Page:United States Statutes at Large Volume 42 Part 1.djvu/299

 SIXTY-SEVENTH CONGRESS. Sess. I. Ch. 136. 1921. 271 Nothing in this section shall be construed to alter or amend the V."€°°f;,‘§ufdd‘- provisions of the Act entitled “An Act making appropriations for the Piryqnileum ottax in, naval service for the fiscal year ending June 30, 1922, and for other purposes/’ approved July 12, 1921, relating to the imposition of income taxes m the Virgin Islands of the United States. roirro moo nm PHILIPPINE rsmnvns. 1>iiiii%§¤i°£i° and the Sec. 261. That in Porto Rico and the Philippine Islands the income iugihiir giniiiiiiius by tax shall be levied, assessed, collected, and paid as provided by law 3,,V;’,'·$.%.P\;_§f"£’°'· prior to the passage of this Act. 10§7·. _’ ’p` The Porto Rican or Philippine Legislature shall have power by due iq$1lii1i3rng°‘ms`u°r enactment to amend, alter, modify, or repeal the income tax laws in force in Porto Rico or the Philippine Islands, respectively. moomn mom somzons WITHIN THE rossnssroivs or THE UNITED S,§'{§s°‘;,‘§S§'c‘g§§c},’S‘}i‘°‘ STATES. Sec. 262. (a) That in the case of citizens of the United States or zag? *:::1%:2%: domestic corporations, satisfying the following conditions, gross €,°,{§g§“§,‘,§i°,;‘g°§§‘c‘g‘;f igncome means only gross income from sources within the United tates—. (1) If 80 per centum or more of the gross income of such citizen or ¤ii»i1me1i°$ £Z.°d domestic corporation (computed without the benefit of this section) for the three—year period immediately preceding the close of the taxable year (or for such part of such period immediately preceding the close of such taxable year as ma be ap licable) was denved from sources within a possession of the Ifnited States; and dm dd,,v_ (2) If, in the case of such co eration, 50 per centum or more of mg? pa me mm its gross income (computed wiizhout the benefit of this section) for “° '°l’“"l“°°"‘"‘°'°*" such period or such part thereof was derived from the active conduct of a trade or business within a possession of the United States; or mmm dddvdm 50 (3) If, in the case of such citizen, 50 per centum or more of his gross gs: cent from naive income (computed without the benefit of this section) for such period ‘“l“°“°h°'°m‘ or such part thereof was derived from the active conduct of a trade or business within a posspssion of the United Etates either on his own account or as an em o ee or agent o anot er. (b) Notwithstanding the {Jrovisions of subdivision (a) there shall miiigigiinsigiegiaxgniq be included in gross income all amounts received by such citizens or d°° “"°” °°'°°‘ co orations within the United States, whether derived from sources williin or without the United States. _ vu?. Iglggdg M (c) As used in this section the term "possemion of the United *¤°*¤ °¢ States" does not include the Virgin Islands of the United States. minmcnvm nam or TITLE. E“°°“" d°°°‘ Sec. 263. That this title shall take effect as of January 1, 1921. WA; AND EXCESS TITLE III.-—WAR—PROFITS AND EXCESS—PROFITS TAX "·°“`” ‘·*·‘· FOR 1921. PART I.—GENERAL Dmvrmrrons. G°“°"“'d°°‘““°““‘ Meaning of designa- Sec. 300. That when used in this title the terms " taxable year," ‘°‘°°"“"“°‘ " fiscal year," " personal service corporation," "pa1d_or accrued," and "dividends" shall have the same meaning as provided for the purposes of income tax in sections 200 and 201.