PUBLIC LAW 97-248—SEPT. 3, 1982
96 STAT. 577
an account or source other than the payment which gives rise to the liability for tax. "(c) LIABILITY FOR P A Y M E N T. —
"(1) PAYOR LIABLE.—Except a s otherwise provided in this subchapter, the payor— "(A) shall be liable for the payment of the tax imposed by this section which such payor is required to withhold under this section, and "(B) shall not be liable to any person (other than the United States) for the a m o u n t of any such payment. "(2) R E L I A N C E ON EXEMPTION CERTIFICATES.—The payor shall
not be liable for the payment of tax imposed by this section which such payor is required to withhold under this section if— "(A) such payor fails to withhold such tax, and "(B) such failure is d u e to reasonable reliance on a n exemption certificate delivered to such payor under section 3452(f) which is in effect with respect to the payee a t the time such tax is required to be withheld under this section. SEC. 3452. EXEMPTIONS FROM WITHHOLDING.
26 USC 3452.
"(a) IN GENERAL.—Section 3451 shall not apply with respect to— "(1) any payment to a n exempt individual, "(2) any payment to a n exempt recipient, "(3) any m i n i m a l interest payment, or "(4) any qualified consumer cooperative payment. "(b) E X E M P T INDIVIDUALS.—
"(1) IN GENERAL.—For purposes of this section, the term 'exempt individual' means any individual— "(A) who is described in paragraph (2), and "(B) with respect to whom a n exemption certificate is in effect. "(2) INDIVIDUALS DESCRIBED IN THIS PARAGRAPH.—An
indi-
vidual is described in this paragraph if— "(A) such individual's income tax liability for the preceding taxable year did not exceed $600 ($1,000 in the case of a joint r e t u r n under section 6013), or "(B)(i) such individual is 65 or older, and "(ii) such individual's income tax liability for the preceding taxable year did not exceed $1,500 ($2,500 in the case of a joint r e t u r n under section 6013). "(3) SPECIAL RULE FOR MARRIED PERSONS.—A h u s b and and wife
shall each be treated as satisfying the requirements of paragraph (2)(B)(i) if— "(A) either spouse is 65 or older, and "(B) such husband and wife made a joint r e t u r n under section 6013 for the preceding taxable year. "(4) SPECIAL RULE FOR CERTAIN TRUSTS DISTRIBUTING CUR-
RENTLY.—Under regulations, a trust— "(A) the term s of which provide that all of its income is required to be distributed currently, and "(B) all the beneficiaries of which a r e individuals described in paragraph (2) or organizations described in subsection (c)(2)(B), shall be t r e a t e d a s a n individual described in paragraph (2). "(5) I N C O M E TAX LIABILITY.—For purposes of t h i s subsection,
the term 'income tax liability' means the a m o u n t of the tax imposed by subtitle A for the taxable year, reduced by the sum
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