So in 1940, Congress passed the “Buck Act” 4 U.S.C.S. 104-113. In Section 110(e), this
Act allowed any department of the federal government to create a “Federal Area” for
imposition of the Public Salary Tax Act of 1939, the imposition of this tax is at 4 U.S.C.S.
section 111, and the rest of the taxing law is in Title 26, The Internal Revenue Code. The
Social Security Board had already created an overlay of a “Federal Area.”