time unless such individual’s employer deems such period to be nonworking time, or (3) time with respect to which no compensation is paid unless such individual’s employer deems such period to be time with respect to which no compensation is paid. (d) Definitions As used in this section— (1) State The term State means each of the several States (or any subdivision thereof), the District of Columbia, and any territory or possession of the United States. (2) Income tax The term income tax has the meaning given such term by section 110(c). (3) Income tax laws The term income tax laws includes any statutes, regulations, administrative practices, administrative interpretations, and judicial decisions. (4) Nonresident individual The term nonresident individual means an individual who is not a resident of the State applying its income tax laws to such individual. (5) Employee The term employee means an employee as defined by the State in which the nonresident individual is physically present and performing personal services for compensation. (6) Employer The term employer means the person having control of the payment of an individual’s compensation. (7) Compensation The term compensation means the salary, wages, or other remuneration earned by an individual for personal services performed as an employee or as an independent contractor. (e) No inference Nothing in this section shall be construed as bearing on— (1) any tax laws other than income tax laws, (2) the taxation of corporations, partnerships, trusts, estates, limited liability companies, or other entities, organizations, or persons other than nonresident individuals in their capacities as employees or independent contractors, (3) the taxation of individuals in their capacities as shareholders, partners, trust and estate beneficiaries, members or managers of limited liability companies, or in any similar capacities, and (4) the income taxation of dividends, interest, annuities, rents, royalties, or other forms of unearned income. . (b) Clerical amendment The