273 F. 405 | 9th Cir. | 1921
(after stating the facts as above). By the statutes above cited Congress extended the provisions of the Revenue Law of 1916 to the Philippine Islands, and authorized the assessment and levies to be made by the administrative internal revenue officers of the Philippine government, but, instead of requiring the taxes when collected to be paid into the treasury of the general government of the United States, directed that they should accrue to the general government of the Philippine Islands. A like policy obtained and still obtains as to Porto Rico. The purpose of such legislation was to enable the governments of those islands, respectively, to have sufficient revenue to meet their needs and to receive the money through the most direct channels, and not have to await appropriation by Congress. The policy was not new. For example, in the island of Porto Rico, ever since the institution of civil government in May, 1900, customs duties collected have been turned over to the insular treasury by the collector of customs for the island, to be expended as required by law for the government and benefit of the island, “instead of being paid into the treasury of the United States.” Act of Congress April 12, 1900, § 4, Supplement R. S. U. S. vol. 2, p. 1128 (U. S. Comp. St. § 3752).
When Congress enacted the Revenue Law of October 3, 1917, by section 5 (Comp. St. 1918, §■ 6336w) it saw fit to provide expressly that
A citizen of the United States residing in the Philippines becomes subject to the Income Tax Law under the act of 1918. By section 261,, supra, of that act, the tax shall be levied, collected, and paid in accordance with the act of 1916, as amended, returns to be made and taxes to be paid under title I of the act by “every individual who is a citizen
The regulations of the Treasury Department (regulation 45, articles 1131, 1132) have b.een framed upon the construction which we have adopted; and, as credit appears to have been given to plaintiff for the amount of taxes which he had already paid in the Philippines, we think he cannot complain of the judgment rendered against him.
The judgment is affirmed.