Opinion ID: 2360363
Heading Depth: 2
Heading Rank: 1

Heading: District of Columbia Income and Franchise Act of 1947

Text: Congress enacted the District of Columbia Revenue Act of 1947 which, inter alia, imposed an income tax on D.C. residents and resident estates and trusts and a franchise tax upon every corporation and unincorporated business for the privilege of carrying on or engaging in any trade or business within the District and of receiving such other income as is derived from sources within the District.... District of Columbia Income and Franchise Tax Act of 1947, Pub.L. No. 80-195, ch. 258, 61 Stat. 328, 349 (codified at D.C.Code § 47-1810.01(a)(2) (2001)) (hereinafter Tax Act of 1947). It specifically provided that for the purposes of this article . . . the words `taxable income' mean ... that portion of the entire net income of every nonresident which is subject to tax under title VIII of this article [Tax on Unincorporated Businesses]. 61 Stat. at 643. Congress initially set the tax rate at 5.0% per annum and raised it several times. 61 Stat. at 346. In addition, Congress established that the UB Tax would be payable by the person or persons, jointly and severally, conducting the unincorporated business. The taxes ... may be assessed in the name of the unincorporated business or in the name or names of the person or persons liable for the payment of such taxes, or both. 61 Stat. at 346 (codified at D.C.Code § 47-1808.05 (2001)).