Source: http://taxtv.com/code/01043-USCODE-2011-title26-subtitleC-chap24-sec3402/
Timestamp: 2017-11-21 11:50:34
Document Index: 343488190

Matched Legal Cases: ['§3402', '§3402', '§3402', '§2', '§110', '§302', '§313', '§2', '§101', '§102', '§2', '§6', '§805', '§208', '§202', '§2', '§3', '§2', '§3', '§401', '§502', '§1207', '§1903', '§105', '§405', '§101', '§601', '§4', '§101', '§317', '§104', '§3', '§104', '§1301', '§1581', '§10302', '§1003', '§11801', '§522', '§1934', '§701', '§101', '§1', '§102', '§104', '§104', '§104', '§104', '§104', '§104', '§104', '§1301', '§104', '§1581', '§104', '§1303', '§101', '§105', '§102', '§1', '§1', '§2', '§1015', '§2', '§2']

IRC §3402. Income tax collected at source - TaxTV.com
IRC §3402. Income tax collected at source
View related content: IRC §3402
For purposes of applying tables or procedures prescribed under paragraph (1), the term “the amount of wages” means the amount by which the wages exceed the number of withholding exemptions claimed multiplied by the amount of one such exemption. The amount of each withholding exemption shall be equal to the amount of one personal exemption provided in section 1 (b), prorated to the payroll period. The maximum number of withholding exemptions permitted shall be calculated in accordance with regulations prescribed by the Secretary under this section, taking into account any reduction in withholding to which an employee is entitled under this section.
(A) an exemption for himself unless he is an individual described in section 1 (d)(2);
(C) an exemption for each individual with respect to whom, on the basis of facts existing at the beginning of such day, there may reasonably be expected to be allowable an exemption under section 1 (c) for the taxable year under subtitle A in respect of which amounts deducted and withheld under this chapter in the calendar year in which such day falls are allowed as a credit;
(A) multiplying the amount of an employee’s wages for a payroll period by the number of such payroll periods in the calendar year,
(1) estimated itemized deductions allowable under chapter 1 (other than the deductions referred to in section 1 and other than the deductions required to be taken into account in determining adjusted gross income under section 62(a) (other than paragraph (10) thereof)),
For purposes of paragraph (1), the term “supplemental unemployment compensation benefits” means amounts which are paid to an employee, pursuant to a plan to which the employer is a party, because of an employee’s involuntary separation from employment (whether or not such separation is temporary), resulting directly from a reduction in force, the discontinuance of a plant or operation, or other similar conditions, but only to the extent such benefits are includible in the employee’s gross income.
(ii) any payment referred to in the second sentence of section 4 (d) which is treated as insurance proceeds,
Every person, including an Indian tribe, making a payment to a member of an Indian tribe from the net revenues of any class II or class III gaming activity conducted or licensed by such tribe shall deduct and withhold from such payment a tax in an amount equal to such payment’s proportionate share of the annualized tax.
(B) the exemption amount (as defined in section 1 (d)).
The employer may elect not to deduct and withhold any tax under this chapter with respect to any vehicle fringe benefit provided to any employee if such employee is notified by the employer of such election (at such time and in such manner as the Secretary shall by regulations prescribe). The preceding sentence shall not apply to any vehicle fringe benefit unless the amount of such benefit is included by the employer on a statement timely furnished under section 60 .
Any vehicle fringe benefit shall be treated as wages from which amounts are required to be deducted and withheld under this chapter for purposes of section 60 .
(Aug. 16, 1954, ch. 736, 68A Stat. 457; Aug. 9, 1955, ch. 666, §2, 69 Stat. 605; Pub. L. 87–256, §110(g)(2), Sept. 21, 1961, 75 Stat. 537; Pub. L. 88–272, title III, §302(a), (b), Feb. 26, 1964, 78 Stat. 140; Pub. L. 89–97, title III, §313(d)(3)–(5), July 30, 1965, 79 Stat. 384; Pub. L. 89–212, §2(c), Sept. 29, 1965, 79 Stat. 859; Pub. L. 89–368, title I, §101(a)–(e)(3), Mar. 15, 1966, 80 Stat. 38–61; Pub. L. 90–364, title I, §102(c), June 28, 1968, 82 Stat. 256; Pub. L. 91–36, §2(a), June 30, 1969, 83 Stat. 42; Pub. L. 91–53, §6(a), Aug. 7, 1969, 83 Stat. 96; Pub. L. 91–172, title VIII, §805(a)–(e), (f)(1), (g), Dec. 30, 1969, 83 Stat. 686, 704–708; Pub. L. 92–178, title II, §208(a), (b)(1), (c)–(h)(1), Dec. 10, 1971, 85 Stat. 2– 7; Pub. L. 94–12, title II, §§202(b), 205, Mar. 29, 1975, 89 Stat. 29, 32; Pub. L. 94–164, §§2(b)(2), 5(a)(1), Dec. 23, 1975, 89 Stat. 971, 975; Pub. L. 94–331, §3(a)(1), June 30, 1976, 90 Stat. 782; Pub. L. 94–396, §2(a)(1), Sept. 3, 1976, 90 Stat. 1201; Pub. L. 94–414, §3(a)(1), Sept. 17, 1976, 90 Stat. 1273; Pub. L. 94–455, title IV, §401(d), title V, §§502(b), 504(c)(3), title XII, §1207(d), title XIX, §§1903(a)(17), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1557, 1559, 1566, 1705, 1810, 1834; Pub. L. 95–30, title I, §105, title IV, §405(a), May 23, 1977, 91 Stat. 140, 156; Pub. L. 95–600, title I, §§101(e), 102(c), title VI, §601(b)(2), Nov. 6, 1978, 92 Stat. 2770, 2771, 2896; Pub. L. 96–601, §4(a)–(d), Dec. 24, 1980, 94 Stat. 3496, 3497; Pub. L. 97–34, title I, §101(e), Aug. 13, 1981, 95 Stat. 184; Pub. L. 97–248, title III, §§317(a), 334(d), Sept. 3, 1982, 96 Stat. 607, 627; Pub. L. 98–67, title I, §104(d)(3), Aug. 5, 1983, 97 Stat. 380; Pub. L. 99–44, §3, May 24, 1985, 99 Stat. 77; Pub. L. 99– 4, title I, §104(b)(15), title XIII, §§1301(j)(8), 1303(b)(4), title XV, §1581(b), Oct. 22, 1986, 100 Stat. 2106, 2658, 2766; Pub. L. 100–203, title X, §10302(a), Dec. 22, 1987, 101 Stat. 1330–429; Pub. L. 100–647, title I, §1003(a)(2), Nov. 10, 1988, 102 Stat. 3382; Pub. L. 101–508, title XI, §11801(a)(41), Nov. 5, 1990, 104 Stat. 1388–521; Pub. L. 102–318, title V, §522(b)(2)(D), July 3, 1992, 106 Stat. 314; Pub. L. 102–486, title XIX, §§1934(a), 1942(a), Oct. 24, 1992, 106 Stat. 3031, 3036; Pub. L. 103–465, title VII, §§701(a), 702(a), Dec. 8, 1994, 108 Stat. 4995, 4996; Pub. L. 107–16, title I, §101(c)(6)–(9), June 7, 2001, 115 Stat. 43, 44; Pub. L. 109–222, title V, §1(a), May 17, 2006, 120 Stat. 364; Pub. L. 112–56, title I, §102(a), Nov. 21, 2011, 125 Stat. 712.)
1986—Subsec. (f)(1). Pub. L. 99– 4, §104(b)(15)(F), substituted “standard deduction” for “zero bracket” and “subparagraph (E)” for “subparagraph (G)” in last sentence.
Subsec. (f)(1)(A). Pub. L. 99– 4, §104(b)(15)(B), inserted “unless he is an individual described in section 1 (d)(2)” after “himself”.
Subsec. (f)(1)(B). Pub. L. 99– 4, §104(b)(15)(A), redesignated subpar. (D) as (B) and struck out former subpar. (B) which read as follows: “one additional exemption for himself if, on the basis of facts existing at the beginning of such day, there may reasonably be expected to be allowable an exemption under section 1 (c)(1) (relating to old age) for the taxable year under subtitle A in respect of which amounts deducted and withheld under this chapter in the calendar year in which such day falls are allowed as a credit;”.
Pub. L. 99– 4, §104(b)(15)(C), which directed that “subparagraph (A) or (D)” be substituted for “subparagraph (A), (B), (C), or (F)” was executed by making the substitution for “subparagraph (A), (B), or (C)”, as the probable intent of Congress.
Subsec. (f)(1)(C). Pub. L. 99– 4, §104(b)(15)(A), (D), redesignated subpar. (E) as (C), substituted “section 1 (c)” for “section 1 (e)”, and struck out former subpar. (C) which read as follows: “one additional exemption for himself if, on the basis of facts existing at the beginning of such day, there may reasonably be expected to be allowable an exemption under section 1 (d)(1) (relating to the blind) for the taxable year under subtitle A in respect of which amounts deducted and withheld under this chapter in the calendar year in which such day falls are allowed as a credit;”.
Subsec. (f)(1)(D). Pub. L. 99– 4, §104(b)(15)(A), redesignated subpar. (F) as (D). Former subpar. (D) redesignated (B).
Subsec. (f)(1)(E). Pub. L. 99– 4, §104(b)(15)(A), (E), redesignated subpar. (G) as (E) and substituted “standard deduction” for “zero bracket”. Former subpar. (E) redesignated (C).
Pub. L. 99– 4, §1301(j)(8), substituted “section 7703” for “section 143”.
Subsec. (f)(1)(F), (G). Pub. L. 99– 4, §104(b)(15)(A), redesignated subpars. (F) and (G) as (D) and (E), respectively.
Subsec. (i)(1). Pub. L. 99– 4, §1581(b), struck out “or decreases” after “increases”.
Subsec. (m)(3). Pub. L. 99– 4, §104(b)(15)(G), inserted “(including the additional standard deduction under section 63(c)(3) for the aged and blind)”.
Subsec. (r). Pub. L. 99– 4, §1303(b)(4), struck out subsec. (r) which provided for extension of withholding to GSOC distributions.
Subsec. (b)(3). Pub. L. 97–34, §101(e)(2)(A), (B), redesignated par. (4) as (3) and substituted provisions relating to an employer’s computation of the tax to be deducted and withheld as if the aggregate of the wages paid to the employee during the calendar week were paid for a weekly payroll period, for provisions relating to an employer’s computation of the tax to be deducted and withheld using the excess of the aggregate of the wages paid to the employee during the calendar week over the withholding exemption allowed by this subsection for a weekly payroll period. Former par. (3) redesignated (2).
Subsec. (m)(2)(A). Pub. L. 95–30, §105(b)(3)(A), (B), substituted “section 1 ” for “sections 141 and 1 ” and “(or the zero bracket amount (within the meaning of section 63(d)))” for “(or the amount of the standard deduction)”.
Pub. L. 112–56, title I, §102(b), Nov. 21, 2011, 125 Stat. 712, provided that: “The amendment made by this section [amending this section] shall apply to payments made after December 31, 2011.”
Pub. L. 109–222, title V, §1(b), May 17, 2006, 120 Stat. 365, as amended by Pub. L. 111–5, div. B, title I, §1 1, Feb. 17, 2009, 123 Stat. 355, provided that: “The amendment made by this section [amending this section] shall apply to payments made after December 31, 2011.”
Amendment by section 104(b)(15) of Pub. L. 99– 4 applicable to taxable years beginning after Dec. 31, 1986, see section 1 (a) of Pub. L. 99– 4, set out as a note under section 1 of this title.
Amendment by section 1301(j)(8) of Pub. L. 99– 4 applicable to bonds issued after Aug. 15, 1986, except as otherwise provided, see sections 1311 to 1318 of Pub. L. 99– 4, set out as an Effective Date; Transitional Rules note under section 141 of this title.
Amendment by section 1303(b)(4) of Pub. L. 99– 4 effective Oct. 22, 1986, see section 1311(f) of Pub. L. 99– 4, as amended, set out as an Effective Date; Transitional Rules note under section 141 of this title.
Section 4(f) of Pub. L. 96–601 provided that: “The amendments made by this section [amending this section and section 60 of this title] shall apply to payments made on or after the first day of the first calendar month beginning more than 120 days after the date of the enactment of this Act [Dec. 24, 1980].”
Section 805(h) of Pub. L. 91–172, as amended by Pub. L. 99– 4, §2, Oct. 22, 1986, 100 Stat. 2095, provided that:
“(2) The amendment made by subsection (f) [amending this section and section 60 of this title] applies to wages paid after April 30, 1970.
Section 1581(a) of Pub. L. 99– 4 provided that: “The Secretary of the Treasury or his delegate shall modify the withholding schedules and withholding exemption certificates under section 3402 of the Internal Revenue Code of 1954 [now 1986] to better approximate actual tax liability under the amendments made by this Act [see Tables for classification].”
Employer’s Responsibility Upon Failure of Employee To File Revised Withholding Allowance Certificate Before Oct. 1, 1987
Section 1581(c) of Pub. L. 99– 4, as amended by Pub. L. 100–647, title I, §1015(p), Nov. 10, 1988, 102 Stat. 3572, provided that: “If an employee has not filed a revised withholding allowance certificate before October 1, 1987, the employer shall withhold income taxes from the employee’s wages—
“(1) as if the employee claimed 1 withholding allowance, if the employee checked the ‘single’ box on the employee’s previous withholding allowance certificate, or
“(2) as if the employee claimed 2 withholding allowances, if the employee checked the ‘married’ box on the employee’s previous withholding allowance certificate.
Section 304 of Pub. L. 95–30, as amended by Pub. L. 99– 4, §2, Oct. 22, 1986, 100 Stat. 2095, provided that: “No person shall be liable in respect of any failure to deduct and withhold under section 3402 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954] (relating to income tax collected at source) on remuneration paid before January 1, 1977, to the extent that the duty to deduct and withhold was created or increased by any provision of the Tax Reform Act of 1976 [Pub. L. 94–455].”
Section 101(f) of Pub. L. 89–368, as amended by Pub. L. 99– 4, §2, Oct. 22, 1986, 100 Stat. 2095, provided that: “Notwithstanding section 3402(f)(3)(B) of the Internal Revenue Code of 1986 [formerly I.R.C. 1954], a withholding exemption certificate furnished the employer after the date of the enactment of this Act [Mar. 15, 1966] and before May 1, 1966, shall take effect with respect to the first payment of wages made on or after May 1, 1966, or the 10th day after the date on which such certificate is furnished to the employer, whichever is later, and at the election of the employer such certificate may be made effective with respect to any payment of wages made on or after the date on which such certificate is furnished.”