5 U.S.C. § 5520 — Withholding of city or county income or

Page 646 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 5520 under section 6323(b) shall be credited against the pay payable to the employee or individual with respect to his civilian position for that pe- riod. (Added Pub. L. 90–588, § 2(b), Oct. 17, 1968, 82 Stat. 1152; amended Pub. L. 102–378, § 2(39), Oct. 2, 1992, 106 Stat. 1351; Pub. L. 104–106, div. A, title V, § 516(b), Feb. 10, 1996, 110 Stat. 309; Pub. L. 117–81, div. A, title XI, § 1109(a), Dec. 27, 2021, 135 Stat. 1951.) Editorial Notes AMENDMENTS 2021—Pub. L. 117–81 struck out ‘‘or (c)’’ after ‘‘section 6323(b)’’. 1996—Pub. L. 104–106 substituted ‘‘granted military leave’’ for ‘‘entitled to leave’’. 1992—Pub. L. 102–378 substituted ‘‘6323(b) or (c)’’ for ‘‘6323(c) or (d) of this title’’. Statutory Notes and Related Subsidiaries APPLICATION OF 2021 AMENDMENT Pub. L. 117–81, div. A, title XI, § 1109(b), Dec. 27, 2021, 135 Stat. 1951, provided that: ‘‘The amendment made by subsection (a) [amending this section] shall apply to any amounts credited, by operation of such section 5519, against the pay of an employee or individual de- scribed under section 6323(c) of such title on or after the date of enactment of this Act [Dec. 27, 2021].’’ § 5520. Withholding of city or county income or employment taxes (a) When a city or county ordinance— (1) provides for the collection of a tax by im- posing on employers generally the duty of withholding sums from the pay of employees and making returns of the sums to a des- ignated city or county officer, department, or instrumentality; and (2) imposes the duty to withhold generally on the payment of compensation earned with- in the jurisdiction of the city or county in the case of employees whose regular place of em- ployment is within such jurisdiction; the Secretary of the Treasury, under regulations prescribed by the President, shall enter into an agreement with the city or county within 120 days of a request for agreement by the proper city or county official. The agreement shall pro- vide that the head of each agency of the United States shall comply with the requirements of the city or county ordinance in the case of any employee of the agency who is subject to the tax and (i) whose regular place of Federal employ- ment is within the jurisdiction of the city or county with which the agreement is made or (ii) is a resident of such city or county. The agree- ment may not apply to pay for service as a member of the Armed Forces (other than service described in section 5517(d) of this title). The agreement may not permit withholding of a city or county tax from the pay of an employee who is not a resident of, or whose regular place of Federal employment is not within, the State in which that city or county is located unless the employee consents to the withholding. (b) This section does not give the consent of the United States to the application of an ordi- nance which imposes more burdensome require- ments on the United States than on other em- ployers or which subjects the United States or its employees to a penalty or liability because of this section. An agency of the United States may not accept pay from a city or county for services performed in withholding city or coun- ty income or employment taxes from the pay of employees of the agency. (c) For the purpose of this section— (1) ‘‘city’’ means any unit of general local government which— (A) is classified as a municipality by the Bureau of the Census, or (B) is a town or township which, in the de- termination of the Secretary of the Treas- ury— (i) possesses powers and performs func- tions comparable to those associated with municipalities, (ii) is closely settled, and (iii) contains within its boundaries no in- corporated places, as defined by the Bu- reau of the Census, within the political boundaries of which 500 or more persons are regularly employed by all agencies of the Federal Government; (2) ‘‘county’’ means any unit of local general government which is classified as a county by the Bureau of the Census and within the polit- ical boundaries of which 500 or more persons are regularly employed by all agencies of the Federal Government; (3) ‘‘ordinance’’ means an ordinance, order, resolution, or similar instrument which is duly adopted and approved by a city or county in accordance with the constitution and stat- utes of the State in which it is located and which has the force of law within such city or county; and (4) ‘‘agency’’ means— (A) an Executive agency; (B) the judicial branch; and (C) the United States Postal Service. (Added Pub. L. 93–340, § 1(a), July 10, 1974, 88 Stat. 294; amended Pub. L. 94–358, § 1, July 12, 1976, 90 Stat. 910; Pub. L. 95–30, title IV, § 408(a), May 23, 1977, 91 Stat. 157; Pub. L. 95–365, § 1, Sept. 15, 1978, 92 Stat. 599; Pub. L. 100–180, div. A, title V, § 505(2), Dec. 4, 1987, 101 Stat. 1086.) Editorial Notes AMENDMENTS 1987—Subsec. (a). Pub. L. 100–180 inserted ‘‘(other than service described in section 5517(d) of this title)’’ after ‘‘Armed Forces’’ in penultimate sentence. 1978—Subsec. (a). Pub. L. 95–365 designated existing provisions as cl. (i), inserted ‘‘, or whose regular place of Federal employment is not within,’’ after ‘‘not a resident of’’, and added cl. (ii). 1977—Pub. L. 95–30, § 408(a)(1), inserted ‘‘or county’’ after ‘‘city’’ in section catchline. Subsec. (a). Pub. L. 95–30, § 408(a)(2), (3), substituted ‘‘city or county’’ for ‘‘city’’ in introductory provisions preceding par. (1), in par. (2), and in provisions fol- lowing par. (2), and, in par. (1), substituted ‘‘a des- ignated city or county officer, department, or instru- mentality’’ for ‘‘the city’’. Subsec. (b). Pub. L. 95–30, § 408(a)(2), substituted ‘‘city or county’’ for ‘‘city’’. Subsec. (c). Pub. L. 95–30, § 408(a)(4), (5), added pars. (2) and (3) and redesignated former par. (2) as (4). Page 647 TITLE 5—GOVERNMENT ORGANIZATION AND EMPLOYEES § 5520a 1976—Subsec. (c)(1). Pub. L. 94–358 substituted provi- sion defining a city, for purposes of this section, as any unit of general local government which is classified a municipality by the Bureau of the Census, or is a town or township which in the opinion of the Secretary of the Treasury possesses powers and performs functions comparable to those associated with municipalities, is closely settled, and contains within its boundaries no incorporated places, as defined by the Bureau of the Census, within the political boundaries of which five hundred or more persons are regularly employed by all agencies of the Federal Government, for provision de- fining a city, for purposes of this section, as a city which is duly incorporated under the laws of a State and within the political boundaries of which five hun- dred or more persons are regularly employed by all agencies of the Federal Government. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1978 AMENDMENT Pub. L. 95–365, § 2, Sept. 15, 1978, 92 Stat. 599, provided that: ‘‘The amendments made by the first section of this Act [amending this section] shall take effect on the 90th day after the date of the enactment of this Act [Sept. 15, 1978].’’ EFFECTIVE DATE OF 1977 AMENDMENT Pub. L. 95–30, title IV, § 408(c), May 23, 1977, 91 Stat. 157, provided that: ‘‘The amendments made by this sec- tion [amending this section] shall take effect on the date of enactment of this Act [May 23, 1977].’’ EFFECTIVE DATE OF 1976 AMENDMENT Pub. L. 94–358, § 2, July 12, 1976, 90 Stat. 910, provided that: ‘‘The amendment made by the first section of this Act [amending this section] shall take effect on the date of the enactment of this Act [July 12, 1976].’’ EFFECTIVE DATE Pub. L. 93–340, § 3, July 10, 1974, 88 Stat. 295, provided that: ‘‘This section shall become effective on the date of enactment of this Act [July 10, 1974]. The provisions of the first section and section 2 of this Act [enacting this section and amending section 410 of Title 39, Postal Service] shall become effective on the ninetieth day following the date of enactment.’’ Executive Documents EXECUTIVE ORDER NO. 11833 Ex. Ord. No. 11833, Jan. 13, 1975, 40 F.R. 2673, which re- lated to the withholding of city income or employment taxes by Federal agencies, was revoked by Ex. Ord. No. 11863, June 12, 1975, 40 F.R. 25413, formerly set out below. EXECUTIVE ORDER NO. 11863 Ex. Ord. No. 11863, June 12, 1975, 40 F.R. 25431, which related to the withholding of city income or employ- ment taxes by Federal agencies, was revoked by Ex. Ord. No. 11968, Jan. 31, 1977, 42 F.R. 6787, formerly set out below. EXECUTIVE ORDER NO. 11968 Ex. Ord. No. 11968, Jan. 31, 1977, 42 F.R. 6787, which re- lated to the withholding of District of Columbia, State and city income or employment taxes, was revoked by Ex. Ord. No. 11997, June 22, 1977, 42 F.R. 31759, set out below. EX. ORD. NO. 11997. WITHHOLDING OF DISTRICT OF COLUM- BIA, STATE, CITY AND COUNTY INCOME OR EMPLOYMENT TAXES Ex. Ord. No. 11997, June 22, 1977, 42 F.R. 31759, pro- vided: By virtue of the authority vested in me by Sections 5516, 5517 and 5520 of Title 5 of the United States Code, and Section 301 of Title 3 of the United States Code, and as President of the United States of America, in order to authorize the Secretary of the Treasury to provide for the withholding of county income or em- ployment taxes as authorized by Section 5520 of Title 5 of the United States Code as amended by Section 408 of Public Law 95–30, as well as to provide for the with- holding of District of Columbia, State and city income or employment taxes, it is hereby ordered as follows: SECTION 1. Whenever the Secretary of the Treasury enters into an agreement pursuant to Sections 5516, 5517 or 5520 of Title 5 of the United States Code, with the District of Columbia, a State, a city or a county, as the case may be, with regard to the withholding, by an agency of the United States, hereinafter referred to as an agency, of income or employment taxes from the pay of Federal employees or members of the Armed Forces, the Secretary of the Treasury shall ensure that each agreement is consistent with those sections and regulations, including this Order, issued thereunder. SEC. 2. Each agreement shall provide (a) when tax withholding shall begin, (b) that the head of an agency may rely on the withholding certificate of an employee or a member of the Armed Forces in withholding taxes, (c) that the method for calculating the amount to be withheld for District of Columbia, State, city or county income or employment taxes shall produce approxi- mately the tax required to be withheld by the District of Columbia or State law; or city or county ordinance, whichever is applicable, and (d) that procedures for the withholding, filing of returns, and payment of the with- held taxes to the District of Columbia, a State, a city or a county shall conform to the usual fiscal practices of agencies. Any agreement affecting members of the Armed Forces shall also provide that the head of an agency may rely on the certificate of legal residence of a member of the Armed Forces in determining his or her residence for tax withholding purposes. No agree- ment shall require the collection by an agency of delin- quent tax liabilities of an employee or a member of the Armed Forces. SEC. 3. The head of each agency shall designate, or provide for the designation of, the officers or employees whose duty it shall be to withhold taxes, file required returns, and direct payment of the taxes withheld, in accordance with this Order, any regulations prescribed by the Secretary of the Treasury, and the new applica- ble agreement. SEC. 4. The Secretary of the Treasury is authorized to prescribe additional regulations to implement Sections 5516, 5517 and 5520 of Title 5 of the United States Code, and this Order. SEC. 5. Executive Order No. 11968 of January 31, 1977, is hereby revoked. However, all actions heretofore taken by the President or his delegates in respect of the matters affected by this Order and in force at the time of the issuance of this Order, including any regu- lations prescribed or approved by the President or his delegates in respect of such matters and any existing agreements approved by his delegates, shall, except as they may be inconsistent with the provisions of this Order, remain in effect until amended, modified, or re- voked pursuant to the authority conferred by this Order, unless sooner terminated by operation of law. JIMMY CARTER. § 5520a. Garnishment of pay (a) For purposes of this section— (1) ‘‘agency’’ means each agency of the Fed- eral Government, including— (A) an executive agency, except for the Government Accountability Office; (B) the United States Postal Service and the Postal Regulatory Commission; (C) any agency of the judicial branch of the Government; and (D) any agency of the legislative branch of the Government, including the Government