26 U.S.C. § 9007 — Examinations and audits; repayments

Page 4098 TITLE 26—INTERNAL REVENUE CODE § 9007 a specific designation is made under section 6096 for payment into an account in the fund and (2) a general account for which no specific designation is made, and in the last sentences, substituted ‘‘transfer to the fund’’, ‘‘Presidential’’, and ‘‘to the fund by individuals under section 6096’’, for ‘‘transfer to each account in the fund’’, ‘‘presidential’’, and ‘‘to such account by in- dividuals under section 6096 for payment into such ac- count of the fund’’, respectively. Subsec. (b). Pub. L. 93–53 substituted ‘‘Presidential’’ for ‘‘presidential’’. Subsec. (c). Pub. L. 93–53 substituted provisions for payment ‘‘out of the fund’’, for such payment ‘‘out of the specific account in the fund’’ and struck out penul- timate sentence limiting payments to eligible can- didates from the account designated for them to the amounts in such account at the time of payment. Subsec. (d). Pub. L. 93–53 substituted provisions for payments to eligible candidates when there are insuffi- cient amounts in the fund, for former provisions re- specting transfers from general account to separate ac- counts to remedy insufficient moneys to satisfy any unpaid entitlement of the eligible candidates. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1974 AMENDMENT Amendment by Pub. L. 93–443 applicable with respect to taxable years beginning after Dec. 31, 1974, see sec- tion 410(c)(1) of Pub. L. 93–443, set out as a note under section 30101 of Title 52, Voting and Elections. ADDITIONAL APPROPRIATIONS TO CAMPAIGN FUND Pub. L. 93–443, title IV, § 403(b), Oct. 15, 1974, 88 Stat. 1291, as amended by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ‘‘In addition to the amounts appropriated to the Presidential Election Campaign Fund established under section 9006 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954] (relating to payments to eligible candidates) by the last sentence of subsection (a) of such section (as amended by sub- section (a) of this section), there is appropriated to such fund an amount equal to the sum of the amounts designated for payment under section 6096 of such Code (relating to designation by individuals to the Presi- dential Election Campaign Fund) before January 1, 1975, not otherwise taken into account under the provi- sions of such section 9006, as amended by this section.’’ [Provision effective Jan. 1, 1975, see section 410(a) of Pub. L. 93–443, set out as a note under section 30101 of Title 52, Voting and Elections.] DESIGNATION TO THE PRESIDENTIAL ELECTION CAMPAIGN FUND Designation made under section 6096 of this title (as in effect for taxable years beginning before Jan. 1, 1973) for the account of the candidates of any specified polit- ical party treated solely as a designation to the Presi- dential Election Campaign Fund, see section 6(d) of Pub. L. 93–53, set out as a note under section 6096 of this title. § 9007. Examinations and audits; repayments (a) Examinations and audits After each presidential election, the Commis- sion shall conduct a thorough examination and audit of the qualified campaign expenses of the candidates of each political party for President and Vice President. (b) Repayments (1) If the Commission determines that any por- tion of the payments made to the eligible can- didates of a political party under section 9006 was in excess of the aggregate payments to which candidates were entitled under section 9004, it shall so notify such candidates, and such candidates shall pay to the Secretary of the Treasury an amount equal to such portion. (2) If the Commission determines that the eli- gible candidates of a political party and their authorized committees incurred qualified cam- paign expenses in excess of the aggregate pay- ments to which the eligible candidates of a major party were entitled under section 9004, it shall notify such candidates of the amount of such excess and such candidates shall pay to the Secretary of the Treasury an amount equal to such amount. (3) If the Commission determines that the eli- gible candidates of a major party or any author- ized committee of such candidates accepted con- tributions (other than contributions to make up deficiencies in payments out of the fund on ac- count of the application of section 9006(c)) to de- fray qualified campaign expenses (other than qualified campaign expenses with respect to which payment is required under paragraph (2)), it shall notify such candidates of the amount of the contributions so accepted, and such can- didates shall pay to the Secretary of the Treas- ury an amount equal to such amount. (4) If the Commission determines that any amount of any payment made to the eligible candidates of a political party under section 9006 was used for any purpose other than— (A) to defray the qualified campaign ex- penses with respect to which such payment was made, or (B) to repay loans the proceeds of which were used, or otherwise to restore funds (other than contributions to defray qualified cam- paign expenses which were received and ex- pended) which were used to defray such quali- fied campaign expenses, it shall notify such candidates of the amount so used, and such candidates shall pay to the Sec- retary of the Treasury an amount equal to such amount. (5) No payment shall be required from the eli- gible candidates of a political party under this subsection to the extent that such payment, when added to other payments required from such candidates under this subsection, exceeds the amount of payments received by such can- didates under section 9006. (c) Notification No notification shall be made by the Commis- sion under subsection (b) with respect to a presi- dential election more than 3 years after the day of such election. (d) Deposit of repayments All payments received by the Secretary of the Treasury under subsection (b) shall be deposited by him in the general fund of the Treasury. (Added Pub. L. 92–178, title VIII, § 801, Dec. 10, 1971, 85 Stat. 568; amended Pub. L. 93–53, § 6(c), July 1, 1973, 87 Stat. 139; Pub. L. 93–443, title IV, § 404(c)(9)–(11), Oct. 15, 1974, 88 Stat. 1292; Pub. L. 94–283, title III, § 307(e), May 11, 1976, 90 Stat. 502; Pub. L. 94–455, title XIX, § 1906(b)(13)(B), (C), Oct. 4, 1976, 90 Stat. 1834.) Editorial Notes AMENDMENTS 1976—Subsec. (b). Pub. L. 94–455 substituted ‘‘Sec- retary of the Treasury’’ for ‘‘Secretary’’. Page 4099 TITLE 26—INTERNAL REVENUE CODE § 9008 Subsec. (b)(3). Pub. L. 94–283 substituted ‘‘9006(c)’’ for ‘‘9006(d)’’. Subsec. (d). Pub. L. 94–455 substituted ‘‘Secretary of the Treasury’’ for ‘‘Secretary’’. 1974—Subsec. (a). Pub. L. 93–443, § 404(c)(9), sub- stituted ‘‘Commission’’ for ‘‘Comptroller General’’. Subsec. (b). Pub. L. 93–443, § 404(c)(10), substituted ‘‘Commission’’ and ‘‘it’’ for ‘‘Comptroller General’’ and ‘‘he’’, respectively, wherever appearing. Subsec. (c). Pub. L. 93–443, § 404(c)(11), substituted ‘‘Commission’’ for ‘‘Comptroller General’’. 1973—Subsec. (b)(3). Pub. L. 93–53 substituted section ‘‘9006(d)’’ for ‘‘9006(c)’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1974 AMENDMENT Amendment by Pub. L. 93–443 applicable with respect to taxable years beginning after Dec. 31, 1974, see sec- tion 410(c)(1) of Pub. L. 93–443, set out as a note under section 30101 of Title 52, Voting and Elections. EFFECTIVE DATE OF 1973 AMENDMENT Amendment by Pub. L. 93–53 applicable with respect to taxable years beginning after Dec. 31, 1972, see sec- tion 6(d) of Pub. L. 93–53, set out as a note under sec- tion 6096 of this title. § 9008. Payments for presidential nominating conventions (a) Establishment of accounts The Secretary shall maintain in the fund, in addition to any account which he maintains under section 9006(a), a separate account for the national committee of each major party and minor party. The Secretary shall deposit in each such account an amount equal to the amount which each such committee may receive under subsection (b). Such deposits shall be drawn from amounts designated by individuals under section 6096 and shall be made before any trans- fer is made to any account for any eligible can- didate under section 9006(a). (b) Entitlement to payments from the fund (1) Major parties Subject to the provisions of this section, the national committee of a major party shall be entitled to payments under paragraph (3), with respect to any presidential nominating con- vention, in amounts which, in the aggregate, shall not exceed $4,000,000. (2) Minor parties Subject to the provisions of this section, the national committee of a minor party shall be entitled to payments under paragraph (3), with respect to any presidential nominating con- vention, in amounts which, in the aggregate, shall not exceed an amount which bears the same ratio to the amount the national com- mittee of a major party is entitled to receive under paragraph (1) as the number of popular votes received by the candidate for President of the minor party, as such candidate, in the preceding presidential election bears to the average number of popular votes received by the candidates for President of the United States of the major parties in the preceding presidential election. (3) Payments Upon receipt of certification from the Com- mission under subsection (g), the Secretary shall make payments from the appropriate ac- count maintained under subsection (a) to the national committee of a major party or minor party which elects to receive its entitlement under this subsection. Such payments shall be available for use by such committee in accord- ance with the provisions of subsection (c). (4) Limitation Payments to the national committee of a major party or minor party under this sub- section, from the account designated for such committee shall be limited to the amounts in such account at the time of payment. (5) Adjustment of entitlements The entitlements established by this sub- section shall be adjusted in the same manner as expenditure limitations established by sec- tion 315(b) and section 315(d) of the Federal Election Campaign Act of 1971 are adjusted pursuant to the provisions of section 315(c) of such Act. (c) Use of funds No part of any payment made under sub- section (b) shall be used to defray the expenses of any candidate or delegate who is partici- pating in any presidential nominating conven- tion. Such payments shall be used only— (1) to defray expenses incurred with respect to a presidential nominating convention (in- cluding the payment of deposits) by or on be- half of the national committee receiving such payments; or (2) to repay loans the proceeds of which were used to defray such expenses, or otherwise to restore funds (other than contributions to de- fray such expenses received by such com- mittee) used to defray such expenses. (d) Limitation of expenditures (1) Major parties Except as provided by paragraph (3), the na- tional committee of a major party may not make expenditures with respect to a presi- dential nominating convention which, in the aggregate, exceed the amount of payments to which such committee is entitled under sub- section (b)(1). (2) Minor parties Except as provided by paragraph (3), the na- tional committee of a minor party may not make expenditures with respect to a presi- dential nominating convention which, in the aggregate, exceed the amount of the entitle- ment of the national committee of a major party under subsection (b)(1). (3) Exception The Commission may authorize the national committee of a major party or minor party to make expenditures which, in the aggregate, exceed the limitation established by para- graph (1) or paragraph (2) of this subsection. Such authorization shall be based upon a de- termination by the Commission that, due to extraordinary and unforeseen circumstances, such expenditures are necessary to assure the effective operation of the presidential nomi- nating convention by such committee.