
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 48USC1642]

 
              TITLE 48--TERRITORIES AND INSULAR POSSESSIONS
 
                       CHAPTER 12--VIRGIN ISLANDS
 
                    SUBCHAPTER VII--FISCAL PROVISIONS
 
Sec. 1642. Use of certain proceeds for expenditure; income tax 
        obligations of inhabitants
        
    The proceeds of customs duties, the proceeds of the United States 
income tax, the proceeds of any taxes levied by the Congress on the 
inhabitants of the Virgin Islands, and the proceeds of all quarantine, 
passport, immigration, and naturalization fees collected in the Virgin 
Islands, (less the cost of collecting such duties, taxes and fees as may 
be directly attributable (as certified by the Comptroller of the Virgin 
Islands) to the importation of petroleum products until January 1, 1982: 
Provided, That any other retained costs not heretofore remitted pursuant 
to the Act of August 18, 1978, shall be immediately remitted to the 
Treasury of the Virgin Islands notwithstanding any other provision of 
law) shall be covered into the treasury of the Virgin Islands, and shall 
be available for expenditure as the Legislature of the Virgin Islands 
may provide: Provided, That the term ``inhabitants of the Virgin 
Islands'' as used in this section shall include all persons whose 
permanent residence is in the Virgin Islands, and such persons shall 
satisfy their income tax obligations under applicable taxing statutes of 
the United States by paying their tax on income derived from all sources 
both within and outside the Virgin Islands into the treasury of the 
Virgin Islands: Provided further, That nothing in this chapter shall be 
construed to apply to any tax specified in section 3811 of the Internal 
Revenue Code.

(July 22, 1954, ch. 558, Sec. 28(a), 68 Stat. 508; Pub. L. 95-348, 
Sec. 4(c)(3), Aug. 18, 1978, 92 Stat. 491; Pub. L. 96-205, title IV, 
Sec. 403(a), Mar. 12, 1980, 94 Stat. 89.)

                       References in Text

    Act of August 18, 1978, referred to in text, probably means Pub. L. 
95-348, Aug. 18, 1978, 92 Stat. 487, as amended, which enacted sections 
1645 and 1841 of this title and section 410dd of Title 16, Conservation, 
amended sections 1421h, 1469a, 1575, and 1642 of this title and sections 
398a and 398c to 398f of Title 16, and enacted provisions set out as a 
note under sections 1421, 1641, and 1681 of this title. For complete 
classification of this Act to the Code, see Tables.
    This chapter, referred to in text, was in the original ``this Act'', 
meaning act July 22, 1954, ch. 558, 68 Stat. 497, as amended, known as 
the Revised Organic Act of the Virgin Islands, which is classified 
principally to this chapter. For complete classification of this Act to 
the Code, see Short Title note set out under section 1541 of this title 
and Tables.
    Section 3811 of the Internal Revenue Code, referred to in text, 
means section 3811 of former Title 26, Internal Revenue Code, which was 
repealed by section 7851(a)(7) of the Internal Revenue Code of 1986. 
Similar provisions are contained in section 7651 of Title 26, Internal 
Revenue Code. For provision that any reference in any other law to a 
provision of the Internal Revenue Code of 1939 be deemed a reference to 
the corresponding provision of the Internal Revenue Code of 1986, see 
section 7852(b) of Title 26.

                          Codification

    Section constitutes subsec. (a) of section 28 of act July 22, 1954. 
Subsec. (b) of section 28 amended section 3350 of former Title 26, 
Internal Revenue Code, 1939, and subsecs. (c) and (d) thereof are 
classified to sections 1643 and 1644, respectively, of this title.


                               Amendments

    1980--Pub. L. 96-205 inserted provisions relating to deductions for 
the costs of collecting the duties, taxes, and fees attributable to the 
importation of petroleum products until Jan. 1, 1982, provided that 
outstanding retained costs are immediately remitted to the Treasury of 
the Virgin Islands.
    1978--Pub. L. 95-348 struck out ``less the cost of collecting all of 
said duties, taxes, and fees,'' before ``shall be covered''.


                            Cross References

    All provisions of laws of the United States applicable to assessment 
and collection of taxes imposed by Internal Revenue Code as applicable 
to possessions, see section 7651 of Title 26, Internal Revenue Code.
    Disposition of proceeds of taxes on articles produced in the Virgin 
Islands and transported into the United States, see section 7652 of 
Title 26.
    Payment of proceeds of United States income tax collected in the 
Virgin Islands into local treasury, see section 1397 of this title.

                  Section Referred to in Other Sections

    This section is referred to in title 26 section 7651.
