- 10 -
with a crew of fewer than 10, who are compensated with a share of
the boat’s catch or a share of the proceeds from the sale of the
catch are classified as self-employed.
Petitioners argue petitioner is an employee under section
3121(b)(20) on the ground that his share of proceeds of the catch
of fish after subtraction of operating expenses does not depend
solely on the amount of the catch, as provided by section
31.3121(b)(20)-1(a), Employment Tax Regs., and the congressional
intent underlying section 3121(b)(20). Petitioners argue that
Rev. Rul. 77-102, 1977-1 C.B. 299, under which petitioner would
be regarded as self-employed, is inconsistent with the intent of
Congress and has been revoked by section 31.3121(b)(20)-1(a),
Employment Tax Regs. Petitioners argue that the canon of
statutory interpretation “expressio unius est exclusio alterius”
precludes an exception for the subtraction of operating expenses
from being read into section 3121(b)(20) because Congress had
8(...continued)
(C) the amount of such
individual’s share depends on the
amount of the boat’s (or the boats’
in the case of a fishing operation
involving more than one boat) catch
of fish or other forms of aquatic
animal life,
but only if the operating crew of such boat (or
each boat from which the individual receives a
share in the case of a fishing operation involving
more than one boat) is normally made up of fewer
than 10 individuals * * *.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011