---
kind: "section"
citation: "45 U.S.C. § 794"
title: "45"
title_heading: "Railroads"
number: "794"
heading: "Tax payments to States"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/45/794"
units:
  - "Chapter 16 — Regional Rail Reorganization"
  - "Subchapter VI — Miscellaneous Provisions"
---

# §794. Tax payments to States

- (a) Notwithstanding any other provision of law, no [railroad in reorganization](/usc/45/702.md?p=16) shall withhold from any [State](/usc/45/702.md?p=19), or any political subdivision thereof, the payment of the portion of any tax owed by such [railroad](/usc/45/702.md?p=15) to such [State](/usc/45/702.md?p=19) or subdivision, which portion has been collected by such [railroad](/usc/45/702.md?p=15) from any tenant thereof.
- (b) Any [railroad](/usc/45/702.md?p=15) which violates the provisions of [subsection (a)](#a) of this section by withholding any portion of a tax referred to in such subsection shall be fined not more than $10,000 for each such violation.

## Source credit

(Pub. L. 93–236, title VI, § 605, as added Pub. L. 94–5, § 9, Feb. 28, 1975, 89 Stat. 9.)