26 U.S.C. § 5007 — Collection of tax on distilled spirits

Page 3147 TITLE 26—INTERNAL REVENUE CODE § 5008 only if) before the close of such 10-day period there is filed with the Secretary of the Treasury or his delegate either— ‘‘(A) a consent of surety which changes (for periods on and after the date of the enactment of this Act) the condition based on the withdrawal of spirits from the internal revenue bonded warehouse within 8 years from the date of original entry for deposit to a condi- tion based on the withdrawal of spirits from the in- ternal revenue bonded warehouse within 20 years from the date of original entry for deposit, or ‘‘(B) a bond which applies to periods on and after the date of the enactment of this Act and which sat- isfies the requirements of the Internal Revenue Code of 1986 [formerly I.R.C. 1954], as amended by this sec- tion, and is conditioned on the withdrawal of spirits from the internal revenue bonded warehouse within 20 years from the date of original entry for deposit.’’ § 5007. Collection of tax on distilled spirits (a) Tax on distilled spirits removed from bonded premises The tax on domestic distilled spirits and on distilled spirits removed from customs custody under section 5232 shall be paid in accordance with section 5061. (b) Collection of tax on imported distilled spirits The internal revenue tax imposed by section 5001(a)(1) and (2) upon imported distilled spirits shall be collected by the Secretary and depos- ited as internal revenue collections, under such regulations as the Secretary may prescribe. Sec- tion 5688 shall be applicable to the disposition of imported spirits. (c) Cross references (1) For authority of the Secretary to make deter- minations and assessments of internal revenue taxes and penalties, see section 6201(a). (2) For authority to assess tax on distilled spirits not bonded, see section 5006(c). (3) For provisions relating to payment of tax, under certain conditions, on distilled spirits with- drawn free of tax, denatured distilled spirits, arti- cles, and volatile fruit-flavor concentrates, see sec- tion 5001(a)(4), (5), and (6). (Added Pub. L. 85–859, title II, § 201, Sept. 2, 1958, 72 Stat. 1322; amended Pub. L. 94–455, title XIX, §§ 1905(b)(2)(A), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1822, 1834; Pub. L. 96–39, title VIII, § 807(a)(5), July 26, 1979, 93 Stat. 280; Pub. L. 103–465, title I, § 136(c)(3), (4), Dec. 8, 1994, 108 Stat. 4841, 4842.) Editorial Notes PRIOR PROVISIONS A prior section 5007, act Aug. 16, 1954, ch. 736, 68A Stat. 600, consisted of provisions similar to those com- prising this section, prior to the general revision of this chapter by Pub. L. 85–859. Prior section 5007(c) related to ‘‘payment of tax on al- coholic compounds from Puerto Rico and Virgin Is- lands’’. See section 7652 of this title. Prior section 5007(e)(1) related to ‘‘assessment for de- ficiencies in production and excess of materials used’’ and ‘‘requirement’’. See sections 5004(b)(1) and 5006(a)(3) of this title. Prior section 5007(e)(2) related to ‘‘relief from assess- ment for deficiencies in production and excess of mate- rials used’’ and is obsolete. AMENDMENTS 1994—Subsec. (b). Pub. L. 103–465, § 136(c)(3), amended subsec. (b) generally, striking out provisions relating to collection and deposit as internal revenue collec- tions of taxes on imported perfumes containing dis- tilled spirits. Subsec. (c)(3). Pub. L. 103–465, § 136(c)(4), substituted ‘‘section 5001(a)(4), (5), and (6)’’ for ‘‘section 5001(a)(5), (6), and (7)’’. 1979—Subsec. (a). Pub. L. 96–39 struck out ‘‘(1) Gen- eral’’ before ‘‘The tax on domestic’’ and par. (2) which related to distilled spirits withdrawn to bottling prem- ises under withdrawal bond. 1976—Subsec. (a)(2). Pub. L. 94–455, § 1906(b)(13)(A), struck out ‘‘or his delegate’’ after ‘‘Secretary’’. Subsec. (b)(1). Pub. L. 94–455, §§ 1905(b)(2)(A), 1906(b)(13)(A), struck out second sentence ‘‘Such tax shall be in addition to any customs duty imposed under the Tariff Act of 1930 (46 Stat. 590; 19 U.S.C., chapter 4), or any subsequent act.’’ and ‘‘or his delegate’’ after ‘‘Secretary’’ wherever appearing. Subsecs. (b)(2), (c)(1). Pub. L. 94–455, § 1906(b)(13)(A), struck out ‘‘or his delegate’’ after ‘‘Secretary’’ wher- ever appearing. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1994 AMENDMENT Amendment by Pub. L. 103–465 effective Jan. 1, 1995, see section 136(d) of Pub. L. 103–465, set out as a note under section 5001 of this title. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96–39 effective Jan. 1, 1980, see section 810 of Pub. L. 96–39, set out as a note under sec- tion 5001 of this title. EFFECTIVE DATE OF 1976 AMENDMENT Amendment by section 1905(b)(2)(A) of Pub. L. 94–455 effective on first day of first month which begins more than 90 days after Oct. 4, 1976, see section 1905(d) of Pub. L. 94–455, set out as a note under section 5005 of this title. § 5008. Abatement, remission, refund, and allow- ance for loss or destruction of distilled spir- its (a) Distilled spirits lost or destroyed in bond (1) Extent of loss allowance No tax shall be collected in respect of dis- tilled spirits lost or destroyed while in bond, except that such tax shall be collected— (A) Theft In the case of loss by theft, unless the Sec- retary finds that the theft occurred without connivance, collusion, fraud, or negligence on the part of the proprietor of the distilled spirits plant, owner, consignor, consignee, bailee, or carrier, or the employees or agents of any of them; (B) Voluntary destruction In the case of voluntary destruction, un- less such destruction is carried out as pro- vided in subsection (b); and (C) Unexplained shortage In the case of an unexplained shortage of bottled distilled spirits. (2) Proof of loss In any case in which distilled spirits are lost or destroyed, whether by theft or otherwise, the Secretary may require the proprietor of the distilled spirits plant or other person lia- ble for the tax to file a claim for relief from the tax and submit proof as to the cause of