Guam § 160310 - Income Tax Rebates.

§ 160310. Income Tax Rebates.

(a) Notwithstanding any other provisions of this Act, Trust

Companies licensed pursuant to the provisions of this Chapter and any

bank conducting trust business pursuant to § § 106151 et seq. of Title 11

of the Guam Code Annotated may apply on behalf of the Guam-based

trusts under their management, for a Special Qualifying Certificate

(>QC=) from the Guam Economic Development Authority, which would

allow a one hundred percent (100%) tax rebate as authorized under

§§ 58128.6(a) and (b) of Chapter 58 of Title 12 of the Guam Code

Annotated.

(1) Provided, however, notwithstanding any other provision of

this Section, the tax rebate shall not apply to trust property which

has been employed in a business in which the settlor was engaged

and trust property which is used to embark upon a business for the

settlor or the beneficiary.

(2) For the purposes of this Subsection, business has the same

meaning as engaging in or carrying on a business as in the Business

License Law in § 70103(e) of Title 11 of the Guam Code

Annotated, and includes only businesses which are required to be

licensed, or are excepted from obtaining a license pursuant to the

policy and provisions of §§ 70102 and 70130 of Title 11 of the

Guam Code Annotated.

(b) The Guam Economic Development Authority is hereby

authorized to promulgate rules and regulations to implement a Special

QC program to allow for expeditious processing of requests by Trust

Companies or trustees of Guam-based trusts, for benefits as provided

under §§ 58128.6(a) and (b) of Chapter 58 of Title 12 of the Guam Code

Annotated.

(c) A true copy of the Special QC shall be attached to each tax

return of the Guam-based trust, and the amount of tax due prior to the

rebate shall be deposited with the government at the time of filing of

each income tax return. Taxes deposited on behalf of a Guam-based trust

shall not be placed in the General Fund or commingled with other funds,

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CH. 160 GUAM-BASED TRUST COMPANIES ACT

but shall be deposited by the Director of Revenue and Taxation in special

purpose trust accounts in one (1) or more FDIC insured banks with

offices within Guam, and shall be withdrawn from such accounts only

for the purpose of:

(1) making rebates as provided herein; or

(2) making payments as provided in § 160308.

(d) Upon the application of the Guam-based trust at the completion

of the one hundred eighty (180) days from the date of filing of income

tax returns, the Director of Revenue and Taxation shall immediately

thereafter cause the refund of the income tax to the Guam-based trust.

2017 NOTE: Subsection/subitem designations altered/added pursuant to the

authority of 1 GCA § 1606.