§ 406. Employees of foreign affiliates covered by section 3121(l) agreements

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1964

   Revenue Act of 1964

   Pub. L. 88–272 title II § 220(a) · 78 Stat. 19

   Enacted · 26 U.S.C. § 406

   Added Pub. L. 88–272, title II, § 220(a), Feb. 26, 1964, 78 Stat. 58

   Source evidence

   Code source credit
   Added Pub. L. 88–272, title II, § 220(a), Feb. 26, 1964, 78 Stat. 58

   Enacted provision · exact public law section
   (a) Employees of Foreign Subsidiaries Covered by Social Security Agreements.— Part I of subchapter D of chapter 1 (relating to pension, profit-sharing, stock bonus plans, etc.) is amended by adding at the end thereof the following new section: “SEC. 406. CERTAIN EMPLOYEES OF FOREIGN SUBSIDIARIES. “(a) Treatment as Employees of Domestic Corporation.— For purposes of applying this part with respect to a pension, profit-sharing, 76 Stat. 809. 26 USC 401. 26 USC 403. 76 Stat. 826. 26 USC 405. or stock bonus plan described in section 401(a), an annuity plan described in section 403(a), or a bond purchase plan described in section 405(a), of a domestic corporation, an individual who is a citizen of the United States and who is an employee of 68 Stat. 1094. 26 USC 3121. a foreign subsidiary (as defined in section 3121(1) (8)) or such domestic corporation shall be treated as an employee of such domestic corporation, if— “(1) such domestic corporation has entered into an agreement under section 3121(1) which applies to the foreign subsidiary of which such individual is an employee; “(2) the plan of such domestic corporation expressly provides for contributions or benefits for individuals who are citizens of the United States and who are employees of its foreign subsidiaries to which an agreement entered into by such domestic corporation under section 3121 (1) applies; and “(3) contributions under a funded plan of deferred compensation (whether or not a plan described in section 401 (a), 403(a), or 405(a)) are not provided by any other person with respect to the remuneration paid to such individual by the foreign subsidiary. “(b) Special Rules for Application of Section 401(a).— “(1) Nondiscrimination requirements.— For purposes of applying paragraph (3)(B) and (4) of section 401(a) with 68A Stat. 134. 26 USC 401. respect to an individual who is treated as an employee of a domestic corporation under subsection (a)— “(A) if such individual is an officer, shareholder, or person whose principal duties consist in supervising the work of other employees of a foreign subsidiary of such domestic corporation, he shall be treated as having such capacity with respect to such domestic corporation; and “(B) the determination of whether such individual is a highly compensated employee shall be made by treating such individual’s total compensation (determined with the application of paragraph (2) of this subsection) as compensation paid by such domestic corporation and by determining such individual’s status with regard to such domestic corporation. “(2) Determination of compensation.— For purposes of applying paragraph (5) of section 401(a) with respect to an individual who is treated as an employee of a domestic corporation under subsection (a)— “(A) the total compensation of such individual shall be the remuneration paid to such individual by the foreign subsidiary which would constitute his total compensation if his services had been performed for such domestic corporation, and the basic or regular rate of compensation of such individual shall be determined under regulations prescribed by the Secretary or his delegate; and “(B) such individual shall be treated as having paid the amount paid by such domestic corporation which is equivalent to the tax imposed by section 3101. 75 Stat. 141. 26 USC 3101. “(c) Termination of Status as Deemed Employee Not To Be Treated as Separation From Service for Purposes of Capital Gain Provisions.— For purposes of applying section 402(a) (2) and section 26 USC 402. 26 USC 403. 403(a) (2) with respect to an individual who is treated as an employee of a domestic corporation under subsection (a), such individual shall not be considered as separated from the service of such domestic corporation solely by reason of the fact that— “(1) the agreement entered into by such domestic corporation under section 3121(1) which covers the employment of such 68 Stat. 1094. 26 USC 3121. individual is terminated under the provisions of such section, “(2) such individual becomes an employee of a foreign subsidiary with respect to which such agreement does not apply, “(3) such individual ceases to be an employee of the foreign subsidiary by reason of which he is treated as an employee of such domestic corporation, if he becomes an employee of another corporation controlled by such domestic corporation, or “(4) the provision of the plan described in subsection (a) (2) is terminated. “(d) Deductibility of Contributions.— For purposes of applying sections 404 and 405(c) with respect to contributions made to or 76 Stat. 819, 826. 26 USC 404, 405. under a pension, profit-sharing, stock bonus, annuity, or bond purchase plan by a domestic corporation, or by another corporation which is entitled to deduct its contributions under section 404(a) (3)(B), on behalf of an individual who is treated as an employee of such domestic corporation under subsection (a)— “(1) except as provided in paragraph (2), no deduction shall be allowed to such domestic corporation or to any other corporation which is entitled to deduct its contributions under such sections, “(2) there shall be allowed as a deduction to the foreign, subsidiary of which such individual is an employee an amount equal to the amount which (but for paragraph (1)) would be 68A Stat. 138; 76 Stat. 819, 826. 26 USC 404, 405. deductible under section 404 (or section 405(c)) by the domestic corporation if he were an employee of the domestic corporation, and “(3) any reference to compensation shall be considered to be a reference to the total compensation of such individual (determined with the application of subsection (b)(2)). Any amount deductible by a foreign subsidiary under this subsection shall be deductible for its taxable year with or within which the taxable year of such domestic corporation ends. “(e) Treatment as Employee Under Related Provisions.— An individual who is treated as an employee of a domestic corporation under subsection (a) shall also be treated as an employee of such domestic corporation, with respect to the plan described in subsection (a)(2), for purposes of applying the following provisions of this title: “(1) Section 72(d) (relating to employees’ annuities). “(2) Section 72(f) (relating to special rules for computing employees’ contributions). “(3) Section 101(b) (relating to employees’ death benefits). “(4) Section 2039 (relating to annuities). “(5) Section 2517 (relating to certain annuities under qualified plans)’.”

2. 1969

   Tax Reform Act of 1969

   Pub. L. 91–172 title V § 515(c)(2) · 83 Stat. 487

   1. Substituted · 26 U.S.C. § 406(c)

      Pub. L. 91–172 substituted “provisions and limitation of tax” for “provisions” in heading

   2. Substituted · 26 U.S.C. § 406(c)

      Pub. L. 91–172 substituted “section 72(n), section 402(a)(2),” for “section 402(a)(2)” in text

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 91–172 substituted “provisions and limitation of tax” for “provisions” in heading, and substituted “section 72(n), section 402(a)(2),” for “section 402(a)(2)” in text.

   Enacted provision · exact public law section
   (2) Section 400(c) (relating to termination of status as deemed 78 Stat. 59. employee not to be treated as separation from service for purposes of capital gain provisions) is amended— (A) by striking out “Provisions.” in the heading and inserting in lieu thereof “Provisions and Limitation of Tax.”; and (B) by striking out “section 402(a)(2)” and inserting in lieu thereof “section 72(n), section 402(a)(2),”.

3. 1974

   Employee Retirement Income Security Act of 1974

   Pub. L. 93–406 § 1016(a)(4) · 88 Stat. 829

   Substituted · 26 U.S.C. § 406(b)(1)

   Pub. L. 93–406, § 1016(a)(4), substituted “section 401(a)(4) and section 410(b) (without regard to paragraph (1)(A) thereof)” for “paragraphs (3)(B) and (4) of section 401(a)”

   Source evidence

   Code amendment note
   Subsec. (b)(1). Pub. L. 93–406, § 1016(a)(4), substituted “section 401(a)(4) and section 410(b) (without regard to paragraph (1)(A) thereof)” for “paragraphs (3)(B) and (4) of section 401(a)”.

   Enacted provision · exact public law section
   (4) Section 406(b)(1) (relating to certain employees of foreign 26 USC 406. subsidiaries) is amended by striking out “paragraphs (3)(B) and (4) of section 401(a)” and inserting in lieu thereof “section 401(a)(4) and section 410(b) (without regard to paragraph (1)(A) thereof)”.

4. 1974

   Employee Retirement Income Security Act of 1974

   Pub. L. 93–406 § 2005(c)(12) · 88 Stat. 829

   Substituted · 26 U.S.C. § 406(c)

   Pub. L. 93–406, § 2005(c)(12), substituted “subsections (a)(2) and (e) of section 402” for “section 72(n), section 402(a)(2)”

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 93–406, § 2005(c)(12), substituted “subsections (a)(2) and (e) of section 402” for “section 72(n), section 402(a)(2)”.

   Enacted provision · exact public law section
   (12) Section 406(c) (relating to termination of status as 26 USC 406. deemed employee, etc.) is amended by striking out “section 72(n), section 402(a)(2)” and inserting “subsections (a)(2) and (e) of section 402”.

5. 1976

   Pub. L. 94–455 title XIX § 1906(b)(13)(A) · 90 Stat. 1520

   Struck · 26 U.S.C. § 406(b)(2)(A)

   Pub. L. 94–455 struck out “or his delegate” after “Secretary”

   Source evidence

   Code amendment note
   Subsec. (b)(2)(A). Pub. L. 94–455 struck out “or his delegate” after “Secretary”.

   Enacted provision · exact public law section
   (A) The Internal Revenue Code of 1954, as amended by this Act, is amended by striking out “Secretary or his delegate” each place it appears and inserting in lieu thereof “Secretary”.

6. 1983

   Pub. L. 98–21 § 321(e)(2)(D)(i) · 97 Stat. 65

   Substituted · 26 U.S.C. § 406

   Pub. L. 98–21, § 321(e)(2)(D)(i), substituted “Employees of foreign affiliates covered by section 3121(l) agreements” for “Certain employees of foreign subsidiaries” in section catchline

   Source evidence

   Code amendment note
   Pub. L. 98–21, § 321(e)(2)(D)(i), substituted “Employees of foreign affiliates covered by section 3121(l) agreements” for “Certain employees of foreign subsidiaries” in section catchline.

7. 1983

   Pub. L. 98–21 § 321(c) · 97 Stat. 65

   1. Amended · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), amended subsec. (a) generally

   2. Substituted · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), substituting “American employer” for “domestic corporation” in heading and in text wherever appearing

   3. Inserted · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), inserting reference to section 3121(h) of this title

   4. Inserted · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), inserting “or resident” after “citizen” wherever appearing

   5. Substituted · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), substituting “foreign affiliate” for “foreign subsidiary”

   6. Substituted · 26 U.S.C. § 406(a)

      Pub. L. 98–21, § 321(c), substituting “foreign affiliates” for “foreign subsidiaries”

   Source evidence

   Code amendment note
   Subsec. (a). Pub. L. 98–21, § 321(c), amended subsec. (a) generally, substituting “American employer” for “domestic corporation” in heading and in text wherever appearing, inserting reference to section 3121(h) of this title, inserting “or resident” after “citizen” wherever appearing, substituting “foreign affiliate” for “foreign subsidiary” wherever appearing, and “foreign affiliates” for “foreign subsidiaries”.

8. 1983

   Pub. L. 98–21 § 321(e)(2)(A) · 97 Stat. 65

   Substituted · 26 U.S.C. § 406(b)

   Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation, and reference to an affiliate for reference to a subsidiary, wherever appearing

   Source evidence

   Code amendment note
   Subsec. (b). Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation, and reference to an affiliate for reference to a subsidiary, wherever appearing.

9. 1983

   Pub. L. 98–21 § 321(e)(2)(A) · 97 Stat. 65

   Substituted · 26 U.S.C. § 406(c)

   Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation, and reference to an affiliate for reference to a subsidiary, wherever appearing in provisions preceding par. (1) and in pars. (1) and (2)

   Source evidence

   Code amendment note
   Subsec. (c). Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation, and reference to an affiliate for reference to a subsidiary, wherever appearing in provisions preceding par. (1) and in pars. (1) and (2).

10. 1983

    Pub. L. 98–21 § 321(e)(2)(A) · 97 Stat. 65

    Substituted · 26 U.S.C. § 406(c)(3)

    Pub. L. 98–21, § 321(e)(2)(A), (B), substituted “foreign affiliate by reason of which he is treated as an employee of such American employer, if he becomes an employee of another entity in which such American employer has not less than a 10-percent interest (within the meaning of section 3121(l)(8)(B)” for “foreign subsidiary by reason of which he is treated as an employee of such domestic corporation, if he becomes an employee of another corporation controlled by such domestic corporation”

    Source evidence

    Code amendment note
    Subsec. (c)(3). Pub. L. 98–21, § 321(e)(2)(A), (B), substituted “foreign affiliate by reason of which he is treated as an employee of such American employer, if he becomes an employee of another entity in which such American employer has not less than a 10-percent interest (within the meaning of section 3121(l)(8)(B)” for “foreign subsidiary by reason of which he is treated as an employee of such domestic corporation, if he becomes an employee of another corporation controlled by such domestic corporation”.

11. 1983

    Pub. L. 98–21 § 321(e)(2)(A) · 97 Stat. 65

    1. Substituted · 26 U.S.C. § 406(d)

       Pub. L. 98–21, § 321(e)(2)(A), (C), substituted references to an American employer for references to a domestic corporation and reference to an affiliate for a reference to a subsidiary wherever appearing

    2. Substituted · 26 U.S.C. § 406(d)

       Pub. L. 98–21, § 321(e)(2)(A), (C), substituted “another taxpayer” for “another corporation” in provisions preceding par. (1)

    3. Substituted · 26 U.S.C. § 406(d)

       Pub. L. 98–21, § 321(e)(2)(A), (C), substituted “any other taxpayer” for “any other corporation” in par. (1)

    Source evidence

    Code amendment note
    Subsec. (d). Pub. L. 98–21, § 321(e)(2)(A), (C), substituted references to an American employer for references to a domestic corporation and reference to an affiliate for a reference to a subsidiary wherever appearing, substituted “another taxpayer” for “another corporation” in provisions preceding par. (1), and substituted “any other taxpayer” for “any other corporation” in par. (1).

12. 1983

    Pub. L. 98–21 § 321(e)(2)(A) · 97 Stat. 65

    Substituted · 26 U.S.C. § 406(e)

    Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation wherever appearing in provisions preceding par. (1)

    Source evidence

    Code amendment note
    Subsec. (e). Pub. L. 98–21, § 321(e)(2)(A), substituted reference to an American employer for reference to a domestic corporation wherever appearing in provisions preceding par. (1).

13. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 491(d)(13) · 98 Stat. 494

    Substituted · 26 U.S.C. § 406(a)

    Pub. L. 98–369, § 491(d)(13), substituted in introductory provision “or an annuity plan described in section 403(a)” for “, an annuity plan described in section 403(a), or a bond purchase plan described in section 405(a)”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 98–369, § 491(d)(13), substituted in introductory provision “or an annuity plan described in section 403(a)” for “, an annuity plan described in section 403(a), or a bond purchase plan described in section 405(a)”.

    Enacted provision · exact public law section
    (13) Subsection (a) of section 406 is amended by striking out 26 USC 406. “, an annuity plan described in section 403(a), or a bond purchase plan described in section 405(a)” and inserting in lieu thereof “or an annuity plan described in section 403(a)”.

14. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 491(d)(14) · 98 Stat. 494

    Substituted · 26 U.S.C. § 406(a)(3)

    Pub. L. 98–369, § 491(d)(14), substituted “or 403(a)” for “, 403(a), or 405(a)”

    Source evidence

    Code amendment note
    Subsec. (a)(3). Pub. L. 98–369, § 491(d)(14), substituted “or 403(a)” for “, 403(a), or 405(a)”.

    Enacted provision · exact public law section
    (14) Paragraph (3) of section 406(a) is amended by striking out “, 403(a), or 405(a)” and inserting in lieu thereof “or 403(a)”.

15. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 491(d)(15)(A) · 98 Stat. 494

    1. Substituted · 26 U.S.C. § 406(d)

       Pub. L. 98–369, § 491(d)(15)(A), (B), substituted in introductory provision “section 404” for “sections 404 and 405(c)”

    2. Substituted · 26 U.S.C. § 406(d)

       Pub. L. 98–369, § 491(d)(15)(A), (B), substituted in introductory provision “or annuity” for “annuity, or bond purchase”

    Source evidence

    Code amendment note
    Subsec. (d). Pub. L. 98–369, § 491(d)(15)(A), (B), substituted in introductory provision “section 404” for “sections 404 and 405(c)”, and “or annuity” for “annuity, or bond purchase”.

    Enacted provision · exact public law section
    (A) by striking out “sections 404 and 405(c)” and inserting in lieu thereof ‘Section 404”,

16. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 491(d)(15)(C) · 98 Stat. 494

    Struck · 26 U.S.C. § 406(d)(2)

    Pub. L. 98–369, § 491(d)(15)(C), struck out “(or section 405(c))” after “section 404”

    Source evidence

    Code amendment note
    Subsec. (d)(2). Pub. L. 98–369, § 491(d)(15)(C), struck out “(or section 405(c))” after “section 404”.

    Enacted provision · exact public law section
    (C) by striking out “(or section 405(c))” in paragraph (2) thereof.

17. 1986

    Tax Reform Act of 1986

    Pub. L. 99–514 § 1112(d)(3) · 100 Stat. 2085

    Struck · 26 U.S.C. § 406(b)(1)

    Pub. L. 99–514, § 1112(d)(3), struck out “(without regard to paragraph (1)(A) thereof)” after “section 410(b)” in introductory text

    Source evidence

    Code amendment note
    Subsec. (b)(1). Pub. L. 99–514, § 1112(d)(3), struck out “(without regard to paragraph (1)(A) thereof)” after “section 410(b)” in introductory text.

    Enacted provision · exact public law section
    (3) Sections 406(b)(1) and 407(b)(1) are each amended by striking out “(without regard to paragraph (1)(A) thereof” after “section 410(b)”.

18. 1986

    Tax Reform Act of 1986

    Pub. L. 99–514 § 1114(b)(9)(A) · 100 Stat. 2085

    1. Amended · 26 U.S.C. § 406(b)(1)(A)

       Pub. L. 99–514, § 1114(b)(9)(A), as amended by Pub. L. 101–239, § 7831(f)

    2. Substituted · 26 U.S.C. § 406(b)(1)(A)

       Pub. L. 99–514, § 1114(b)(9)(A), as substituted “a highly compensated employee (within the meaning of section 414(q))” for “an officer, shareholder, or person whose principal duties consist in supervising the work of other employees of a foreign affiliate of such American employer”

    Source evidence

    Code amendment note
    Subsec. (b)(1)(A). Pub. L. 99–514, § 1114(b)(9)(A), as amended by Pub. L. 101–239, § 7831(f), substituted “a highly compensated employee (within the meaning of section 414(q))” for “an officer, shareholder, or person whose principal duties consist in supervising the work of other employees of a foreign affiliate of such American employer”.

    Enacted provision · exact public law section
    (A) Section 406(b)(1)(A) is amended by striking out “an officer, shareholder, or person whose principal duties consist of supervising the work of other employees of a foreign affiliate of such American employer” and insert in lieu thereof “a highly compensated employee (within the meaning of section 414(q))”.

19. 1986

    Tax Reform Act of 1986

    Pub. L. 99–514 § 1114(b)(9)(C) · 100 Stat. 2085

    Inserted · 26 U.S.C. § 406(b)(1)(B)

    Pub. L. 99–514, § 1114(b)(9)(C), inserted “(as so defined)” after “employee”

    Source evidence

    Code amendment note
    Subsec. (b)(1)(B). Pub. L. 99–514, § 1114(b)(9)(C), inserted “(as so defined)” after “employee”.

    Enacted provision · exact public law section
    (C) Sections 406(b)(1)(B) and 407(b)(1)(B) are each amended by inserting “(as so defined)” after “employee”.

20. 1986

    Tax Reform Act of 1986

    Pub. L. 99–514 § 1852(e)(2)(C) · 100 Stat. 2085

    Struck · 26 U.S.C. § 406(e)(5)

    Pub. L. 99–514, § 1852(e)(2)(C), struck out par. (5) which read as follows: “Section 2517 (relating to certain annuities under qualified plans).”

    Source evidence

    Code amendment note
    Subsec. (e)(5). Pub. L. 99–514, § 1852(e)(2)(C), struck out par. (5) which read as follows: “Section 2517 (relating to certain annuities under qualified plans).”

    Enacted provision · exact public law section
    (C) Subsection (e) of section 406 is amended by striking out paragraph (5).

21. 1988

    Technical and Miscellaneous Revenue Act of 1988

    Pub. L. 100–647 § 1011A(b)(16) · 102 Stat. 3342

    1. Struck · 26 U.S.C. § 406(c)

       Pub. L. 100–647, § 1011A(b)(16), struck out “of capital gain provisions and” after “service for purposes” in heading

    2. Substituted · 26 U.S.C. § 406(c)

       Pub. L. 100–647, § 1011A(b)(16), substituted “applying section 402(e)” for “applying subsections (a)(2) and (e) of section 402, and section 403(a)(2)” in text

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 100–647, § 1011A(b)(16), struck out “of capital gain provisions and” after “service for purposes” in heading and substituted “applying section 402(e)” for “applying subsections (a)(2) and (e) of section 402, and section 403(a)(2)” in text.

    Enacted provision · exact public law section
    (16) Sections 406(c) and 407(c) of the 1986 Code are each amended— (A) by striking out “subsections (a)(2) and (e) of section 402, and section 403(a)(2)” and inserting in lieu thereof “section 402(e)”, and (B) by striking out “of Capital Gain Provisions and” in the heading thereof.

22. 1988

    Technical and Miscellaneous Revenue Act of 1988

    Pub. L. 100–647 § 1011A(b)(1)(C) · 102 Stat. 3342

    1. Redesignated · 26 U.S.C. § 406(e)

       Pub. L. 100–647, § 1011A(b)(1)(C), redesignated pars. (2) to (4) as (1) to (3), respectively

    2. Struck · 26 U.S.C. § 406(e)

       Pub. L. 100–647, § 1011A(b)(1)(C), struck out former par. (1) which read as follows: “Section 72(d) (relating to employees’ annuities).”

    Source evidence

    Code amendment note
    Subsec. (e). Pub. L. 100–647, § 1011A(b)(1)(C), redesignated pars. (2) to (4) as (1) to (3), respectively, and struck out former par. (1) which read as follows: “Section 72(d) (relating to employees’ annuities).”

    Enacted provision · exact public law section
    (C) Sections 406(e) and 407(e) of the 1986 Code are each amended by striking out paragraph (1) and by redesignating paragraphs (2), (3), and (4) as paragraphs (1), (2), and (3), respectively.

23. 1989

    Miscellaneous and Technical Social Security Act Amendments of 1989

    Pub. L. 101–239 § 10201(b)(1) · 103 Stat. 2106

    Substituted · 26 U.S.C. § 406(a)

    Pub. L. 101–239, § 10201(b)(1), substituted “3121(l)(6)” for “3121(l)(8)”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 101–239, § 10201(b)(1), substituted “3121(l)(6)” for “3121(l)(8)”.

    Enacted provision · exact public law section
    (1) Subsection (a) of section 210 of the Social Security Act (42 U.S.C. 410(a)) and subsection (a) of section 406 of the Internal Revenue Code of 1986 (relating to treatment of employees of American employer) are each amended by striking “section 3121(l)(8)” and inserting “section 3121(l)(6)”.

24. 1989

    Revenue Reconciliation Act of 1989

    Pub. L. 101–239 § 7831(f) · 103 Stat. 2106

    Changed · 26 U.S.C. § 406(b)(1)(A)

    Pub. L. 101–239, § 7831(f), made technical correction to Pub. L. 99–514, § 1114(b)(9)(A), see 1986 Amendment note below

    Source evidence

    Code amendment note
    Subsec. (b)(1)(A). Pub. L. 101–239, § 7831(f), made technical correction to Pub. L. 99–514, § 1114(b)(9)(A), see 1986 Amendment note below.

    Enacted provision · exact public law section
    (f) Amendment Related to Section 1114 of the 1986 Act.— Subparagraphs (A) and (B) of section 1114(b)(9) of the Tax Reform Act of 1986 are each amended by striking “consist of supervising” 26 USC 406, 407. and inserting “consist in supervising”.

25. 1989

    Revenue Reconciliation Act of 1989

    Pub. L. 101–239 § 7811(g)(3) · 103 Stat. 2106

    Substituted · 26 U.S.C. § 406(c)

    Pub. L. 101–239, § 7811(g)(3), substituted “purposes of limitation” for “purposes limitation” in heading

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 101–239, § 7811(g)(3), substituted “purposes of limitation” for “purposes limitation” in heading.

    Enacted provision · exact public law section
    (3) The heading of sections 406(c) and 407(c) are each amended by striking “Purposes Limitation” and inserting “Purposes of Limitation”.

26. 1989

    Miscellaneous and Technical Social Security Act Amendments of 1989

    Pub. L. 101–239 § 10201(b)(2) · 103 Stat. 2106

    Substituted · 26 U.S.C. § 406(c)(3)

    Pub. L. 101–239, § 10201(b)(2), substituted “3121(l)(6)(B)” for “3121(l)(8)(B)”

    Source evidence

    Code amendment note
    Subsec. (c)(3). Pub. L. 101–239, § 10201(b)(2), substituted “3121(l)(6)(B)” for “3121(l)(8)(B)”.

    Enacted provision · exact public law section
    (2) Paragraph (3) of section 406(c) of the Internal Revenue Code of 1986 (relating to termination of status as deemed employee not be treated as separation from service for purposes of limitation of tax) is amended by striking “section 3121(l)(8)(B)” and inserting “section 3121(l)(6)(B)”.

27. 1992

    Unemployment Compensation Amendments of 1992

    Pub. L. 102–318 title V § 521(b)(14) · 106 Stat. 290

    Substituted · 26 U.S.C. § 406(c)

    Pub. L. 102–318 substituted “402(d)” for “402(e)”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 102–318 substituted “402(d)” for “402(e)”.

    Enacted provision · exact public law section
    (14) Section 406(c) (relating to termination of status as 26 USC 406. deemed employee not to be treated as separation from service for purposes of limitation of tax) is amended by striking “section 402(e)” and inserting “section 402(d)”.

28. 1996

    Small Business Job Protection Act of 1996

    Pub. L. 104–188 § 1401(b)(7) · 110 Stat. 1755

    Struck · 26 U.S.C. § 406(c)

    Pub. L. 104–188, § 1401(b)(7), struck out subsec. (c) which related to treatment of termination of status as deemed employee

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 104–188, § 1401(b)(7), struck out subsec. (c) which related to treatment of termination of status as deemed employee.

    Enacted provision · exact public law section
    (7) Section 406(c) (relating to termination of status as deemed employee not to be treated as separation from service for purposes of limitation of tax) is hereby repealed.

    Effective date note
    Amendment by section 1401(b)(7) of Pub. L. 104–188 applicable to taxable years beginning after Dec. 31, 1999, with retention of certain transition rules, see section 1401(c) of Pub. L. 104–188, set out as a note under section 402 of this title. Amendment by section 1402(b)(2) of Pub. L. 104–188 applicable with respect to decedents dying after Aug. 20, 1996, see section 1402(c) of Pub. L. 104–188, set out as a note under section 101 of this title.

29. 1996

    Small Business Job Protection Act of 1996

    Pub. L. 104–188 § 1402(b)(2) · 110 Stat. 1755

    1. Redesignated · 26 U.S.C. § 406(e)(2); 26 U.S.C. § 406(e)(3)

       Pub. L. 104–188, § 1402(b)(2), redesignated par. (3) as (2)

    2. Struck · 26 U.S.C. § 406(e)(2); 26 U.S.C. § 406(e)(3)

       Pub. L. 104–188, § 1402(b)(2), struck out former par. (2) which read as follows: “Section 101(b) (relating to employees’ death benefits).”

    Source evidence

    Code amendment note
    Subsec. (e)(2), (3). Pub. L. 104–188, § 1402(b)(2), redesignated par. (3) as (2) and struck out former par. (2) which read as follows: “Section 101(b) (relating to employees’ death benefits).”

    Enacted provision · exact public law section
    (2) Sections 406(e) and 407(e) are each amended by striking paragraph (2) and by redesignating paragraph (3) as paragraph (2).

    Effective date note
    Amendment by section 1401(b)(7) of Pub. L. 104–188 applicable to taxable years beginning after Dec. 31, 1999, with retention of certain transition rules, see section 1401(c) of Pub. L. 104–188, set out as a note under section 402 of this title. Amendment by section 1402(b)(2) of Pub. L. 104–188 applicable with respect to decedents dying after Aug. 20, 1996, see section 1402(c) of Pub. L. 104–188, set out as a note under section 101 of this title.

28 of 42 references resolved to an enrolled provision · 14 partial