26 U.S.C. § 4053 — Exemptions

Page 2889 TITLE 26—INTERNAL REVENUE CODE § 4053 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. (Added Pub. L. 97–424, title V, § 512(b)(1), Jan. 6, 1983, 96 Stat. 2175; amended Pub. L. 98–369, div. A, title VII, §§ 731, 735(b)(2), July 18, 1984, 98 Stat. 976, 981; Pub. L. 100–17, title V, §§ 505(a)–(c), 506(a), Apr. 2, 1987, 101 Stat. 258, 259; Pub. L. 100–647, title VI, § 6111(a), Nov. 10, 1988, 102 Stat. 3713; Pub. L. 105–34, title XIV, §§ 1402(b), 1434(a), (b), Aug. 5, 1997, 111 Stat. 1046, 1052; Pub. L. 105–206, title VI, § 6014(c), July 22, 1998, 112 Stat. 820.) Editorial Notes 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, § 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, § 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 in- cluding any metal rim or rim base), and’’. Subsec. (d). Pub. L. 105–34, § 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, § 1434(a), redesignated sub- sec. (f) as (e). Subsec. (f). Pub. L. 105–34, § 1434(a), added subsec. (f). Former subsec. (f) redesignated (e). Subsec. (g). Pub. L. 105–34, § 1434(b)(2), added subsec. (g). 1988—Subsec. (a)(1). Pub. L. 100–647 substituted ‘‘pro- duction, manufacture’’ for ‘‘manufacture, production’’. 1987—Subsec. (a)(1). Pub. L. 100–17, § 505(a), inserted ‘‘or leasing in a long-term lease’’ after ‘‘resale’’. Subsec. (b)(3). Pub. L. 100–17, § 505(b), added par. (3). Subsec. (b)(4). Pub. L. 100–17, § 506(a), added par. (4). Subsec. (f). Pub. L. 100–17, § 505(c), added subsec. (f). 1984—Subsec. (b)(1)(B)(iv). Pub. L. 98–369, § 731, added cl. (iv). Subsec. (c). Pub. L. 98–369, § 735(b)(2), in amending subsec. (c) generally, designated existing provisions as par. (1), in par. (1) as so designated substituted ‘‘by rea- son 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). Statutory Notes and Related Subsidiaries 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 effec- tive Jan. 1, 1998, see section 1402(c) of Pub. L. 105–34, set out as a note under section 4051 of this title. Pub. L. 105–34, title XIV, § 1434(c), Aug. 5, 1997, 111 Stat. 1052, provided that: ‘‘The amendments made by this section [amending this section] shall take effect on January 1, 1998.’’ EFFECTIVE DATE OF 1988 AMENDMENT Pub. L. 100–647, title VI, § 6111(b), Nov. 10, 1988, 102 Stat. 3713, provided that: ‘‘The amendment made by subsection (a) [amending this section] shall take effect on January 1, 1988.’’ EFFECTIVE DATE OF 1987 AMENDMENT Pub. L. 100–17, title V, § 505(d), Apr. 2, 1987, 101 Stat. 259, provided that: ‘‘The amendments made by this sec- tion [amending this section] shall apply with respect to articles sold by the manufacturer, producer, or im- porter 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].’’ Pub. L. 100–17, title V, § 506(b), Apr. 2, 1987, 101 Stat. 259, provided that: ‘‘The amendment made by this sec- tion [amending this section] shall apply with respect to articles sold by the manufacturer, producer, or im- porter on or after the 1st day of the 1st calendar quar- ter 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 oth- erwise 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. § 4053. Exemptions 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 auto- mobile 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 fer- tilizer 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 fer- tilizer 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 am- bulance-hearse. (5) Concrete mixers Any article designed— (A) to be placed or mounted on an auto- mobile truck chassis or truck trailer or semitrailer chassis, and (B) to be used to process or prepare con- crete. (6) Trash containers, etc. Any box, container, receptacle, bin or other similar article— Page 2890 TITLE 26—INTERNAL REVENUE CODE § 4053 1 Section numbers editorially supplied. (A) which is designed to be used as a trash container and is not designed for the trans- portation of freight other than trash, and (B) which is not designed to be perma- nently 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 pur- poses of the preceding sentence, piggy-back trailer or semitrailer shall not be treated as designed for use as a railroad car. (8) Mobile machinery Any vehicle which consists of a chassis— (A) to which there has been permanently mounted (by welding, bolting, riveting, or other means) machinery or equipment to perform a construction, manufacturing, processing, farming, mining, drilling, tim- bering, or similar operation if the operation of the machinery or equipment is unrelated to transportation on or off the public high- ways, (B) which has been specially designed to serve only as a mobile carriage and mount (and a power source, where applicable) for the particular machinery or equipment in- volved, whether or not such machinery or equipment is in operation, and (C) which, by reason of such special design, could not, without substantial structural modification, be used as a component of a vehicle designed to perform a function of transporting any load other than that par- ticular machinery or equipment or similar machinery or equipment requiring such a specially designed chassis. (9) Idling reduction device Any device or system of devices which— (A) is designed to provide to a vehicle those services (such as heat, air condi- tioning, or electricity) that would otherwise require the operation of the main drive en- gine while the vehicle is temporarily parked or remains stationary using one or more de- vices affixed to a tractor, and (B) is determined by the Administrator of the Environmental Protection Agency, in consultation with the Secretary of Energy and the Secretary of Transportation, to re- duce idling of such vehicle at a motor vehi- cle rest stop or other location where such ve- hicles are temporarily parked or remain sta- tionary. (10) Advanced insulation Any insulation that has an R value of not less than R35 per inch. (Added Pub. L. 97–424, title V, § 512(b)(1), Jan. 6, 1983, 96 Stat. 2176; amended Pub. L. 98–369, div. A, title VII, § 735(b)(1), July 18, 1984, 98 Stat. 981; Pub. L. 108–357, title VIII, § 851(a)(1), Oct. 22, 2004, 118 Stat. 1607; Pub. L. 110–343, div. B, title II, § 206(a), Oct. 3, 2008, 122 Stat. 3839.) Editorial Notes PRIOR PROVISIONS A prior section 4053, acts Aug. 16, 1954, ch. 736, 68A Stat. 479; Sept. 2, 1958, Pub. L. 85–859, title I, § 104, 72 Stat. 1276, made provision for the imposition of the re- tailers tax on installment sales, prior to repeal by Pub. L. 94–455, title XIX, § 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 sec- tion 4041 of this title. AMENDMENTS 2008—Pars. (9), (10). Pub. L. 110–343 added pars. (9) and (10). 2004—Par. (8). Pub. L. 108–357 added par. (8). 1984—Pub. L. 98–369 amended section generally, sub- stituting provisions listing articles on which no tax under section 4051 shall be imposed for former provi- sions which stated that no tax be imposed under sec- tion 4051 on any article specified in subsection (a) of section 4063 and that the exemptions provided by sec- tion 4221(a) extended to the tax imposed by section 4051. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2008 AMENDMENT Pub. L. 110–343, div. B, title II, § 206(b), Oct. 3, 2008, 122 Stat. 3839, provided that: ‘‘The amendment made by this section [amending this section] shall apply to sales or installations after the date of the enactment of this Act [Oct. 3, 2008].’’ EFFECTIVE DATE OF 2004 AMENDMENT Pub. L. 108–357, title VIII, § 851(a)(2), Oct. 22, 2004, 118 Stat. 1607, provided that: ‘‘The amendment made by this subsection [amending this section] shall take ef- fect on the day after the date of the enactment of this Act [Oct. 22, 2004].’’ EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–369 effective, except as oth- erwise 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. CHAPTER 32—MANUFACTURERS EXCISE TAXES Subchapter Sec.1 A. Automotive and related items ............... 4061 B. Coal ....................................................... 4121 C. Certain vaccines .................................... 4131 D. Recreational equipment ........................ 4161 [E. Repealed.] F. Special provisions applicable to manu- facturers tax ...................................... 4216 G. Exemptions, registration, etc ................ 4221 Editorial Notes AMENDMENTS 2019—Pub. L. 116–94, div. N, title I, § 501(c) Dec. 20, 2019, 133 Stat. 3119, struck out item for subchapter E ‘‘Medical devices’’. 2010—Pub. L. 111–152, title I, § 1405(a)(2), Mar. 30, 2010, 124 Stat. 1065, added item for subchapter E. 1987—Pub. L. 100–203, title IX, § 9201(c), Dec. 22, 1987, 101 Stat. 1330–330, added item for subchapter C. 1978—Pub. L. 95–227, § 2(c), Feb. 10, 1978, 92 Stat. 12, added item for subchapter B. 1965—Pub. L. 89–44, title II, §§ 203, 204, 206, June 21, 1965, 79 Stat. 139, 140, struck out items for subchapters B, C and E. Subchapter A—Automotive and Related Items Part I. Gas guzzlers.