-CITE-
26 USC CHAPTER 31 - RETAIL EXCISE TAXES 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
-HEAD-
CHAPTER 31 - RETAIL EXCISE TAXES
-MISC1-
Subchapter Sec.(!1)
A. Luxury passenger vehicles (!2) 4001
B. Special fuels 4041
C. Heavy trucks and trailers 4051
PRIOR PROVISIONS
The provisions of a prior chapter 31, Miscellaneous Excise Taxes,
were set out as:
Subchapter (A), Jewelry and related items, comprising sections
4001 to 4003;
Subchapter (B), Furs, comprising sections 4011 to 4013;
Subchapter (C), Toilet preparations, comprising sections 4021
and 4022;
Subchapter (D), Luggage, handbags, etc., comprising section
4031;
Subchapter (E), Special fuels, comprising sections 4041 and
4042; and
Subchapter (F), Special provisions applicable to retailers tax,
comprising sections 4051 to 4058.
The headings for subchs. (A) to (D) were struck out by section
101(b)(1) and the listed sections were repealed by section 101(a)
of Pub. L. 89-44, title I, June 21, 1965, 79 Stat. 136, the Excise
Tax Reduction Act of 1965, applicable with respect to articles sold
on or after June 22, 1965, as provided in section 701(a) of Pub. L.
89-44, set out as an Effective Date of 1965 Amendment note under
section 4161 of this title.
The headings for subchs. (E) and (F) were stricken by section
1904(a)(1)(A) of Pub. L. 94-455, title XIX, Oct. 4, 1976, 90 Stat.
1810, the Tax Reform Act of 1976. Sections 4051 to 4053 were
repealed by section 101(b)(2) of Pub. L. 89-44, title I, June 21,
1965, 79 Stat. 136, applicable with respect to articles sold on or
after June 22, 1965, as provided in section 701(a) of Pub. L.
89-44, set out as an Effective Date of 1965 Amendment note under
section 4061 of this title; and sections 4042 and 4054 to 4058 were
repealed by section 1904(a)(1)(D) of Pub. L. 94-455, title XIX,
Oct. 4, 1976, 90 Stat. 1811, effective Feb. 1, 1977, as provided in
section 1904(d) of Pub. L. 94-455, set out as an Effective Date of
1976 Amendment note under section 4041 of this title.
The subject matter of the prior sections was as follows:
A prior section 4001, acts Aug. 16, 1954, ch. 736, 68A Stat. 473;
Sept. 2, 1958, Pub. L. 85-859, title I, Sec. 101, 72 Stat. 1275;
Sept. 21, 1959, Pub. L. 86-344, Sec. 1(a), 73 Stat. 617, imposed an
excise tax equivalent to 10 percent of selling price upon jewelry,
stones, watches, clocks, case and movements for watches and clocks,
flatware and hollow ware, opera glasses, lorgnettes, marine
glasses, field glasses, and binoculars.
A prior section 4002, act Aug. 16, 1954, ch. 736, 68A Stat. 473,
defined "articles sold at retail" to include articles sold at
auction.
A prior section 4003, acts Aug. 16, 1954, ch. 736, 68A Stat. 474;
Sept. 2, 1958, Pub. L. 85-859, title I, Sec. 102, 72 Stat. 1276,
specified exemptions to tax imposed by section 4001.
A prior section 4011, act Aug. 16, 1954, ch. 736, 68A Stat. 475,
imposed an excise tax equivalent to 10 percent of selling price
upon fur articles.
A prior section 4012, act Aug. 16, 1954, ch. 736, 68A Stat. 475,
defined "article sold at retail" to include articles manufactured
from material supplied by customer and articles sold at auction.
A prior section 4013, act Aug. 16, 1954, ch. 736, 68A Stat. 475,
specified exemptions to tax imposed by section 4011.
A prior section 4021, acts Aug. 16, 1954, ch. 736, 68A Stat. 476;
Apr. 8, 1960, Pub. L. 86-413, Sec. 1, 74 Stat. 31, imposed an
excise tax equivalent to 10 percent of selling price upon toilet
preparations.
A prior section 4022, act Aug. 16, 1954, ch. 736, 68A Stat. 476,
specified certain exemptions from tax imposed by section 4021,
including items for babies, items used in barber shops and beauty
parlors, and miniature samples.
A prior section 4031, acts Aug. 16, 1954, ch. 736, 68A Stat. 477;
Sept. 2, 1958, Pub. L. 85-859, title I, Sec. 103, 72 Stat. 1276,
imposed an excise tax equivalent to 10 percent of selling price
upon luggage and handbags, including billfolds and wallets,
traveler's garment bags, and briefcases.
A prior section 4042, act Aug. 16, 1954, ch. 736, 68A Stat. 478,
provided a cross reference to section 4222 for exemption from tax
where special motor fuels are sold for use for certain vessels.
A prior section 4051, act Aug. 16, 1954, ch. 736, 68A Stat. 479,
defined price for which articles were sold for purposes of
determining retailers excise taxes.
A prior section 4052, act Aug. 16, 1954, ch. 736, 68A Stat. 479,
provided that lease of an article would be considered sale of
article for excise tax purposes.
A prior section 4053, acts Aug. 16, 1954, ch. 736, 68A Stat. 479;
Sept. 2, 1958, Pub. L. 85-859, title I, Sec. 104, 72 Stat. 1276,
made provision for imposition of retailers tax on installment
sales.
A prior section 4054, act Aug. 16, 1954, ch. 736, 68A Stat. 479,
related to application of taxes to retail sales by United States or
by any agency or instrumentality of United States unless
specifically exempted from such tax.
A prior section 4055, act Aug. 16, 1954, ch. 736, 68A Stat. 480;
June 21, 1965, Pub. L. 89-44, title I, Sec. 101(b)(3), 79 Stat.
136, exempted from taxes articles sold for exclusive use of any
State, Territory of United States, or any political subdivision
thereof, or District of Columbia, including use by such entities of
any liquid as a fuel.
A prior section 4056, act Aug. 16, 1954, ch. 736, 68A Stat. 480,
provided that no tax shall be imposed upon sale of any article for
export, or for shipment to a possession of United States and in due
course so shipped and exported.
A prior section 4057, added Pub. L. 85-859, title I, Sec. 105(a),
Sept. 2, 1958, 72 Stat. 1277; amended Pub. L. 86-344, Sec. 2(a),
Sept. 21, 1959, 73 Stat. 617; Pub. L. 89-44, title I, Sec.
101(b)(4), June 21, 1965, 79 Stat. 136; Pub. L. 91-172, title I,
Sec. 101(j)(25), Dec. 30, 1969, 83 Stat. 528, provided an exception
with respect to sale of any article to a non-profit educational
organization for its exclusive use including use of any liquid as a
fuel and defined "non-profit educational organization".
A prior section 4058, act Aug. 16, 1954, ch. 736, 68A Stat. 480,
Sec. 4058, formerly 4057; renumbered Sept. 2, 1958, Pub. L. 85-859,
title I, Sec. 105(a), 72 Stat. 1277, related to cross references
for exemption of sales to United States in certain cases and
administrative provisions of general application.
AMENDMENTS
1993 - Pub. L. 103-66, title XIII, Sec. 13161(b)(3), Aug. 10,
1993, 107 Stat. 453, substituted "Luxury passenger vehicles" for
"Certain luxury items" in item for subchapter A.
1990 - Pub. L. 101-508, title XI, Sec. 11221(e), Nov. 5, 1990,
104 Stat. 1388-444, added item for subchapter A and redesignated
former items for subchapters A and B as B and C, respectively.
1983 - Pub. L. 97-424, title V, Sec. 512(b)(2)(A), Jan. 6, 1983,
96 Stat. 2177, substituted "Retail Excise Taxes" for "Special
Fuels" in chapter heading, and added an analysis for subchapters A
and B.
1976 - Pub. L. 94-455, title XIX, Sec. 1904(a)(1)(A), Oct. 4,
1976, 90 Stat. 1810, substituted "Special Fuels" for "Retailers
Excise Taxes" in chapter heading.
-SECREF-
CHAPTER REFERRED TO IN OTHER SECTIONS
This chapter is referred to in sections 6103, 6416, 7261, 7871 of
this title.
-FOOTNOTE-
(!1) Section numbers editorially supplied.(!2) So in original. Does
not conform to subchapter heading.
-End-
-CITE-
26 USC Subchapter A - Luxury Passenger Automobiles 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter A - Luxury Passenger Automobiles
-HEAD-
SUBCHAPTER A - LUXURY PASSENGER AUTOMOBILES
-MISC1-
Sec.
4001. Imposition of tax.
4002. 1st retail sale; uses, etc. treated as sales;
determination of price.
4003. Special rules.
PRIOR PROVISIONS
This subchapter consisted of part I with subparts A (Secs.
4001-4004) and B (Secs. 4006, 4007) and part II (Secs. 4011, 4012),
prior to being amended generally by Pub. L. 103-66, title XIII,
Sec. 13161(a), Aug. 10, 1993, 107 Stat. 449.
Another prior subchapter A of chapter 31 was redesignated
subchapter B by Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5,
1990, 104 Stat. 1388-438.
AMENDMENTS
1993 - Pub. L. 103-66, title XIII, Sec. 13161(a), Aug. 10, 1993,
107 Stat. 449, amended subchapter heading and analysis generally,
substituting "Luxury Passenger Automobiles" for "Certain Luxury
Items" in subchapter heading, striking out part analysis consisting
of parts I "Imposition of taxes" and II "Rules of general
applicability", part I heading "IMPOSITION OF TAXES", subpart
analysis consisting of subparts A "Passenger vehicles, boats, and
aircraft" and B "Jewelry and furs", and subpart A heading
"Passenger Vehicles, Boats, and Aircraft", substituting "Imposition
of tax" for "Passenger vehicles" in item 4001, "1st retail sale;
uses, etc. treated as sales; determination of price" for "Boats" in
item 4002, and "Special rules" for "Aircraft" in item 4003, and
striking out item 4004 "Rules applicable to subpart A".
-SECREF-
SUBCHAPTER REFERRED TO IN OTHER SECTIONS
This subchapter is referred to in sections 4221, 4293 of this
title.
-End-
-CITE-
26 USC Sec. 4001 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter A - Luxury Passenger Automobiles
-HEAD-
Sec. 4001. Imposition of tax
-STATUTE-
(a) Imposition of tax
(1) In general
There is hereby imposed on the 1st retail sale of any passenger
vehicle a tax equal to 10 percent of the price for which so sold
to the extent such price exceeds the applicable amount.
(2) Applicable amount
(A) In general
Except as provided in subparagraphs (B) and (C), the
applicable amount is $30,000.
(B) Qualified clean-fuel vehicle property
In the case of a passenger vehicle which is propelled by a
fuel which is not a clean-burning fuel and to which is
installed qualified clean-fuel vehicle property (as defined in
section 179A(c)(1)(A)) for purposes of permitting such vehicle
to be propelled by a clean-burning fuel, the applicable amount
is equal to the sum of -
(i) the dollar amount in effect under subparagraph (A),
plus
(ii) the increase in the price for which the passenger
vehicle was sold (within the meaning of section 4002) due to
the installation of such property.
(C) Purpose built passenger vehicle
(i) In general
In the case of a purpose built passenger vehicle, the
applicable amount is equal to 150 percent of the dollar
amount in effect under subparagraph (A).
(ii) Purpose built passenger vehicle
For purposes of clause (i), the term "purpose built
passenger vehicle" means a passenger vehicle produced by an
original equipment manufacturer and designed so that the
vehicle may be propelled primarily by electricity.
(b) Passenger vehicle
(1) In general
For purposes of this subchapter, the term "passenger vehicle"
means any 4-wheeled vehicle -
(A) which is manufactured primarily for use on public
streets, roads, and highways, and
(B) which is rated at 6,000 pounds unloaded gross vehicle
weight or less.
(2) Special rules
(A) Trucks and vans
In the case of a truck or van, paragraph (1)(B) shall be
applied by substituting "gross vehicle weight" for "unloaded
gross vehicle weight".
(B) Limousines
In the case of a limousine, paragraph (1) shall be applied
without regard to subparagraph (B) thereof.
(c) Exceptions for taxicabs, etc.
The tax imposed by this section shall not apply to the sale of
any passenger vehicle for use by the purchaser exclusively in the
active conduct of a trade or business of transporting persons or
property for compensation or hire.
(d) Exemption for law enforcement uses, etc.
No tax shall be imposed by this section on the sale of any
passenger vehicle -
(1) to the Federal Government, or a State or local government,
for use exclusively in police, firefighting, search and rescue,
or other law enforcement or public safety activities, or in
public works activities, or
(2) to any person for use exclusively in providing emergency
medical services.
(e) Inflation adjustment
(1) In general
The $30,000 amount in subsection (a) shall be increased by an
amount equal to -
(A) $30,000, multiplied by
(B) the cost-of-living adjustment under section 1(f)(3) for
the calendar year in which the vehicle is sold, determined by
substituting "calendar year 1990" for "calendar year 1992" in
subparagraph (B) thereof.
(2) Rounding
If any amount as adjusted under paragraph (1) is not a multiple
of $2,000, such amount shall be rounded to the next lowest
multiple of $2,000.
(f) Phasedown
For sales occurring in calendar years after 1995 and before 2003,
subsection (a)(1) and section 4003(a) shall be applied by
substituting for "10 percent", each place it appears, the
percentage determined in accordance with the following table:
If the calendar year is: The percentage
is:
1996 9 percent
1997 8 percent
1998 7 percent
1999 6 percent
2000 5 percent
2001 4 percent
2002 3 percent .
(g) Termination
The taxes imposed by this section and section 4003 shall not
apply to any sale, use, or installation after December 31, 2002.
-SOURCE-
(Added Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990, 104
Stat. 1388-439; amended Pub. L. 103-66, title XIII, Sec. 13161(a),
Aug. 10, 1993, 107 Stat. 449; Pub. L. 104-188, title I, Secs.
1607(a), (b), 1703(c)(1), Aug. 20, 1996, 110 Stat. 1839, 1875; Pub.
L. 105-34, title IX, Sec. 906(a)-(b)(2), title XVI, Sec.
1601(f)(3)(A), (B), Aug. 5, 1997, 111 Stat. 874, 875, 1090.)
-MISC1-
AMENDMENTS
1997 - Subsec. (a). Pub. L. 105-34, Sec. 906(a), amended heading
and text of subsec. (a) generally. Prior to amendment, text read as
follows: "There is hereby imposed on the 1st retail sale of any
passenger vehicle a tax equal to 10 percent of the price for which
so sold to the extent such price exceeds $30,000."
Subsec. (e)(1). Pub. L. 105-34, Sec. 906(b)(1), struck out "and
section 4003(a)" after "in subsection (a)" in introductory
provisions.
Subsec. (f). Pub. L. 105-34, Sec. 1601(f)(3)(A)(i), inserted "and
section 4003(a)" after "subsection (a)".
Pub. L. 105-34, Sec. 1601(f)(3)(A)(ii), inserted ", each place it
appears," before "the percentage".
Pub. L. 105-34, Sec. 906(b)(2), substituted "subsection (a)(1)"
for "subsection (a)".
Subsec. (g). Pub. L. 105-34, Sec. 1601(f)(3)(B), substituted
"taxes imposed by this section and section 4003" for "tax imposed
by this section" and ", use, or installation" for "or use".
1996 - Subsec. (e). Pub. L. 104-188, Sec. 1703(c)(1), reenacted
heading without change and amended text generally. Prior to
amendment, text read as follows:
"(1) In general. - If, for any calendar year, the excess (if any)
of -
"(A) $30,000, increased by the cost-of-living adjustment for
the calendar year, over
"(B) the dollar amount in effect under subsection (a) for the
calendar year,
is equal to or greater than $2,000, then the $30,000 amount in
subsection (a) and section 4003(a) (as previously adjusted under
this subsection) for any subsequent calendar year shall be
increased by the amount of such excess rounded to the next lowest
multiple of $2,000.
"(2) Cost-of-living adjustment. - For purposes of paragraph (1),
the cost-of-living adjustment for any calendar year shall be the
cost-of-living adjustment under section 1(f)(3) for such calendar
year, determined by substituting 'calendar year 1990' for 'calendar
year 1992' in subparagraph (B) thereof."
Subsec. (f). Pub. L. 104-188, Sec. 1607(b), added subsec. (f).
Former subsec. (f) redesignated (g).
Pub. L. 104-188, Sec. 1607(a), substituted "December 31, 2002"
for "December 31, 1999".
Subsec. (g). Pub. L. 104-188, Sec. 1607(b), redesignated subsec.
(f) as (g).
1993 - Pub. L. 103-66 amended section generally, substituting
"Imposition of tax" for "Passenger vehicles" in section catchline
and "this subchapter" for "subsection (a)" in subsec. (b)(1) and
adding subsecs. (d) to (f).
EFFECTIVE DATE OF 1997 AMENDMENT
Section 906(c) of Pub. L. 105-34 provided that: "The amendments
made by this section [amending this section and section 4003 of
this title] shall apply to sales and installations occurring after
the date of the enactment of this Act [Aug. 5, 1997]."
Section 1601(f)(3)(C) of Pub. L. 105-34 provided that: "The
amendments made by this paragraph [amending this section] shall
apply to sales after the date of the enactment of this Act [Aug. 5,
1997]."
Amendment by section 1601(f)(3)(A), (B) of Pub. L. 105-34
effective as if included in the provisions of the Small Business
Job Protection Act of 1996, Pub. L. 104-188, to which it relates,
see section 1601(j) of Pub. L. 105-34, set out as a note under
section 23 of this title.
EFFECTIVE DATE OF 1996 AMENDMENT
Section 1607(c) of Pub. L. 104-188 provided that: "The amendments
made by this section [amending this section] shall apply with
respect to sales occurring after the date which is 7 days after the
date of the enactment of this Act [Aug. 20, 1996]."
Section 1703(c)(2) of Pub. L. 104-188 provided that: "The
amendment made by paragraph (1) [amending this section] shall take
effect on the date of the enactment of this Act [Aug. 20, 1996]."
EFFECTIVE DATE OF 1993 AMENDMENT
Section 13161(c) of Pub. L. 103-66 provided that: "The amendments
made by this section [amending this section and sections 4002,
4003, 4221, and 4222 of this title and omitting sections 4004,
4006, 4007, 4011, and 4012 of this title] shall take effect on
January 1, 1993, except that the provisions of section 4001(e) of
the Internal Revenue Code of 1986 (as amended by subsection (a))
shall take effect on the date of the enactment of this Act [Aug.
10, 1993]."
EFFECTIVE DATE
Section 11221(f) of Pub. L. 101-508 provided that:
"(1) In general. - The amendments made by this section [enacting
this subchapter, redesignating former subchapters A and B of this
chapter as subchapters B and C, respectively, and amending sections
4221, 4222, and 4293 of this title] shall take effect on January 1,
1991.
"(2) Exception for binding contracts. - In determining whether
any tax imposed by subchapter A of chapter 31 of the Internal
Revenue Code of 1986, as added by this section, applies to any sale
after December 31, 1990, there shall not be taken into account the
amount paid for any article (or any part or accessory therefor) if
the purchaser held on September 30, 1990, a contract (which was
binding on such date and at all times thereafter before the
purchase) for the purchase of such article (or such part or
accessory)."
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 280F, 4003, 4221, 4222 of
this title.
-End-
-CITE-
26 USC Sec. 4002 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter A - Luxury Passenger Automobiles
-HEAD-
Sec. 4002. 1st retail sale; uses, etc. treated as sales;
determination of price
-STATUTE-
(a) 1st retail sale
For purposes of this subchapter, the term "1st retail sale" means
the 1st sale, for a purpose other than resale, after manufacture,
production, or importation.
(b) Use treated as sale
(1) In general
If any person uses a passenger vehicle (including any use after
importation) before the 1st retail sale of such vehicle, then
such person shall be liable for tax under this subchapter in the
same manner as if such vehicle were sold at retail by him.
(2) Exemption for further manufacture
Paragraph (1) shall not apply to use of a vehicle as material
in the manufacture or production of, or as a component part of,
another vehicle taxable under this subchapter to be manufactured
or produced by him.
(3) Exemption for demonstration use
Paragraph (1) shall not apply to any use of a passenger vehicle
as a demonstrator.
(4) Exception for use after importation of certain vehicles
Paragraph (1) shall not apply to the use of a vehicle after
importation if the user or importer establishes to the
satisfaction of the Secretary that the 1st use of the vehicle
occurred before January 1, 1991, outside the United States.
(5) Computation of tax
In the case of any person made liable for tax by paragraph (1),
the tax shall be computed on the price at which similar vehicles
are sold at retail in the ordinary course of trade, as determined
by the Secretary.
(c) Leases considered as sales
For purposes of this subchapter -
(1) In general
Except as otherwise provided in this subsection, the lease of a
vehicle (including any renewal or any extension of a lease or any
subsequent lease of such vehicle) by any person shall be
considered a sale of such vehicle at retail.
(2) Special rules for long-term leases
(A) Tax not imposed on sale for leasing in a qualified lease
The sale of a passenger vehicle to a person engaged in a
passenger vehicle leasing or rental trade or business for
leasing by such person in a long-term lease shall not be
treated as the 1st retail sale of such vehicle.
(B) Long-term lease
For purposes of subparagraph (A), the term "long-term lease"
means any long-term lease (as defined in section 4052).
(C) Special rules
In the case of a long-term lease of a vehicle which is
treated as the 1st retail sale of such vehicle -
(i) Determination of price
The tax under this subchapter shall be computed on the
lowest price for which the vehicle is sold by retailers in
the ordinary course of trade.
(ii) Payment of tax
Rules similar to the rules of section 4217(e)(2) shall
apply.
(iii) No tax where exempt use by lessee
No tax shall be imposed on any lease payment under a
long-term lease if the lessee's use of the vehicle under such
lease is an exempt use (as defined in section 4003(b)) of
such vehicle.
(d) Determination of price
(1) In general
In determining price for purposes of this subchapter -
(A) there shall be included any charge incident to placing
the passenger vehicle in condition ready for use,
(B) there shall be excluded -
(i) the amount of the tax imposed by this subchapter,
(ii) if stated as a separate charge, the amount of any
retail sales tax imposed by any State or political
subdivision thereof or the District of Columbia, whether the
liability for such tax is imposed on the vendor or vendee,
and
(iii) the value of any component of such passenger vehicle
if -
(I) such component is furnished by the 1st user of such
passenger vehicle, and
(II) such component has been used before such furnishing,
and
(C) the price shall be determined without regard to any
trade-in.
(2) Other rules
Rules similar to the rules of paragraphs (2) and (4) of section
4052(b) shall apply for purposes of this subchapter.
-SOURCE-
(Added Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990, 104
Stat. 1388-439; amended Pub. L. 103-66, title XIII, Sec. 13161(a),
Aug. 10, 1993, 107 Stat. 450.)
-MISC1-
AMENDMENTS
1993 - Pub. L. 103-66 amended section generally, substituting
provisions relating to imposition of luxury tax upon first retail
sale or use of luxury automobile for provisions relating to
imposition of similar tax upon boats.
EFFECTIVE DATE OF 1993 AMENDMENT
Amendment by Pub. L. 103-66 effective Jan. 1, 1993, see section
13161(c) of Pub. L. 103-66, set out as a note under section 4001 of
this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 4001 of this title.
-End-
-CITE-
26 USC Sec. 4003 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter A - Luxury Passenger Automobiles
-HEAD-
Sec. 4003. Special rules
-STATUTE-
(a) Separate purchase of vehicle and parts and accessories therefor
Under regulations prescribed by the Secretary -
(1) In general
Except as provided in paragraph (2), if -
(A) the owner, lessee, or operator of any passenger vehicle
installs (or causes to be installed) any part or accessory
(other than property described in section 4001(a)(2)(B)) on
such vehicle, and
(B) such installation is not later than the date 6 months
after the date the vehicle was 1st placed in service,
then there is hereby imposed on such installation a tax equal to
10 percent of the price of such part or accessory and its
installation.
(2) Limitation
The tax imposed by paragraph (1) on the installation of any
part or accessory shall not exceed 10 percent of the excess (if
any) of -
(A) the sum of -
(i) the price of such part or accessory and its
installation,
(ii) the aggregate price of the parts and accessories (and
their installation) installed before such part or accessory,
plus
(iii) the price for which the passenger vehicle was sold,
over
(B) the appropriate applicable amount as determined under
section 4001(a)(2).
(3) Exceptions
Paragraph (1) shall not apply if -
(A) the part or accessory installed is a replacement part or
accessory,
(B) the part or accessory is installed to enable or assist an
individual with a disability to operate the vehicle, or to
enter or exit the vehicle, by compensating for the effect of
such disability, or
(C) the aggregate price of the parts and accessories (and
their installation) described in paragraph (1) with respect to
the vehicle does not exceed $1,000 (or such other amount or
amounts as the Secretary may by regulation prescribe).
The price of any part or accessory (and its installation) to
which paragraph (1) does not apply by reason of this paragraph
shall not be taken into account under paragraph (2)(A).
(4) Installers secondarily liable for tax
The owners of the trade or business installing the parts or
accessories shall be secondarily liable for the tax imposed by
this subsection.
(b) Imposition of tax on sales, etc., within 2 years of vehicles
purchased tax-free
(1) In general
If -
(A) no tax was imposed under this subchapter on the 1st
retail sale of any passenger vehicle by reason of its exempt
use, and
(B) within 2 years after the date of such 1st retail sale,
such vehicle is resold by the purchaser or such purchaser makes
a substantial nonexempt use of such vehicle,
then such sale or use of such vehicle by such purchaser shall be
treated as the 1st retail sale of such vehicle for a price equal
to its fair market value at the time of such sale or use.
(2) Exempt use
For purposes of this subsection, the term "exempt use" means
any use of a vehicle if the 1st retail sale of such vehicle is
not taxable under this subchapter by reason of such use.
(c) Parts and accessories sold with taxable passenger vehicle
Parts and accessories sold on, in connection with, or with the
sale of any passenger vehicle shall be treated as part of the
vehicle.
(d) Partial payments, etc.
In the case of a contract, sale, or arrangement described in
paragraph (2), (3), or (4) of section 4216(c), rules similar to the
rules of section 4217(e)(2) shall apply for purposes of this
subchapter.
-SOURCE-
(Added Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990, 104
Stat. 1388-439; amended Pub. L. 103-66, title XIII, Sec. 13161(a),
Aug. 10, 1993, 107 Stat. 451; Pub. L. 105-34, title IX, Sec.
906(b)(3), (4), title XIV, Sec. 1401(a), Aug. 5, 1997, 111 Stat.
875, 1045.)
-MISC1-
PRIOR PROVISIONS
Prior sections 4004, 4006, 4007, 4011, and 4012 of this title
were omitted in the general revision of this subchapter by Pub. L.
103-66, title XIII, Sec. 13161(a), Aug. 10, 1993, 107 Stat. 449.
Section 4004, added Pub. L. 101-508, title XI, Sec. 11221(a),
Nov. 5, 1990, 104 Stat. 1388-440; amended Pub. L. 103-66, title
XIII, Sec. 13162(a), Aug. 10, 1993, 107 Stat. 453, related to
certain rules applicable to former subpart A of part I of this
subchapter.
Section 4006, added Pub. L. 101-508, title XI, Sec. 11221(a),
Nov. 5, 1990, 104 Stat. 1388-441, related to imposition of tax on
1st retail sale of jewelry.
Section 4007, added Pub. L. 101-508, title XI, Sec. 11221(a),
Nov. 5, 1990, 104 Stat. 1388-442, related to imposition of tax on
1st retail sale of furs.
Section 4011, added Pub. L. 101-508, title XI, Sec. 11221(a),
Nov. 5, 1990, 104 Stat. 1388-442, provided definitions and special
rules for purposes of this subchapter.
Section 4012, added Pub. L. 101-508, title XI, Sec. 11221(a),
Nov. 5, 1990, 104 Stat. 1388-444, provided that taxes imposed by
this subchapter did not apply to any sale or use after Dec. 31,
1999.
AMENDMENTS
1997 - Subsec. (a)(1). Pub. L. 105-34, Sec. 906(b)(3), inserted
"(other than property described in section 4001(a)(2)(B))" after
"part or accessory".
Subsec. (a)(2)(B). Pub. L. 105-34, Sec. 906(b)(4), amended
subpar. (B) generally, substituting "the appropriate applicable
amount as determined under section 4001(a)(2)" for "$30,000".
Subsec. (a)(3)(C). Pub. L. 105-34, Sec. 1401(a), substituted
"$1,000" for "$200".
1993 - Pub. L. 103-66 amended section generally, substituting
provisions prescribing special rules applicable to imposition of
luxury passenger automobile tax for provisions relating to
imposition of similar tax on aircraft.
EFFECTIVE DATE OF 1997 AMENDMENT
Amendment by section 906(b)(3), (4) of Pub. L. 105-34 applicable
to sales and installations occurring after Aug. 5, 1997, see
section 906(c) of Pub. L. 105-34, set out as a note under section
4001 of this title.
Section 1401(b) of Pub. L. 105-34 provided that: "The amendments
made by subsection (a) [amending this section and section 4051 of
this title] shall apply to installations on vehicles sold after the
date of the enactment of this Act [Aug. 5, 1997]."
EFFECTIVE DATE OF 1993 AMENDMENT
Amendment by Pub. L. 103-66 effective Jan. 1, 1993, see section
13161(c) of Pub. L. 103-66, set out as a note under section 4001 of
this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 4001, 4002 of this title.
-End-
-CITE-
26 USC Subchapter B - Special Fuels 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter B - Special Fuels
-HEAD-
SUBCHAPTER B - SPECIAL FUELS
-MISC1-
Sec.
4041. Imposition of tax.
4042. Tax on fuel used in commercial transportation on
inland waterways.
PRIOR PROVISIONS
A prior subchapter B of chapter 31 was redesignated subchapter C
by Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990, 104
Stat. 1388-438.
AMENDMENTS
1990 - Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990,
104 Stat. 1388-438, redesignated this subchapter, formerly
subchapter A, as subchapter B. Former subchapter B redesignated C.
1978 - Pub. L. 95-502, title II, Sec. 202(c), Oct. 21, 1978, 92
Stat. 1697, added item 4042.
1976 - Pub. L. 94-455, title XIX, Sec. 1904(a)(1)(A), Oct. 4,
1976, 90 Stat. 1810, added item 4041.
-End-
-CITE-
26 USC Sec. 4041 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter B - Special Fuels
-HEAD-
Sec. 4041. Imposition of tax
-STATUTE-
(a) Diesel fuel and special motor fuels
(1) Tax on diesel fuel in certain cases
(A) In general
There is hereby imposed a tax on any liquid other than
gasoline (as defined in section 4083) -
(i) sold by any person to an owner, lessee, or other
operator of a diesel-powered highway vehicle or a
diesel-powered train for use as a fuel in such vehicle or
train, or
(ii) used by any person as a fuel in a diesel-powered
highway vehicle or a diesel-powered train unless there was a
taxable sale of such fuel under clause (i).
(B) Exemption for previously taxed fuel
No tax shall be imposed by this paragraph on the sale or use
of any liquid if tax was imposed on such liquid under section
4081 and the tax thereon was not credited or refunded.
(C) Rate of tax
(i) In general
Except as otherwise provided in this subparagraph, the rate
of the tax imposed by this paragraph shall be the rate of tax
specified in section 4081(a)(2)(A) on diesel fuel which is in
effect at the time of such sale or use.
(ii) Rate of tax on trains
In the case of any sale for use, or use, of diesel fuel in
a train, the rate of tax imposed by this paragraph shall be -
(I) 6.8 cents per gallon after September 30, 1993, and
before October 1, 1995,
(II) 5.55 cents per gallon after September 30, 1995, and
before November 1, 1998, and
(III) 4.3 cents per gallon after October 31, 1998.
(iii) Rate of tax on certain buses
(I) In general
Except as provided in subclause (II), in the case of fuel
sold for use or used in a use described in section
6427(b)(1) (after the application of section 6427(b)(3)),
the rate of tax imposed by this paragraph shall be 7.3
cents per gallon (4.3 cents per gallon after September 30,
2005).
(II) School bus and intracity transportation
No tax shall be imposed by this paragraph on any sale for
use, or use, described in subparagraph (B) or (C) of
section 6427(b)(2).
(2) Special motor fuels
(A) In general
There is hereby imposed a tax on any liquid (other than gas
oil, fuel oil, or any product taxable under section 4081) -
(i) sold by any person to an owner, lessee, or other
operator of a motor vehicle or motorboat for use as a fuel in
such motor vehicle or motorboat, or
(ii) used by any person as a fuel in a motor vehicle or
motorboat unless there was a taxable sale of such liquid
under clause (i).
(B) Rate of tax
The rate of the tax imposed by this paragraph shall be -
(i) except as otherwise provided in this subparagraph, the
rate of tax specified in section 4081(a)(2)(A)(i) which is in
effect at the time of such sale or use,
(ii) 13.6 cents per gallon in the case of liquefied
petroleum gas, and
(iii) 11.9 cents per gallon in the case of liquefied
natural gas.
In the case of any sale or use after September 30, 2005, clause
(ii) shall be applied by substituting "3.2 cents" for "13.6
cents", and clause (iii) shall be applied by substituting "2.8
cents" for "11.9 cents".
(3) Compressed natural gas
(A) In general
There is hereby imposed a tax on compressed natural gas -
(i) sold by any person to an owner, lessee, or other
operator of a motor vehicle or motorboat for use as a fuel in
such motor vehicle or motorboat, or
(ii) used by any person as a fuel in a motor vehicle or
motorboat unless there was a taxable sale of such gas under
clause (i).
The rate of the tax imposed by this paragraph shall be 48.54
cents per MCF (determined at standard temperature and
pressure).
(B) Bus uses
No tax shall be imposed by this paragraph on any sale for
use, or use, described in subparagraph (B) or (C) of section
6427(b)(2) (relating to school bus and intracity
transportation).
(C) Administrative provisions
For purposes of applying this title with respect to the taxes
imposed by this subsection, references to any liquid subject to
tax under this subsection shall be treated as including
references to compressed natural gas subject to tax under this
paragraph, and references to gallons shall be treated as
including references to MCF with respect to such gas.
(b) Exemption for off-highway business use; reduction in tax for
qualified methanol and ethanol fuel
(1) Exemption for off-highway business use
(A) In general
No tax shall be imposed by subsection (a) or (d)(1) on
liquids sold for use or used in an off-highway business use.
(B) Tax where other use
If a liquid on which no tax was imposed by reason of
subparagraph (A) is used otherwise than in an off-highway
business use, a tax shall be imposed by paragraph (1)(B),
(2)(B), or (3)(A)(ii) of subsection (a) (whichever is
appropriate) and by the corresponding provision of subsection
(d)(1) (if any).
(C) Off-highway business use defined
For purposes of this subsection, the term "off-highway
business use" has the meaning given to such term by section
6421(e)(2); except that such term shall not, for purposes of
subsection (a)(1), include use in a diesel-powered train.
(2) Qualified methanol and ethanol fuel
(A) In general
In the case of any qualified methanol or ethanol fuel -
(i) the rate applicable under subsection (a)(2) shall be
the applicable blender rate per gallon less than the
otherwise applicable rate (6 cents per gallon in the case of
a mixture none of the alcohol in which consists of ethanol),
and
(ii) subsection (d)(1) shall be applied by substituting
"0.05 cent" for "0.1 cent" with respect to the sales and uses
to which clause (i) applies.
(B) Qualified methanol or ethanol fuel
The term "qualified methanol or ethanol fuel" means any
liquid at least 85 percent of which consists of methanol,
ethanol, or other alcohol produced from a substance other than
petroleum or natural gas.
(C) Applicable blender rate
For purposes of subparagraph (A)(i), the applicable blender
rate is -
(i) except as provided in clause (ii), 5.4 cents, and
(ii) for sales or uses during calendar years 2001 through
2007, 1/10 of the blender amount applicable under section
40(h)(2) for the calendar year in which the sale or use
occurs.
(D) Termination
On and after October 1, 2007, subparagraph (A) shall not
apply.
(c) Noncommercial aviation
(1) Tax on nongasoline fuels where no tax imposed on fuel under
section 4091
There is hereby imposed a tax upon kerosene and any other
liquid (other than any product taxable under section 4081) -
(A) sold by any person to an owner, lessee, or other operator
of an aircraft, for use as a fuel in such aircraft in
noncommercial aviation; or
(B) used by any person as a fuel in an aircraft in
noncommercial aviation, unless there was a taxable sale of such
liquid under this section.
The rate of the tax imposed by this paragraph shall be the rate
of tax specified in section 4091(b)(1) which is in effect at the
time of such sale or use. No tax shall be imposed by this
paragraph on the sale or use of any liquid if there was a taxable
sale of such liquid under section 4091.
(2) Definition of noncommercial aviation
For purposes of this chapter, the term "noncommercial aviation"
means any use of an aircraft, other than use in a business of
transporting persons or property for compensation or hire by air.
The term also includes any use of an aircraft, in a business
described in the preceding sentence, which is properly allocable
to any transportation exempt from the taxes imposed by sections
4261 and 4271 by reason of section 4281 or 4282 or by reason of
section 4261(h).
(3) Termination
The rate of the taxes imposed by paragraph (1) shall be 4.3
cents per gallon -
(A) after December 31, 1996, and before the date which is 7
days after the date of the enactment of the Airport and Airway
Trust Fund Tax Reinstatement Act of 1997, and
(B) after September 30, 2007.
(d) Additional taxes to fund Leaking Underground Storage Tank Trust
Fund
(1) Tax on sales and uses subject to tax under subsection (a)
In addition to the taxes imposed by subsection (a), there is
hereby imposed a tax of 0.1 cent a gallon on the sale or use of
any liquid (other than liquefied petroleum gas and other than
liquefied natural gas) if tax is imposed by subsection (a)(1) or
(2) on such sale or use.
(2) Liquids used in aviation
In addition to the taxes imposed by subsection (c), there is
hereby imposed a tax of 0.1 cent a gallon on any liquid (other
than gasoline (as defined in section 4083)) -
(A) sold by any person to an owner, lessee, or other operator
of an aircraft for use as a fuel in such aircraft, or
(B) used by any person as a fuel in an aircraft unless there
was a taxable sale of such liquid under subparagraph (A).
No tax shall be imposed by this paragraph on the sale or use of
any liquid if there was a taxable sale of such liquid under
section 4091.
(3) Termination
The taxes imposed by this subsection shall not apply during any
period during which the Leaking Underground Storage Tank Trust
Fund financing rate under section 4081 does not apply.
(e) Additional tax
If a liquid on which tax was imposed on the sale thereof is
taxable at a higher rate under subsection (c)(1) of this section on
the use thereof, there is hereby imposed a tax equal to the
difference between the tax so imposed and the tax payable at such
higher rate.
(f) Exemption for farm use
(1) Exemption
Under regulations prescribed by the Secretary, no tax shall be
imposed under this section on any liquid sold for use or used on
a farm for farming purposes.
(2) Use on a farm for farming purposes
For purposes of paragraph (1) of this subsection, use on a farm
for farming purposes shall be determined in accordance with
paragraphs (1), (2), and (3) of section 6420(c).
(g) Other exemptions
Under regulations prescribed by the Secretary, no tax shall be
imposed under this section -
(1) on any liquid sold for use or used as supplies for vessels
or aircraft (within the meaning of section 4221(d)(3));
(2) with respect to the sale of any liquid for the exclusive
use of any State, any political subdivision of a State, or the
District of Columbia, or with respect to the use by any of the
foregoing of any liquid as a fuel;
(3) upon the sale of any liquid for export, or for shipment to
a possession of the United States, and in due course so exported
or shipped; and
(4) with respect to the sale of any liquid to a nonprofit
educational organization for its exclusive use, or with respect
to the use by a nonprofit educational organization of any liquid
as a fuel.
For purposes of paragraph (4), the term "nonprofit educational
organization" means an educational organization described in
section 170(b)(1)(A)(ii) which is exempt from income tax under
section 501(a). The term also includes a school operated as an
activity of an organization described in section 501(c)(3) which is
exempt from income tax under section 501(a), if such school
normally maintains a regular faculty and curriculum and normally
has a regularly enrolled body of pupils or students in attendance
at the place where its educational activities are regularly carried
on.
(h) Exemption for use by certain aircraft museums
(1) Exemption
Under regulations prescribed by the Secretary, no tax shall be
imposed under this section on any liquid sold for use or used by
an aircraft museum in an aircraft or vehicle owned by such museum
and used exclusively for purposes set forth in paragraph (2)(C).
(2) Definition of aircraft museum
For purposes of this subsection, the term "aircraft museum"
means an organization -
(A) described in section 501(c)(3) which is exempt from
income tax under section 501(a),
(B) operated as a museum under charter by a State or the
District of Columbia, and
(C) operated exclusively for the procurement, care, and
exhibition of aircraft of the type used for combat or transport
in World War II.
(i) Registration
If any liquid is sold by any person for use as a fuel in an
aircraft, it shall be presumed for purposes of this section that a
tax imposed by this section applies to the sale of such liquid
unless the purchaser is registered in such manner (and furnished
such information in respect of the use of the liquid) as the
Secretary shall by regulations provide.
(j) Sales by United States, etc.
The taxes imposed by this section shall apply with respect to
liquids sold at retail by the United States, or by any agency or
instrumentality of the United States, unless sales by such agency
or instrumentality are by statute specifically exempted from such
taxes.
(k) Fuels containing alcohol
(1) In general
Under regulations prescribed by the Secretary, in the case of
the sale or use of any liquid at least 10 percent of which
consists of alcohol (as defined in section 4081(c)(3)) -
(A) the rates under paragraphs (1) and (2) of subsection (a)
shall be the comparable rates under section 4081(c), and
(B) the rate of the tax imposed by subsection (c)(1) shall be
the comparable rate under section 4091(c).
(2) Later separation
If any person separates the liquid fuel from a mixture of the
liquid fuel and alcohol to which paragraph (1) applied, such
separation shall be treated as a sale of the liquid fuel. Any tax
imposed on such sale shall be reduced by the amount (if any) of
the tax imposed on the sale of such mixture.
(3) Termination
Paragraph (1) shall not apply to any sale or use after
September 30, 2007.
(l) Exemption for certain uses
No tax shall be imposed under this section on any liquid sold for
use in, or used in, a helicopter or a fixed-wing aircraft for
purposes of providing transportation with respect to which the
requirements of subsection (f) or (g) of section 4261 are met.
(m) Certain alcohol fuels
(1) In general
In the case of the sale or use of any partially exempt methanol
or ethanol fuel -
(A) the rate of the tax imposed by subsection (a)(2) shall be
-
(i) after September 30, 1997, and before October 1, 2005 -
(I) in the case of fuel none of the alcohol in which
consists of ethanol, 9.15 cents per gallon, and
(II) in any other case, 11.3 cents per gallon, and
(ii) after September 30, 2005 -
(I) in the case of fuel none of the alcohol in which
consists of ethanol, 2.15 cents per gallon, and
(II) in any other case, 4.3 cents per gallon, and
(B) the rate of the tax imposed by subsection (c)(1) shall be
the comparable rate under section 4091(c)(1).
(2) Partially exempt methanol or ethanol fuel
The term "partially exempt methanol or ethanol fuel" means any
liquid at least 85 percent of which consists of methanol,
ethanol, or other alcohol produced from natural gas.
-SOURCE-
(Aug. 16, 1954, ch. 736, 68A Stat. 478; Mar. 30, 1955, ch. 18, Sec.
3(a)(1), 69 Stat. 14; Mar. 29, 1956, ch. 115, Sec. 3(a)(1), 70
Stat. 66; Apr. 2, 1956, ch. 160, Sec. 2(a)(1), 70 Stat. 89; June
29, 1956, ch. 462, title II, Sec. 202, 70 Stat. 387; Pub. L.
85-859, title I, Sec. 119(b)(1), Sept. 2, 1958, 72 Stat. 1286; Pub.
L. 86-342, title II, Sec. 201(b), Sept. 21, 1959, 73 Stat. 613;
Pub. L. 87-61, title II, Sec. 201(a), (c), (d), June 29, 1961, 75
Stat. 123, 124; Pub. L. 89-44, title VIII, Sec. 802(a)(2), June 21,
1965, 79 Stat. 159; Pub. L. 91-258, title II, Sec. 202, May 21,
1970, 84 Stat. 237; Pub. L. 91-605, title III, Sec. 303(a)(1), (2),
Dec. 31, 1970, 84 Stat. 1743; Pub. L. 94-280, title III, Sec.
303(a)(1), (2), May 5, 1976, 90 Stat. 456; Pub. L. 94-455, title
XIX, Secs. 1904(a)(1)(B), (C), 1906(b)(13)(A), Oct. 4, 1976, 90
Stat. 1810, 1811, 1834; Pub. L. 94-530, Sec. 1(a), Oct. 17, 1976,
90 Stat. 2487; Pub. L. 95-599, title V, Sec. 502(a)(1), (b), Nov.
6, 1978, 92 Stat. 2756, 2757; Pub. L. 95-600, title VII, Sec.
703(l)(1), (2), Nov. 6, 1978, 92 Stat. 2942; Pub. L. 95-618, title
II, Secs. 221(b)(1), 222(a)(2), 233(a)(3)(B), Nov. 9, 1978, 92
Stat. 3185, 3187, 3191; Pub. L. 96-223, title II, Sec. 232(a)(2),
Apr. 2, 1980, 94 Stat. 273; Pub. L. 96-298, Sec. 1(a), July 1,
1980, 94 Stat. 829; Pub. L. 97-248, title II, Sec. 279(a), (b)(1),
Sept. 3, 1982, 96 Stat. 563; Pub. L. 97-424, title V, Secs.
511(a)(2), (b)(1), (c)(2), (d)(2), (g)(1), 516(a)(1), (b)(1), Jan.
6, 1983, 96 Stat. 2169-2171, 2173, 2182, 2183; Pub. L. 98-369, div.
A, title IX, Secs. 911(a), 912(a), 913(a), title X, Sec. 1018(a),
July 18, 1984, 98 Stat. 1005, 1007, 1008, 1021; Pub. L. 99-499,
title V, Sec. 521(a)(2), (d)(1)-(3), Oct. 17, 1986, 100 Stat. 1776,
1779; Pub. L. 99-514, title IV, Sec. 422(a)(1), (2), title XVII,
Sec. 1702(a), title XVIII, Sec. 1878(c)(1), Oct. 22, 1986, 100
Stat. 2229, 2773, 2903; Pub. L. 100-17, title V, Sec. 502(a)(1),
(b)(1)-(3), (c)(1), Apr. 2, 1987, 101 Stat. 256, 257; Pub. L.
100-203, title X, Sec. 10502(b), Dec. 22, 1987, 101 Stat. 1330-441;
Pub. L. 100-223, title IV, Secs. 402(b), 404(b), 405(b)(3), Dec.
30, 1987, 101 Stat. 1532, 1533, 1535; Pub. L. 100-647, title I,
Sec. 1017(c)(3), (4), title II, Sec. 2001(d)(2), (3)(A)-(D), Nov.
10, 1988, 102 Stat. 3576, 3595; Pub. L. 101-508, title XI, Secs.
11211(a)(4), (b)(3), (6)(C)-(E)(i), (F), (d)(1), (2), (e)(1), (2),
11213(b)(2)(A), (B), (d)(2)(B), (e)(3), Nov. 5, 1990, 104 Stat.
1388-423, 1388-425 to 1388-427, 1388-433, 1388-436; Pub. L.
102-240, title VIII, Sec. 8002(b)(1), (2), Dec. 18, 1991, 105 Stat.
2203; Pub. L. 103-66, title XIII, Secs. 13163(a)(2),
13241(b)(2)(A), (B)(iii), (c), (e), (f)(1), (2), 13242(d)(3)-(13),
Aug. 10, 1993, 107 Stat. 453, 510, 511, 522-524; Pub. L. 104-188,
title I, Secs. 1208, 1609(a)(3), (g)(3), (4)(A), Aug. 20, 1996, 110
Stat. 1776, 1841-1843; Pub. L. 105-2, Sec. 2(a)(3), Feb. 28, 1997,
111 Stat. 4; Pub. L. 105-34, title IX, Secs. 902(b)(1), (2),
907(a), (b), title X, Secs. 1031(a)(3), 1032(e)(1), (2), title XIV,
Sec. 1435(b), title XVI, Sec. 1601(f)(4)(A), (B), Aug. 5, 1997, 111
Stat. 873, 875, 929, 935, 1053, 1090; Pub. L. 105-178, title IX,
Secs. 9002(a)(1)(A)-(C), 9003(a)(1)(A), (B), (b)(2)(A), 9006(a),
June 9, 1998, 112 Stat. 499, 501, 502, 506; Pub. L. 105-206, title
VI, Sec. 6010(g)(1), July 22, 1998, 112 Stat. 814.)
-REFTEXT-
REFERENCES IN TEXT
The date of the enactment of the Airport and Airway Trust Fund
Tax Reinstatement Act of 1997, referred to in subsec. (c)(3)(A), is
the date of enactment of Pub. L. 105-2, which was approved Feb. 28,
1997.
-MISC1-
AMENDMENTS
1998 - Subsec. (a)(1)(C)(ii)(II). Pub. L. 105-178, Sec.
9006(a)(1), substituted "November 1, 1998" for "October 1, 1999".
Subsec. (a)(1)(C)(ii)(III). Pub. L. 105-178, Sec. 9006(a)(2),
substituted "October 31, 1998" for "September 30, 1999".
Subsec. (a)(1)(C)(iii)(I). Pub. L. 105-178, Sec. 9002(a)(1)(A),
substituted "2005" for "1999".
Subsec. (a)(2)(B). Pub. L. 105-178, Sec. 9002(a)(1)(B),
substituted "2005" for "1999" in concluding provisions.
Subsec. (b)(2)(A)(i). Pub. L. 105-178, Sec. 9003(b)(2)(A)(i),
substituted "the applicable blender rate" for "5.4 cents".
Subsec. (b)(2)(C). Pub. L. 105-178, Sec. 9003(b)(2)(A)(ii), added
subpar. (C). Former subpar. (C) redesignated (D).
Pub. L. 105-178, Sec. 9003(a)(1)(A), substituted "2007" for
"2000".
Subsec. (b)(2)(D). Pub. L. 105-178, Sec. 9003(b)(2)(A)(ii),
redesignated subpar. (C) as (D).
Subsec. (k)(3). Pub. L. 105-178, Sec. 9003(a)(1)(B), substituted
"2007" for "2000".
Subsec. (l). Pub. L. 105-206 substituted "subsection (f) or (g)"
for "subsection (e) or (f)".
Subsec. (m)(1)(A). Pub. L. 105-178, Sec. 9002(a)(1)(C),
substituted "2005" for "1999" in two places.
1997 - Subsec. (a)(1)(A). Pub. L. 105-34, Sec. 902(b)(1),
substituted "or a diesel-powered train" for ", a diesel-powered
train, or a diesel-powered boat" in cls. (i) and (ii) and "vehicle
or train" for "vehicle, train, or boat" in cl. (i).
Subsec. (a)(1)(D). Pub. L. 105-34, Sec. 902(b)(2), struck out
heading and text of subpar. (D). Text read as follows: "In the case
of any sale for use, or use, of fuel in a diesel-powered motorboat
-
"(i) no tax shall be imposed by subsection (a) or (d)(1) during
the period beginning on the date which is 7 days after the date
of the enactment of the Small Business Job Protection Act of 1996
and ending on December 31, 1997,
"(ii) effective during the period after September 30, 1999, and
before January 1, 2000, the rate of tax imposed by this paragraph
is 24.3 cents per gallon, and
"(iii) the termination of the tax under subsection (d) shall
not occur before January 1, 2000."
Subsec. (a)(2). Pub. L. 105-34, Sec. 907(a)(1), amended heading
and text of par. (2) generally. Prior to amendment, text read as
follows: "There is hereby imposed a tax on benzol, benzene,
naphtha, liquefied petroleum gas, casing head and natural gasoline,
or any other liquid (other than kerosene, gas oil, or fuel oil, or
any product taxable under section 4081) -
"(A) sold by any person to an owner, lessee, or other operator
of a motor vehicle or motorboat for use as a fuel in such motor
vehicle or motorboat, or
"(B) used by any person as a fuel in a motor vehicle or
motorboat unless there was a taxable sale of such liquid under
subparagraph (A).
The rate of the tax imposed by this paragraph shall be the rate of
tax specified in section 4081(a)(2)(A)(i) on gasoline which is in
effect at the time of such sale or use."
Pub. L. 105-34, Sec. 1601(f)(4)(B), substituted "section
4081(a)(2)(A)(i)" for "section 4081(a)(2)(A)" in concluding
provisions.
Subsec. (a)(2)(A). Pub. L. 105-34, Sec. 1032(e)(1), struck out
"kerosene," after "(other than" in introductory provisions.
Subsec. (c)(1). Pub. L. 105-34, Sec. 1032(e)(2), substituted
"kerosene and any other liquid" for "any liquid" in introductory
provisions.
Subsec. (c)(2). Pub. L. 105-34, Sec. 1435(b), inserted "or by
reason of section 4261(h)" before period at end.
Subsec. (c)(3). Pub. L. 105-2 amended heading and text of par.
(3) generally. Prior to amendment, text read as follows: "The taxes
imposed by paragraph (1) shall apply during the period beginning on
September 1, 1982, and ending on December 31, 1995, and during the
period beginning on the date which is 7 calendar days after the
date of the enactment of the Small Business Job Protection Act of
1996 and ending on December 31, 1996. The termination under the
preceding sentence shall not apply to so much of the tax imposed by
paragraph (1) as does not exceed 4.3 cents per gallon."
Subsec. (c)(3)(B). Pub. L. 105-34, Sec. 1031(a)(3), substituted
"September 30, 2007" for "September 30, 1997".
Subsec. (d)(1). Pub. L. 105-34, Sec. 907(a)(2), inserted "and
other than liquefied natural gas" after "liquefied petroleum gas".
Subsec. (l). Pub. L. 105-34, Sec. 1601(f)(4)(A), struck out
"helicopter" after "certain" in heading and inserted "or a
fixed-wing aircraft" after "helicopter" in text.
Subsec. (m)(1)(A). Pub. L. 105-34, Sec. 907(b), amended subpar.
(A) generally. Prior to amendment, subpar. (A) read as follows:
"the rate of the tax imposed by subsection (a)(2) shall be -
"(i) 11.3 cents per gallon after September 30, 1993, and before
October 1, 1999, and
"(ii) 4.3 cents per gallon after September 30, 1999, and".
1996 - Subsec. (a)(1)(D). Pub. L. 104-188, Sec. 1208, added cl.
(i) and redesignated former cls. (i) and (ii) as (ii) and (iii),
respectively.
Subsec. (c)(2). Pub. L. 104-188, Sec. 1609(g)(3)(A), redesignated
par. (4) as (2) and struck out former par. (2) which read as
follows:
"(2) Gasoline. - There is hereby imposed a tax (at the rate
specified in paragraph (3)) upon gasoline (as defined in section
4083) -
"(A) sold by any person to an owner, lessee, or other operator
of an aircraft, for use as a fuel in such aircraft in
noncommercial aviation; or
"(B) used by any person as a fuel in an aircraft in
noncommercial aviation, unless there was a taxable sale of such
product under subparagraph (A).
The tax imposed by this paragraph shall be in addition to any tax
imposed under section 4081."
Subsec. (c)(3). Pub. L. 104-188, Sec. 1609(g)(3), redesignated
par. (5) as (3) and substituted "paragraph (1)" for "paragraphs (1)
and (2)", and struck out former par. (3) which read as follows:
"(3) Rate of tax. - The rate of tax imposed by paragraph (2) on
any gasoline is 1 cent per gallon."
Subsec. (c)(4). Pub. L. 104-188, Sec. 1609(g)(3)(A), redesignated
par. (4) as (2).
Subsec. (c)(5). Pub. L. 104-188, Sec. 1609(g)(3)(A), redesignated
par. (5) as (3).
Pub. L. 104-188, Sec. 1609(a)(3), inserted ", and during the
period beginning on the date which is 7 calendar days after the
date of the enactment of the Small Business Job Protection Act of
1996 and ending on December 31, 1996" after "December 31, 1995".
Subsec. (k)(1)(A) to (C). Pub. L. 104-188, Sec. 1609(g)(4)(A),
inserted "and" at end of subpar. (A), substituted period for ",
and" at end of subpar. (B), and struck out subpar. (C) which read
as follows: "no tax shall be imposed by subsection (c)(2)."
1993 - Subsec. (a)(1). Pub. L. 103-66, Sec. 13242(d)(3), amended
heading and text of par. (1) generally. Prior to amendment, text
read as follows: "There is hereby imposed a tax on any liquid
(other than any product taxable under section 4081) -
"(A) sold by any person to an owner, lessee, or other operator
of a diesel-powered highway vehicle or diesel-powered boat for
use as a fuel in such vehicle or boat, or
"(B) used by any person as a fuel in a diesel-powered highway
vehicle or diesel-powered boat unless there was a taxable sale of
such liquid under subparagraph (A).
The rate of the tax imposed by this paragraph shall be the sum of
the Highway Trust Fund financing rate and the diesel fuel deficit
reduction rate in effect under section 4091 at the time of such
sale or use. No tax shall be imposed by this paragraph on the sale
or use of any liquid if there was a taxable sale of such liquid
under section 4091."
Pub. L. 103-66, Sec. 13163(a)(2), substituted "diesel-powered
highway vehicle or diesel-powered boat" for "diesel-powered highway
vehicle" in subpars. (A) and (B) and "such vehicle or boat" for
"such vehicle" in subpar. (A).
Subsec. (a)(2). Pub. L. 103-66, Sec. 13242(d)(4), in introductory
provisions, struck out "or paragraph (1) of this subsection" after
"section 4081" and, in closing provisions, substituted "The rate of
the tax imposed by this paragraph shall be the rate of tax
specified in section 4081(a)(2)(A) on gasoline which is in effect
at the time of such sale or use." for "The rate of the tax imposed
by this paragraph shall be the sum of the Highway Trust Fund
financing rate and the deficit reduction rate in effect under
section 4081 at the time of such sale or use."
Subsec. (a)(3). Pub. L. 103-66, Sec. 13241(e)(1), added par. (3).
Subsec. (b)(1)(B). Pub. L. 103-66, Sec. 13242(d)(5)(A),
substituted "paragraph (1)(B), (2)(B), or (3)(A)(ii)" for
"paragraph (1)(B) or (2)(B)" and inserted before period at end "(if
any)".
Subsec. (b)(1)(C). Pub. L. 103-66, Sec. 13242(d)(5)(B), inserted
before period at end "; except that such term shall not, for
purposes of subsection (a)(1), include use in a diesel-powered
train".
Subsec. (b)(2)(A)(i). Pub. L. 103-66, Sec. 13242(d)(5)(C), struck
out "Highway Trust Fund financing" before "rate applicable".
Subsec. (c)(1). Pub. L. 103-66, Sec. 13242(d)(6), substituted
"The rate of the tax imposed by this paragraph shall be the rate of
tax specified in section 4091(b)(1) which is in effect at the time
of such sale or use." for "The rate of the tax imposed by this
paragraph shall be the sum of the Airport and Airway Trust Fund
financing rate and the aviation fuel deficit reduction rate in
effect under section 4091 at the time of such sale or use." in
concluding provisions.
Pub. L. 103-66, Sec. 13241(b)(2)(B)(iii), struck out "of 17.5
cents per gallon" before "upon any liquid" in introductory
provisions and inserted "The rate of the tax imposed by this
paragraph shall be the sum of the Airport and Airway Trust Fund
financing rate and the aviation fuel deficit reduction rate in
effect under section 4091 at the time of such sale or use." before
last sentence in concluding provisions.
Subsec. (c)(2). Pub. L. 103-66, Sec. 13242(d)(7), substituted
"gasoline (as defined in section 4083)" for "any product taxable
under section 4081".
Subsec. (c)(3). Pub. L. 103-66, Sec. 13241(b)(2)(A), amended
heading and text of par. (3) generally. Prior to amendment, text
read as follows: "The rate of tax imposed by paragraph (2) on any
gasoline is the excess of 15 cents a gallon over the sum of the
Highway Trust Fund financing rate plus the deficit reduction rate
at which tax was imposed on such gasoline under section 4081."
Subsec. (c)(5). Pub. L. 103-66, Sec. 13242(d)(8), inserted at end
"The termination under the preceding sentence shall not apply to so
much of the tax imposed by paragraph (1) as does not exceed 4.3
cents per gallon."
Subsec. (d)(1). Pub. L. 103-66, Sec. 13241(e)(2), substituted
"subsection (a)(1) or (2)" for "subsection (a)" before "on such
sale or use".
Subsec. (d)(2). Pub. L. 103-66, Sec. 13242(d)(9), (10),
redesignated par. (3) as (2), substituted "(other than gasoline (as
defined in section 4083))" for "(other than any product taxable
under section 4081)", and struck out heading and text of former
par. (2). Text read as follows: "There is hereby imposed a tax of
0.1 cent a gallon on any liquid (other than a product taxable under
section 4081) -
"(A) sold by any person to an owner, lessee, or other operator
of a diesel-powered train for use as a fuel in such train, or
"(B) used by any person as a fuel in a diesel-powered train
unless there was a taxable sale of such liquid under subparagraph
(A).
No tax shall be imposed by this paragraph on the sale or use of any
liquid if there was a taxable sale of such liquid under section
4091."
Subsec. (d)(3), (4). Pub. L. 103-66, Sec. 13242(d)(9),
redesignated pars. (3) and (4) as (2) and (3), respectively.
Subsec. (f)(3). Pub. L. 103-66, Sec. 13241(f)(1), struck out
heading and text of par. (3). Text read as follows: "Except with
respect to the taxes imposed by subsection (d), paragraph (1) shall
not apply on and after October 1, 1999."
Subsec. (g). Pub. L. 103-66, Sec. 13241(f)(2), struck out at end
"Except with respect to the taxes imposed by subsection (d),
paragraphs (2) and (4) shall not apply on and after October 1,
1999."
Subsec. (k)(1)(A). Pub. L. 103-66, Sec. 13242(d)(11), struck out
"Highway Trust Fund financing" before "rates under paragraphs" and
substituted "section 4081(c)" for "sections 4081(c) and 4091(c), as
the case may be".
Subsec. (k)(1)(B). Pub. L. 103-66, Sec. 13242(d)(12), substituted
"4091(c)" for "4091(d)".
Subsec. (m)(1)(A). Pub. L. 103-66, Sec. 13242(d)(13), amended
subpar. (A) generally. Prior to amendment, subpar. (A) read as
follows: "under subsection (a)(2) -
"(i) the Highway Trust Fund financing rate shall be 5.75 cents
per gallon, and
"(ii) the deficit reduction rate shall be 5.55 cents per
gallon."
Pub. L. 103-66, Sec. 13241(c), amended subpar. (A) generally.
Prior to amendment, subpar. (A) read as follows: "under subsection
(a)(2) the Highway Trust Fund financing rate shall be 5.75 cents
per gallon and the deficit reduction rate shall be 1.25 cents per
gallon, and".
Subsec. (m)(1)(B). Pub. L. 103-66, Sec. 13242(d)(13), amended
subpar. (B) generally. Prior to amendment, subpar. (B) read as
follows: "the rate of the tax imposed by subsection (c)(1) shall be
the comparable rate under section 4091(d)(1)."
1991 - Subsecs. (f)(3), (g). Pub. L. 102-240 substituted "1999"
for "1995".
1990 - Subsec. (a)(1). Pub. L. 101-508, Sec. 11211(b)(6)(C)(i),
struck out "of 15 cents a gallon" after "imposed a tax" in
introductory provisions and inserted before last sentence "The rate
of the tax imposed by this paragraph shall be the sum of the
Highway Trust Fund financing rate and the diesel fuel deficit
reduction rate in effect under section 4091 at the time of such
sale or use."
Subsec. (a)(2). Pub. L. 101-508, Sec. 11211(b)(3), substituted
"imposed a tax" for "imposed a tax of 9 cents a gallon" in
introductory provisions and inserted at end "The rate of the tax
imposed by this paragraph shall be the sum of the Highway Trust
Fund financing rate and the deficit reduction rate in effect under
section 4081 at the time of such sale or use."
Subsec. (a)(3). Pub. L. 101-508, Sec. 11211(b)(6)(C)(ii), struck
out par. (3) which provided that on and after Oct. 1, 1993, the
taxes imposed by subsec. (a) shall not apply.
Subsec. (b)(2)(A)(i). Pub. L. 101-508, Sec. 11211(b)(6)(D),
amended cl. (i) generally. Prior to amendment, cl. (i) read as
follows: "subsection (a)(2) shall be applied by substituting '3
cents' for '9 cents', and".
Subsec. (b)(2)(C). Pub. L. 101-508, Sec. 11211(e)(1), substituted
"2000" for "1993".
Subsec. (c)(1). Pub. L. 101-508, Sec. 11213(b)(2)(A), substituted
"17.5 cents" for "14 cents".
Subsec. (c)(3). Pub. L. 101-508, Sec. 11211(a)(4), substituted
"15 cents" for "12 cents" and "the sum of the Highway Trust Fund
financing rate plus the deficit reduction rate" for "the Highway
Trust Fund financing rate".
Subsec. (c)(5). Pub. L. 101-508, Sec. 11213(d)(2)(B), substituted
"1995" for "1990".
Subsec. (c)(6). Pub. L. 101-508, Sec. 11213(e)(3), struck out
par. (6) which provided cross reference to section 4283 for
reduction of rates of taxes imposed by subsec. (c)(1) and (2) in
certain circumstances.
Subsecs. (f)(3), (g). Pub. L. 101-508, Sec. 11211(d)(1), (2),
substituted "1995" for "1993".
Subsec. (k)(1)(A). Pub. L. 101-508, Sec. 11211(b)(6)(E)(i),
amended subpar. (A) generally. Prior to amendment, subpar. (A) read
as follows: "subsection (a)(1) shall be applied by substituting '9
cents' for '15 cents', and".
Subsec. (k)(1)(B). Pub. L. 101-508, Sec. 11213(b)(2)(B)(i),
amended subpar. (B) generally. Prior to amendment, subpar. (B) read
as follows: "no tax shall be imposed by subsection (c)(1), and".
Pub. L. 101-508, Sec. 11211(b)(6)(E)(i), amended subpar. (B)
generally. Prior to amendment, subpar. (B) read as follows:
"subsection (a)(2) shall be applied by substituting '3 cents' for
'9 cents', and".
Subsec. (k)(1)(C). Pub. L. 101-508, Sec. 11211(b)(6)(E)(i),
amended subpar. (C) generally. Prior to amendment, subpar. (C) read
as follows: "no tax shall be imposed by subsection (c)."
Subsec. (k)(3). Pub. L. 101-508, Sec. 11211(e)(2), substituted
"2000" for "1993".
Subsec. (m)(1)(A). Pub. L. 101-508, Sec. 11211(b)(6)(F), amended
subpar. (A) generally. Prior to amendment, subpar. (A) read as
follows: "subsection (a)(2) shall be applied by substituting '4 1/2
cents' for '9 cents', and".
Subsec. (m)(1)(B). Pub. L. 101-508, Sec. 11213(b)(2)(B)(ii),
amended subpar. (B) generally. Prior to amendment, subpar. (B) read
as follows: "no tax shall be imposed by subsection (c)."
1988 - Subsec. (b)(1)(A). Pub. L. 100-647, Sec. 2001(d)(3)(A),
inserted reference to subsection (d)(1).
Subsec. (b)(1)(B). Pub. L. 100-647, Sec. 2001(d)(3)(B), inserted
"and by the corresponding provision of subsection (d)(1)" before
the period.
Subsec. (b)(1)(C). Pub. L. 100-647, Sec. 1017(c)(3), substituted
"section 6421(e)(2)" for "section 6421(d)(2)".
Subsec. (b)(2)(A). Pub. L. 100-647, Sec. 2001(d)(3)(D), amended
subpar. (A) generally, inserting "(i)" before "subsection (a)(2)"
and adding cl. (ii).
Subsec. (b)(3). Pub. L. 100-647, Sec. 2001(d)(3)(C), struck out
par. (3) which coordinated subsec. (b) with taxes imposed by
subsec. (d).
Subsec. (c)(3). Pub. L. 100-647, Sec. 2001(d)(2), substituted
"the Highway Trust Fund financing rate at which" for "the rate at
which".
Subsec. (f)(3). Pub. L. 100-647, Sec. 1017(c)(4), amended par.
(3) generally, substituting "paragraph (1) shall not apply on and
after October 1, 1993" for "on and after October 1, 1993, paragraph
(1) shall not apply".
1987 - Subsec. (a)(1). Pub. L. 100-203, Sec. 10502(b)(1), in
heading substituted "Tax on diesel fuel where no tax imposed on
fuel under section 4091" for "Diesel fuel" and in text inserted
sentence at end that no tax be imposed by this paragraph on the
sale or use of any liquid if there was a taxable sale of such
liquid under section 4091.
Subsec. (a)(3). Pub. L. 100-17, Sec. 502(a)(1), substituted
"1993" for "1988".
Subsec. (b)(2)(C). Pub. L. 100-17, Sec. 502(b)(1), substituted
"1993" for "1988".
Subsec. (c)(1). Pub. L. 100-203, Sec. 10502(b)(2), in heading
substituted "Tax on nongasoline fuels where no tax imposed on fuel
under section 4091" for "In general" and in text inserted sentence
at end that no tax be imposed by this paragraph on the sale or use
of any liquid if there was a taxable sale of such liquid under
section 4091.
Subsec. (c)(5). Pub. L. 100-223, Sec. 402(b), substituted "1990"
for "1987".
Subsec. (c)(6). Pub. L. 100-223, Sec. 405(b)(3), added par. (6).
Subsec. (d)(1). Pub. L. 100-203, Sec. 10502(b)(3), added par.
(1), substituting new heading for "Liquids other than gasoline,
etc., used in motor vehicles, motorboats, or trains", and struck
out text of former par. (1) which read as follows: "In addition to
the taxes imposed by subsection (a), there is hereby imposed a tax
of 0.1 cents a gallon on benzol, benzene, naphtha, casing head and
natural gasoline, or any other liquid (other than kerosene, gas
oil, liquefied petroleum gas, or fuel oil, or any product taxable
under section 4081) -
"(A) sold by any person to an owner, lessee, or other operator
of a motor vehicle, motorboat, or train for use as a fuel in such
motor vehicle, motorboat, or train, or
"(B) used by any person as a fuel in a motor vehicle,
motorboat, or train unless there was a taxable sale of such
liquid under subparagraph (A)."
Subsec. (d)(2). Pub. L. 100-203, Sec. 10502(b)(3), added par.
(2), substituting new heading for "Liquids used in aviation", and
struck out text of former par. (2) which read as follows: "In
addition to the taxes imposed by subsection (c) and section 4081,
there is hereby imposed a tax of 0.1 cents a gallon on any liquid -
"(A) sold by any person to an owner, lessee, or other operator
of an aircraft for use as a fuel in such aircraft, or
"(B) used by any person as a fuel in an aircraft unless there
was a taxable sale of such liquid under subparagraph (A).
The tax imposed by this paragraph shall not apply to any product
taxable under section 4081 which is used as a fuel in an aircraft
other than in noncommercial aviation."
Subsec. (d)(3), (4). Pub. L. 100-203, Sec. 10502(b)(3), added
par. (3) and redesignated former par. (3) as (4).
Subsecs. (f)(3), (g). Pub. L. 100-17, Sec. 502(b)(2), (3),
substituted "1993" for "1988".
Subsec. (k)(3). Pub. L. 100-17, Sec. 502(c)(1), substituted
"September 30, 1993" for "December 31, 1992".
Subsec. (l). Pub. L. 100-223, Sec. 404(b), amended subsec. (l)
generally. Prior to amendment, subsec. (l) read as follows: "No tax
shall be imposed under this section on any liquid sold for use in,
or used in, a helicopter for the purpose of -
"(1) transporting individuals, equipment, or supplies in the
exploration for, or the development or removal of, hard minerals,
oil, or gas, or
"(2) the planting, cultivation, cutting or transportation of,
or caring for, trees (including logging operation),
but only if the helicopter does not take off from, or land at, a
facility eligible for assistance under the Airport and Airway
Development Act of 1970, or otherwise use services provided
pursuant to the Airport and Airway Improvement Act of 1982 during
such use."
Subsec. (n). Pub. L. 100-203, Sec. 10502(b)(4), struck out
subsec. (n) which related to tax on diesel fuel for highway vehicle
use being imposed on sale to retailer.
1986 - Subsec. (b). Pub. L. 99-514, Sec. 422(a)(2), substituted
"reduction in tax" for "exemption" in heading.
Subsec. (b)(2)(A). Pub. L. 99-514, Sec. 422(a)(1), amended
subpar. (A) generally. Prior to amendment, subpar. (A) read as
follows: "No tax shall be imposed by subsection (a) on any
qualified methanol or ethanol fuel."
Subsec. (b)(3). Pub. L. 99-499, Sec. 521(d)(1), added par. (3).
Subsecs. (d), (e). Pub. L. 99-499, Sec. 521(a)(2), added subsec.
(d) and redesignated former subsec. (d) as (e).
Subsec. (f)(3). Pub. L. 99-499, Sec. 521(d)(2), substituted
"Except with respect to the taxes imposed by subsection (d), on and
after" for "On and after".
Subsec. (g). Pub. L. 99-499, Sec. 521(d)(3), substituted "Except
with respect to the taxes imposed by subsection (d), paragraphs"
for "Paragraphs" in last sentence.
Subsec. (l)(1). Pub. L. 99-514, Sec. 1879(c)(1), amended par. (1)
generally. Prior to amendment, par. (1) read as follows:
"transporting individuals, equipment, or supplies in -
"(A) the exploration for, or the development or removal of,
hard minerals, or
"(B) the exploration for oil or gas, or".
Subsec. (n). Pub. L. 99-514, Sec. 1702(a), added subsec. (n).
1984 - Subsec. (a)(1). Pub. L. 98-369, Sec. 911(a), substituted
"15 cents" for "9 cents".
Subsec. (k)(1). Pub. L. 98-369, Sec. 912(a), in amending par. (1)
generally, substituted "liquid" for "liquid fuel" in provisions
preceding subpar. (A), in subpar. (A), substituted "subsection
(a)(1) shall be applied by substituting '9 cents' for '15 cents',
and" for "subsection (a) shall be applied by substituting '4 cents'
for '9 cents' each place it appears, and", added subpar. (B), and
redesignated former subpar. (B) as (C).
Subsec. (l)(1). Pub. L. 98-369, Sec. 1018(a), designated existing
provisions as subpar. (A) and added subpar. (B).
Subsec. (m). Pub. L. 98-369, Sec. 913(a), added subsec. (m).
1983 - Subsec. (a). Pub. L. 97-424, Secs. 511(a)(2),
516(a)(1)(A), added subsec. (a), and struck out former subsec. (a)
which provided for a tax of 4 cents a gallon on diesel fuel.
Subsec. (b). Pub. L. 97-424, Sec. 511(b)(1), (c)(2), added
subsec. (b), and struck out former subsec. (b) which provided for a
tax of 4 cents a gallon on special motor fuels.
Subsec. (c)(3). Pub. L. 97-424, Sec. 511(g)(1), substituted
provision that the rate of tax imposed by par. (2) on any gasoline
is the excess of 12 cents a gallon over the rate at which tax was
imposed on such gasoline under section 4081 for provision that the
rate of tax imposed by par. (2) was 8 cents a gallon (10 1/2 cents
a gallon in the case of any gasoline with respect to which a tax
was imposed under section 4081 at the rate set forth in subsec. (b)
thereof).
Subsec. (e). Pub. L. 97-424, Sec. 516(a)(1)(B), struck out
subsec. (e) which provided that the taxes imposed by subsecs. (a)
and (b) would be 1 1/2 cents a gallon and that second and third
sentences of subsecs. (a) and (b) would not apply on and after Oct.
1, 1984.
Subsec. (f)(3). Pub. L. 97-424, Sec. 516(b)(1)(A), added par.
(3).
Subsec. (g). Pub. L. 97-424, Sec. 516(b)(1)(B), inserted
provision that pars. (2) and (4) shall not apply on and after Oct.
1, 1988.
Subsec. (k). Pub. L. 97-424, Sec. 511(d)(2), in par. (1)
substituted provisions for a 4-cent tax on the sale or use of any
liquid fuel at least 10 percent of which consists of alcohol for
provisions that no tax be imposed by this section on the sale or
use of such fuel, and in par. (2) substituted "to which paragraph
(1) applied" for "on which tax was not imposed by reason of this
subsection" after "alcohol" and inserted provision that any tax
imposed on such sale shall be reduced by the amount (if any) of the
tax imposed on the sale of such mixture.
1982 - Subsec. (c). Pub. L. 97-248, Sec. 279(a), in par. (1)
substituted "14 cents" for "7 cents", in par. (3) substituted "8
cents a gallon (10 1/2 cents a gallon in the case of any gasoline
with respect to which a tax is imposed under section 4081 at the
rate set forth in subsection (b) thereof)" for "3 cents a gallon",
and in par. (5) substituted provisions that the taxes imposed by
pars. (1) and (2) shall apply during the period beginning on Sept.
1, 1982, and ending on Dec. 31, 1987, for provisions that on and
after Oct. 1, 1980, the taxes imposed by pars. (1) and (2) would
not apply.
Subsec. (l). Pub. L. 97-248, Sec. 279(b)(1), added subsec. (l).
1980 - Subsec. (c)(5). Pub. L. 96-298 extended termination date
to "October 1, 1980" from "July 1, 1980".
Subsec. (k)(3). Pub. L. 96-223 added par. (3).
1978 - Subsec. (b). Pub. L. 95-618, Secs. 222(a)(2),
233(a)(3)(B), substituted ", in a qualified business use" for
"otherwise than as a fuel in a highway vehicle (A) which (at the
time of such sale or use) is registered, or is required to be
registered, for highway use under the laws of any State or foreign
country, or (B) which, in the case of a highway vehicle owned by
the United States, is used on the highway" and "is used otherwise
than in a qualified business use" for "is used as a fuel in a
highway vehicle (A) which (at the time of such use) is registered,
or is required to be registered, for highway use under the laws of
any State or foreign country, or (B) which, in the case of a
highway vehicle owned by the United States, is used on the highway"
and inserted provision that for purposes of this subsection
"qualified business use" has the meaning given to such term by
section 6421(d)(2).
Subsec. (c)(3). Pub. L. 95-599, Sec. 502(b), struck out
termination date of Sept. 30, 1979 for 3 cents per gallon rate of
tax and struck out provision for a 5 1/2 cents per gallon rate of
tax after such date.
Subsec. (e). Pub. L. 95-599, Sec. 502(a)(1), substituted "1984"
for "1979".
Subsec. (h)(2). Pub. L. 95-600, Sec. 703(l)(1), substituted "term
'aircraft museum' means" for "term 'aircraft' means".
Subsecs. (i), (j). Pub. L. 95-600, Sec. 703(l)(2), redesignated
subsec. (i), relating to sales by United States, or by any agency
or instrumentality of United States, as (j).
Subsec. (k). Pub. L. 95-618, Sec. 221(b)(1), added subsec. (k).
1976 - Subsec. (c)(3). Pub. L. 94-280, Sec. 303(a)(1),
substituted "1979" for "1977" in two places.
Subsec. (e). Pub. L. 94-280, Sec. 303(a)(2), substituted "1979"
for "1977".
Subsec. (f)(1). Pub. L. 94-455, Sec. 1906(b)(13(A), struck out
"or his delegate" after "Secretary".
Subsec. (g). Pub. L. 94-455, Secs. 1904(a)(1)(B), 1906(b)(13)(A),
designated existing provisions as par. (1), substituted "Other
exemptions" for "Exemptions for use as supplies for vessels" after
"(g)", struck out "or his delegate" after "Secretary", and added
pars. (2) to (4) and definition of "nonprofit educational
organization".
Subsec. (h). Pub. L. 94-530 added subsec. (h). Former subsec. (h)
redesignated "(i) Registration".
Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out "or his delegate"
after "Secretary".
Subsec. (i). Pub. L. 94-455, Sec. 1904(a)(1)(C), added subsec.
(i) relating to sales by United States.
Pub. L. 94-530 redesignated former subsec. (h) as "(i)
Registration".
1970 - Subsec. (b). Pub. L. 91-258, Sec. 202(b)(1) and (2),
substituted "motor vehicle or motorboat" for "motor vehicle,
motorboat, or airplane", twice in par. (1) and once in par. (2),
and "in" for "for the propulsion of" in par. (1) preceding "such
motor vehicle", in par. (2) preceding "a motor vehicle" and in text
following par. (2) before "a highway vehicle (A)" in two places,
respectively.
Subsec. (c). Pub. L. 91-258, Sec. 202(a), added subsec. (c).
Former subsec. (c) redesignated (e).
Subsec. (c)(3). Pub. L. 91-605, Sec. 303(a)(1), substituted
"1977" for "1972" in two places.
Subsec. (d). Pub. L. 91-258, Sec. 202(a), added subsec. (d).
Former subsec. (d) redesignated (f).
Subsec. (e). Pub. L. 91-605, Sec. 303(a)(2), substituted "1977"
for "1972".
Pub. L. 91-258, Sec. 202(a), redesignated former subsec. (c) as
(e), substituting in par. (1) "subsections (a) and (b)" and "," for
"this section" and ";". Former subsec. (e) redesignated (g).
Subsec. (f). Pub. L. 91-258, Sec. 202(a), redesignated former
subsec. (d) as (f), substituting in par. (1) prohibition against
imposition of tax "under this section on any liquid sold for use or
used on a farm for farming purposes" for prior provisions that "(A)
no tax shall be imposed under subsection (a)(1) or (b)(1) on the
sale of any liquid sold for use on a farm for farming purposes, and
(B) no tax shall be imposed under subsection (a)(2) or (b)(2) on
the use of any liquid used on a farm for farming purposes".
Subsec. (g). Pub. L. 91-258, Sec. 202(a), redesignated former
subsec. (e) as (g), substituting "this section on any liquid sold"
for "subsection (b) in the case of any fuel sold".
Subsec. (h). Pub. L. 91-258, Sec. 202(a), added subsec. (h).
1965 - Subsec. (b). Pub. L. 89-44 inserted "casinghead and
natural gasoline," after "liquefied petroleum gas," in text
preceding par. (1).
1961 - Subsec. (a). Pub. L. 87-61, Sec. 201(a), increased tax on
diesel fuel from 3 to 4 cents a gallon, and substituted "a tax of 2
cents a gallon shall be imposed under paragraph (2)" for "a tax of
1 cent a gallon shall be imposed under paragraph (2)".
Subsec. (b). Pub. L. 87-61, Sec. 201(a), increased tax on special
motor fuels from 3 to 4 cents a gallon, and substituted "a tax of 2
cents a gallon shall be imposed under paragraph (2)" for "a tax of
1 cent a gallon shall be imposed under paragraph (2)".
Subsec. (c). Pub. L. 87-61, Sec. 201(c), substituted "October 1,
1972" for "July 1, 1972".
Subsec. (f). Pub. L. 87-61, Sec. 201(d), repealed subsec. (f)
which authorized a temporary increase in taxes under subsecs. (a)
and (b).
1959 - Subsecs. (a), (b). Pub. L. 86-342, Sec. 201(b)(2), struck
out "in lieu of 3 cents a gallon" after "shall be 2 cents a
gallon".
Subsec. (f). Pub. L. 86-342, Sec. 201(b)(1), added subsec. (f).
1958 - Subsec. (e). Pub. L. 85-859 added subsec. (e).
1956 - Subsec. (a). Act June 29, 1956, Sec. 202(a), increased tax
on diesel fuel from 2 cents a gallon to 3 cents a gallon, and
inserted provisions which retained tax at 2 cents a gallon for
diesel fuel used in vehicles not registered, and not required to be
registered, for highway use, or vehicles owned by the United States
and not used on the highway.
Subsec. (b). Act June 29, 1956, Sec. 202(b), increased tax on
special motor fuels from 2 cents a gallon to 3 cents a gallon, and
inserted provisions which retained tax at 2 cents a gallon for
special motor fuels sold for use or used otherwise than as a fuel
for the propulsion of a highway vehicle which is registered, or is
required to be registered, for highway use, or vehicles owned by
the United States used on the highway.
Subsec. (c). Act June 29, 1956, Sec. 202(c), substituted "July 1,
1972" for "April 1, 1956" and provided for nonapplication of second
and third sentences of subsec. (a) and (b).
Act Mar. 29, 1956, substituted "April 1, 1957" for "April 1,
1956".
Subsec. (d). Act Apr. 2, 1956, added subsec. (d).
1955 - Subsec. (c). Act Mar. 30, 1955, substituted "April 1,
1956" for "April 1, 1955".
EFFECTIVE DATE OF 1998 AMENDMENTS
Amendment by Pub. L. 105-206 effective, except as otherwise
provided, as if included in the provisions of the Taxpayer Relief
Act of 1997, Pub. L. 105-34, to which such amendment relates, see
section 6024 of Pub. L. 105-206, set out as a note under section 1
of this title.
Amendment by section 9003(b)(2)(A) of Pub. L. 105-178 effective
Jan. 1, 2001, see section 9003(b)(3) of Pub. L. 105-178, set out as
a note under section 40 of this title.
EFFECTIVE DATE OF 1997 AMENDMENTS
Section 902(c) of Pub. L. 105-34 provided that: "The amendments
made by this section [amending this section and sections 4083 and
6421 of this title] shall take effect on January 1, 1998."
Section 907(c) of Pub. L. 105-34 provided that: "The amendments
made by this section [amending this section] shall take effect on
October 1, 1997."
Section 1031(e)(1) of Pub. L. 105-34 provided that: "The
amendments made by subsection (a) [amending this section and
sections 4081 and 4091 of this title] shall apply take effect [sic]
on October 1, 1997."
Pub. L. 105-34, title X, Sec. 1032(f), Aug. 5, 1997, 111 Stat.
935, as amended by Pub. L. 105-178, title IX, Sec. 9008, June 9,
1998, 112 Stat. 506; Pub. L. 106-170, title V, Sec. 524, Dec. 17,
1999, 113 Stat. 1928, provided that:
"(1) Except as provided in paragraph (2), the amendments made by
this section [amending this section and sections 4081 to 4083,
4093, 4101, 6416, 6427, 6715, 7232, 9503, and 9508 of this title]
shall take effect on July 1, 1998.
"(2) The amendment made by subsection (d) [amending section 4101
of this title] shall take effect on January 1, 2002."
Section 1435(c)(2) of Pub. L. 105-34 provided that: "The
amendment made by subsection (b) [amending this section] shall take
effect on October 1, 1997."
Amendment by section 1601(f)(4)(A), (B) of Pub. L. 105-34
effective as if included in the provisions of the Small Business
Job Protection Act of 1996, Pub. L. 104-188, to which it relates,
see section 1601(j) of Pub. L. 105-34, set out as a note under
section 23 of this title.
Section 2(e)(1) of Pub. L. 105-2 provided that: "The amendments
made by subsection (a) [amending this section and sections 4081 and
4091 of this title] shall apply to periods beginning on or after
the 7th day after the date of the enactment of this Act [Feb. 28,
1997]."
EFFECTIVE DATE OF 1996 AMENDMENT
Section 1609(i) of Pub. L. 104-188 provided that: "The amendments
made by this section [amending this section and sections 4081,
4091, 4261, 4271, 4282, 6421, and 9502 of this title] shall take
effect on the 7th calendar day after the date of the enactment of
this Act [Aug. 20, 1996], except that the amendments made by
subsection (b) [amending sections 4261 and 4271 of this title]
shall not apply to any amount paid before such date."
EFFECTIVE DATE OF 1993 AMENDMENT
Section 13163(d) of Pub. L. 103-66 provided that: "The amendments
made by this section [amending this section and sections 4092,
6421, and 9508 of this title] shall take effect on January 1,
1994."
Section 13241(g) of Pub. L. 103-66 provided that: "The amendments
made by this section [amending this section and sections 4042,
4081, 4091, 4093, 6420, 6421, and 6427 of this title] shall take
effect on October 1, 1993."
Section 13242(e) of Pub. L. 103-66 provided that: "The amendments
made by this section [enacting sections 4084 and 6714 of this title
and amending this section and sections 4081 to 4083, 4091 to 4093,
4101 to 4103, 6206, 6302, 6412, 6416, 6420, 6421, 6427, 9502, 9503,
and 9508 of this title] shall take effect on January 1, 1994."
EFFECTIVE DATE OF 1990 AMENDMENT
Section 11211(a)(6) of Pub. L. 101-508 provided that: "Except as
otherwise provided in this subsection, the amendments made by this
subsection [amending this section and sections 4081 and 9503 of
this title] shall apply to gasoline removed (as defined in [former]
section 4082 of the Internal Revenue Code of 1986) after November
30, 1990."
Section 11211(b)(7) of Pub. L. 101-508 provided that: "The
amendments made by this subsection [amending this section and
sections 4091, 4093, 6427, 9502, and 9503 of this title] shall take
effect on December 1, 1990."
Section 11213(b)(4) of Pub. L. 101-508 provided that: "The
amendments made by this subsection [amending this section and
sections 4091 and 6427 of this title] shall take effect on December
1, 1990."
EFFECTIVE DATE OF 1988 AMENDMENT
Amendment by section 1017(c)(3), (4) of Pub. L. 100-647
effective, except as otherwise provided, as if included in the
provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which
such amendment relates, see section 1019(a) of Pub. L. 100-647, set
out as a note under section 1 of this title.
Amendment by section 2001(d)(2), (3)(A)-(D) of Pub. L. 100-647
effective, except as otherwise provided, as if included in the
provision of the Superfund Revenue Act of 1986, Pub. L. 99-499,
title V, to which it relates, see section 2001(e) of Pub. L.
100-647, set out as a note under section 56 of this title.
EFFECTIVE DATE OF 1987 AMENDMENTS
Section 2001(d)(1)(A) of Pub. L. 100-647 provided that: "The
amendments made by subsections (b)(3) and (d)(17) of section 10502
of the Revenue Act of 1987 [Pub. L. 100-203, amending this section
and section 9508 of this title] shall be treated as if included in
the amendments made by section 521 of the Superfund Revenue Act of
1986 [Pub. L. 99-499] except that the last sentence of [former]
paragraphs (2) and (3) of section 4041(d) of the Internal Revenue
Code of 1986 (as amended by such subsection (b)(3)) and the
reference to section 4091 of such Code in section 9508(c)(2)(A) of
such Code (as amended by such subsection (d)(1) [(d)(17)]) shall
not apply to sales before April 1, 1988."
Section 404(d)(2) of Pub. L. 100-223 provided that: "The
amendment made by subsection (b) [amending this section] shall take
effect on October 1, 1988."
Amendment by Pub. L. 100-203 applicable to sales after Mar. 31,
1988, see section 10502(e) of Pub. L. 100-203, set out as a note
under section 40 of this title.
EFFECTIVE DATE OF 1986 AMENDMENTS
Section 422(a)(3) of Pub. L. 99-514 provided that: "The
amendments made by this subsection [amending this section] shall
take effect on January 1, 1987."
Section 1702(c) of Pub. L. 99-514 provided that: "The amendments
made by this section [amending this section and section 6652 of
this title] shall apply to sales after the first calendar quarter
beginning more than 60 days after the date of the enactment of this
Act [Oct. 22, 1986]."
Amendment by section 1878(c)(1) of Pub. L. 99-514 effective,
except as otherwise provided, as if included in the provisions of
the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such
amendment relates, see section 1881 of Pub. L. 99-514, set out as a
note under section 48 of this title.
Section 521(e) of Pub. L. 99-499 provided that: "The amendments
made by this section [amending this section and sections 4042,
4081, 4221, 6416, 6420, 6421, 6427, 9502, 9503, and 9506 of this
title] shall take effect on January 1, 1987."
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by section 911(a) of Pub. L. 98-369 effective Aug. 1,
1984, see section 911(e) of Pub. L. 98-369, set out as a note under
section 6427 of this title.
Amendment by section 912(a) of Pub. L. 98-369 effective Jan. 1,
1985, see section 912(g) of Pub. L. 98-369, set out as a note under
section 40 of this title.
Section 913(c) of Pub. L. 98-369 provided that: "The amendments
made by this section [amending this section and section 40 of this
title] shall take effect on August 1, 1984."
Section 1018(c)(1) of Pub. L. 98-369 provided that: "The
amendment made by subsection (a) [amending this section] shall take
effect on April 1, 1984."
EFFECTIVE DATE OF 1983 AMENDMENT
Section 511(h) of Pub. L. 97-424 provided that:
"(1) In general. - Except as otherwise provided in this
subsection, the amendments made by this section [amending this
section and sections 44E, 4081, 6416, 6420, 6421, and 6427 of this
title] shall take effect on April 1, 1983.
"(2) Tariff on imported alcohol. - The amendment made by
subsection (d)(5) [amending item 901.50 of the Tariff Schedules,
which are not set out in the Code] shall apply with respect to
articles entered, or withdrawn from warehouse for consumption,
after March 31, 1983.
"(3) For subsection (e)(2). - The amendment made by subsection
(e)(2) [amending section 6427 of this title] shall take effect on
January 1, 1983.
"(4) Shared transportation requirement. - The amendment made by
subsection (e)(3) [amending section 6427 of this title] shall apply
with respect to fuel purchased after December 31, 1982, and before
January 1, 1984."
EFFECTIVE DATE OF 1982 AMENDMENT
Section 279(c) of Pub. L. 97-248 provided that: "The amendments
made by this section [amending this section and section 6427 of
this title] shall take effect on September 1, 1982."
EFFECTIVE DATE OF 1978 AMENDMENTS
Section 221(b)(2) of Pub. L. 95-618, as amended by Pub. L.
96-223, title II, Sec. 232(a)(3), Apr. 2, 1980, 94 Stat. 273,
provided that: "The amendment made by paragraph (1) [amending this
section] shall apply to sales or use after December 31, 1978."
Section 222(b) of Pub. L. 95-618 provided that: "The amendments
made by subsection (a) [amending this section and sections 6421 and
6424 of this title] shall apply with respect to uses after December
31, 1978."
Amendment by section 233(a)(3)(B) of Pub. L. 95-618 effective on
first day of first calendar month which begins more than 10 days
after Nov. 9, 1978, see section 233(d) of Pub. L. 95-618, set out
as a note under section 34 of this title.
Amendment by Pub. L. 95-600 effective Oct. 4, 1976, see section
703(r) of Pub. L. 95-600, set out as a note under section 46 of
this title.
EFFECTIVE DATE OF 1976 AMENDMENTS
Section 1(d) of Pub. L. 94-530 provided that: "The amendments
made by this section [amending this section and sections 39, 6427,
7210, 7603, 7604, and 7605 of this title] shall take effect on
October 1, 1976."
Section 1904(d) of Pub. L. 94-455 provided that: "Except as
otherwise provided in this section, the amendments made by this
section [amending this section and sections 263, 861, 1232, 4042,
4216, 4217, 4227, 4253, 4261, 4271, 4371 to 4374, 4482, 4493, 4901,
4905, 4973, 6011, 6416, 6611, 6651, 6808, 7012, 7234, 7240, 7265,
7270, 7272, 7303, 7611, and 7655 of this title and repealing
sections 4042, 4054 to 4058, 4226, 4292, 4294, 4295, 4591 to 4597,
4801 to 4806, 4811 to 4826, 4881 to 4886, 4911 to 4931, 6076, 6680,
6681, 6689, 7235, 7239, 7241, 7264, 7267, 7274, and 7328 of this
title] shall take effect on the first day of the first month which
begins more than 90 days after the date of the enactment of this
Act [Oct. 4, 1976]."
EFFECTIVE DATE OF 1970 AMENDMENT
Section 211 of title II of Pub. L. 91-258 provided that:
"(a) General Rule. - Except as provided in subsection (b), the
amendments made by this title [see Short Title of 1970 Amendment
note below] shall take effect on July 1, 1970.
"(b) Exceptions. - The amendments made by sections 203 [enacting
section 7275 and amending sections 4261 and 4262 of this title] and
204 [enacting sections 4271 and 4272 of this title] shall apply to
transportation beginning after June 30, 1970. The amendments made
by subsections (a), (b), and (c) of section 207 [enacting section
6427 and amending sections 39, 6420, 6421, and 6424] shall apply
with respect to taxable years ending after June 30, 1970."
EFFECTIVE DATE OF 1965 AMENDMENT
Section 802(d)(2) of Pub. L. 89-44 provided that: "The amendment
made by subsection (a)(2) [amending this section] shall apply with
respect to casinghead and natural gasoline sold or used on or after
July 1, 1965, except that such amendment shall not apply to a sale
or use of casinghead or natural gasoline which was sold by a
producer or importer before such date if tax under section 4081 of
the Code (as in effect prior to the amendment made by subsection
(a)(1) [amending section 4082 of this title]) was imposed with
respect to such sale."
EFFECTIVE DATE OF 1961 AMENDMENT
Section 208 of title II of Pub. L. 87-61 provided that:
"(a) Except as provided in subsection (b), the amendments made by
this title [enacting section 6156 of this title, amending this
section and sections 4061, 4071, 4081, 4218, 4221, 4226, 4481,
4482, 6412, 6416, 6421, and 6601 of this title, and amending
section 209 of The Highway Revenue Act of 1956, set out as a note
under section 120 of Title 23, Highways] shall take effect on the
date of the enactment of this Act [June 29, 1961].
"(b)(1) The amendments made by sections 201, 202, and 203
[enacting section 6156 of this title and amending this section and
sections 4071, 4081, 4481, 4482, 6421, and 6601 of this title]
shall take effect on July 1, 1961.
"(2) The amendments made by section 205(a), (c), and (d)
[amending sections 4221 and 6416 of this title] shall apply only in
the case of gasoline sold on or after October 1, 1961.
"(3) The amendment made by section 205(b) [amending section 4218
of this title] shall apply only in the case of gasoline used on or
after October 1, 1961."
EFFECTIVE DATE OF 1958 AMENDMENT
Amendment by Pub. L. 85-859 effective on first day of first
calendar quarter which begins more than 60 days after Sept. 2,
1958, see section 1(c) of Pub. L. 85-859.
EFFECTIVE DATE OF 1956 AMENDMENTS
Section 211 of title II of act June 29, 1956, provided that:
"This title [enacting sections 173 and 174 of Title 23, Highways,
and sections 4426, 4481 to 4484 of this title, amending this
section and sections 4061, 4071, 4072, 4073, 4081, 4084, 6206,
6412, 6416, 6504, 6511, 6612, 6675, 7210, 7603, 7604, and 7605 of
this title, and renumbering sections 4227 and 6422 of this title]
shall take effect on the date of its enactment [June 29, 1956],
except that the amendments made by sections 202, 203, 204, and 205
[amending this section and sections 4061, 4071, 4072, 4073, and
4081 of this title] shall take effect on July 1, 1956."
Section 2(a)(2) of act Apr. 2, 1956, provided that: "The
amendment made by paragraph (1) [amending this section] shall take
effect on the day after the date of the enactment of this Act [Apr.
2, 1956]."
SHORT TITLE OF 1970 AMENDMENT
Section 201(a) of title II of Pub. L. 91-258 provided that: "This
title [enacting sections 4271, 4272, 4281, 4282, 4491 to 4494,
6426, 6427, and 7275 of this title and section 1742 of former Title
49, Transportation, amending this section and sections 39, 874,
4082, 4261, 4262, 4291 to 4294, 6156, 6201, 6206, 6401, 6415, 6416,
6420, 6421, 6424, 6675, 7210, and 7603 to 7605 of this title,
repealing former section 4263 of this title, enacting provisions
set out as notes under section 104 of Title 4, Flag and Seal, Seat
of Government, and the States, and section 1742 of former Title 49,
and amending provision set out as a note under section 120 of Title
23, Highways] may be cited as the 'Airport and Airway Revenue Act
of 1970'."
SHORT TITLE OF 1956 AMENDMENTS
Section 201(a) of title II of act June 29, 1956, provided that:
"This title [enacting sections 173 and 174 of Title 23, Highways,
and sections 4426, 4481 to 4484 of this title, amending this
section and sections 4061, 4071, 4072, 4073, 4081, 4084, 6206,
6412, 6416, 6504, 6511, 6612, 6675, 7210, 7603, 7604, and 7605 of
this title, and renumbering sections 4227 and 6422 of this title]
may be cited as the 'Highway Revenue Act of 1956'."
Section 1 of act Mar. 29, 1956, provided: "That this Act
[amending this section and sections 11, 821, 4061, 4081, 5001,
5022, 5041, 5051, 5063, 5134, 5701, 5701 note, 5707, and 6412 of
this title] may be cited as the 'Tax Rate Extension Act of 1956'."
SHORT TITLE OF 1955 AMENDMENT
Section 1 of act Mar. 30, 1955, provided: "That this Act
[amending this section and sections 11, 821, 4061, 4081, 5001,
5022, 5041, 5051, 5063, 5134, 5701, 5701 note, 5707, and 6412 of
this title] may be cited as the 'Tax Rate Extension Act of 1955'."
DELAYED DEPOSITS OF HIGHWAY MOTOR FUEL TAX REVENUES
Due date for deposit of taxes imposed by this section which would
be required to be made after July 31, 1998, and before Oct. 1,
1998, to be Oct. 5, 1998, see section 901(e) of Pub. L. 105-34, set
out as a note under section 6302 of this title.
FLOOR STOCKS TAXES
Section 11213(b)(5) of Pub. L. 101-508 imposed a floor stocks tax
on aviation fuel on which tax was imposed under section 4041(c)(1)
or 4091 of this title before Dec. 1, 1990, and which was held on
such date by any person.
PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989
For provisions directing that if any amendments made by subtitle
A or subtitle C of title XI [Secs. 1101-1147 and 1171-1177] or
title XVIII [Secs. 1800-1899A] of Pub. L. 99-514 require an
amendment to any plan, such plan amendment shall not be required to
be made before the first plan year beginning on or after Jan. 1,
1989, see section 1140 of Pub. L. 99-514, as amended, set out as a
note under section 401 of this title.
STUDY BY SECRETARY OF THE TREASURY; REPORT TO CONGRESS
Pub. L. 96-451, title II, Sec. 204, Oct. 14, 1980, 94 Stat. 1988,
directed Secretary of the Treasury, after consultation with
Secretary of department in which Coast Guard was operating, to
conduct a study to determine portion of taxes imposed by sections
4041(b) and 4081 of the Internal Revenue Code of 1954 which were
attributable to fuel used in recreational motorboats, and to report
to Congress on his findings under such study, not later than 2
years after Oct. 14, 1980.
STUDY OF IMPORTED ALCOHOL BY SECRETARY OF THE TREASURY
Section 232(f) of Pub. L. 96-223 required, within 180 days after
Apr. 2, 1980, Secretary of the Treasury to furnish specific
Congressional committees recommendations for limiting import of
alcohol into United States for fuel purposes.
REPORTS ON USE OF ALCOHOL IN FUEL
Section 221(c) of Pub. L. 95-618, as amended by Pub. L. 96-223,
Sec. 232(g), Apr. 2, 1980, 94 Stat. 280; Pub. L. 99-514, Sec. 2,
Oct. 22, 1986, 100 Stat. 2095, provided that: "On April 1 of each
year, beginning with April 1, 1981, and ending with April 1, 1992,
the Secretary of Energy, in consultation with the Secretary of the
Treasury and the Secretary of Transportation, shall submit to the
Congress a report on the use of alcohol in fuel. The report shall
include -
"(1) a description of the firms engaged in the alcohol fuel
industry,
"(2) the amount of alcohol fuel sold in each State, and the
amount of gasoline saved in each State by reason of the use of
alcohol fuels,
"(3) the revenue loss resulting from the exemptions from tax
for alcohol fuels under sections 4041(k) and 4081(c) of the
Internal Revenue Code of 1986 [formerly I.R.C. 1954] and the
credit allowable under section 44E [now 40] of such Code and the
impact of such revenue loss on the Highway Trust Fund, and
"(4) the cost of production and the retail cost of alcohol
fuels as compared to gasoline and special fuels not mixed with
alcohol."
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 40, 404, 4042, 4081,
4082, 4083, 4092, 4101, 4103, 4293, 4972, 6206, 6416, 6420, 6421,
6427, 9502, 9503, 9508 of this title.
-End-
-CITE-
26 USC Sec. 4042 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter B - Special Fuels
-HEAD-
Sec. 4042. Tax on fuel used in commercial transportation on inland
waterways
-STATUTE-
(a) In general
There is hereby imposed a tax on any liquid used during any
calendar quarter by any person as a fuel in a vessel in commercial
waterway transportation.
(b) Amount of tax
(1) In general
The rate of the tax imposed by subsection (a) is the sum of -
(A) the Inland Waterways Trust Fund financing rate,
(B) the Leaking Underground Storage Tank Trust Fund financing
rate, and
(C) the deficit reduction rate.
(2) Rates
For purposes of paragraph (1) -
(A) The Inland Waterways Trust Fund financing rate is the
rate determined in accordance with the following table:
If the use occurs: 2The tax per
gallon is:
--------------------------------------------------------------------
Before 1990 10 cents
During 1990 11 cents
During 1991 13 cents
During 1992 15 cents
During 1993 17 cents
During 1994 19 cents
After 1994 20 cents.
--------------------------------------------------------------------
(B) The Leaking Underground Storage Tank Trust Fund financing
rate is 0.1 cent per gallon.
(C) The deficit reduction rate is 4.3 cents per gallon.
(3) Exception for fuel taxed under section 4041(d)
The Leaking Underground Storage Tank Trust Fund financing rate
under paragraph (2)(B) shall not apply to the use of any fuel if
tax under section 4041(d) was imposed on the sale of such fuel or
is imposed on such use.
(4) Termination of Leaking Underground Storage Tank Trust Fund
financing rate
The Leaking Underground Storage Tank Trust Fund financing rate
under paragraph (2)(B) shall not apply during any period during
which the Leaking Underground Storage Tank Trust Fund financing
rate under section 4081 does not apply.
(c) Exemptions
(1) Deep-draft ocean-going vessels
The tax imposed by subsection (a) shall not apply with respect
to any vessel designed primarily for use on the high seas which
has a draft of more than 12 feet.
(2) Passenger vessels
The tax imposed by subsection (a) shall not apply with respect
to any vessel used primarily for the transportation of persons.
(3) Use by State or local government in transporting property in
a state or local business
Subparagraph (B) of subsection (d)(1) shall not apply with
respect to use by a State or political subdivision thereof.
(4) Use in moving lash and seabee ocean-going barges
The tax imposed by subsection (a) shall not apply with respect
to use for movement by tug of exclusively LASH
(Lighter-aboard-ship) and SEABEE ocean-going barges released by
their ocean-going carriers solely to pick up or deliver
international cargoes.
(d) Definitions
For purposes of this section -
(1) Commercial waterway transportation
The term "commercial waterway transportation" means any use of
a vessel on any inland or intracoastal waterway of the United
States -
(A) in the business of transporting property for compensation
or hire, or
(B) in transporting property in the business of the owner,
lessee, or operator of the vessel (other than fish or other
aquatic animal life caught on the voyage).
(2) Inland or intracoastal waterway of the United States
The term "inland or intracoastal waterway of the United States"
means any inland or intracoastal waterway of the United States
which is described in section 206 of the Inland Waterways Revenue
Act of 1978.
(3) Person
The term "person" includes the United States, a State, a
political subdivision of a State, or any agency or
instrumentality of any of the foregoing.
(e) Date for filing return
The date for filing the return of the tax imposed by this section
for any calendar quarter shall be the last day of the first month
following such quarter.
-SOURCE-
(Added Pub. L. 95-502, title II, Sec. 202(a), Oct. 21, 1978, 92
Stat. 1696; amended Pub. L. 99-499, title V, Sec. 521(a)(3), Oct.
17, 1986, 100 Stat. 1777; Pub. L. 99-662, title XIV, Sec. 1404(a),
Nov. 17, 1986, 100 Stat. 4270; Pub. L. 100-647, title II, Sec.
2002(a)(2), Nov. 10, 1988, 102 Stat. 3597; Pub. L. 103-66, title
XIII, Sec. 13241(d), Aug. 10, 1993, 107 Stat. 510.)
-REFTEXT-
REFERENCES IN TEXT
Section 206 of the Inland Waterways Revenue Act of 1978, referred
to in subsec. (d)(2), is section 206 of Pub. L. 95-502, title II,
Oct. 21, 1978, 92 Stat. 1700, which is classified to section 1804
of Title 33, Navigation and Navigable Waters.
-MISC1-
PRIOR PROVISIONS
A prior section 4042, act Aug. 16, 1954, ch. 736, 68A Stat. 478,
provided a cross reference to section 4222 of this title for
exemption from tax where special motor fuels are sold for use for
certain vessels, prior to repeal by Pub. L. 94-455, title XIX, Sec.
1904(a)(1)(D), Oct. 4, 1976, 90 Stat. 1811.
AMENDMENTS
1993 - Subsec. (b)(1)(C). Pub. L. 103-66, Sec. 13241(d)(1), added
subpar. (C).
Subsec. (b)(2)(C). Pub. L. 103-66, Sec. 13241(d)(2), added
subpar. (C).
1988 - Subsec. (b)(2). Pub. L. 100-647 amended par. (2)
generally. Prior to amendment, par. (2) read as follows: "For
purposes of paragraph (1) -
"(A) the Inland Waterways Trust Fund financing rate is 10 cents
a gallon, and
"(B) the Leaking Underground Storage Tank Trust Fund financing
rate is 0.1 cents a gallon."
1986 - Subsec. (b). Pub. L. 99-499 and Pub. L. 99-662 both
amended subsec. (b) generally, effective Jan. 1, 1987. Pub. L.
100-647, Sec. 2002(a)(1) (see Construction of 1986 Amendments note
below), provided that for purposes of this section, the amendment
made by Pub. L. 99-499 be treated as enacted after the amendment
made by Pub. L. 99-662. Prior to amendment by Pub. L. 99-499 and
Pub. L. 99-662, subsec. (b) read as follows:
"If the use occurs - 2The tax is -
--------------------------------------------------------------------
After September 30, 1980 and before 4 cents a gallon
October 1, 1981
After September 30, 1981 and before 6 cents a gallon
October 1, 1983
After September 30, 1983 and before 8 cents a gallon
October 1, 1985
After September 30, 1985 10 cents a gallon".
--------------------------------------------------------------------
EFFECTIVE DATE OF 1993 AMENDMENT
Amendment by Pub. L. 103-66 effective Oct. 1, 1993, see section
13241(g) of Pub. L. 103-66, set out as a note under section 4041 of
this title.
EFFECTIVE DATE OF 1988 AMENDMENT
Section 2002(d) of Pub. L. 100-647, as amended by Pub. L.
101-239, title VII, Sec. 7812(b), Dec. 19, 1989, 103 Stat. 2412,
provided that: "The amendments made by subsections (b) and (c)
[amending section 4462 of this title and provisions set out as a
note under section 4461 of this title] shall take effect as if
included in the provision of the Harbor Maintenance Revenue Act of
1986 [Pub. L. 99-662, title XIV] to which it relates, and the
amendment made by subsection (a)(2) [amending this section] shall
take effect as if included in the amendment made by section
521(a)(3) of the Superfund Revenue Act of 1986 [Pub. L. 99-499,
title V]."
EFFECTIVE DATE OF 1986 AMENDMENTS
Section 1404(c) of Pub. L. 99-662 provided that: "The amendments
made by this section [amending this section and section 1804 of
Title 33, Navigation and Navigable Waters] shall take effect on
January 1, 1987."
Amendment by Pub. L. 99-499 effective Jan. 1, 1987, see section
521(e) of Pub. L. 99-499, set out as a note under section 4041 of
this title.
EFFECTIVE DATE
Section 202(d) of Pub. L. 95-502 provided that: "The amendments
made by this section [enacting this section and amending section
4293 of this title] shall take effect on October 1, 1980."
CONSTRUCTION OF 1986 AMENDMENTS
Section 2002(a)(1) of Pub. L. 100-647 provided that: "For
purposes of section 4042 of the 1986 Code, the amendment made by
section 521(a)(3) of the Superfund Revenue Act of 1986 [Pub. L.
99-499, amending this section] shall be treated as enacted after
the amendment made by section 1404(a) of the Harbor Maintenance
Revenue Act of 1986 [Pub. L. 99-662, amending this section]."
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 4462, 9506, 9508 of this
title; title 33 section 1804.
-End-
-CITE-
26 USC Subchapter C - Heavy Trucks and Trailers 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter C - Heavy Trucks and Trailers
-HEAD-
SUBCHAPTER C - HEAVY TRUCKS AND TRAILERS
-MISC1-
Sec.
4051. Imposition of tax on heavy trucks and trailers sold at
retail.
4052. Definitions and special rules.
4053. Exemptions.
AMENDMENTS
1990 - Pub. L. 101-508, title XI, Sec. 11221(a), Nov. 5, 1990,
104 Stat. 1388-438, redesignated this subchapter, formerly
subchapter B, as subchapter C.
-SECREF-
SUBCHAPTER REFERRED TO IN OTHER SECTIONS
This subchapter is referred to in section 4221 of this title.
-End-
-CITE-
26 USC Sec. 4051 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter C - Heavy Trucks and Trailers
-HEAD-
Sec. 4051. Imposition of tax on heavy trucks and trailers sold at
retail
-STATUTE-
(a) Imposition of tax
(1) In general
There is hereby imposed on the first retail sale of the
following articles (including in each case parts or accessories
sold on or in connection therewith or with the sale thereof) a
tax of 12 percent of the amount for which the article is so sold:
(A) Automobile truck chassis.
(B) Automobile truck bodies.
(C) Truck trailer and semitrailer chassis.
(D) Truck trailer and semitrailer bodies.
(E) Tractors of the kind chiefly used for highway
transportation in combination with a trailer or semitrailer.
(2) Exclusion for trucks weighing 33,000 pounds or less
The tax imposed by paragraph (1) shall not apply to automobile
truck chassis and automobile truck bodies, suitable for use with
a vehicle which has a gross vehicle weight of 33,000 pounds or
less (as determined under regulations prescribed by the
Secretary).
(3) Exclusion for trailers weighing 26,000 pounds or less
The tax imposed by paragraph (1) shall not apply to truck
trailer and semitrailer chassis and bodies, suitable for use with
a trailer or semitrailer which has a gross vehicle weight of
26,000 pounds or less (as determined under regulations prescribed
by the Secretary.(!1)
(4) Sale of trucks, etc., treated as sale of chassis and body
For purposes of this subsection, a sale of an automobile truck
or truck trailer or semitrailer shall be considered to be a sale
of a chassis and of a body described in paragraph (1).
(b) Separate purchase of truck or trailer and parts and accessories
therefor
Under regulations prescribed by the Secretary -
(1) In general
If -
(A) the owner, lessee, or operator of any vehicle which
contains an article taxable under subsection (a) installs (or
causes to be installed) any part or accessory on such vehicle,
and
(B) such installation is not later than the date 6 months
after the date such vehicle (as it contains such article) was
first placed in service,
then there is hereby imposed on such installation a tax equal to
12 percent of the price of such part or accessory and its
installation.
(2) Exceptions
Paragraph (1) shall not apply if -
(A) the part or accessory installed is a replacement part or
accessory, or
(B) the aggregate price of the parts and accessories (and
their installation) described in paragraph (1) with respect to
any vehicle does not exceed $1,000 (or such other amount or
amounts as the Secretary may by regulations prescribe).
(3) Installers secondarily liable for tax
The owners of the trade or business installing the parts or
accessories shall be secondarily liable for the tax imposed by
paragraph (1).
(c) Termination
On and after October 1, 2005, the taxes imposed by this section
shall not apply.
(d) Credit against tax for tire tax
If -
(1) tires are sold on or in connection with the sale of any
article, and
(2) tax is imposed by this subchapter on the sale of such
tires,
there shall be allowed as a credit against the tax imposed by this
subchapter an amount equal to the tax (if any) imposed by section
4071 on such tires.
-SOURCE-
(Added Pub. L. 97-424, title V, Sec. 512(b)(1), Jan. 6, 1983, 96
Stat. 2174; amended Pub. L. 98-369, div. A, title VII, Sec. 734(g),
title IX, Sec. 921, July 18, 1984, 98 Stat. 980, 1009; Pub. L.
99-514, title XVIII, Secs. 1877(c), 1899A(47), Oct. 22, 1986, 100
Stat. 2902, 2961; Pub. L. 100-17, title V, Sec. 502(a)(2), Apr. 2,
1987, 101 Stat. 256; Pub. L. 101-508, title XI, Sec. 11211(c)(1),
Nov. 5, 1990, 104 Stat. 1388-426; Pub. L. 102-240, title VIII, Sec.
8002(a)(1), Dec. 18, 1991, 105 Stat. 2203; Pub. L. 105-34, title
XIV, Secs. 1401(a), 1402(a), 1432(a), Aug. 5, 1997, 111 Stat. 1045,
1046, 1050; Pub. L. 105-178, title IX, Sec. 9002(a)(1)(D), June 9,
1998, 112 Stat. 499.)
-MISC1-
PRIOR PROVISIONS
A prior section 4051, act Aug. 16, 1954, ch. 736, 68A Stat. 479,
defined the price for which articles were sold for purposes of
determining retailers excise taxes, prior to repeal by Pub. L.
94-455, title XIX, Sec. 1904(a)(1)(D), Oct. 4, 1976, 90 Stat. 1811.
AMENDMENTS
1998 - Subsec. (c). Pub. L. 105-178 substituted "2005" for
"1999".
1997 - Subsec. (b)(2)(B). Pub. L. 105-34, Sec. 1401(a),
substituted "$1,000" for "$200".
Subsec. (d). Pub. L. 105-34, Sec. 1432(a), redesignated subsec.
(e) as (d) and struck out former subsec. (d) which provided for a
temporary reduction in tax on certain piggyback trailers.
Subsec. (e). Pub. L. 105-34, Sec. 1432(a), redesignated subsec.
(e) as (d).
Pub. L. 105-34, Sec. 1401(a), amended heading and text of subsec.
(e) generally. Prior to amendment, text read as follows: "In the
case of any article taxable under subsection (a) on which tax was
imposed under section 4061(a), subsection (a) shall be applied by
substituting '2 percent' for '12 percent'."
1991 - Subsec. (c). Pub. L. 102-240 substituted "1999" for
"1995".
1990 - Subsec. (c). Pub. L. 101-508 substituted "1995" for
"1993".
1987 - Subsec. (c). Pub. L. 100-17 substituted "1993" for "1988".
1986 - Subsec. (d)(1). Pub. L. 99-514, Sec. 1899A(47),
substituted "July 18, 1984" for "the date of the enactment of the
Tax Reform Act of 1984".
Subsec. (d)(3). Pub. L. 99-514, Sec. 1877(c), inserted at end "No
tax shall be imposed by reason of this paragraph on any use or
resale which occurs more than 6 years after the date of the first
retail sale."
1984 - Subsec. (b)(3). Pub. L. 98-369, Sec. 734(g), substituted
"The owners of the trade or business installing the parts or
accessories shall be secondarily liable for the tax imposed by
paragraph (1)" for "In addition to the owner, lessee, or operator
of the vehicle, the owner of the trade or business installing the
part or accessory shall be liable for the tax imposed by paragraph
(1)".
Subsecs. (d), (e). Pub. L. 98-369, Sec. 921, added subsec. (d)
and redesignated former subsec. (d) as (e).
EFFECTIVE DATE OF 1997 AMENDMENT
Amendment by section 1401(a) of Pub. L. 105-34 applicable to
installations on vehicles sold after Aug. 5, 1997, see section
1401(b) of Pub. L. 105-34, set out as a note under section 4003 of
this title.
Section 1402(c) of Pub. L. 105-34 provided that: "The amendments
made by this section [amending this section and section 4052 of
this title] shall take effect on January 1, 1998."
EFFECTIVE DATE OF 1986 AMENDMENT
Amendment by section 1877(c) of Pub. L. 99-514 effective, except
as otherwise provided, as if included in the provisions of the Tax
Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment
relates, see section 1881 of Pub. L. 99-514, set out as a note
under section 48 of this title.
EFFECTIVE DATE OF 1984 AMENDMENT
Section 736 of subtitle C (Secs. 731-736) of title VII of div. A
of Pub. L. 98-369 provided that: "Except as otherwise provided in
this subtitle, any amendment made by this subtitle [amending this
section and sections 48, 1366, 4052, 4053, 4071 to 4073, 4081,
4082, 4216, 4218, 4221 to 4223, 4227, 4481, 6401, 6412, 6416, 6427,
6511, and 9502 of this title, repealing sections 4061 to 4063 of
this title, and amending provisions set out as notes under sections
4061 and 4081 of this title] shall take effect as if included in
the provisions of the Highway Revenue Act of 1982 [Pub. L. 97-424]
to which such amendment relates."
EFFECTIVE DATE
Section 512(b)(3) of Pub. L. 97-424 provided that: "The
amendments made by this subsection [enacting this subchapter and
amending section 6416 of this title] shall take effect on April 1,
1983."
PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989
For provisions directing that if any amendments made by subtitle
A or subtitle C of title XI [Secs. 1101-1147 and 1171-1177] or
title XVIII [Secs. 1800-1899A] of Pub. L. 99-514 require an
amendment to any plan, such plan amendment shall not be required to
be made before the first plan year beginning on or after Jan. 1,
1989, see section 1140 of Pub. L. 99-514, as amended, set out as a
note under section 401 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 4052, 4053, 4221, 4293,
6416, 9503 of this title.
-FOOTNOTE-
(!1) So in original. Probably should be preceded by a closing
parenthesis.
-End-
-CITE-
26 USC Sec. 4052 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter C - Heavy Trucks and Trailers
-HEAD-
Sec. 4052. Definitions and special rules
-STATUTE-
(a) First retail sale
For purposes of this subchapter -
(1) In general
The term "first retail sale" means the first sale, for a
purpose other than for resale or leasing in a long-term lease,
after production, manufacture, or importation.
(2) Leases considered as sales
Rules similar to the rules of section 4217 shall apply.
(3) Use treated as sale
(A) In general
If any person uses an article taxable under section 4051
before the first retail sale of such article, then such person
shall be liable for tax under section 4051 in the same manner
as if such article were sold at retail by him.
(B) Exemption for use in further manufacture
Subparagraph (A) shall not apply to use of an article as
material in the manufacture or production of, or as a component
part of, another article to be manufactured or produced by him.
(C) Computation of tax
In the case of any person made liable for tax by subparagraph
(A), the tax shall be computed on the price at which similar
articles are sold at retail in the ordinary course of trade, as
determined by the Secretary.
(b) Determination of price
(1) In general
In determining price for purposes of this subchapter -
(A) there shall be included any charge incident to placing
the article in condition ready for use,
(B) there shall be excluded -
(i) the amount of the tax imposed by this subchapter,
(ii) if stated as a separate charge, the amount of any
retail sales tax imposed by any State or political
subdivision thereof or the District of Columbia, whether the
liability for such tax is imposed on the vendor or vendee,
and
(iii) the value of any component of such article if -
(I) such component is furnished by the first user of such
article, and
(II) such component has been used before such furnishing,
and
(C) the price shall be determined without regard to any
trade-in.
(2) Sales not at arm's length
In the case of any article sold (otherwise than through an
arm's-length transaction) at less than the fair market price, the
tax under this subchapter shall be computed on the price for
which similar articles are sold at retail in the ordinary course
of trade, as determined by the Secretary.
(3) Long-term lease
(A) In general
In the case of any long-term lease of an article which is
treated as the first retail sale of such article, the tax under
this subchapter shall be computed on a price equal to -
(i) the sum of -
(I) the price (determined under this subchapter but
without regard to paragraph (4)) at which such article was
sold to the lessor, and
(II) the cost of any parts and accessories installed by
the lessor on such article before the first use by the
lessee or leased in connection with such long-term lease,
plus
(ii) an amount equal to the presumed markup percentage of
the sum described in clause (i).
(B) Presumed markup percentage
For purposes of subparagraph (A), the term "presumed markup
percentage" means the average markup percentage of retailers of
articles of the type involved, as determined by the Secretary.
(C) Exceptions under regulations
To the extent provided in regulations prescribed by the
Secretary, subparagraph (A) shall not apply to specified types
of leases where its application is not necessary to carry out
the purposes of this subsection.
(4) Special rule where tax paid by manufacturer, producer, or
importer
(A) In general
In any case where the manufacturer, producer, or importer of
any article (or a related person) is liable for tax imposed by
this subchapter with respect to such article, the tax under
this subchapter shall be computed on a price equal to the sum
of -
(i) the price which would (but for this paragraph) be
determined under this subchapter, plus
(ii) the product of the price referred to in clause (i) and
the presumed markup percentage determined under paragraph
(3)(B).
(B) Related person
For purposes of this paragraph -
(i) In general
Except as provided in clause (ii), the term "related
person" means any person who is a member of the same
controlled group (within the meaning of section 5061(e)(3))
as the manufacturer, producer, or importer.
(ii) Exception for retail establishment
To the extent provided in regulations prescribed by the
Secretary, a person shall not be treated as a related person
with respect to the sale of any article if such article is
sold through a permanent retail establishment in the normal
course of the trade or business of being a retailer.
(c) Certain combinations not treated as manufacture
(1) In general
For purposes of this subchapter (other than subsection
(a)(3)(B)), a person shall not be treated as engaged in the
manufacture of any article by reason of merely combining such
article with any item listed in paragraph (2).
(2) Items
The items listed in this paragraph are any coupling device
(including any fifth wheel), wrecker crane, loading and unloading
equipment (including any crane, hoist, winch, or power liftgate),
aerial ladder or tower, snow and ice control equipment,
earthmoving, excavation and construction equipment, spreader,
sleeper cab, cab shield, or wood or metal floor.
(d) Certain other rules made applicable
Under regulations prescribed by the Secretary, rules similar to
the rules of subsections (c) and (d) of section 4216 (relating to
partial payments) shall apply for purposes of this subchapter.
(e) Long-term lease
For purposes of this section, the term "long-term lease" means
any lease with a term of 1 year or more. In determining a lease
term for purposes of the preceding sentence, the rules of section
168(i)(3)(A) shall apply.
(f) Certain repairs and modifications not treated as manufacture
(1) In general
An article described in section 4051(a)(1) shall not be treated
as manufactured or produced solely by reason of repairs or
modifications to the article (including any modification which
changes the transportation function of the article or restores a
wrecked article to a functional condition) if the cost of such
repairs and modifications does not exceed 75 percent of the
retail price of a comparable new article.
(2) Exception
Paragraph (1) shall not apply if the article (as repaired or
modified) would, if new, be taxable under section 4051 and the
article when new was not taxable under such section or the
corresponding provision of prior law.
(g) Regulations
The Secretary shall prescribe regulations which permit, in lieu
of any other certification, persons who are purchasing articles
taxable under this subchapter for resale or leasing in a long-term
lease to execute a statement (made under penalties of perjury) on
the sale invoice that such sale is for resale. The Secretary shall
not impose any registration requirement as a condition of using
such procedure.
-SOURCE-
(Added Pub. L. 97-424, title V, Sec. 512(b)(1), Jan. 6, 1983, 96
Stat. 2175; amended Pub. L. 98-369, div. A, title VII, Secs. 731,
735(b)(2), July 18, 1984, 98 Stat. 976, 981; Pub. L. 100-17, title
V, Secs. 505(a)-(c), 506(a), Apr. 2, 1987, 101 Stat. 258, 259; Pub.
L. 100-647, title VI, Sec. 6111(a), Nov. 10, 1988, 102 Stat. 3713;
Pub. L. 105-34, title XIV, Secs. 1402(b), 1434(a), (b), Aug. 5,
1997, 111 Stat. 1046, 1052; Pub. L. 105-206, title VI, Sec.
6014(c), July 22, 1998, 112 Stat. 820.)
-MISC1-
PRIOR PROVISIONS
A prior section 4052, act Aug. 16, 1954, ch. 736, 68A Stat. 479,
provided that lease of an article would be considered the sale of
article for excise tax purposes, prior to repeal by Pub. L. 94-455,
title XIX, Sec. 1904(a)(1)(D), Oct. 4, 1976, 90 Stat. 1811.
AMENDMENTS
1998 - Subsec. (f)(2). Pub. L. 105-206 substituted "such section"
for "this section".
1997 - Subsec. (b)(1)(B)(ii) to (iv). Pub. L. 105-34, Sec.
1402(b), inserted "and" at end of cl. (ii), redesignated cl. (iv)
as (iii), and struck out former cl. (iii) which read as follows:
"the fair market value (including any tax imposed by section 4071)
at retail of any tires (not including any metal rim or rim base),
and".
Subsec. (d). Pub. L. 105-34, Sec. 1434(b)(1), substituted "rules
of subsections (c) and (d) of section 4216 (relating to partial
payments) shall apply" for "rules of -
"(1) subsections (c) and (d) of section 4216 (relating to
partial payments), and
"(2) section 4222 (relating to registration),
shall apply".
Subsec. (e). Pub. L. 105-34, Sec. 1434(a), redesignated subsec.
(f) as (e).
Subsec. (f). Pub. L. 105-34, Sec. 1434(a), added subsec. (f).
Former subsec. (f) redesignated (e).
Subsec. (g). Pub. L. 105-34, Sec. 1434(b)(2), added subsec. (g).
1988 - Subsec. (a)(1). Pub. L. 100-647 substituted "production,
manufacture" for "manufacture, production".
1987 - Subsec. (a)(1). Pub. L. 100-17, Sec. 505(a), inserted "or
leasing in a long-term lease" after "resale".
Subsec. (b)(3). Pub. L. 100-17, Sec. 505(b), added par. (3).
Subsec. (b)(4). Pub. L. 100-17, Sec. 506(a), added par. (4).
Subsec. (f). Pub. L. 100-17, Sec. 505(c), added subsec. (f).
1984 - Subsec. (b)(1)(B)(iv). Pub. L. 98-369, Sec. 731, added cl.
(iv).
Subsec. (c). Pub. L. 98-369, Sec. 735(b)(2), in amending subsec.
(c) generally, designated existing provisions as par. (1), in par.
(1) as so designated substituted "by reason of merely combining
such article with any article listed in paragraph (2)" for "with
any equipment or other item listed in section 4063(d)", and added
par. (2).
EFFECTIVE DATE OF 1998 AMENDMENT
Amendment by Pub. L. 105-206 effective, except as otherwise
provided, as if included in the provisions of the Taxpayer Relief
Act of 1997, Pub. L. 105-34, to which such amendment relates, see
section 6024 of Pub. L. 105-206, set out as a note under section 1
of this title.
EFFECTIVE DATE OF 1997 AMENDMENT
Amendment by section 1402(b) of Pub. L. 105-34 effective Jan. 1,
1998, see section 1402(c) of Pub. L. 105-34, set out as a note
under section 4051 of this title.
Section 1434(c) of Pub. L. 105-34 provided that: "The amendments
made by this section [amending this section] shall take effect on
January 1, 1998."
EFFECTIVE DATE OF 1988 AMENDMENT
Section 6111(b) of Pub. L. 100-647 provided that: "The amendment
made by subsection (a) [amending this section] shall take effect on
January 1, 1988."
EFFECTIVE DATE OF 1987 AMENDMENT
Section 505(d) of Pub. L. 100-17 provided that: "The amendments
made by this section [amending this section] shall apply with
respect to articles sold by the manufacturer, producer, or importer
on or after the first day of the first calendar quarter which
begins more than 90 days after the date of the enactment of this
Act [Apr. 2, 1987]."
Section 506(b) of Pub. L. 100-17 provided that: "The amendment
made by this section [amending this section] shall apply with
respect to articles sold by the manufacturer, producer, or importer
on or after the 1st day of the 1st calendar quarter which begins
more than 90 days after the date of the enactment of this Act [Apr.
2, 1987]."
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by Pub. L. 98-369 effective, except as otherwise
provided, as if included in the provisions of the Highway Revenue
Act of 1982, title V of Pub. L. 97-424, to which such amendment
relates, see section 736 of Pub. L. 98-369, set out as a note under
section 4051 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 4002 of this title.
-End-
-CITE-
26 USC Sec. 4053 01/19/04
-EXPCITE-
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 31 - RETAIL EXCISE TAXES
Subchapter C - Heavy Trucks and Trailers
-HEAD-
Sec. 4053. Exemptions
-STATUTE-
No tax shall be imposed by section 4051 on any of the following
articles:
(1) Camper coaches bodies for self-propelled mobile homes
Any article designed -
(A) to be mounted or placed on automobile trucks, automobile
truck chassis, or automobile chassis, and
(B) to be used primarily as living quarters or camping
accommodations.
(2) Feed, seed, and fertilizer equipment
Any body primarily designed -
(A) to process or prepare seed, feed, or fertilizer for use
on farms,
(B) to haul feed, seed, or fertilizer to and on farms,
(C) to spread feed, seed, or fertilizer on farms,
(D) to load or unload feed, seed, or fertilizer on farms, or
(E) for any combination of the foregoing.
(3) House trailers
Any house trailer.
(4) Ambulances, hearses, etc.
Any ambulance, hearse, or combination ambulance-hearse.
(5) Concrete mixers
Any article designed -
(A) to be placed or mounted on an automobile truck chassis or
truck trailer or semitrailer chassis, and
(B) to be used to process or prepare concrete.
(6) Trash containers, etc.
Any box, container, receptacle, bin or other similar article -
(A) which is designed to be used as a trash container and is
not designed for the transportation of freight other than
trash, and
(B) which is not designed to be permanently mounted on or
permanently affixed to an automobile truck chassis or body.
(7) Rail trailers and rail vans
Any chassis or body of a trailer or semitrailer which is
designed for use both as a highway vehicle and a railroad car.
For purposes of the preceding sentence, piggy-back trailer or
semitrailer shall not be treated as designed for use as a
railroad car.
-SOURCE-
(Added Pub. L. 97-424, title V, Sec. 512(b)(1), Jan. 6, 1983, 96
Stat. 2176; amended Pub. L. 98-369, div. A, title VII, Sec.
735(b)(1), July 18, 1984, 98 Stat. 981.)
-MISC1-
PRIOR PROVISIONS
A prior section 4053, acts Aug. 16, 1954, ch. 736, 68A Stat. 479;
Sept. 2, 1958, Pub. L. 85-859, title I, Sec. 104, 72 Stat. 1276,
made provision for the imposition of the retailers tax on
installment sales, prior to repeal by Pub. L. 94-455, title XIX,
Sec. 1904(a)(1)(D), Oct. 4, 1976, 90 Stat. 1811.
For provisions of prior sections 4054 to 4058 of this title, see
Prior Provisions note set out preceding section 4041 of this title.
AMENDMENTS
1984 - Pub. L. 98-369 amended section generally, substituting
provisions listing articles on which no tax under section 4051
shall be imposed for former provisions which stated that no tax be
imposed under section 4051 on any article specified in subsection
(a) of section 4063 and that the exemptions provided by section
4221(a) extended to the tax imposed by section 4051.
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by Pub. L. 98-369 effective, except as otherwise
provided, as if included in the provisions of the Highway Revenue
Act of 1982, title V of Pub. L. 97-424, to which such amendment
relates, see section 736 of Pub. L. 98-369, set out as a note under
section 4051 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 4221, 4222 of this title.
-End-
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