Internal Revenue Code:Sec. 879. Tax treatment of certain community income in the case of nonresident alien individuals

From TaxAlmanac

Location in Internal Revenue Code

     TITLE 26 - INTERNAL REVENUE CODE
      Subtitle A - Income Taxes
       CHAPTER 1 - NORMAL TAXES AND SURTAXES
        Subchapter N - Tax Based on Income From Sources Within or Without
              the United States
          PART II - NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
           Subpart A - Nonresident Alien Individuals
         

Statute

    Sec. 879. Tax treatment of certain community income in the case of
        nonresident alien individuals
 
    (a) General rule
      In the case of a married couple 1 or both of whom are nonresident
    alien individuals and who have community income for the taxable
    year, such community income shall be treated as follows:
        (1) Earned income (within the meaning of section 911(d)(2)),
      other than trade or business income and a partner's distributive
      share of partnership income, shall be treated as the income of
      the spouse who rendered the personal services,
        (2) Trade or business income, and a partner's distributive
      share of partnership income, shall be treated as provided in
      section 1402(a)(5),
        (3) Community income not described in paragraph (1) or (2)
      which is derived from the separate property (as determined under
      the applicable community property law) of one spouse shall be
      treated as the income of such spouse, and
        (4) All other such community income shall be treated as
      provided in the applicable community property law.
    (b) Exception where election under section 6013(g) is in effect
      Subsection (a) shall not apply for any taxable year for which an
    election under subsection (g) or (h) of section 6013 (relating to
    election to treat nonresident alien individual as resident of the
    United States) is in effect.
    (c) Definitions and special rules
      For purposes of this section -
      (1) Community income
        The term ''community income'' means income which, under
      applicable community property laws, is treated as community
      income.
      (2) Community property laws
        The term ''community property laws'' means the community
      property laws of a State, a foreign country, or a possession of
      the United States.
      (3) Determination of marital status
        The determination of marital status shall be made under section
      7703(a).
 

Sources

    (Added Pub. L. 94-455, title X, Sec. 1012(b)(1), Oct. 4, 1976, 90
    Stat. 1613; amended Pub. L. 97-34, title I, Sec. 111(b)(4), Aug.
    13, 1981, 95 Stat. 194; Pub. L. 98-369, div.  A, title I, Sec.
    139(a), (b)(1), July 18, 1984, 98 Stat. 677; Pub. L. 99-514, title
    XIII, Sec. 1301(j)(9), Oct. 22, 1986, 100 Stat. 2658.)
 

Miscellaneous

                                 AMENDMENTS
      1986 - Subsec. (c)(3). Pub. L. 99-514 substituted ''section
    7703(a)'' for ''section 143(a)''.
      1984 - Pub. L. 98-369, Sec. 139(b)(1), substituted ''nonresident
    alien individuals'' for ''a resident or citizen of the United
    States who is married to a nonresident alien individual'' in
    section catchline.
      Subsec. (a). Pub. L. 98-369, Sec. 139(a), substituted in
    provision preceding par. (1) ''married couple 1 or both of whom are
    nonresident alien individuals'' for ''citizen or resident of the
    United States who is married to a nonresident alien individual''.
      1981 - Subsec. (a)(1). Pub. L. 97-34 substituted ''section
    911(d)(2)'' for ''section 911(b)''.
                      EFFECTIVE DATE OF 1986 AMENDMENT
      Amendment by Pub. L. 99-514 applicable to bonds issued after Aug.
    15, 1986, except as otherwise provided, see sections 1311 to 1318
    of Pub. L. 99-514, set out as an Effective Date; Transitional Rules
    note under section 141 of this title.
                      EFFECTIVE DATE OF 1984 AMENDMENT
      Section 139(c) of Pub. L. 98-369 provided that: ''The amendments
    made by this section (amending this section) shall apply to taxable
    years beginning after December 31, 1984.''
                      EFFECTIVE DATE OF 1981 AMENDMENT
      Amendment by Pub. L. 97-34 applicable with respect to taxable
    years beginning after Dec. 31, 1981, see section 115 of Pub. L.
    97-34, set out as a note under section 911 of this title.
                               EFFECTIVE DATE
      Section applicable to taxable years beginning after Dec. 31,
    1976, see section 1012(d) of Pub. L. 94-455, set out as an
    Effective Date of 1976 Amendment note under section 6013 of this
    title.
 

References

                   SECTION REFERRED TO IN OTHER SECTIONS
      This section is referred to in section 66 of this title.