Title 26 — Internal Revenue CodeRelease 119-73
§31 Tax withheld on wages
Title 26 › Subtitle Subtitle A— - Income Taxes › Chapter CHAPTER 1— - NORMAL TAXES AND SURTAXES › Subchapter Subchapter A— - Determination of Tax Liability › Part PART IV— - CREDITS AGAINST TAX › Subpart Subpart C— - Refundable Credits › § 31
Summary
Money taken out of your pay under chapter 24 can be used to reduce the income tax you owe. The amount taken in a calendar year is applied to the tax year that starts in that same calendar year. If more than one tax year begins in that calendar year, it is applied to the last one that starts then. The IRS can make rules to treat certain special wage refunds as if they were tax withheld, and those amounts follow the same timing rule. Any amounts withheld under section 3406 are credited for the tax year in which the income is received.
Full Legal Text
Title 26, §31
Internal Revenue Code — Source: USLM XML via OLRC
(a)(1)The amount withheld as tax under chapter 24 shall be allowed to the recipient of the income as a credit against the tax imposed by this subtitle.
(2)The amount so withheld during any calendar year shall be allowed as a credit for the taxable year beginning in such calendar year. If more than one taxable year begins in a calendar year, such amount shall be allowed as a credit for the last taxable year so beginning.
(b)(1)The Secretary may prescribe regulations providing for the crediting against the tax imposed by this subtitle of the amount determined by the taxpayer or the Secretary to be allowable under section 6413(c) as a special refund of tax imposed on wages. The amount allowed as a credit under such regulations shall, for purposes of this subtitle, be considered an amount withheld at source as tax under section 3402.
(2)Any amount to which paragraph (1) applies shall be allowed as a credit for the taxable year beginning in the calendar year during which the wages were received. If more than one taxable year begins in the calendar year, such amount shall be allowed as a credit for the last taxable year so beginning.
(c)Any credit allowed by subsection (a) for any amount withheld under section 3406 shall be allowed for the taxable year of the recipient of the income in which the income is received.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1984—Subsec. (a)(1). Pub. L. 98–369, § 714(j)(2), substituted “as tax under chapter 24” for “under section 3402 as tax on the wages of any individual”. 1983—Pub. L. 98–67 added subsec. (c) and repealed
Amendments
made by Pub. L. 97–248. See 1982 Amendment note below. Pub. L. 97–448 amended subsec. (d) generally. See 1982 Amendment note below. 1982—Pub. L. 97–248, as amended by Pub. L. 97–354 and Pub. L. 97–448, amended section generally, applicable to payments of interest, dividends, and patronage dividends paid or credited after
June 30, 1983. section 102(a), (b) of Pub. L. 98–67, title I, Aug. 5, 1983, 97 Stat. 369, repealed subtitle A (§§ 301–308) of title III of Pub. L. 97–248 as of the close of
June 30, 1983, and provided that the Internal Revenue Code of 1954 [now 1986] [this title] shall be applied and administered (subject to certain exceptions) as if such subtitle A (and the
Amendments
made by such subtitle A) had not been enacted. 1976—Subsec. (b)(1). Pub. L. 94–455 struck out “or his delegate” after “The Secretary” and “(or his delegate)” after “taxpayer or the Secretary”.
Statutory Notes and Related Subsidiaries
Effective Date
of 1984 Amendment Pub. L. 98–369, div. A, title VII, § 715, July 18, 1984, 98 Stat. 966, provided that: “Any amendment made by this subtitle [subtitle A (§§ 711–715) of title VII of Pub. L. 98–369, see Tables for classification] shall take effect as if included in the provision of the Tax Equity and Fiscal Responsibility Act of 1982 [Pub. L. 97–248] to which such amendment relates.”
Effective Date
of 1983 Amendment Pub. L. 98–67, title I, § 110, Aug. 5, 1983, 97 Stat. 384, provided that: “(a) General Rule.—Except as otherwise provided in this section, the
Amendments
made by this title [enacting section 3406 and 6705 of this title, amending this section and section 274, 275, 643, 661, 3402, 3403, 3502, 3507, 6011, 6013, 6015, 6042, 6044, 6049, 6051, 6365, 6401, 6413, 6652, 6653, 6654, 6676, 6678, 6682, 7205, 7215, 7431, 7654, and 7701 of this title, repealing sections 3451 to 3456 of this title, enacting provisions set out as notes under section 1, 3451, and 6011 of this title, and repealing provisions set out as a note under section 3451 of this title] shall apply with respect to payments made after December 31, 1983. “(b) section 102.—The
Amendments
made by section 102 [amending this section and section 274, 275, 643, 661, 3403, 3502, 3507, 6013, 6015, 6042, 6044, 6049, 6051, 6365, 6401, 6413, 6654, 6682, 7205, 7215, 7654, and 7701 of this title, repealing sections 3451 to 3456 of this title, enacting provisions set out as a note under section 3451 of this title, and repealing provisions set out as a note under section 3451 of this title] shall take effect as of the close of June 30, 1983. “(c) section 104(b) and 107.—The
Amendments
made by section 104(b) and 107 [amending section 6682, 7205, and 7431 of this title] shall take effect on the date of the enactment of this Act [Aug. 5, 1983].” Pub. L. 97–448, title III, § 311(d), Jan. 12, 1983, 96 Stat. 2412, provided that: “The
Amendments
made by section 306 [amending this section and section 48, 55, 263, 291, 312, 338, 401, 501, 1232, 6038A, 6226, 6228, 6679, and 7701 of this title, enacting provisions set out as notes under section 338 and 1232 of this title, and amending provisions set out as notes under section 56, 72, 101, 103, 168, 302, 311, 338, 415, 907, and 5701 of this title] shall take effect as if included in the provisions of the Tax Equity and Fiscal Responsibility Act of 1982 [Pub. L. 97–248] to which such
Amendments
relate.”
Construction
of Amendment by Title VII of Division A of Pub. L. 98–369 Pub. L. 98–369, div. A, title VII, § 701, July 18, 1984, 98 Stat. 942, provided that: “For purposes of applying the
Amendments
made by any title of this Act [see Tables for classification] other than this title, the provisions of this title shall be treated as having been enacted immediately before the provisions of such other titles.”
Reference
Citations & Metadata
Citation
26 U.S.C. § 31
Title 26 — Internal Revenue Code
Last Updated
Apr 6, 2026
Release point: 119-73