26 U.S. Code § 7654 - Coordination of United States and certain possession individual income taxes
(a) General rule
(b) Definition and special rule
For purposes of this section—
(1) Net collections
In determining net collections for a taxable year, an appropriate adjustment shall be made for credits allowed against the tax liability and refunds made of income taxes for the taxable year.
The transfers of funds between the United States and any specified possession required by this section shall be made not less frequently than annually.
(d) Federal personnel
In addition to the amount determined under subsection (a), the United States shall pay to each specified possession at such times and in such manner as determined by the Secretary—
(1) the amount of the taxes deducted and withheld by the United States under chapter 24 with respect to compensation paid to members of the Armed Forces who are stationed in such possession but who have no income tax liability to such possession with respect to such compensation by reason of the Servicemembers Civil Relief Act (50 App. U.S.C. 501 et seq.), and
The Secretary shall prescribe such regulations as may be necessary to carry out the provisions of this section and sections 931 and 932, including regulations prohibiting the rebate of taxes covered over which are allocable to United States source income and prescribing the information which the individuals to whom such sections may apply shall furnish to the Secretary.
Source(Aug. 16, 1954, ch. 736, 68A Stat. 909; Pub. L. 92–606, § 1(b),Oct. 31, 1972, 86 Stat. 1495; Pub. L. 94–455, title XIX, § 1906(b)(13)(A),Oct. 4, 1976, 90 Stat. 1834; Pub. L. 97–248, title III, §§ 307(a)(16), 308(a),Sept. 3, 1982, 96 Stat. 590, 591; Pub. L. 98–67, title I, § 102(a),Aug. 5, 1983, 97 Stat. 369; Pub. L. 99–514, title XII, § 1276(a),Oct. 22, 1986, 100 Stat. 2599; Pub. L. 100–647, title I, § 1012(y),Nov. 10, 1988, 102 Stat. 3530; Pub. L. 108–189, § 2(d),Dec. 19, 2003, 117 Stat. 2866.)
References in Text
The Servicemembers Civil Relief Act, referred to in subsec. (d)(1), is act Oct. 17, 1940, ch. 888, 54 Stat. 1178, as amended, which is classified to section 501 et seq. of the Appendix to Title 50, War and National Defense. For complete classification of this Act to the Code, see section 501 of the Appendix to Title 50 and Tables.
2003—Subsec. (d)(1). Pub. L. 108–189substituted “Servicemembers Civil Relief Act” for “Soldiers’ and Sailors’ Civil Relief Act”.
1988—Subsec. (a). Pub. L. 100–647substituted “an individual to whom” for “an individual to which”.
1986—Pub. L. 99–514amended section generally, substituting provisions relating to coordination of United States and certain possession individual income taxes for provisions relating to coordination of United States and Guam individual income taxes.
1983—Subsec. (d). Pub. L. 98–67repealed amendments made by Pub. L. 97–248. See 1982 Amendment note below.
1982—Subsec. (d). Pub. L. 97–248provided that, applicable to payments of interest, dividends, and patronage dividends paid or credited after June 30, 1983, subsec. (d) is amended by inserting “subchapter A of” before “chapter 24”. Section 102(a), (b) ofPub. L. 98–67, title I, Aug. 5, 1983, 97 Stat. 369, repealed subtitle A (§§ 301–308) of title III of Pub. L. 97–248as of the close of June 30, 1983, and provided that the Internal Revenue Code of 1954 [now 1986] [this title] shall be applied and administered (subject to certain exceptions) as if such subtitle A (and the amendments made by such subtitle A) had not been enacted.
1976—Subsecs. (d), (e). Pub. L. 94–455struck out “or his delegate” after “Secretary” wherever appearing.
1972—Pub. L. 92–606substituted provisions relating to individual income taxes in Guam and their sharing by the United States and Guam, for provisions relating to payment to Guam and American Samoa of proceeds of tax on coconut and other vegetable oils.
Effective Date of 1988 Amendment
Amendment by Pub. L. 100–647effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99–514, to which such amendment relates, see section 1019(a) ofPub. L. 100–647, set out as a note under section 1 of this title.
Effective Date of 1986 Amendment
Amendment by Pub. L. 99–514applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 1277 ofPub. L. 99–514, set out as a note under section 931 of this title.
Effective Date of 1972 Amendment