386
PUBLIC LAW 196-AUG. 5, 1953
Public Law 196 Augusts, 1953 [H. R. 5303]
53 Stat. 187. 26 USC 1606. Seamen. UnempI o y m e n t insurance.
53 Stat. 187. 26 USC 1607.
[67
ST A T.
CHAPTER 3 2 9
AN ACT To amend sections 1606 and 1607 of the Internal Revenue Code in order to permit unemployment insurance coverage under State unemployment compensation laws for seamen employed on certain vessels operated by the United States.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 1606 of the Internal Revenue Code is hereby amended by adding at the end thereof the following new subsections: " (g) The permission granted by subsection (f) of this section shall apply in the same manner and under the same conditions (including the obligation to comply with all requirements of State unemployment compensation laws) to general agents of the Secretary of Commerce with respect to service performed on or after July 1, 1953, by officers and members of the crew on or in connection with American vessels (1) owned by or bareboat chartered to the United States, and (2) whose business is conducted by such general agents. As to any such vessel, the State permitted to require contributions on account of such service shall be the State to which the general agent would make contributions if the vessel were operated for his own account. Such general agents are designated, for this purpose, instrumentalities of the United States not wholly owned by it and shall not be exempt from the tax imposed by section 1600. The permission granted by this subsection is subject to the same conditions and limitations as are imposed in subsection (f) of this section, except that clause (2) of the second sentence of subsection (b) of this section shall apply. " (h) Any State may, as to service performed on or after July 1, 1953, and on account of which contributions are made pursuant to subsection (g) of this section, (1) require contributions from persons performing such service under its unemployment compensation law or temporary disability insurance law administered in connection therewith, and (2) require general agents of the Secretary of Commerce to make contributions under such temporary disability insurance law and to make such deductions from wages or remuneration as are required by such unemployment compensation or temporary disability insurance law. " (i) Each general agent of the Secretary of Commerce making contributions pursuant to subsection (g) or (h) of this section shall, for the purposes of such subsections, be considered a legal entity in his capacity as an instrumentality of the United States, separate and distinct from his identity as a person employing individuals on his own account." SEC. 2. Section 1607 of the Internal Revenue Code is hereby amended by adding at the end thereof the following new subsection: "(o) Notwithstanding the provisions of subsection (c)(6) of this section, service performed on or after July 1, 1953, by officers and members of the crew of a vessel which would otherwise be included as employment under subsection (c) of this section shall not be excluded by reason of the fact that it is performed on or in connection with an American vessel (1) owned by or bareboat chartered to the United States and (2) whose business is conducted by a general agent of the Secretary of Commerce. For the purposes of this subchapter, each such general agent shall be considered a legal entity in his capacity as such general agent, separate and distinct from his identity as a person employing individuals on his own account, and the officers and members of the crew of such an American vessel whose business is conducted by a general agent of the Secretary of Commerce shall be deemed to be performing services for such general agent rather
�
