Chapter 280. To amend the Revenue Act of 1921 in respect to income tax of nonresident aliens
443 words·~2 min read·
/statutes-at-large/vol-42/chapter-280-6225059·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
CHAP. 280.— An Act To amend the Revenue Act of 1921 in respect to income tax of nonresident aliens. March 4, 1923.[[H. R. 14050](/us/bill/67/hr/14050).][[Public, No. 531](/us/67/pl/531).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*, That sectionIncome tax.*Ante*, p. 233, amended. 210 of the Revenue Act of 1921 is amended, to take effect January 1, 1922, to read as follows: " “normal tax.Normal tax. “Sec. 210.
(a)That in lieu of the tax imposed by section 210In lieu of tax of 1918. of the Revenue Act of 1918 there shall be levied, collected, and paid for each taxable year upon the net income of every individual (except as provided in subdivision
(b)of this section) a normal tax of 8 per centum of the amount of the net income in excess of*Ante*, p. 242. the credits provided in section 216, except that in the case of a citizen or resident of the United States the rate Upon the first $4,000On first $4,000 of citizens or residents. of such excess amount shall be 4 per centum. “(b) In lieu of the tax imposed by subdivision
(a)there shall beOn nonresident aliens in contiguous country. levied, collected, and paid for the taxable year 1922 and each taxable year thereafter, upon the net income of every nonresident alien individual, a resident of a contiguous country, a normal tax equal to the sum of the following: “(1) 4 per centum of the amount of the net income attributableComputation.On income from sources in United States. to compensation for labor or personal services performed in the United States in excess of the credits provided in subdivisionsLimit.
(d)and
(e)of section 216; but the amount taxable at such 4 per centum rate shall not exceed $4,000; and “(2) 8 per centum of the amount of the net income in excess ofOn excess income.*Ante*, p. 243. the sum of
(A)the amount taxed under paragraph
(1)plus
(B)the credits provided in section 216.” " Sec. 2. That subdivision
(e)of section 216 of the Revenue ActCredits allowed individuals. of 1921 is amended, to take effect January 1, 1922, to read as follows: " “(e) In the case of a nonresident alien individual, or of a citizenNonresident aliens.*Ante*, p. 243. entitled to the benefits of section 262, the personal exemption shall be only $1,060. The credit provided in subdivision
(d)shall not be allowed in the case of a nonresident alien individual unless heDependents. is a resident of a contiguous country, nor in the case of a citizen entitled to the benefits of section 262.” " Approved, March 4, 1923.