Page:United States Statutes at Large Volume 60 Part 1.djvu/956

This page needs to be proofread.


79TH CONG. , 2D SESS.-CH. 878-AUG. 8 , 1946 and examine witnesses. Such powers, and any other powers conferred upon such officer or agency by sections 9 (a), 32, and 34 hereof may be exercised through subordinate officers designated by such officer or agency. " 'SEc. 36. (a) The vesting in or transfer to the Alien Property Tax es. Custodian of any property or interest (other than any property or interest acquired by the United States prior to December 18, 1941), or the receipt by him of any earnings, increment, or proceeds thereof shall not render inapplicable any Federal, State, Territorial, or local tax for any period prior or subsequent to the date of such vesting or transfer, nor render applicable the exemptions provided in title II of the Social Security Act with respect to service performed in the 49 Stat 42 U. employ of the United States Government or of any instrumentality of 409; sup the United States. Antet "'(b) The Alien Property Custodian shall? notwithstanding the S 79 a'et filing of any claim or the institution of any suit under this Act, pay todian. any tax incident to any such property or interest, or the earnings, increment, or proceeds thereof, at the earliest time appearing to him to be not contrary to the interest of the United States. The former Liabilt owner shall not be liable for any such tax accruing while such prop- o wn er erty, interest, earnings, increment, or proceeds are held by the Alien Property Custodian, unless they are returned pursuant to this Act without payment of such tax by the Alien Property Custodian. Every such tax shall be paid by the Alien Property Custodian to the same extent, as nearly as may be deemed practicable, as though the property or interest had not been vested in or transferred to the Alien Property Custodian, and shall be paid only out of the property or interest, or earnings, increment, or proceeds thereof, to which they are incident or out of other property or interests acquired from the same former owner, or earnings, increment, or proceeds thereof. No tax liability may be enforced from any property or interest or the earnings, incre- ment, or proceeds thereof while held by the Alien Property Custodian except with his consent. Where any property or interest is trans- Transte ferred, otherwise than pursuant to section 9 (a) or 32 hereof, the er41Stat. 50 U. Alien Property Custodian may transfer the property or interest free 9(a). and clear of any tax, except to the extent of any lien for a tax exist- Ante, p. ing and perfected at the date of vesting, and the proceeds of such transfer shall, for tax purposes replace the property or interest in the hands of the Alien Property Custodian. "'(c) Subject to the provisions of subsection (b) hereof, the manner FedCralP of computing any Federal taxes, including without limitation by rea- son of this enumeration, the applicability in such computation of credits, deductions, and exemptions to which the former owner is or would be entitled, and the time and manner of any payment of such taxes and the extent of any compliance by the Custodian with pro- visions of Federal law and regulations applicable with respect to Federal taxes, shall be in accordance with regulations prescribed by the Commissioner of Internal Revenue with the approval of the Sec- retary of the Treasury to effectuate this section. Statutes of limita- Sspe tions on assessment, collection, refund, or credit of Federal taxes shall be suspended, with respect to any vested property or interest, or the earnings, increment or proceeds thereof, while vested and for six months thereafter; but no interest shall be paid upon any refund with respect to any period during which the statute of limitations is so suspended. " '(d) The word "tax" as used in this section shall include, without " Ta " limitation by reason of this enumeration, any property, income, excess- profits, war-profits, excise, estate and employment tax, import duty, and special assessment; and also any interest, penalty, additional 80634°- 47 -PT . I-59 929 . 622. s3. C. 401- p.V,§401 p.732; post, p. nt by On.

y of former

r of prop- 977. S. 0. app. 50. itatlon of seap. ion of stat- litations. 60 STAT.]