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same manner as a duty imposed by the Tariff Act of 1930 (46 Stat. 590; 19 U.S.C. chapter 4) and shall be treated for the purposes of all provisions of law relating to the customs revenue as a duty imposed by such Act, except that for purposes of sections 336 and 350 of such Act (the so-called flexible tariff and trade agreements provisions; 46 Stat. 701; 19 U.S.C. 1336, 1351) such tax shall not be considered a duty or import restriction, and except that no preference with respect. to such tax shall be accorded any gasoline imported or brought into the United States.

"(f) Exemption for Exports.-Under regulations prescribed by the Secretary or his delegate, no tax shall be imposed on the sale by the manufacturer of lead additives for export, or for resale by the purchaser to a second purchaser for export. Where lead additives have been sold free of tax for export, or for resale by the purchaser to a second purchaser for export, the exemption shall cease to apply unless, within the 6-month period which begins on the date of the sale (or, if earlier, on the date of the shipment by him), the manufacturer receives proof that the article has been exported.

"(g) Definitions.

"(1) Gasoline.-The term 'gasoline' has the same meaning given to such term by section 4082(b).

"(2) Lead Additive.-As used in this section, the term 'lead additive' means any compound containing lead which is used in the production, refining, compounding or blending of gasoline. "(h) Cross References. For penalties and other general and administrative provisions applicable to this subchapter, see subtitle F."

(b) Refund for Lead Additives Exported.-Subchapter B of chapter 65 (relating to rules of special application) is amended by adding at the end thereof the following new section:

"SEC. 6428. REFUND FOR LEAD ADDITIVES EXPORTED.

"The tax paid under section 4891 (a) or (c) on lead additives shall be deemed to be an overpayment if such additives were exported by any person. No credit or refund of any overpayment to the person who paid the tax on the lead additives shall be made unless such person establishes, under regulations prescribed by the Secretary or his delegate, that he

(a) has not included the tax in the price of the article with respect to which it was imposed and has not collected the amount of the tax from the person who purchased such article; or

"(b) has repaid or agreed to repay the amount of the tax to the ultimate vendor of the article; or

"(c) has obtained the written consent of such ultimate vendor to the allowance of the credit or the making of the refund. The tax paid on lead additives which have been exported may be refunded to the exporter or shipper thereof, if the person who paid such tax waives his claim to such amount. Any person who paid the tax on lead additives who is entitled to refund of tax under this section may, instead of filing a claim for refund, take credit therefor against the tax imposed by section 4891 due on any subsequent return." (c) Clerical Amendments, etc.

(1) The table of subchapters for chapter 39 of subtitle D is amended by adding at the end thereof the following new subchapter:

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"SUBCHAPTER F. LEAD ADDITIVES."

(2) The table of sections for subchapter B of chapter 65 is amended by adding at the end thereof the following: "Sec. 6428. Refund for Lead Additives Exported."

SEC. 3. PAYMENTS WITH RESPECT TO USE OF LEAD ADDITIVES.

(a) Payments With Respect to Lead Additives Used by Refiners.— Subchapter B of chapter 65 (relating to rules of special application for abatements, credits, and refunds) is amended by adding after section 6428 (as added by section 2(b) of this title) the following new section: "SEC. 6429. LEAD ADDITIVES USED BY REFINERS.

"(a) Lead Additives.-If any person uses lead additives in the production of gasoline, the Secretary or his delegate shall, subject to the limitation contained in subsection (b), pay (without interest) to such person $4.25 for each pound of lead therein so used.

"(b) Pounds of Lead For Which Payment is To Be Made.-For purposes of subsection (a), the quantity of lead for which payment is to be made to any person for each twelve month period commencing on August 1 of each year (beginning with the twelve month period commencing August 1, 1970) shall be the lesser of:

"(1) The number of pounds of lead contained in a lead additive actually used by such person in production of gasoline during such twelve month period but not to exceed in any twelve month period the greater of (A) the pounds of lead actually used by such person in the production of gasoline in the twelve month period preceding August 1, 1970, or (B) the annual average use of lead by such person in the production of gasoline during the three years preceding August 1, 1970, or

"(2) For the twelve month period commencing on August 1 of

"(c) Controlled Group.-For purposes of subsection (b), a controlled group of corporations shall be treated as a single person, but only one component member of such group may claim a payment under this section for the lead additives used by all of the members of such controlled group. The controlled group shall designate, in accordance with regulations to be prescribed by the Secretary or his delegate, the member of such group which may claim such payment on behalf of the group. For purposes of this subsection, the term 'controlled group' has the same meaning assigned to such term by section 1563 (a) except that 50% shall be in lieu of 80% wherever such percentage appears therein.

"(d) Time for Filing Claims; Period Covered.

"(1) In General.-Except as provided in paragraph (2), not more than one claim may be filed under this section by any person with respect to lead additives used during the twelve

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month period ending on July 31 of any year. No claim shall be allowed under this paragraph with respect to any twelve month period unless filed on or before October 31 of the year in which such twelve month period ends.

"(2) Exception.-If $1,000 or more is payable under this section to any person with respect to lead additives used during any of the three month periods beginning August 1, November 1, February 1, and May 1 of each year, a claim may be filed under this section by such person with respect to lead additives used during such three month period. No claim filed under this paragraph shall be allowed unless filed on or before the last day of the three month period immediately following the three month period for which the claim is filed.

No claim shall be allowed under this subsection for amounts allowed as a credit under subsection (e).

"(e) Credit Against Tax Imposed By Section 4081.-Notwithstanding the provisions of subsection (d), a credit may be allowed against the tax imposed by section 4081 for an amount equal to the payment authorized by subsection (a) in respect of lead additives used by the producer of gasoline during the period for which the return of tax under section 4081 is made.

"(f) Definitions.

"(1) Gasoline.-As used in this section, the term 'gasoline' shall have the same meaning as set forth in section 4082 (b).

"(2) Production of Gasoline.-As used in this section, the term 'production of gasoline' includes the refining, compounding and blending of gasoline.

"(3) Lead Additives.-As used in this section, the term 'lead additive' shall have the same meaning as set forth in section 4891 (g)(2).

"(g) Applicable Laws.—

"(1) In General.-All provisions of law, including penalties, applicable in respect of the tax imposed by section 4891 shall, insofar as applicable and not inconsistent with this section, apply in respect of the payments provided for in this section to the same extent as if such payments constituted refunds of overpayments of the tax so imposed.

"(2) Examination of Books and Witnesses.-For the purpose of ascertaining the correctness of any claim made under this section, or the correctness of any payment made in respect of any such claim, the Secretary or his delegate shall have the authority granted by paragraphs (1), (2), and (3) of section 7602 (relating to examination of books and witnesses) as if the claimant were the person liable for tax.

"(h) Cross References.

"(1) For civil penalty for excessive claims under this section, see section 6675.

"(2) For fraud penalties, etc., see chapter 75 (section 7201 and following, relating to crimes, other offenses, and forfeitures)." (b) Conforming, Clerical, and Technical Amendments, Etc.

(1) Section 4227 (cross references to manufacturers excise taxes) is amended by adding at the end thereof the following new paragraph:

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"(4) For credit for the payment for lead additives used in the production of gasoline, see section 6429."

(2) The table of sections for subchapter B of chapter 65 is amended by alding at the end thereof the following:

"Sec. 6429. Lead additives used by refiners."

(3) Section 6206 is amended

(A) By striking out "and 6427" in the heading of such section and inserting in lieu thereof "6427, and 6429";

(B) By striking out "or 6427" each place it appears in the text of such section and inserting in lieu thereof "6427, or 6429"; and

(C) By striking out "or 4041 (with respect to payments under section 6427" and inserting in lieu thereof "4041 (with respect to payments under section 6427), or 4891 (with respect to payments under section 6429)".

(4) Section 6504 (cross references to limitations on assessment and collection) is amended by adding at the end thereof the following new paragraph:

"(16) Assessments to recover excessive amounts paid under section 6429 (relating to lead additives used in the production of gasoline) and assessments of civil penalties under section 6675 for excessive claims under section 6429, see section 6206."

(5) Section 6511 (relating to limitations on credit or refund) is amended by adding at the end of subsection (g) the following new paragraph:

"(7) For limitation in case of payments under section 6429 (relating to lead additives used in refining gasoline), see section 6429 (d)."

(6) Section 6675 is amended

(A) By striking out "Fuels Or Lubricating Oil." in the heading of such section and inserting in lieu thereof "Fuels, Lubricating Oil, or Lead Additives.";

(B) By striking out "or" before "6427" in subsection (a), and by inserting after "taxable purposes)" in such subsection, "or 6429 (relating to lead additives used in the production of gasoline)"; and

(C) By striking out "or 6427" in subsection (b)(1) and inserting in lieu thereof "6427, or 6429".

(7) Sections 7210, 7603, and 7604, and the first sentence of section 7605(a) are each amended by inserting "6429 (g) (2)", after "6427 (e) (2),". The second sentence of section 7605(a) is amended by striking out "or 6427 (e) (2)" and inserting in lieu thereof "6427 (e) (2), or 6429 (g) (2)".

(8) The table of sections for subchapter A of chapter 63 is amended by striking out "and 6427" in the item relating to section 6206 and inserting in lieu thereof "6427, and 6429".

(9) The table of sections for subchapter B of chapter 68 is amended by striking out "Fuels or lubricating oil" in the item. relating to section 6675 and inserting in lie thereof "Fuels, lubricating oil, or lead additives".

SEC. 4. HIGHWAY TRUST FUND AMENDMENTS.

(a) Subsection (c) of section 209 of the Highway Revenue Act of 1956 (23 U.S.C., sec. 120 note) is amended by striking out "(tax on

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gasoline)" in subparagraph (1)(A) and inserting in lieu thereof "(tax on gasoline without regard to the credit provided under section 6429 (e))".

SEC. 5. EFFECTIVE DATES.

(a) Tax on Lead Additives.-The amendments made by section. 2(a) of this Act shall apply to the sale of lead additives or importation of gasoline containing lead additives after July 31, 1970, except that the floor stocks tax shall apply with respect to inventories of lead additives as of August 1, 1970.

(b) Payments With Respect to Use of Lead Additives. The amendments made by section 3 (a) of this Act shall apply with respect to lead additives used in the production of gasoline after July 31, 1970.