trict where such person may be found and there make the examination herein authorized. And to this end he may there exercise all the authority which he might lawfully exercise in the district for which he was commissioned.

Sec. 3615. (b) Acts creating liability.-Such summons may be issued

Sec. 3615. (b) (1) Refusal or neglect to comply with notice requiring return.-If any person, on being notified or required as provided in section 3611, shall refuse or neglect to render such list or return within the time required, or

Sec. 3615. (b) (2) Failure to render return on time. Whenever any person who is required to deliver a monthly or other return of objects subject to tax fails to do so at the time required, or

Sec. 3615. (b) (3) Erroneous, false, or fraudulent return. Whenever any person who is required to deliver a monthly or other return of objects subject to tax delivers any return which, in the opinion of the collector, is erroneous, false, or fraudulent, or contains any undervaluation or understatement, or

Sec. 3615. (b) (4) Refusal to permit examination of books.-Whenever any person who is required to deliver a monthly or other return of objects subject to tax refuses to allow any regularly authorized Government officer to examine his books.

Sec. 3615. (c) Persons liable.-Such summons may be issued to

Sec. 3615. (c) (1) Persons mentioned in subsection (b).-Any person mentioned in subsection (b),

or

Sec. 3615. (c) (2) Persons having books.-Any other person having possession, custody, or care of books of account containing entries relating to the business of any person mentioned in subsection (b),

or

Sec. 3615. (c) (3) Other persons.-Any other person the collector may deem proper.

Sec. 3615. (d) Service.-Such summons shall in all cases be served by a deputy collector of the district where the person to whom it is directed may be found, by an attested copy delivered to such person in hand, or left at his last and usual place of abode, allowing such person one day for each twenty-five miles he may be required to travel, computed from the place of service to the place of examination; and the certificate of service signed by such deputy shall be evidence of the facts it states on the hearing of an application for an attachment. When the summons requires the production of books, it shall be sufficient if such books are described with reasonable certainty.

Sec. 3615. (e) Enforcement.-Whenever any person summoned under this section neglects or refuses to obey such summons, or to give testimony, or to answer interrogatories as required, the collector may apply to the judge of the district court or to a United States commissioner for the district

within which the person so summoned resides for an attachment against him as for a contempt. It shall be the duty of the judge or commissioner to hear the application, and, if satisfactory proof is made, to issue an attachment, directed to some proper officer, for the arrest of such person, and upon his being brought before him to proceed to a hearing of the case; and upon such hearing the judge or the United States commissioner shall have power to make such order as he shall deem proper not inconsistent with the law for the punishment of contempts, to enforce obedience to the requirements of the summons and to punish such person for his default or disobedience.

Sec. 3616. Penalties. Whenever any person

Sec. 3616. (a) False returns.-Delivers or discloses to the collector or deputy any false or fraudulent list, return, account, or statement, with intent to defeat or evade the valuation, enumeration, or assessment intended to be made; or,

Sec. 3616. (b) Neglect to obey summons.-Being duly summoned to appear to testify, or to appear and produce books as required under section 3615, neglects to appear or to produce said books

he shall be fined not exceeding $1,000, or be imprisoned not exceeding one year, or both, at the discretion of the court, with costs of prosecution.

Sec. 3616. (c) Cross reference.—

For additions to tax in case of fraud or of failure to file returns, see section 3612 (d).

Sec. 3617. Penalties and awards to informers with respect to illegally produced petroleum.

Sec. 3617. (a) Failure to file return.-Any person liable for tax on any income from illegally produced petroleum, who willfully fails to make return showing such income within the time prescribed by law shall, in addition to all other penalties prescribed by law, be liable to a civil penalty of $500 plus $50 for each day during which such failure continues.

Sec. 3617. (b) Reward for information.-Any person not an officer or employee of the United States who furnishes to the Commissioner or any collector original information leading to the recovery from any other person of any penalty under this section may be awarded and paid by the Commissioner a compensation of one-half the penalty so recovered, as determined by the Commissioner.

Sec. 3617. (c) Income defined.-As used in this section, the term "income from illegally produced petroleum" means any income (not shown on a return made within the time prescribed by law) arising out of any sale or purchase of crude petroleum withdrawn from the ground subsequent to January 1, 1932, in violation of any State or Federal law (not including illegal withdrawal the penalties for which have been mitigated or satisfied in pursuance of law prior to May 10, 1934), or arising out of any

fee derived from acting as agent for any seller or purchaser in connection with a sale or purchase of such petroleum or products thereof, or any amount

illegally received by any person charged with the enforcement of law with respect to such petroleum or products thereof.

Sec. 3630. Classification of and time for taking lists or returns.

Lists or returns shall, where not otherwise specially provided for, be taken with reference to the day fixed for that purpose by this title; and where taxes accrue at other and different times, the list shall be taken with reference to the time when said taxes become due, and shall be denominated annual, monthly, and special lists or returns.

Sec. 3631. Restrictions on examination of taxpayers.

No taxpayer shall be subjected to unnecessary examinations or investigations, and only one inspection of a taxpayer's books of account shall be made for each taxable year unless the taxpayer requests otherwise or unless the Commissioner, after investigation, notifies the taxpayer in writing that an additional inspection is necessary.

Sec. 3632. Authority to administer oaths, take testimony, and certify.

Sec. 3632. (a) Internal revenue personnel.

Sec. 3632. (a) (1) Persons in charge of administration of internal revenue laws generally.Every collector, deputy collector, internal revenue agent, and internal revenue officer assigned to duty under an internal revenue agent, is authorized to administer oaths and to take evidence touching any part of the administration of the internal revenue laws with which he is charged, or where such oaths and evidence are authorized by law or regulation authorized by law to be taken.

Sec. 3632. (a) (2) Persons in charge of exports and drawbacks.-Every collector of internal revenue and every superintendent of exports and drawbacks is authorized to administer such oaths and to certify to such papers as may be necessary under any

regulation prescribed under the authority of the internal revenue laws.

Sec. 3632. (b) Others.-Any oath or affirmation required or authorized by any internal revenue law or by any regulations made under authority thereof may be administered by any person authorized to administer oaths for general purposes by the law of the United States, or of any State, Territory, or possession of the United States, or of the District of Columbia, wherein such oath or affirmation is administered, or by any consular officer of the United States. This subsection shall not be construed as an exclusive enumeration of the persons who may administer such oaths or affirmations.

Sec. 3633. Jurisdiction of district courts.

Sec. 3633. (a) To enforce summons.-If any person is summoned under the internal revenue laws to appear, to testify, or to produce books, papers, or other data, the district court of the United States for the district in which such person resides shall have jurisdiction by appropriate process to compel such attendance, testimony, or production of books, papers, or other data.

Sec. 3633. (b) To issue orders, processes, and judgments.

For authority of district courts to issue orders. processes, and judgments for enforcement of internal revenue laws, see section 3799.

Sec. 3634. Extension of time for filing returns. If the failure to file a return (other than a return of income tax) or list at the time prescribed by law or by regulation made under authority of law is due to sickness or absence, the collector may allow such further time, not exceeding thirty days, for making and filing the return or list as he deems proper.

Sec. 3640. Assessment authority.

The Commissioner is authorized and required to make the inquiries, determinations, and assessments of all taxes and penalties imposed by this title, or accruing under any former internal revenue law, where such taxes have not been duly paid by stamp at the time and in the manner provided by law.

Sec. 3641. Certification of assessment lists to collectors.

The Commissioner shall certify a list of such assessments when made to the proper collectors, respectively, who shall proceed to collect and account for the taxes and penalties so certified.

Sec. 3642. Supplemental assessment lists.

Sec. 3642. (a) Authorization.-Whenever it is as

certained that any list delivered to any collector is imperfect or incomplete in consequence of the omission of the name of any person liable to tax, or in consequence of any omission, or understatement, or undervaluation, or false or fraudulent statement contained in any return made by any person liable to tax, the Commissioner may, at any time within the period prescribed for assessment, enter on any monthly or special list:

Sec. 3642. (a) (1) Original assessments.-The name of such person so omitted, together with the amount of tax for which he may be liable, and also

Sec. 3642. (a) (2) Additional assessments.-The name of any such person in respect to whose return, as aforesaid, there has been any omission, under

Sec. 3650. Collection districts.

Sec. 3650. (a) Establishment and alteration.For the purpose of assessing, levying, and collecting the taxes provided by the internal revenue laws, the President may establish convenient collection districts, and may from time to time alter said districts.

Sec. 3650. (b) Number.-The whole number of collection districts for the collection of internal revenue shall not exceed 65.

Sec. 3650. (c) Boundaries.

Sec. 3650. (c) (1) Hawaii.-The territory of Hawaii shall constitute a district for the collection of the internal revenue of the United States, with a collector, whose office shall be at Honolulu, and deputy collectors at such other places in the several islands as the Secretary shall direct.

Sec. 3650. (c) (2) Elsewhere.-For the purpose mentioned in subsection (a), the President may subdivide any State, Territory, or the District of Columbia, or may unite two or more States or Territories into one district.

Sec. 3651. Collection authority.

Sec. 3651. (a) In general.

Sec. 3651. (a) (1) Within district.-It shall be the duty of the collectors or their deputies, in their respective districts, and they are authorized, to collect all the taxes imposed by law, however the same may be designated.

Sec. 3651. (a) (2) Outside district.

For authority of collector or deputy to collect taxes by distraint outside his own collection district, but within the State, see section 3713.

Sec. 3651. (b) Transferred assessments.-Whenever a collector has on any list duly returned to him the name of any person not within his collection district who is liable to tax, or of any person so liable who has, in the collection district in which he resides, no sufficient property subject to seizure or distraint, from which the money due for tax can be collected, such collector shall transmit a statement containing the name of the person liable to such tax, with the amount and nature thereof, duly certified under his hand, to the collector of any district to which said person shall have removed, or in which he shall have property, real or personal, liable to be seized and sold for tax. And the collector to whom the said certified statement is transmitted shall proceed to collect the said tax in the same way as if the name of the person and objects of tax contained in the said certified statement were on any list of his own collection district; and he shall, upon receiving said certified statement as aforesaid, transmit his receipt for it to the collector sending the same to him.

Sec. 3652. Establishment by regulation of mode or time of collection.

Whenever the mode or time of collecting any tax which is imposed is not provided for, the Commissioner may establish the same by regulation.

Sec. 3653. Prohibition of suits to restrain assessment or collection.

Sec. 3653. (a) Tax.-Except as provided in sections 272 (a), 871 (a) and 1012 (a), no suit for the purpose of restraining the assessment or collection of any tax shall be maintained in any court.

Sec. 3653. (b) Liability of transferee or fiduciary.-No suit shall be maintained in any court for the purpose of restraining the assessment or collection of (1) the amount of the liability, at law or in equity, of a transferee of property of a taxpayer in respect of any income, war-profits, excess-profits, or estate tax, (2) the amount of the liability, at law or in equity, of a transferee of property of a donor in respect of any gift tax, or (3) the amount of the liability of a fiduciary under section 3467 of the Revised Statutes (U. S. C., Title 31, § 192) in respect of any such tax.

Sec. 3654. General powers and duties relating to collection.

Sec. 3654. (a) Collectors.-Every collector within his collection district shall see that all laws and regulations relating to the collection of internal revenue taxes are faithfully executed and complied with, and shall aid in the prevention, detection, and punishment of any frauds in relation thereto. For such purposes, he shall have power to examine all persons, books, papers, accounts, and premises, to administer oaths, and to summon any person to produce books and papers, or to appear and testify under oath before him, and to compel compliance with such summons in the same manner as provided in section 3615.

Sec. 3654. (b) Deputy collectors.-Every deputy collector shall have the like authority in every respect to collect the taxes levied or assessed within the portion of the district assigned to him which is by law vested in the collector himself; but each collector shall, in every respect, be responsible, both to the United States and to individuals, as the case may be, for all moneys collected, and for every act done or neglected to be done, by any of his deputies while acting as such.

Sec. 3654. (c) Internal revenue agents.-Every internal revenue agent shall see that all laws and regulations relating to the collection of internal revenue taxes are faithfully executed and complied with, and shall aid in the prevention, detection, and punishment of any frauds in relation thereto.

Sec. 3655. Notice and demand for tax.

Sec. 3655. (a) Delivery.-Where it is not otherwise provided, the collector shall in person or by deputy, within ten days after receiving any list of taxes from the Commissioner, give notice to each person liable to pay any taxes stated therein, to be left at his dwelling or usual place of business, or to be sent by mail, stating the amount of such taxes and demanding payment thereof.

Sec. 3655. (b) Addition to tax for nonpayment. -If such person does not pay the taxes, within ten days after the service or the sending by mail of such notice, it shall be the duty of the collector or his deputy to collect the said taxes with a penalty of

5 per centum additional upon the amount of taxes, and interest at the rate of 6 per centum per annum from the date of such notice to the date of payment; except that in the case of income, estate or gift taxes, such penalties shall not apply and the interest for nonpayment of tax shall be such as is specifically provided by law with respect to such taxes.

Sec. 3655. (c) Cross references.

For additions to tax for nonpayment after notice
and demand in case of-

Income taxes, see sections 294 (b) and 297.
Estate taxes, see section 893.

Gift taxes, see section 1018.

Sec. 3656. Payment by check and money orders.

Sec. 3656. (a) Certified, cashiers', and treasurers' checks and money order.

Sec. 3656. (a) (1) Authority to receive.-It shall be lawful for collectors to receive for internal revenue taxes or in payment of stamps to be used in payment of internal revenue taxes certified, cashiers', and treasurers' checks drawn on National and State banks and trust companies, and United States postal, bank, express, and telegraph money orders, during such time and under such regulations as the Commissioner, with the approval of the Secretary, may prescribe.

Sec. 3656. (a) (2) Discharge of liability.—

(A) CHECK DULY PAID.-No person who may be indebted to the United States on account of internal revenue taxes or stamps used or to be used in payment of internal revenue taxes who shall have tendered a certified, cashier's, or treasurer's check or money order as provisional payment therefor, in accordance with the terms of this subsection, shall be released from the obligation to make ultimate payment thereof until such certified, cashier's, or treasurer's check or money order so received has been duly paid.

(B) CHECK UNPAID.-If any such check or money order so received is not duly paid, the United States shall, in addition to its right to exact payment from the party originally indebted therefor, have a lien for the amount of such check upon all the assets of the bank on which drawn or for the amount of such money order upon all the assets of the issuer thereof; and such amount shall be paid out of its assets in preference to any or all other claims whatsoever against said bank or issuer except the necessary costs and expenses of administration and the reimbursement of the United States for the amount expended in the redemption of the circulating notes of such bank.

Sec. 3656. (b) Other checks.—

Sec. 3656. (b) (1) Authority to receive.-Collectors may receive checks in addition to those specified in subsection (a) in payment of taxes other than those payable by stamp during such time and under such rules and regulations as the Commissioner, with the approval of the Secretary, shall prescribe.

Sec. 3656. (b) (2) Ultimate liability.—If a check so received is not paid by the bank on which it is

drawn the person by whom such check has been tendered shall remain liable for the payment of the tax and for all legal penalties and additions to the same extent as if such check had not been tendered.

Sec. 3656, I. R. C., supra, amended to read as above by P. L. 541, Act of Dec. 22, 1944.

Sec. 3657. Payment by United States notes and certificates of indebtedness.

Collectors may receive, at par with an adjustment for accrued interest, notes or certificates of indebtedness issued by the United States in payment of income, war profits, and excess profits taxes, and any other taxes payable other than by stamp, during such time and under such rules and regulations as the Commissioner, with the approval of the Secretary, shall prescribe.

Sec. 3658. Fractional parts of a cent.

In the payment of any tax under this title not payable by stamp a fractional part of a cent shall be disregarded unless it amounts to one-half cent or more, in which case it shall be increased to 1 cent. Sec. 3659. Receipts for taxes.

Sec. 3659. (a) In general.-Every collector and deputy collector shall give receipts for all sums collected by him, excepting only when the same are in payment for stamps sold and delivered; but no collector or deputy collector shall issue a receipt in lieu of a stamp representing a tax.

Sec. 3659. (b) Cross references.

For receipts in case ofIncome tax, see section 56 (h). Estate tax, see section 823.

Gift tax, see section 1008 (e).

Sec. 3660. Jeopardy assessment.

Sec. 3660. (a) If the Commissioner believes that the collection of any tax (other than income tax, estate tax, and gift tax) under any provision of the internal-revenue laws will be jeopardized by delay, he shall, whether or not the time otherwise pre

scribed by law for making return and paying such tax has expired, immediately assess such tax (together with all interest and penalties the assessment of which is provided for by law). Such tax, penalties, and interest shall thereupon become immediately due and payable, and immediate notice and demand shall be made by the collector for the payment thereof. Upon failure or refusal to pay such tax, penalty, and interest, collection thereof by distraint shall be lawful without regard to the period prescribed in section 3690.

Sec. 3660. (b) The collection of the whole or any part of the amount of such assessment may be stayed by filing with the collector a bond in such amount, not exceeding double the amount as to which the stay is desired, and with such sureties, as the collector deems necessary, conditioned upon the payment of the amount collection of which is stayed, at the time at which, but for this section, such amount would be due.

Sec. 3661. Enforcement of liability for taxes collected.

Whenever any person is required to collect or withhold any internal-revenue tax from any other person and to pay such tax over to the United States, the amount of tax so collected or withheld shall be held to be a special fund in trust for the United States. The amount of such fund shall be assessed, collected, and paid in the same manner and subject to the same provisions and limitations (including penalties) as are applicable with respect to the taxes from which such fund arose.

Sec. 3662. Prohibition of suits to replevy property taken under internal revenue laws.

For statute prohibiting suits to replevy property taken under revenue laws, see section 934 R. S. (U. S. C., Title 28, section 747).

Sec. 3663. Cross references.

For provisions relating to collection accounts, see subchapter B of chapter 41.

For prohibition upon collection of any tax from insolvent banks, see section 3798.

Sec. 3670. Property subject to lien. If any person liable to pay any tax neglects or refuses to pay the same after demand, the amount (including any interest, penalty, additional amount, or addition to such tax, together with any costs that may accrue in addition thereto) shall be a lien in favor of the United States upon all property and rights to property, whether real or personal, belonging to such person.

Sec. 3671. Period of lien.

Unless another date is specifically fixed by law, the lien shall arise at the time the assessment list was received by the collector and shall continue until the liability for such amount is satisfied or becomes unenforceable by reason of lapse of time.

Sec. 3672. Validity against mortgagees, pledgees, purchasers, and judgment creditors.

Sec. 3672. (a) Invalidity of lien without notice. Such lien shall not be valid as against any mortgagee, pledgee, purchaser, or judgment creditor until notice thereof has been filed by the collector—

Sec. 3672. (a) (1) Under state or territorial laws. In the office in which the filing of such notice is authorized by the law of the State or Territory in which the property subject to the lien is situated, whenever the State of Territory has by law authorized the filing of such notice in an office within the State or Territory; or

Sec. 3672. (b) (2) With clerk of district court. -In the office of the clerk of the United States district court for the judicial district in which the property subject to the lien is situated, whenever the State or Territory has not by law authorized the fil