Page:United States Statutes at Large Volume 97.djvu/414

 97 STAT. 382 PUBLIC LAW 98-67—AUG. 5, 1983 "(1) IN GENERAL. — In the case of any person who fails to Post, p.383. furnish a statement under section 6042(c), 6044(e), or 6049(c) on the date prescribed therefor to a person with respect to whom a return has been made under section 6042(a)(1), 6044(a)(1), or 96 Stat. 587; 6049(a), respectively, such person shall pay a penalty of $50 for ante, p. 370. each such failure unless it is shown that such person exercised due diligence in attempting to satisfy the requirement with respect to such statement. "(2) SELF-ASSESSMENT. — Any penalty imposed under para- graph (1) on any person— "(A) for purposes of this subtitle, shall be treated as an 26 USC 4041. excise tax imposed by subtitle D, and "(B) shall be due and payable on April 1 of the calendar year following the calendar year for which such statement is required. " (3) DEFICIENCY PROCEDURES NOT TO APPLY. —Subchapter B of 26 USC 6211. chapter 63 (relating to deficiency procedures for income, estate, gift, and certain excise taxes) shall not apply in respect of the assessment or collection of any penalty imposed by paragraph (1). " SEC. 106. PRESUMPTION THAT NEGLIGENCE PENALTY APPLIES TO UNDERPAYMENTS ATTRIBUTABLE TO FAILURE TO REPORT CERTAIN INTEREST AND DIVIDEND PAYMENTS. 26 USC 6653. Section 6653 (relating to failure to pay tax) is amended by adding at the end thereof the following new subsection: " (g) SPECIAL RULE IN THE CASE OF INTEREST OR DIVIDEND PAYMENTS. — "(1) IN GENERAL. — If— "(A) any payment is shown on a return made by the payor under section 6042(a), 6044(a), or 6049(a), and '(B) the payee fails to include any portion of such pay- ment in gross income, any portion of an underpayment attributable to such failure shall be treated, for purposes of subsection (a), as due to negli- gence in the absence of clear and convincing evidence to the contrary. "(2) PENALTY TO APPLY ONLY TO PORTION OF UNDERPAYMENT DUE TO FAILURE TO INCLUDE INTEREST OR DIVIDEND PAYMENT. —I f any penalty is imposed under subsection (a) by reason of para- graph (1), the amount of the penalty imposed by paragraph (1) of subsection (a) shall be 5 percent of the portion of the underpay- ment which is attributable to the failure described in paragraph (1). " SEC. 107. CIVIL AND CRIMINAL PENALTIES ON FALSE INFORMATION WITH RESPECT TO BACKUP WITHHOLDING ON INTEREST AND DIVI- DENDS. 26 USC 6682. (a) CIVIL PENALTY.— Paragraph (1) of section 6682(a) (relating to civil penalty for false information with respect to withholding) is amended by inserting "or section 3406" after "section 3402", 96 Stat. 588. (b) CRIMINAL PENALTY. —Section 7205 (relating to fraudulent with- 26 USC 7205. holding exemption certificate or failure to supply information) is amended— (1) by striking out "Any individual" and inserting in lieu thereof "(a) WITHHOLDING ON WAGES.— Any individual", and (2) by adding at the end thereof the following new subsection:

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