SEC. 1402-Continued (e)(3)(A)-(C) (added 1957)-Continued (e) (3) shall be effective for his first taxable year ending after 1955 and all succeeding taxable years if such individual files a supplemental certificate after the date of the enactment of this subparagraph and on or before the due date of the return (including any extension thereof) for his second taxable year ending after 1956. "(C) A certificate filed by an individual after the due date of the return (including any extension thereof) for his second taxable year ending after 1956 shall be effective for the taxable year immediately preceding the taxable year with respect to which it is filed and all succeeding taxable years." Applicability: Indicated by the terms of the amendment. P.L. 85-239, § 1(c) provided as follows: "(c) If a certificate filed pursuant to section 1402(e) (3) (A) or (B) of the Internal Revenue Code of 1954 after the due date of the return (including any extension thereof) for any taxable year is effective for such taxable year or for any preceding taxable year, then "(1) for purposes of computing interest, the due date for the payment of the increase in tax for such taxable year or years resulting from the filing of such certificate shall be the last day of the sixth month following the month in which such certificate is filed; "(2) the statutory period for the assessment of any deficiency attributable to such increase in tax shall not expire before the expiration of 3 years from such due date; and "(3) for purposes of section 6651 of such Code (relating to addition to tax for failure to file tax return), the amount of tax required to be shown on the return shall not include such increase in tax." (71 Stat. 521-522.) See "ANCILLARY PROVISIONS" under Secs. 6501 (p. 1099), 6601 (p. 1116), and 6651 (p. 1121), below. Sept. 13, 1960, H.R. 12580, P.L. 86-778, § 101(b), 74 Stat. 926: Amended Sec. 1402(e) (3) (as amended by P.L. 85-239, § 1(b)) to read as follows: "(3) (A) EFFECTIVE DATE OF CERTIFICATE.-A certificate filed pursuant to this subsection shall be effective for the taxable year immediately preceding the earliest taxable year for which, at the time the certificate is filed, the period for filing a return (including any extension thereof) has not expired, and for all succeeding taxable years. An election made pursuant to this subsection shall be irrevocable. "(B) Notwithstanding the first sentence of subparagraph (A), if an individual filed certificate on or before the date of enactment of this subparagraph which (but for this subparagraph) is effective only for the first taxable year ending after 1956 and all succeeding taxable years, such certificate shall be effective for his first taxable year ending after 1955 and all succeeding taxable years if— "(i) such individual files a supplemental certificate after the date of enactment of this subparagraph and on or before April 15, 1962, "(ii) the tax under section 1401 in respect of all such individual's self-employment income (except for underpayments of tax attributable to errors made in good faith) for his first taxable year ending after 1955 is paid on or before April 15, 1962, and SEC. 1402-Continued (e) (3) (C). (added) "(iii) in any case where refund has been made of any such tax which (but for this subparagraph) is an overpayment, the amount refunded (including any interest paid under section 6611) is repaid on or before April 15, 1962. The provisions of section 6401 shall not apply to any payment or repayment described in this subparagraph.' Applicability: P.L. 86-778, § 101 (f), provided as follows: "(f) The amendments made by this section [amending paragraphs (2) (B) and (3) and adding paragraph (5), of Sec. 1402(e) of the Internal Revenue Code of 1954] shall be applicable (except as otherwise specifically indicated therein) only with respect to certificates (and supplemental certificates) filed pursuant to section 1402 (e) of the Internal Revenue Code of 1954 after the date of the enactment of this Act September 13, 1960]; except that no monthly benefits under title II of the Social Security Act for the month in which this Act is enacted or any prior month shall be payable or increased by reason of such amendments, and no lump-sum death payment under such title shall be payable or increased by reason of such amendments in the case of any individual who died prior to the date of the enactment of this Act." (74 Stat. 928.) See also subsections (d) and (e) of section 101 of P.L. 86-778, quoted in note 335, p. 529 below, under the amendment which added paragraph (5) to section 1402(e). Oct. 13, 1964, H.R. 9393, P.L. 88-650, § 2(b), 78 Stat. 1077: Amended Sec. 1402(e) (3) (as amended by P.L. 86-778, § 101(b)) by adding at the end thereof the following new subparagraph (C): "(C) Notwithstanding the first sentence of subparagraph (A), if an individual files a certificate after the date of the enactment of this subparagraph and on or before the due date of the return (including any extension thereof) for his second taxable year ending after 1962, such certificate shall be effective for his first taxable year ending after 1961 and all succeeding years." Applicability: "(c) The amendments made by subsections (a) [amending section 1402(e) (2) (B)] and (b) [this amendment] shall be applicable only with respect to certificates filed pursuant to section 1402 (e) of the Internal Revenue Code of 1954 after the date [October 13, 1964] of the enactment of this Act [P.L. 88-650]; except that no monthly benefits under title II of the Social Security Act for the month in which this Act is enacted or any prior month shall be payable or increased by reason of such amendments." (Id., § 2(c), 78 Stat. 1077.) (e)(3)(D)...... July 30, 1965, H.R. 6675, P.L. 89-97, § 341(b), 79 Stat. 411-412: (added) Amended Sec. 1402(e) (3) by adding at the end thereof, after subparagraph (C) (as added by P.L. 88-650, § 2(b)), the following new subparagraph (D): "(D) Notwithstanding the first sentence of subparagraph (A), if an individual files a certificate after the date of the enactment of this subparagraph and on or before the due date of the return (including any extension thereof) for his second taxable year ending after 1963, such certificate shall be effective for his first taxable year ending after 1962 and all succeeding years." SEC. 1402-Continued (e) (3) (D) (added 1965)-Continued (e) (4)_ (added) (e) (5) Applicability: (c) The amendments made by subsections (a) [amending section 1402(e) (2) (B)] and (b) [this amendment] shall be applicable only with respect to certificates filed pursuant to section 1402(e) of the Internal Revenue Code of 1954 after the date [July 30, 1965] of the enactment of this Act [P.L. 89-97]; except that no monthly benefits under title II of the Social Security Act for the month in which this Act is enacted or any prior month shall be payable or increased by reason of such amendments." (Id., § 341 (c), 79 Stat. 412.) Aug. 30, 1957, H.R. 8892, P.L. 85-239, § 2, 71 Stat. 522: Amended Sec. 1402(e) (as added by P.L. 83-761, § 201(c)(3)) by adding at the end thereof, after paragraph (3) (effective date of certificate), the following new paragraph (4): "(4) TREATMENT OF CERTAIN REMUNERATION PAID IN 1955 AND 1956 AS WAGES.-If— "(A) in 1955 or 1956 an individual was paid remuneration for service described in section 3121(b) (8) (A) 334 which was erroneously treated by the organization employing him (under a certificate filed by such organization pursuant to section 3121(k) or the corresponding section of prior law) as employment (within the meaning of chapter 21), and "(B) on or before the date of the enactment of this paragraph the taxes imposed by sections 3101 and 3111 were paid (in good faith and upon the assumption that the insurance system established by title II of the Social Security Act had been extended to such service) with respect to any part of the remuneration paid to such individual for such service, then the remuneration with respect to which such taxes were paid, and with respect to which no credit or refund of such taxes (other than a credit or refund which would be allowable if such service had constituted employment) has been obtained on or before the date of the enactment of this paragraph, shall be deemed (for purposes of this chapter and chapter 21) to constitute remuneration paid for employment and not net earnings from self-employment.' Effective Date: August 30, 1957, the date of enactment. Applicability: Indicated by the terms of the amendment. Sept. 13, 1960, H.R. 12850, P.L. 86-778, § 101 (c), 74 Stat. 927: Amended Sec. 1402(e) by adding at the end thereof, after paragraph (4) (as added by P.L. 85-239, § 2), the following new paragraph (5): "(5) OPTIONAL PROVISION FOR CERTAIN CERTIFICATES FILED ON OR BEFORE APRIL 15, 1962.-In any case where an individual has derived earnings, in any taxable year ending after 1954 and before 1960, from the performance of service described in subsec 334 The "section 3121 (b) (8)" referred to in paragraph (4) (A) above was former section 3121(b) (9) renumbered by P.L. 83-761, § 205(b) (p. 597, and n. 394, p. 604 below). It read as follows (68A Stat. 422): "(9) (Á) service performed by a duly ordained, commissioned, or licensed minister of a church in the exercise of his ministry or by a member of a religious order in the exercise of duties required by such order; "(B) service performed in the employ of a religious, charitable, educational, or other organization described in section 501 (c) (3) which is exempt from income tax under section 501 (a), but this [Footnote 834 continued on following page] SEC. 1402-Continued tion (c)(4), or in subsection (c) (5) (as in effect prior to the enactment of this paragraph) insofar as it related to the performance of service by an individual in the exercise of his profession as a Christian Science practitioner, and has reported such earnings as self-employment income on a return filed on or before the date of the enactment of this paragraph and on or before the due date prescribed for filing such return (including any extension thereof) "(A) a certificate filed by such individual (or a fiduciary acting for such individual or his estate, or his survivor within the meaning of section 205(c)(1)(C) of the Social Security Act) after the date of the enactment of this paragraph and on or before April 15, 1962, may be effective, at the election of the person filing such certificate, for the first taxable year ending after 1954 and before 1960 for which such a return was filed, and for all succeeding taxable years, rather than for the period prescribed in paragraph (3), and "(B) a certificate filed by such individual on or before the date of the enactment of this paragraph which (but for this subparagraph) is ineffective for the first taxable year ending after 1954 and before 1959 for which such a return was filed shall be effective for such first taxable year, and for all succeeding taxable years, provided a supplemental certificate is filed by such individual (or a fiduciary acting for such individual or his estate, or his survivor within the meaning of section 205(c)(1)(C) of the Social Security Act) after the date of the enactment of this paragraph and on or before April 15, 1962, but only if "(i) the tax under section 1401 in respect of all such individual's self-employment income (except for underpayments of tax attributable to errors made in good faith), for each such year ending before 1960 in the case of a certificate described in subparagraph (A) or for each such year ending before 1959 in the case of a certificate described in subparagraph (B), is paid on or before April 15, 1962, and "(ii) in any case where refund has been made of any such tax which (but for this paragraph) is an overpayment, the amount refunded (including any interest paid under section 6611) is repaid on or before April 15, 1962. The provisions of section 6401 shall not apply to any payment or repayment described in this paragraph." Applicability: Same as for the amendment in full of Sec. 1402 (e) (3), p. 527 above. (Id., § 101 (f), 74 Stat. 928.) 335 Footnote 334-Continued subparagraph shall not apply to service performed during the period for which a certificate, filed pursuant to subsection (k) (or the corresponding subsection of prior law), is in effect if such service is performed by an employee "(i) whose signature appears on the list filed by such organization under subsection (k) (or the corresponding subsection of prior law), or (ii) who became an employee of such organization after the calendar quarter in which the certificate was filed;". 325 Subsections (d) and (e) of section 101 of P.L. 86-778 provided as follows: "(d) In the case of a certificate or supplemental certificate filed pursuant to section 1402(e) (3)(B) or (5) of the Internal Revenue Code of 1954 [Footnote 835 continued on following page] SEC. 1402-Continued (e)(5)-Continued Do (revised) See "ANCILLARY PROVISIONS" under Secs. 6501 (p. 1099), 6601 (p. 1116), and 6651 (p. 1121) below. July 30, 1965, H.R. 6675, P.L. 89-97, § 331(a), 79 Stat. 401-402: "(5) OPTIONAL PROVISION FOR CERTAIN CERTIFICATES FILED ON OR BEFORE APRIL 15, 1967.-Notwithstanding any other provision of this section, in any case where an individual has derived earnings in any taxable year ending after 1954 from the performance of service described in subsection (c)(4), or in subsection (c) (5) insofar as it related to the performance of service by an individual in the exercise of his profession as a Christian Science practitioner, and has reported such earnings as self-employment income on a return filed on or before the due date prescribed for filing such return (including any extension thereof) "(A) a certificate filed by such individual on or before April 15, 1966, which (but for this subparagraph) is ineffective for the first taxable year ending after 1954 for which such a return was filed shall be effective for such first taxable year and for all succeeding taxable years, provided a supplemental certificate is filed by such individual (or a fiduciary acting for such individual or his Footnote 335-Continued "(1) for purposes of computing interest, the due date for the payment of the tax under section 1401 which is due for any taxable year ending before 1959 solely by reason of the filing of a certificate which is effective under such section 1402(e) (3)(B) or (5) shall be April 15, 1962; "(2) the statutory period for the assessment of any tax for any such year which is attributable to the filing of such certificate shall not expire before the expiration of 3 years from such due date; and "(3) for purposes of section 6651 of such Code (relating to addition to tax for failure to file tax return), the amount of tax required to be shown on the return shall not include such tax under section 1401. "(e) The provisions of section 205(c) (5) (F) of the Social Security Act, insofar as they prohibit inclusion in the records of the Secretary of Health, Education, and Welfare of self-employment income for a taxable year when the return or statement including such income is filed after the time limitation following such taxable year, shall not be applicable to earnings which are derived in any taxable year ending before 1960 and which constitute self-employment income solely by reason of the filing of a certificate which is effective under section 1402(e)(3)(B) or (5) of the Internal Revenue Code of 1954." (74 Stat. 927-928.) 236 With respect to the above amendment of section 1402(e)(5), subsections (b) and (c) of section 331 of P.L. 89-97 provided as follows (79 Stat. 402–403): "(b) In the case of a certificate or supplemental certificate filed pursuant to section 1402(e)(5) of the Internal Revenue Code of 1954, as amended by subsection (a) "(1) for purposes of computing interest, the due date for the payment of the tax under section 1401 of such Code which is due for any taxable year ending before January 1, 1966, solely by reason of the filing of a certificate which is effective under such section 1402 (e) (5) shall be April 15, 1967; "(2) for purposes of section 6501 of such Code, the statutory period for the assessment of any tax for any taxable year for which tax is due solely by reason of the filing of such certificate shall not expire before April 16, 1970; and "(3) for purposes of section 6651 of such Code (relating to addition to tax for failure to file tax return), the amount of tax required to be shown on the return shall not include tax under section 1401 of such Code which is due for any taxable year ending before January 1, 1966, solely by reason of the filing of a certificate which is effective under section 1402(e) (5). "(c) Notwithstanding any provision of section 205(c) (5) (F) of the Social Security Act, the Secretary of Health, Education, and Welfare may conform, before April 16, 1970, his records to tax returns or statements of earnings which constitute self-employment income solely by reason of the filing of a certificate which is effective under section 1402(e) (5) of such Code." See ANCILLARY PROVISIONS under sections 1401, 6501, 6601, and 6651. |