(c) Status of wine returned to bond All provisions of this chapter applicable to wine in bond on the premises of a bonded wine cellar and to removals thereof shall be applicable to wine returned to bond under the provisions of this section. (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1332, and amended Pub. L. 94-455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834.) A tax is hereby imposed on all beer brewed or produced, and removed for consumption or sale, within the United States, or imported into the United States. Except as provided in paragraph (2), the rate of such tax shall be $9 for every barrel containing not more than 31 gallons and at a like rate for any other quantity or for fractional parts of a barrel. (2) Reduced rate for certain domestic production (A) $7 a barrel rate In the case of a brewer who produces not more than 2,000,000 barrels of beer during the calendar year, the per barrel rate of the tax imposed by this section shall be $7 on the first 60,000 barrels of beer which are removed in such year for consumption or sale and which have been brewed or produced by such brewer at qualified breweries in the United States. (B) Controlled groups In the case of a controlled group, the 2,000,000 barrel quantity specified in subparagraph (A) shall be applied to the controlled group, and the 60,000 barrel quantity specified in subparagraph (A) shall be apportioned among the brewers who are component members of such group in such manner as the Secretary or his delegate shall by regulations prescribed. For purposes of the preceding sentence, the term "controlled group" has the meaning assigned to it by subsection (a) of section 1563, except that for such purposes the phrase "more than 50 percent" shall be substituted for the phrase "at least 80 percent" in each place it appears in such subsection. Under regulations prescribed by the Secretary or his delegate, principles similar to the principles of the preceding two sentences shall be applied to a group of brewers under common control where one or more of the brewers is not a corporation. (3) Tolerances Where the Secretary or his delegate finds that the revenue will not be endangered thereby, he may by regulations prescribe tolerances for barrels and fractional parts of barrels, and, if such tolerances are prescribed, no assessment shall be made and no tax shall be collected for any excess in any case where the contents of a barrel or a fractional part of a barrel are within the limit of the applicable tolerance prescribed. (b) Assessment on materials used in production in case of fraud Nothing contained in this subpart or subchapter G shall be construed to authorize an assessment on the quantity of materials used in producing or purchased for the purpose of producing beer, nor shall the quantity of materials so used or purchased be evidence, for the purpose of taxation, of the quantity of beer produced; but the tax on all beer shall be paid as provided in section 5054, and not otherwise; except that this subsection shall not apply to cases of fraud, and nothing in this subsection shall have the effect to change the rules of law respecting evidence in any prosecution or suit. (c) Illegally produced beer The production of any beer at any place in the United States shall be subject to tax at the rate prescribed in subsection (a) and such tax shall be due and payable as provided in section 5054(a)(3) unless (1) such beer is produced in a brewery qualified under the provisions of subchapter G, or (2) such production is exempt from tax under section 5053(e) (relating to beer for personal or family use). (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1333, and amended Pub. L. 86-75, § 3(a)(6), June 30, 1959, 73 Stat. 157; Pub. L. 86-564, title II, § 202(a)(8), June 30, 1960, 74 Stat. 290; Pub. L. 87-72, § 3(a)(8), June 30, 1961, 75 Stat. 193; Pub. L. 87-508, § 3(a)(7), June 28, 1962, 76 Stat. 114; Pub. L. 88-52, § 3(a)(8), June 29, 1963, 77 Stat. 72; Pub. L. 88-348, § 2(a)(8), June 30, 1964, 78 Stat. 237; Pub. L. 89-44, title V. § 501(d), June 21, 1965, 79 Stat. 150; Pub. L. 94-529, § 1, Oct. 17, 1976, 90 Stat. 2485; Pub. L. 95-458, § 2(b)(2)(A), Oct. 14, 1978, 92 Stat. 1256.) PRIOR PROVISIONS A prior section 5051, act Aug. 16, 1954, ch. 736, 68A Stat. 611, as amended by acts Mar. 30, 1955, ch. 18, § 3(a)(8), 69 Stat. 14; Mar. 29, 1956, ch. 115, § 3(a)(8), 70 Stat. 66; Mar. 29, 1957, Pub. L. 85-12, § 3(a)(6), 71 Stat. 9; June 30, 1958, Pub. L. 85-475, § 3(a)(6), 72 Stat. 259, consisted of provisions similar to those comprising this section, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1978-Subsec. (c). Pub. L. 95-458 added subsec. (c). 1976-Subsec. (a). Pub. L. 94-529 reduced the excise tax on beer for small brewers to $7 per barrel on the first 60,000 barrels produced in the United States and removed for sale or consumption or sale during the calendar year, the reduced rate to be applicable only to brewers producing no more than 2 million barrels of beer in a calendar year, and added provision that if several brewers are members of a controlled group, the 2-million barrel limit is to be applied to the controlled group and the 60,000-barrel limit is to be apportioned among the members of the controlled group in accordance with Treasury Department regulations promulgated by the Secretary or his delegate. 1965-Subsec. (a). Pub. L. 89-44 struck out sentence providing for the imposition on and after July 1, 1965, of a tax of $8 in lieu of the tax imposed by the section. 1964-Subsec. (a). Pub. L. 88-348 substituted "July 1, 1965" for "July 1, 1964". 1963-Subsec. (a). Pub. L. 88-52 substituted "July 1, 1964" for "July 1, 1963". 1962-Subsec. (a). Pub. L. 87-508 substituted "July 1, 1963" for "July 1, 1962". 1961-Subsec. (a). Pub. L. 87-72 substituted "July 1, 1962" for "July 1, 1961". 1960-Subsec. (a). Pub. L. 86-564 substituted "July 1, 1961" for "July 1, 1960". 1959-Subsec. (a). Pub. L. 86-75 substituted "July 1, 1960" for "July 1, 1959". EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-458 effective on the first day of the first calendar month beginning more than 90 days after Oct. 14, 1978, see section 2(c) of Pub. L. 95-458 set out as a note under section 5042 of this title. EFFECTIVE DATE OF 1976 AMENDMENT Section 2 of Pub. L. 94-529 provided that: "The amendment made by the first section of this Act [amending subsec. (a) of this section] shall take effect on the first day of the first calendar year which begins after the date of the enactment of this Act [Oct. 17, 1976]." EFFECTIVE DATE OF 1965 AMENDMENT Amendment of subsec. (a) by section 501 of Pub. L. 89-44 applicable on and after July 1, 1965, see section 701(d) of Pub. L. 89-44, set out as a note under section 5701 of this title. EFFECTIVE DATE Section effective July 1, 1959, see section 210(a)(1) of Pub. L. 85-859, set out as a note under section 5001 of this title. CROSS REFERENCES Method of collecting tax, see section 5061 of this title. Penalty and forfeiture for evasion of beer tax, see section 5671 of this title. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 5054, 5671 of this title. § 5052. Definitions (a) Beer For purposes of this chapter (except when used with reference to distilling or distilling material) the term beer means beer, ale, porter, stout, and other similar fermented beverages (including sake or similar products) of any name or description containing one-half of 1 percent or more of alcohol by volume, brewed or produced from malt, wholly or in part, or from any substitute therefor. (b) Gallon For purposes of this subpart, the term gallon means the liquid measure containing 231 cubic inches. (c) Removed for consumption of sale Except as provided for in the case of removal of beer without payment of tax, the term "removed for consumption or sale", for the purposes of this subpart means (1) Sale of beer The sale and transfer of possession of beer for consumption at the brewery; or (2) Removals Any removal of beer from the brewery. (d) Brewer For definition of brewer, see section 5092. (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1333, and amended Pub. L. 91-673, § 1(b), Jan. 12, 1971, 84 Stat. 2056.) PRIOR PROVISIONS A prior section 5052, act Aug. 16, 1954, ch. 736, 68A Stat. 612, consisted of provisions similar to those comprising this section, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1971-Subsec. (c)(2). Pub. L. 91-673 struck out the proviso that removal of beer shall not include beer returned to the brewery on the same day such beer is removed from the brewery. EFFECTIVE DATE OF 1971 AMENDMENT Amendment by Pub. L. 91-673 effective on the first day of the first calendar month which begins more than 90 days after January 12, 1971, see section 5 of Pub. L. 91-673, set out as a note under section 5056 of this title. § 5053. Exemptions (a) Removals for export Beer may be removed from the brewery, without payment of tax, for export, in such containers and under such regulations, and on the giving of such notices, entries, and bonds and other security, as the Secretary may by regulations prescribe. (b) Removals when unfit for beverage use When beer has become sour or damaged, so as to be incapable of use as such, a brewer may remove the same from his brewery without payment of tax, for manufacturing purposes, under such regulations as the Secretary may prescribe. (c) Removals for laboratory analysis Beer may be removed from the brewery, without payment of tax, for laboratory analysis, subject to such limitations and under such regulations as the Secretary may prescribe. (d) Removals for research, development, or testing Under such conditions and regulations as the Secretary may prescribe, beer may be removed from the brewery without payment of tax for use in research, development, or testing (other than consumer testing or other market analysis) of processes, systems, materials, or equipment relating to beer or brewery operations. (e) Beer for personal or family use Subject to regulation prescribed by the Secretary, any adult may, without payment of tax, produce beer for personal or family use and not for sale. The aggregate amount of beer exempt from tax under this subsection with respect to any household shall not exceed (1) 200 gallons per calendar year if there are 2 or more adults in such household, or (2) 100 gallons per calendar year if there is only 1 adult in such household. For purposes of this subsection, the term "adult" means an individual who has attained 18 years of age, or the minimum age (if any) established by law applicable in the locality in which the household is situated at which beer may be sold to individuals, whichever is greater. (f) Removal as supplies for certain vessels and aircraft For exemption as to supplies for certain vessels and aircraft, see section 309 of the Tariff Act of 1930, as amended (19 U.S.C. 1309). (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1334, and amended Pub. L. 89-44, title VIII, § 807(a), June 21, 1965, 79 Stat. 164; Pub. L. 91-673, § 2, Jan. 12, 1971, 84 Stat. 2056; Pub. L. 94-455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834; Pub. L. 95-458, § 2(b)(1), Oct. 14, 1978, 92 Stat. 1255.) PRIOR PROVISIONS A prior section 5053, act Aug. 16, 1954, ch. 736, 68A Stat. 612, consisted of provisions similar to those comprising this section, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1978-Subsecs. (e), (f). Pub. L. 95-458 added subsec. (e) and redesignated former subsec. (e) as (f). 1976-Subsecs. (a) to (d). Pub. L. 94-455 struck out "or his delegate" following "Secretary" wherever appearing. 1971-Subsecs. (d), (e). Pub. L. 91-673 added subsec. (d), and redesignated former subsec. (d) as (e). 1965-Subsec. (a). Pub. L. 89-44 struck out "to a foreign country" following "export". EFFECTIVE Date of 1978 Amendment Amendment by Pub. L. 95-458 effective on the first day of the first calendar month beginning more than 90 days after Oct. 14, 1978, see section 2(c) of Pub. L. 95-458 set out as a note under section 5042 of this title. EFFECTIVE DATE OF 1971 AMENDMENT Amendment by Pub. L. 91-673 effective on the first day of the first calendar month which begins more than 90 days after January 12, 1971, see section 5 of Pub. L. 91-673, set out as a note under section 5056 of this title. EFFECTIVE DATE OF 1965 AMENDMENT Amendment of subsec. (a) by Pub. L. 89-44 effective July 1, 1965, see section 807(c) of Pub. L. 89-44, set out as a note under section 5002 of this title. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 5051, 5054, 5092, 5222, 5401, 5674 of this title. § 5054. Determination and collection of tax on beer (a) Time of determination (1) Beer produced in the United States Except as provided in paragraph (3), the tax imposed by section 5051 on beer produced in the United States shall be determined at the time it is removed for consumption or sale, and shall be paid by the brewer thereof in accordance with section 5061. (2) Beer imported into the United States Except as provided in paragraph (4), the tax imposed by section 5051 on beer imported into the United States shall be determined at the time of the importation thereof, or, if entered into customs custody, at the time of removal from such custody, and shall be paid under such regulations as the Secretary shall prescribe. (3) Illegally produced beer The tax on any beer produced in the United States shall be due and payable immediately upon production unless (A) such beer is produced in a brewery qualified under the provisions of subchapter G, or time of prior removal of the beer for consumption or sale. (c) Applicability of other provisions of law All administrative and penal provisions of this title, insofar as applicable, shall apply to any tax imposed by section 5051. (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1334, and amended Pub. L. 94-455, title XIX, §§ 1905(a)(5), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1818, 1834; Pub. L. 95-458, § 2(b)(2)(B), Oct. 14, 1978, 92 Stat. 1256.) PRIOR PROVISIONS A prior section 5054, act Aug. 16, 1954, ch. 736, 68A Stat. 613, consisted of provisions similar to those comprising this section, prior to the general revision of this chapter by Pub. L. 85-859. Provisions similar to those comprising subsecs. (a)(1), (2) and (b) to (d) of this section were contained in prior sections 5055 and 5057(a), act Aug. 16, 1954, ch. 736, 68A Stat. 613, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1978-Subsec. (a)(3). Pub. L. 95-458 inserted provision excluding from tax the beer exempt from tax under section 5053(e). 1976-Subsec. (a)(2). Pub. L. 94-455, § 1906(b)(13)(A), struck out "or his delegate" following "Secretary". Subsecs. (c), (d). Pub. L. 94-455, § 1905(a)(5), redesignated subsec. (d) as (c), and struck out former subsec. (c) respecting stamps or other devices as evidence of payment of tax. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-458 effective on the first day of the first calendar month beginning more than 90 days after Oct. 14, 1978, see section 2(c) of Pub. L. 95-458 set out as a note under section 5042 of this title. EFFECTIVE DATE OF 1976 AmendmenT Amendment of subsecs. (c) and (d) by section 1905(a)(5) of Pub. L. 94-455 effective on the first day of the 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. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 5051, 5061, 5413 of this title. § 5055. Drawback of tax On the exportation of beer, brewed or produced in the United States, the brewer thereof shall be allowed a drawback equal in amount to the tax found to have been paid on such beer, to be paid on submission of such evidence, records and certificates indicating exportation, as the Secretary may by regulations prescribe. For the purpose of this section, exportation shall include delivery for use as supplies on the vessels and aircraft described in section 309 of the Tariff Act of 1930, as amended (19 U.S.C. 1309). (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1335, and amended Pub. L. 94-455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834.) PRIOR PROVISIONS A prior section 5055, act Aug. 16, 1954, ch. 736, 68A Stat. 613, related to "determination and collection of tax on beer", prior to the general revision of this chapter by Pub. L. 85-859. See section 5054(a)(1), (2), (c), (d) of this title. Provisions similar to those comprising this section were contained in prior section 5056, act Aug. 16, 1954, ch. 736, 68A Stat. 613, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1976-Pub. L. 94-455 struck out "or his delegate" following "Secretary". § 5056. Refund and credit of tax, or relief from liability (a) Beer returned or voluntarily destroyed Any tax paid by any brewer on beer produced in the United States may be refunded or credited to the brewer, without interest, or if the tax has not been paid, the brewer may be relieved of liability therefor, under such regulations as the Secretary may prescribe, if such beer is returned to any brewery of the brewer or is destroyed under the supervision required by such regulations. In determining the amount of tax due on beer removed on any day, the quantity of beer returned to the same brewery from which removed shall be allowed, under such regulations as the Secretary may prescribe, as an offset against or deduction from the total quantity of beer removed from that brewery on the day of such return. (b) Beer lost by fire, theft, casualty, or act of God Subject to regulations prescribed by the Secretary, the tax paid by any brewer on beer produced in the United States may be refunded or credited to the brewer, without interest, or if the tax has not been paid, the brewer may be relieved of liability therefor, if such beer is lost, whether by theft or otherwise, or is destroyed or otherwise rendered unmerchantable by fire, casualty, or act of God before the transfer of title thereto to any other person. In any case in which beer is lost or destroyed, whether by theft or otherwise, the Secretary may require the brewer to file a claim for relief from the tax and submit proof as to the cause of such loss. In every case where it appears that the loss was by theft, the first sentence shall not apply unless the brewer establishes to the satisfaction of the Secretary that such theft occurred before removal from the brewery and occurred without connivance, collusion, fraud, or negligence on the part of the brewer, consignor, consignee, bailee, or carrier, or the employees or agents of any of them. (c) Limitations No claim under this section shall be allowed (1) unless filed within 6 months after the date of the return, loss, destruction, or rendering unmerchantable or (2) if the claimant was indemnified by insurance or otherwise in respect of the tax. (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1335, and amended Pub. L. 91-673, § 1(a), Jan. 12, 1971, 84 Stat. 2056; Pub. L. 94-455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834.) PRIOR PROVISIONS A prior section 5056, act Aug. 16, 1954, ch. 736, 68A Stat. 613, related to "drawback of tax" prior to the general revision of this chapter by Pub. L. 85-859. See section 5055 of this title. A prior section 5057, act Aug. 16, 1954, ch. 736, 68A Stat. 613, related to refund and credit of tax or relief from liability, prior to the general revision of this chapter by Pub. L. 85-859. AMENDMENTS 1976-Subsecs. (a), (b). Pub. L. 94-455 struck out “or his delegate" following "Secretary" wherever appearing. 1971-Subsec. (a). Pub. L. 91-673 added provision permitting credit or refund of tax if the beer is returned to any brewery of the brewer who paid the tax, and provided for the offset or deduction against the amount of beer removed from the brewery on the day of return if the beer is returned to the same brewery from which it was withdrawn. Subsec. (b). Pub. L. 91-673 added provisions for credit or refund or relief from liability of tax when the beer is lost by theft or otherwise or rendered unmerchantable by fire, casualty or act of God, before the transfer of title to any other party, and required the brewer to file claim for relief from the tax and submit proof of the cause of the loss, and in the case of theft, to further prove that such theft occurred before removal from the brewery and without connivance, collusion, fraud, or negligence on the part of the brewer, consignor, consignee, bailee, or carrier, or the employees or agents of any of them. Subsec. (c). Pub. L. 91-673 substantially reenacted subsec. (c) to reflect changes in subsec. (b). EFFECTIVE DATE OF 1971 AMENDMENT Section 5 of Pub. L. 91-673 provided that: "The amendments made by the first four sections of this Act [enacting section 5417 of this title and amending sections 5052, 5053, 5056, 5401, 5402, 5411, 5412, and 5416 of this title] shall take effect on the first day of the first calendar month which begins more than 90 days after the date of the enactment of this Act [January 12, 1971]." SUBPART E-GENERAL PROVISIONS Method of collecting tax. Losses resulting from disaster, vandalism, or malicious mischief. § 5061. Method of collecting tax (a) Collection by return The taxes on distilled spirits, wines, and beer shall be collected on the basis of a return. The Secretary shall, by regulation, prescribe the period or event for which such return shall be filed, the time for filing such return, the information to be shown in such return, and the time for payment of such tax. (b) Exceptions Notwithstanding the provisions of subsection (a), any taxes imposed on, or amounts to be paid or collected in respect of, distilled spirits, wines, and beer under (1) section 5001(a)(5), (6), or (7), (4) section 5043(a)(3), (5) section 5054(a)(3) or (4), or shall be immediately due and payable at the time provided by such provisions (or if no specific time for payment is provided, at the time the event referred to in such provision occurs). Such taxes and amounts shall be assessed and collected by the Secretary on the basis of the information available to him in the same manner as taxes payable by return but with respect to which no return has been filed. (c) Import duties The internal revenue taxes imposed by this part shall be in addition to any import duties unless such duties are specifically designated as being in lieu of internal revenue tax. (d) Extension of time for collecting tax on distilled spirits In the case of distilled spirits to which subsection (a) applies which are withdrawn from the bonded premises of a distilled spirits plant under bond for deferred payment of tax, the last day for filing a return (with remittances) for each semimonthly return period shall be determined under the following table: Sec. 5061. 5062. [5063. Refund and drawback in case of exportation. Repealed.] 5064. 5065. If the return period is in Territorial extent of law. PRIOR PROVISIONS A prior subpart E, comprising sections 5061 to 5065, related to general provisions, prior to the general revision of this chapter by Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1313. AMENDMENTS 1978-Pub. L. 95-423, § 1(b), Oct. 6, 1978, 92 Stat. 936, substituted "Losses resulting from disaster, vandalism, or malicious mischief" for "Losses caused by disaster" in item 5064. 1971-Pub. L. 91-659, § 3(b), Jan. 8, 1971, 84 Stat. 1966, added item 5066 and redesignated former item 5066 as 5067. 1965-Pub. L. 89-44, title V, § 501(e), June 21, 1965, 79 Stat. 150, struck out item 5063. 1981.. Such last day shall beThe last day of the first succeeding return period plus 5 days. The last day of the first succeeding return period plus 10 days. 1982 or any year there- The last day of the second after. succeeding return period. (Added Pub. L. 85-859, title II, § 201, Sept. 2, 1958, 72 Stat. 1335, and amended Pub. L. 94-455, title XIX, §§ 1905(a)(6), (b)(2)(E)(iii), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1819, 1822, 1834; Pub. L. 96-39, title VIII, §§ 804(b), 807(a)(9), July 26, 1979, 93 Stat. 274, 281.) PRIOR PROVISIONS A prior section 5061, act Aug. 16, 1954, ch. 736, 68A Stat. 614, consisted of provisions similar to those com 11-610 0-83--13 |