Page 39

TITLE 26-INTERNAL REVENUE CODE EFFECTIVE DATE OF 1975 AMENDMENT Amendment by Pub. L. 94-164 applicable to taxable years beginning after Dec. 31, 1975, see section 4(e) of Pub. L. 94-164, set out as an Effective and Termina. tion Dates of 1975 Amendments nobe under section 11 of this title, EFFECTIVE DATE OF 1964 AMENDMENT Section 132 of Pub. L. 88-272 provided in part that the amendment to subsec. (d) of this section was effec- tive with respect to taxable years ending after Dec. 31, 1963. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 6013 of this title. PART IV-CREDITS AGAINST TAX Subpart A. Credits allowable. B. Rules for computing credit for investment in cer- tain depreciable property. C. Rules for computing credit for expenses of work incentive programs. AMENDMENTS 1971-Pub. L. 92-178, title VI, §601(c)(1), Dec. 10, 1971, 85 Stat. 557, added subpart C. PART REFERRED TO IN OTHER SECTIONS This part is referred to in sections 1378, 6015, 6154, 6362, 6425, 6654, 6655, 6682 of this title. SUBPART A-CREDITS ALLOWABLE Sec. 31. Tax withheld on wages. 32. Tax withheld at source on nonresident aliens and foreign corporations and on tax-free covenant bonds. 33. Taxes of foreign countries and possessions of the United States; possession tax credit. (34, 35. Repealed.] 36. Credits not allowed to individuals taking stan- dard deduction. 37. Credit for the elderly. 38. Investment in certain depreciable property. 39. Certain uses of gasoline, special fuels, and lubri- cating oil. 40. Expenses of work incentive programs. 41. Contributions to candidates for public office. 42. General tax credit. 43. Credit for certain earned Income.' 44. Credit for purchase of new principal residence. 44A. Expenses for household and dependent care ser- vices necessary for gainful employment. 45. Overpayments of tax. AMENDMENTS 1976-Pub. L. 94-455, title IV, § 401(a)(2)(D), title V, §§ 501(c)(2), 503(b)(5), 504(a)(2), title XIX, § 1901(b)(1)(Z), Oct. 4, 1976, 90 Stat. 1555, 1559, 1562, 1565, 1792, substituted in item 42 "General tax credit" for "Taxable income credit", struck out in item 36 "pay optional tax or", added in item 33 "possession tax credit", substituted in item 37 "Credit of the elderly for Retirement income", added item 44A, and deleted item 35 "Partially tax-exempt interest received by in- dividuals". 1975-Pub. L. 94-164, § 3(a)(2), Dec. 23, 1975, 89 Stat. 973, substituted "Taxable income credit" for "Credit for personal exemptions" in item 42. Pub. L. 94-12, title II, §§ 203(b)(1), 204(c), 208(d)(1), Mar. 29, 1975, 89 Stat. 30, 32, 35, renumbered item 42 as 45 and added item 42 applicable to taxable years ending after Dec. 31, 1974 but to cease to apply to tax- able years ending after Dec. 31, 1975, item 43 applica- 'So in original. Does not conform to section catch- line. ble to taxable years beginning after Dec. 31, 1974 but before Jan. 1, 1976, and item 44. 1971-Pub, L. 92-178, title VI, §601(c)(2), Dec. 10, 1971, 85 Stat. 557, added items 40 and 41, and redesig- nated former item 40 as 42. 1970-Pub. L. 91-258, title II, § 207(d)(10), May 21, 1970, 84 Stat. 249, inserted ". special fuels," after "gas- oline" in item 39. 1965-Pub. L. 89-44, title VIIi, § 809(d)(1), June 21, 1965, 79 Stat. 167, added item 39 and redesignated former item 39 as 40. 1964-Pub. L. 88-272, title II, § 201(d)(1), Feb. 26, 1964, 78 Stat. 32, deleted item 34. 1962-Pub. L. 87-834, § 2(g)(1), (2), Oct. 16, 1962, 76 Stat. 972, 973, added the headings cf subparts A and B and item 38, and redesignated forn er item 38 as 39. SUBPART REFERRED TO IN OrHEF SECTIONS This subpart is referred to in .ections 47, 50A of this title. § 31. Tax withheld on wages (a) Wage withholding for income tax purposes (1) In general The amount withheld under section 3402 as tax on the wages of any individual shall be al- lowed to the recipient of the income as a credit against the tax imposed by this subti. tle. (2) Year of credit The amount so withheld during any calen- dar year shall be allowed as a credit for the taxable year beginning in such calendar year. If more than one taxable year begins in a cal- endar year, such amount shall be allowed as a credit for the last taxable year so beginning. (b) Credit for special refunds of social security tax (1) In general The Secretary may prescribe regulations providing for the crediting against the tax im- posed by this subtitle of the amount deter- mined by the taxpayer or the Secretary to be allowable under section 6413(c) as a special refund of tax imposed on wages. The amount allowed as a credit under such regulations shall, for purposes of this subtitle, be consid- ered an amount withheld at source as tax under section 3402. (2) Year of credit Any amount to which paragraph (1) applies shall be allowed as a credit for the taxable year beginning in the calendar year during which the wages were received. If more than one taxable year begins in the calendar year, such amount shall be allowed as a credit for the last taxable year so beginning. (Aug. 16, 1954, ch. 736, 68A Stat. 12; Oct. 4, 1976, Pub. L. 94-455, title XIX, § 1906(b)(13)(D), 90 Stat. 1834.) AMENDMENTS 1976-Subsec. (b)(1). Pub, L. 94-455 struck out "or his delegate" following "The Secretary" and "(or his delegate)" following "taxpayer or the Secretary". CROSS REFERENCES Amount allowable as credit under this section ex- ceeding taxes imposed by chapter 1 considered as over- payment, see section 6401 of this title. Time tax collected at source deemed paid, see sec- tion 6513 of this title. Page 39