---
kind: "section"
citation: "38 C.F.R. § 6.7"
title: "38"
number: "6.7"
heading: "Claims of creditors, taxation."
url: "https://uscodex.org/cfr/38/6.7"
---

# §6.7. Claims of creditors, taxation.

- (a) Effective January 1, 1958, payments of insurance to a beneficiary under a United States Government life insurance policy shall be subject to levy for taxes due the United States by such beneficiary.
- (b) The provisions of [38 U.S.C. 5301(b)](/usc/38/5301.md?p=b) which entitle the United States to collect by setoff out of benefits payable to any beneficiary under a United States Government life insurance policy do not apply to dividends being held to the credit of the insured for the payment of premiums under the provisions of [section 1946](/usc/38/1946.md) of title 38 U.S.C.

## Notes

### Amendments

[23 FR 681, Feb. 1, 1958, as amended at 24 FR 15, Jan. 1, 1959; 24 FR 582, Jan. 27, 1959; 46 FR 57043, Nov. 20, 1981. Redesignated and amended at 61 FR 29024, 29025, June 7, 1996]

### Authority

Authority: 38 U.S.C. 501, 1940-1963, 1981-1988, unless otherwise noted.

### Amendments

[23 FR 681, Feb. 1, 1958, as amended at 24 FR 15, Jan. 1, 1959; 24 FR 582, Jan. 27, 1959; 46 FR 57043, Nov. 20, 1981. Redesignated and amended at 61 FR 29024, 29025, June 7, 1996]