52 STAT.] 75TH CONG. , 3D SESS.-CH. 289-MAY 28, 1938 (f) REFUNDS AND CREDITS. -W here there has been an overpayment of tax under this section any refund or credit made under the provisions of section 322 shall be made to the withholding agent unless the amount of such tax was actually withheld by the with- holding agent. SEC. 144. PAYMENT OF CORPORATION INCOME TAX AT SOURCE. In the case of foreign corporations subject to taxation under this title not engaged in trade or business within the United States and not having any office or place of business therein, there shall be deducted and withheld at the source in the same manner and upon the same items of income as is provided in section 143 a tax equal to 15 per centum thereof, except that in the case of dividends the rate shall be 10 per centum, and except that in the case of corpora- tions organized under the laws of a contiguous country such rate of 10 per centum with respect to dividends shall be reduced to such rate (not less than 5 per centum) as may be provided by treaty with such country; and such tax shall be returned and paid in the same manner and subject to the same conditions as provided in that section: Provided, That in the case of interest described in sub- section (a) of that section (relating to tax-free covenant bonds) the deduction and withholding shall be at the rate specified in such subsection. SEC. 145. PENALTIES. (a) Any person required under this title to pay any tax, or required by law or regulations made under authority thereof to make a return, keep any records, or supply any information, for the purposes of the computation, assessment, or collection of any tax imposed by this title, who willfully fails to pay such tax, make such return, keep such records, or supply such information, at the time or times required by law or regulations, shall, in addition to other penalties provided by law, be guilty of a misdemeanor and, upon conviction thereof, be fined not more than $10,000, or imprisoned for not more than one year, or both, together with the costs of prosecution. (b) Any person required under this title to collect account for, and pay over any tax imposed by this title, who willfully fails to collect or truthfully account for and pay over such tax, and any person who willfully attempts in any manner to evade or defeat any tax imposed by this title or the payment thereof, shall, in addition to other penalties provided by law, be guilty of a felony and, upon conviction thereof, be fined not more than $10,000, or imprisoned for not more than five years, or both, together with the costs of prosecution. (c) The term "person" as used in this section includes an officer or employee of a corporation or a member or employee of a partner- ship, who as such officer, employee, or member is under a duty to perform the act in respect of which the violation occurs. (d) For penalties for failure to file information returns with respect to foreign personal holding companies and foreign corpo- rations, see section 340. SEC. 146 . CLOSING BY COMMISSIONER OF TAXABLE YEAR. (a) TAX IN JEOPARDY. - (1) DEPARTURE OF TAXPAYER OR REMOVAL OF PROPERTY FROM UNITED STATES. -If the Commissioner finds that a taxpayer designs quickly to depart from the United States or to remove 36525 °-38 - -33 Refunds and credits. Post, p. 544. Payment of corpo- ration income tax at source. By foreign corpora- tions not in business in United States. Ante, p. 511. Proviso. Interest, tax-free covenant bonds. Penalties. Willful failure to pay tax, make re- turns, etc. Penalty. Willful failure to collect, etc., tax; evad- ing payment, etc. Penalty. "Person" defined. Foreign personal holding companies, etc., failure to file in- formation returns. Post, p. 552. Closingby Commis- sioner of taxable year. Tax in jeopardy. Departure of tax- payer or removal of property from United States.
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