definition of wages

definition of wages Sec. 410. Section 3121 (i) of the Internal Revenue Code of 1954 is amended to read as follows: “(i) Computation of Wages in Certain Cases.— “(1) Domestic service.—For purposes of this chapter, in the case of domestic service described in subsection (a) (7) (B), any payment of cash remuneration for such service which is more or less than a whole-dollar amount shall, under such conditions and to such extent as may be prescribed by regulations made under this chapter, be computed to the nearest dollar. For the purpose of the computation to the nearest dollar, the payment of a fractional part of a dollar shall be disregarded unless it amounts to one-half dollar or more, in which case it shall be increased to $1. The amount of any payment of cash remuneration so computed to the nearest dollar shall, in lieu of the amount actually paid, be deemed to constitute the amount of cash remuneration for purposes of subsection (a) (7) (B). “(2) Service in the uniformed services.—For purposes of this chapter, in the case of an individual performing service, as a member of a uniformed service, to which the provisions of subsection (m) (1) are applicable, the term ‘wages’ shall, subject to the provisions of subsection (a) (1) of this section, include as such individual’s remuneration for such service only his basic pay as described in section 102 (10) of the Servicemen’s and Veterans’ Survivor Benefits Act.”