1700 Fiduciary returns . Sworn statements of income, etc ., of bene fi- ciaries . Not income of $1,000 or over, if single, etc . Married, etc ., with $2,500 or over. Gross, of $5,000 or ove r. Estates or trusts of $1,000 net income or ove r. Gross income of $5,000 or over . Nonresident alie n beneficiaries . Joint fiduciaries . Oa th required . La ws applicable to fiduciaries . Withholding of tax at source . Tax-free covenant bonds . By corporations agreeing to pay inter a5 t, tree from tax, etc. Tax withheld . Previeos. Rates . Nonres ident alie n in- dividuals, etc . 74TH C ONGRESS . SESS. II. CH. 690. J UNE 22, 1936 . SEC. 142. FID UCIA RY RETURNS. (a) REQUIREMENT OF RETURN .-Every fiduciary (except a receiver appointed by authority of law in possession of part only of the property of an individual) shall make under oath a return for any of the following individuals, estates, or trusts for which he acts, stating specifically the items of gross income thereof and the deduc- tions and credits allowed under this title and such other information for the purpose of carrying out the provisions of this title as the Commissioner wi th the approval o f the Secretary m ay by regulations prescribe- (1) Every indiv idual having a ne t income for the taxable year of $1,000 or over, if single, or if married and not living with hus- band or wife ; (2) Every indiv idual having a ne t income for the taxable year of $2,500 or over, if married and living with husband or wife
(3) Every individual having a gross income for the taxable year of $5,000 or over, regardless of the amount of his net income
(4) Every estate or trust the net income of which for the tax- able year is $1,000 or over ; (5) Every estate or trust the gross income of which for the taxable year is $5,000 or over, regardless of the amount of the net income ; and (6) Every estate or trust of which any beneficiary is a nonresi- d ent alien . (b) JOINT FIDUCIARIES .-Under such regulations as the Commis- sioner with the approval of the Secretary may prescribe a return made by one of two or more joint fiduciaries and filed in the office of the collector of the district where such fiduciary resides shall be sufficient compliance with the above requirement . Such fiduciary shall make oath (1) that he has sufficient knowledge of the affairs of the individual, estate, or trust for which the return is made, to enable him to make the return, and (2) that the return is, to the best of his knowledge and belief, true and correct . (c) LAW APPLICABLE TO FIDuCIARIES .-Any fiduciary required to make a return under this titl e shall be subject to all the provisions of law whic h apply to indiv iduals . SEC. 143. WIT HHO LD ING OF TAX AT SOURCE . (a) TAX-FREE COVENANT BONDS .- (1) REQUIREMENT OF WITHHOLDING .-In any case where bonds, mortgages, or deeds of trust, or other similar obligations of a corporation, issued before January 1, 1934, contain a contract or provision by which the obligor agrees to pay any portion of the tax imposed by this title upon the obligee, or to reimburse the obligee for any portion of the tax, or to pay the interest without deduction for any tax which the obligor may be required or per- mitted to pay thereon, or to retain therefrom under any law of the United States, the obligor shall deduct and withhold a tax equal to 2 per centum of the interest upon such bonds, mortgages, deeds of trust, or other obligations, whether such interest is pay- able annually or at shorter or longer periods, if payable to an indi vidu al, a par tner ship , or a fo reig n co rpora tion not enga ged in trade or bu siness within th e United States a nd not having any office or place of business therein : P ro vi ded , That if the liability assumed by the obligor does not exceed 2 per centum of the interest, then the deduction and withholding shall be at the followin g rates (A) 10 per centum in the case of a nonresident alien individual (except that such rate shall be reduced, in the case of a resident of a contiguous country, to such rate, not less than 5 per centum,
