Page:United States Statutes at Large Volume 76.djvu/1103

 76 STAT.]

PUBLIC LAW 87-834-OCT. 16, 1962

" (A) the amount of any patronage dividend (as defined in section 1388(a)) which is paid in money, qualified written notices of allocation (as defined in section 1388(c)), or other property (except nonqualified written notices of allocation as defined in section 1388(d)), " (B) any amount described in section 1382(c)(2)(A) (relating to certain nonpatronage distributions) which is paid in money, qualified written notices of allocation, or other property (except nonqualified written notices of allocation) by an organization exempt from tax under section 521 (relating to exemption of farmers' cooperatives from tax), and " (C) any amount described in section 1382(b)(2) (relating to redemption of nonqualified written notices of allocation) and, in the case of an organization described in section 1381(a)(1), any amount described in section 1382(c)(2)(B) (relating to redemption of nonqualified written notices of allocation paid with respect to earnings derived from sources other than patronage). "(2) EXCEPTIONS.—The provisions of subsection (a) shall not apply, to the extent provided in regulations prescribed by the Secretary or his delegate, to any payment— " (A) by a foreign corporation, or " (B) to a foreign corporation, a nonresident alien, or a partnership not engaged in trade or business in the United States and composed in whole or in part of nonresident aliens. "(c) EXEMPTION FOR CERTAIN CONSUMER COOPERATIVES.—^A cooperative which the Secretary or his delegate determines is primarily engaged in selling at retail goods or services of a type that are generally for personal, living, or family use shall, upon application to the Secretary or his delegate, be granted exemption from the reporting requirements imposed by subsection (a). Application for exemption under this subsection shall be made in accordance with rjegulations prescribed by the Secretary or his delegate. " (d) DETERMINATION OF AMOUNT PAID.—For purposes of this section, in determining the amount of any payment— "(1) property (other than a qualified written notice of allocation) shall be taken into account at its fair market value, and "(2) a qualified written notice of allocation shall be taken into account at its stated dollar amount,

1055 Ante, p. 1049.

Ante. p. i046.

26 USC 521.

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"(e) STATEMENTS TO B E FURNISHED TO PERSONS W I T H RESPECT TO W H O M INFORMATION I S FURNISHED.—Every cooperative making a

return under subsection (a)(1) shall furnish to each person whose name is set forth in such return a written statement showing— "(1) the name and address of the cooperative making such return, and "(2) the aggregate amount of payments to the person as shown on such return. The written statement required under the preceding sentence shall be furnished to the person on or before January 31 of the year following the calendar year for which the return under subsection (a)(1) was made. No statement shall be required to be furnished to any person under this subsection if the aggregate amount of payments to such person as shown on the return made under subsection (a)(1) is less than $10." (c) RETURNS REGARDING PAYMENT OF INTEREST.—Subpart B of

part III of subchapter A of chapter 61 (relating to information returns) is amended by adding after section 6048 (as added by section 7(f) of this Act) the following new section:

Ante, p.ess.

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