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BEGHE, J., concurring: Having joined the majority opinion,
I write separately to make two additional points in support of
the results we reach in this case.
First, adoption of the dissenting view would be contrary to
published guidance and administrative practice of the Internal
Revenue Service; the Service has operated on the assumption that
section 931 was in force during the years in issue, and that it
continues in force, notwithstanding the failure to issue
regulations. Since the Tax Implementation Agreement with
American Samoa was entered into in 1988, the Service has issued
Publication 570, Tax Guide For Individuals With Income From U.S.
Possessions, which provides instructions and examples on
reporting income from sources in American Samoa and other
possessions, and for preparing Form 4563, Exclusion of Income for
Bona Fide Residents of American Samoa.
Although 14 years seems like plenty of time to come up with
regulatory guidance, U.S. citizens residing and working in
American Samoa have not been completely in the dark. I therefore
see no objection to sustaining the Service’s stopgap effort to
implement the statutory scheme.
Second, petitioner argues on brief that the United States
should not interfere with American Samoa’s “primary tax
jurisdiction” over his income-earning activities in international
waters. Petitioner’s argument is belied by his otherwise
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