorority, or (4) for casual labor not in the course of the employer's trade or business, or (5) for services by a citizen or resident of the United States for a foreign government or for the government of the Commonwealth of the Philippines, or (6) for services performed by a nonresident alien individual, other than a resident of a contiguous country who enters and leaves the United States at frequent intervals, or (7) for such services, performed by a nonresident alien individual who is a resident of a contiguous country and who enters and leaves the United States at frequent intervals, as may be designated by regulations prescribed by the Commissioner with the approval of the Secretary, or (8) for services for an employer performed by a citizen or resident of the United States while outside the United States (as defined in section 3797 (a) (9)) if the major part of the services for such employer during the calendar year is to be performed outside the United States, or (9) for services performed as a minister of the gospel. For the purpose of paragraph (8) services performed on or in connection with an American vessel (as defined in section 1426 (g)) under a contract of service which is entered into within the United States or during the performance of which the vessel touches at a port in the United States, or on or in connection with any vessel as an employee of the United States employed through the War Shipping Administration, shall not constitute services performed outside the United States. (b) PAYROLL PERIOD.-The term "payroll period" means a period for which a payment of wages is ordinarily made to the employee by his employer, and the term "miscellaneous payroll period" means a payroll period other than a daily, weekly, biweekly, semimonthly, monthly, quarterly, semiannual, or annual payroll period. (c) EMPLOYEE.-The term "employee" includes an officer, employee, or elected official of the United States, a State, Territory, or any political subdivision thereof, or the District of Columbia, or any agency or instrumentality of any one or more of the foregoing. The term "employee" also includes an officer of a corporation. (d) EMPLOYER.-The term "employer" means the person for whom an individual performs or performed any service, of whatever nature, as the employee of such person, except that (1) if the person for whom the individual performs or performed the services does not have control of the payment of the wages for such services, the term "employer" (except for the purposes of subsection (a)) means the person having control of the payment of such wages, and (2) in the case of a person paying wages on behalf of a nonresident alien individual, foreign partnership, or foreign corporation, not engaged in trade or business within the United States, the term "employer" (except for the purposes of subsection (a)) means such person. (e) NUMBER OF WITHHOLDING EXEMPTIONS CLAIMED.-The term "number of withholding exemptions claimed" means the number of withholding exemptions claimed in a withholding exemption certificate in effect under section 1622 (h), except that if no such certificate is in effect, the number of withholding exemptions claimed shall be considered to be zero. SEC. 1622. INCOME TAX COLLECTED AT SOURCE. (a) REQUIREMENT OF WITHHOLDING.-Every employer making payment of wages shall deduct and withhold upon such wages a tax equal to the sum of the following: (1) 2.7 per centum of the amount by which the wages exceed the amount of one withholding exemption, the amount of such exemption for various payroll periods being shown in the table in subsection (b) (1) of this section; (2) 18 per centum of whichever of the following is the lesser: (A) the amount by which the wages exceed the number of withholding exemptions claimed, multiplied by the amount of one such exemption as shown in the table in subsection (b) (1); or (B) the amount shown in the last column in the table in subsection (b) (1); (3) 19.8 per centum of the amount by which the wages exceed the sum of: (A) the number of withholding exemptions claimed, multiplied by the amount of one such exemption as shown in the table in subsection (b) (1); plus (B) the amount shown in the last column in the table in subsection (b) (1). |