[Code of Federal Regulations]
[Title 26, Volume 18, Parts 500 to 599]
[Revised as of April 1, 2000]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR509.102]

[Page 38]
 
                       TITLE 26--INTERNAL REVENUE
 
     CHAPTER 1--INTERNAL REVENUE SERVICE DEPARTMENT OF THE TREASURY 
                               (Continued)
 
PART 509--SWITZERLAND--Table of Contents
 
                       Subpart--General Income Tax
 
Sec. 509.102  Applicable provisions of law.

    (a) General. The Internal Revenue Code of 1954 provides in part as 
follows:

                        Subtitle A--Income Taxes

                                * * * * *

    Sec. 894. Income exempt under treaty. Income of any kind, to the 
extent required by any treaty obligation of the United States, shall not 
be included in gross income and shall be exempt from taxation under this 
subtitle.

                                * * * * *

                Subtitle F--Procedure and Administration

                                * * * * *

    Sec. 7805. Rules and regulations--(a) Authorization. Except where 
such authority is expressly given by this title to any person other than 
an officer or employee of the Treasury Department, the Secretary or his 
delegate shall prescribe all needful rules and regulations for the 
enforcement of this title, including all rules and regulations as may be 
necessary by reason of any alteration of law in relation to internal 
revenue.
    (b) Retroactivity of regulations or rulings. The Secretary or his 
delegate may prescribe the extent, if any, to which any ruling or 
regulation, relating to the internal revenue laws, shall be applied 
without retroactive effect.

                                * * * * *

    (b) Internal Revenue Code of 1939. Any reference in Secs. 509.101 to 
509.122 to any provision of the Internal Revenue Code of 1954 shall, 
where applicable, be deemed also to refer to the corresponding provision 
of the Internal Revenue Code of 1939.
    (c) Effective date of regulations. Pursuant to sections 894 and 7805 
of the Internal Revenue Code of 1954, Article XIX of the convention, and 
other provisions of the internal revenue laws, Secs. 509.101 to 509.122 
are hereby prescribed effective for taxable years beginning on or after 
January 1, 1951. All regulations inconsistent herewith are modified 
accordingly.