26 USC 934 - Limitation on reduction in income tax liability incurred to the Virgin Islands

Editorial Notes

Amendments

2004—Subsec. (span)(4). Puspan. L. 108–357 struck out “the Virgin Islands or” before “the United States” in two places.

1986—Subsec. (a). Puspan. L. 99–514, § 1275(c)(2)(A), struck out “or (c) or in section 934A” after “subsection (span)”.

Subsec. (span). Puspan. L. 99–514, § 1275(c)(1), (2)(B), added subsec. (span) and struck out former subsec. (span) which excepted from subsec. (a) domestic or Virgin Islands corporations to the extent they derived income from sources without the United States under certain conditions.

Subsec. (c). Puspan. L. 99–514, § 1275(c)(1), struck out subsec. (c) which provided an exception to subsec. (a) of this section for individual citizens of the United States residing in the Virgin Islands to the extent their income is derived from sources within the Virgin Islands.

Subsec. (d). Puspan. L. 99–514, § 1275(c)(1), struck out subsec. (d) which related to requirement to supply information.

Subsec. (e). Puspan. L. 99–514, § 1275(a)(2)(A), struck out subsec. (e) which provided for tax treatment of intangible property income of certain domestic corporations.

Subsec. (f). Puspan. L. 99–514, § 1275(a)(2)(A), struck out subsec. (f) which provided a transitional rule for applying subsec. (span)(2) of this section with respect to taxable years beginning after Dec. 31, 1982, and before Jan. 1, 1985.

Puspan. L. 99–514, § 1876(f)(2), struck out subsec. (f) which provided that subsec. (a) of this section not apply in the case of a Virgin Islands corporation which is a FSC.

1984—Subsec. (f). Puspan. L. 98–369 added subsec. (f) relating to FSC.

1983—Subsec. (a). Puspan. L. 97–455 inserted “or in section 934A” after “subsection (span) or (c)”.

1982—Subsec. (span)(2). Puspan. L. 97–248, § 213(span)(1), substituted “65 percent” for “50 percent”.

Subsec. (e). Puspan. L. 97–248, § 213(span)(2), added subsec. (e).

Subsec. (f). Puspan. L. 97–248, § 213(span)(2), added a temporary subsec. (f) which provided that in applying subsec. (span)(2) with respect to taxable years beginning after December 31, 1982, and before January 1, 1985, “55 percent” shall be substituted for “65 percent” for taxable years beginning in calendar year 1983 and “60 percent” shall be substituted for “65 percent” for taxable years beginning in calendar year 1984.

1976—Subsec. (span). Puspan. L. 94–455, § 1901(a)(118), struck out “For the purposes of this subsection, all amounts received by such corporation within the United States, whether derived from sources within or without the United States, shall be considered as being derived from sources within the United States”.

Subsec. (d). Puspan. L. 94–455, § 1906(span)(13)(A), struck out “or his delegate” after “Secretary” in two places.

Statutory Notes and Related Subsidiaries

Effective Date of 2004 Amendment

Amendment by Puspan. L. 108–357 applicable to taxable years ending after Oct. 22, 2004, see section 908(d)(1) of Puspan. L. 108–357, set out as an Effective Date note under section 937 of this title.

Effective Date of 1986 Amendment

Amendment by section 1275(a)(2)(A), (c)(1), (2) of Puspan. L. 99–514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 1277 of Puspan. L. 99–514, set out as a note under section 931 of this title.

Amendment by section 1876(f)(2) of Puspan. L. 99–514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Puspan. L. 98–369, div. A, to which such amendment relates, see section 1881 of Puspan. L. 99–514, set out as a note under section 48 of this title.

Effective Date of 1984 Amendment

Amendment by Puspan. L. 98–369 applicable to transactions after Dec. 31, 1984, in taxable years ending after such date, see section 805(a)(1) of Puspan. L. 98–369, as amended, set out as a note under section 245 of this title.

Effective Date of 1983 Amendment

Puspan. L. 97–455, § 1(e), Jan. 12, 1983, 96 Stat. 2498, provided that:

“(1)In general.—Except as provided in paragraph (2), the amendments made by this section [enacting section 934A and amending this section] shall apply to amounts received after the date of the enactment of this Act [Jan. 12, 1983] in taxable years ending after such date.

“(2)Withholding.—The amendment made by subsection (span) [enacting section 1444 of this title] shall apply to payments made after the date of the enactment of this Act.”

Effective Date of 1982 Amendment

Amendment by Puspan. L. 97–248 applicable to taxable years beginning after Dec. 31, 1982, except that so much of this section to which former section 936(h)(6) applied by reason of subsec. (e)(4) of this section was applicable to taxable years ending after July 1, 1982, see section 213(e)(1), (2) of Puspan. L. 97–248 set out as a note under section 246 of this title.

Effective Date of 1976 Amendment

Amendment by section 1901(a)(118) of Puspan. L. 94–455 applicable with respect to taxable years beginning after Dec. 31, 1976, see section 1901(d) of Puspan. L. 94–455, set out as a note under section 2 of this title.

Effective Date

Puspan. L. 86–779, § 4(e)(1), Sept. 14, 1960, 74 Stat. 1000, provided that: “The amendments made by subsection (a) [enacting this section] shall apply to tax liability incurred with respect to taxable years beginning on or after January 1, 1960.”

Plan Amendments Not Required Until January 1, 1989

For provisions directing that if any amendments made by subtitle A or subtitle C of title XI [§§ 1101–1147 and 1171–1177] or title XVIII [§§ 1800–1899A] of Puspan. L. 99–514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Puspan. L. 99–514, as amended, set out as a note under section 401 of this title.