Internal Revenue Code:Sec. 4481. Imposition of tax
From TaxAlmanac, A Free Online Resource for Tax Professionals
Note: You are using this website at your own risk, subject to our Disclaimer and Website Use and Contribution Terms.
From TaxAlmanac
Contents |
Location in Internal Revenue Code
TITLE 26 - INTERNAL REVENUE CODE
Subtitle D - Miscellaneous Excise Taxes
CHAPTER 36 - CERTAIN OTHER EXCISE TAXES
Subchapter D - Tax on Use of Certain Vehicles
Statute
Sec. 4481. Imposition of tax
(a) Imposition of tax
A tax is hereby imposed on the use of any highway motor vehicle
which (together with the semitrailers and trailers customarily used
in connection with highway motor vehicles of the same type as such
highway motor vehicle) has a taxable gross weight of at least
55,000 pounds at the rate specified in the following table:
---------------------------------------------------------------------
Taxable gross weight: Rate of tax:
---------------------------------------------------------------------
At least 55,000 pounds, but not $100 per year plus $22 for each
over 75,000 pounds 1,000 pounds (or fraction
thereof) in excess of 55,000
pounds.
Over 75,000 pounds $550.
-------------------------------
(b) By whom paid
The tax imposed by this section shall be paid by the person in
whose name the highway motor vehicle is, or is required to be,
registered under the law of the State or contiguous foreign country
in which such vehicle is, or is required to be, registered, or, in
case the highway motor vehicle is owned by the United States, by
the agency or instrumentality of the United States operating such
vehicle.
(c) Proration of tax
(1) Where first use occurs after first month
If in any taxable period the first use of the highway motor
vehicle is after the first month in such period, the tax shall be
reckoned proportionately from the first day of the month in which
such use occurs to and including the last day in such taxable
period.
(2) Where vehicle sold, destroyed, or stolen
(A) In general
If in any taxable period a highway motor vehicle is sold,
destroyed, or stolen before the first day of the last month in
such period and not subsequently used during such taxable
period, the tax shall be reckoned proportionately from the
first day of the month in such period in which the first use of
such highway motor vehicle occurs to and including the last day
of the month in which such highway motor vehicle was sold,
destroyed, or stolen.
(B) Destroyed
For purposes of subparagraph (A), a highway motor vehicle is
destroyed if such vehicle is damaged by reason of an accident
or other casualty to such an extent that it is not economic to
rebuild.
(d) One tax liability per period
(1) In general
To the extent that the tax imposed by this section is paid with
respect to any highway motor vehicle for any taxable period, no
further tax shall be imposed by this section for such taxable
period with respect to such vehicle.
(2) Cross reference
For privilege of paying tax imposed by this section in
installments, see section 6156.
(e) Electronic Filing.--Any taxpayer who files a return under this
section with respect to 25 or more vehicles for any taxable
period shall file such return electronically.
(f) Period tax in effect
The tax imposed by this section shall apply only to use before
October 1, 2011.
Sources
(Added June 29, 1956, ch. 462, title II, Sec. 206(a), 70 Stat. 390;
amended Pub. L. 87-61, title II, Sec. 203(a), (b)(1), (2)(A), (B),
June 29, 1961, 75 Stat. 124; Pub. L. 91-605, title III, Sec.
303(a)(7), (8), Dec. 31, 1970, 84 Stat. 1744; Pub. L. 94-280, title
III, Sec. 303(a)(7), (8), May 5, 1976, 90 Stat. 456; Pub. L.
95-599, title V, Sec. 502(a)(6), (7), Nov. 6, 1978, 92 Stat. 2756;
Pub. L. 97-424, title V, Sec. 513(a), (d), 516(a)(4), Jan. 6, 1983,
96 Stat. 2177, 2179, 2182; Pub. L. 98-369, div. A, title VII, Sec.
734(f), title IX, Sec. 901(a), July 18, 1984, 98 Stat. 980, 1003;
Pub. L. 100-17, title V, Sec. 502(a)(5), 507(a), Apr. 2, 1987, 101
Stat. 256, 260; Pub. L. 101-508, title XI, Sec. 11211(c)(5), Nov.
5, 1990, 104 Stat. 1388-426; Pub. L. 102-240, title VIII, Sec.
8002(a)(5), Dec. 18, 1991, 105 Stat. 2203; Pub. L. 104-188, title
I, Sec. 1704(t)(57), Aug. 20, 1996, 110 Stat. 1890; Pub. L.
105-178, title IX, Sec. 9002(a)(1)(G), June 9, 1998, 112 Stat.
499.)
Miscellaneous
AMENDMENTS
2005 - Public Law 109-059 of 2005 amends
Section 4481(f) by striking the year 2005 and
inserting the year 2011.
Effective Date- The amendments made by this section shall take
effect on the date of the enactment of this Act.
2004 - Subsec.867(c),Pub.L.108-357, amended Sec.4481 by
redesignating subsection (e) as subsection (f) and by inserting
after subsection (d) the following new subsection:
"(e) Electronic Filing.--Any taxpayer who files a return under
this section with respect to 25 or more vehicles for any taxable
period shall file such return electronically."
2004 - Subsec.867(a),Pub.L.108-357, amended Sec.4481(c)(2)
paragraph (A) by striking "destroyed or stolen" both places it
appears and inserting "sold, destroyed, or stolen".
1998 - Subsec. (e). Pub. L. 105-178 substituted ''2005'' for
''1999''.
1996 - Subsec. (e). Pub. L. 104-188 provided that section
8002(a)(5) of Pub. L. 102-240 shall be applied as if ''4481(e)''
appeared instead of ''4481(c)''. See 1991 Amendment note below.
1991 - Subsec. (e). Pub. L. 102-240, which directed the
substitution of ''1999'' for ''1995'' in subsec. (c), was executed
by making the substitution in subsec. (e). See 1996 Amendment note
above.
1990 - Subsec. (e). Pub. L. 101-508 substituted ''1995'' for
''1993''.
1987 - Subsec. (b). Pub. L. 100-17, Sec. 507(a), inserted ''or
contiguous foreign country'' after ''State''.
Subsec. (e). Pub. L. 100-17, Sec. 502(a)(5), substituted ''1993''
for ''1988''.
1984 - Subsec. (a). Pub. L. 98-369, Sec. 901(a), in amending
subsec. (a) generally, substituted ''55,000'' for ''33,000'' in
provisions preceding table, struck out heading ''(1) In general'',
substituted table provisions for former table which provided:
---------------------------------------------------------------------
Taxable gross weight
At least But less than Rate of tax
---------------------------------------------------------------------
33,000 pounds 55,000 $50 a year, plus $25
for each 1,000
pounds or fraction
thereof in excess
of 33,000 pounds.
55,000 pounds 80,000 $600 a year, plus
the applicable rate
for each 1,000
pounds or fraction
thereof in excess
of 55,000 pounds
80,000 pounds or more The maximum tax a
year.
-------------------------------
and struck out par. (2) which provided applicable rates and maximum
taxes for taxable periods beginning July 1, 1984 through 1988 or
thereafter.
Pub. L. 98-369, Sec. 734(f), struck out from subsec. (a), as
subsec. (a) was in effect before the amendments made by section
513(a) of Pub. L. 97-424: ''In case of the taxable period beginning
on July 1, 1984, and ending on September 30, 1984, the tax shall be
at the rate of 75 cents for such period for each 1,000 pounds of
taxable gross weight or fraction thereof.'' See 1983 Amendment note
below.
1983 - Subsec. (a). Pub. L. 97-424, Sec. 513(a), substituted ''at
least 33,000 pounds at the rate specified in the following table:''
for ''more than 26,000 pounds, at the rate of $3.00 a year for each
1,000 pounds of taxable gross weight or fraction thereof.'', and
added pars. (1) and (2).
Subsec. (c). Pub. L. 97-424, Sec. 513(d), designated existing
provisions as par. (1) and added par. (2).
Subsec. (e). Pub. L. 97-424, Sec. 516(a)(4), substituted ''1988''
for ''1984'' after ''October 1,''.
1978 - Subsec. (a). Pub. L. 95-599, Sec. 502(a)(6), substituted
''1984'' for ''1979'' in two places.
Subsec. (e). Pub. L. 95-599, Sec. 502(a)(7), substituted ''1984''
for ''1979''.
1976 - Subsec. (a). Pub. L. 94-280, Sec. 303(a)(7), substituted
''1979'' for ''1977'' in two places.
Subsec. (e). Pub. L. 94-280, Sec. 303(a)(8), substituted ''1979''
for ''1977''.
1970 - Subsec. (a). Pub. L. 91-605, Sec. 303(a)(7), substituted
''1977'' for ''1972'' in two places.
Subsec. (e). Pub. L. 91-605, Sec. 303(a)(8), substituted ''1977''
for ''1972''.
1961 - Subsec. (a). Pub. L. 87-61, Sec. 203(a), (b)(2)(A),
increased rate of tax from $1.50 to $3.00 a year, and provided for
a tax at the rate of 75 cents for each 1,000 pounds during the
period beginning on July 1, 1972, and ending on September 30, 1972.
Subsec. (c). Pub. L. 87-61, Sec. 203(b)(2)(B), substituted ''any
taxable period'' for ''any year'', ''after the first month in such
period'' for ''after July 31'', and ''the last day in such taxable
period'' for ''the last day of June following''.
Subsec. (d). Pub. L. 87-61, Sec. 203(b)(2)(B), made conforming
changes to refer to payment of tax for a taxable period instead of
payment for a year, and inserted cross reference to section 6156.
Subsec. (e). Pub. L. 87-61, Sec. 203(b)(1), substituted ''before
October 1, 1972'' for ''after June 30, 1956, and before July 1,
1972''.
EFFECTIVE DATE OF 2004 AMENDMENT
Amendment made by Pub.L.108-357,Sec.867, shall apply to taxable
periods beginning after the date of the enactment of this Act.
EFFECTIVE DATE OF 1987 AMENDMENT
Section 507(d) of Pub. L. 100-17 provided that: ''The amendments
made by subsections (a) and (b) (amending this section and section
4483 of this title) shall take effect on July 1, 1987.''
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by section 734(f) of Pub. L. 98-369 effective, except
as otherwise provided, as if included in the provisions of the
Highway Revenue Act of 1982, title V of Pub. L. 97-424, to which
such amendment relates, see section 736 of Pub. L. 98-369, set out
as a note under section 4051 of this title.
Section 901(c) of Pub. L. 98-369 provided that: ''The amendment
made by subsection (a) (amending this section) (and the provisions
of subsection (b) (set out below)) shall take effect on July 1,
1984.''
EFFECTIVE DATE OF 1983 AMENDMENT
Section 513(f) of Pub. L. 97-424, as amended by Pub. L. 99-514,
Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that:
''(1) In general. - Except as otherwise provided in this
subsection, the amendments made by this section (amending this
section and sections 4482 and 4483 of this title and enacting
provisions set out below) shall take effect on July 1, 1984.
''(2) Special rule in the case of certain owner-operators. -
''(A) In general. - In the case of a small owner-operator,
paragraph (1) of this subsection and paragraph (2) of section
4481(a) of the Internal Revenue Code of 1986 (formerly I.R.C.
1954) (as added by this section) shall be applied by substituting
for each date contained in such paragraphs a date which is 1 year
after the date so contained.
''(B) Small owner-operator. - For purposes of this paragraph,
the term ''small owner-operator'' means any person who owns and
operates at any time during the taxable period no more than 5
highway motor vehicles with respect to which a tax is imposed by
section 4481 of such Code for such taxable period.
''(No subpar. (C) has been enacted.)
''(D) Aggregation of vehicle ownerships. - For purposes of
subparagraph (B), all highway motor vehicles with respect to
which a tax is imposed by section 4481 of such Code which are
owned by -
''(i) any trade or business (whether or not incorporated)
which is under common control with the taxpayer (within the
meaning of section 52(b)), or
''(ii) any member of any controlled groups of corporations of
which the taxpayer is a member, for any taxable period shall be
treated as being owned by the taxpayer during such period. The
Secretary shall prescribe regulations which provide attribution
rules that take into account, in addition to the persons and
entities described in the preceding sentence, taxpayers who own
highway motor vehicles through partnerships, joint ventures,
and corporations.
''(E) Controlled groups of corporations. - For purposes of this
paragraph, the term 'controlled group of corporations' has the
meaning given to such term by section 1563(a), except that -
''(i) 'more than 50 percent' shall be substituted for 'at
least 80 percent' each place it appears in section 1563(a)(1),
and
''(ii) the determination shall be made without regard to
subsections (a)(4) and (e)(3)(C) of section 1563.
''(F) Highway motor vehicles. - For purposes of this paragraph,
the term 'highway motor vehicle' has the meaning given to such
term by section 4482(a) of such Code.''
EFFECTIVE DATE OF 1961 AMENDMENT
Amendment by Pub. L. 87-61 effective July 1, 1961, see section
208 of Pub. L. 87-61, set out as a note under section 4041 of this
title.
EFFECTIVE DATE
Section effective June 29, 1956, see section 211 of act June 29,
1956, set out as an Effective Date of 1956 Amendment note under
section 4041 of this title.
REGULATIONS
Section 507(c) of Pub. L. 100-17 provided that: ''The Secretary
of the Treasury or the delegate of the Secretary shall within 120
days after the date of the enactment of this section (Apr. 2, 1987)
prescribe regulations governing payment of the tax imposed by
section 4481 of the Internal Revenue Code of 1986 on any highway
motor vehicle operated by a motor carrier domiciled in any
contiguous foreign country or owned or controlled by persons of any
contiguous foreign country. Such regulations shall include a
procedure by which the operator of such motor vehicle shall
evidence that such operator has paid such tax at the time such
motor vehicle enters the United States. In the event of the failure
to provide evidence of payment, such regulations may provide for
denial of entry of such motor vehicle into the United States.''
SPECIAL RULES IN THE CASE OF CERTAIN OWNER-OPERATORS
Section 901(b) of Pub. L. 98-369, as amended by Pub. L. 99-514,
Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that:
''(1) Special rule for taxable period beginning on july 1, 1984.
- In the case of a small owner-operator, the amount of the tax
imposed by section 4481 of the Internal Revenue Code of 1986
(formerly I.R.C. 1954) on the use of any highway motor vehicle
subject to tax under section 4481(a) of such Code (as amended by
subsection (a)) for the taxable period which begins on July 1,
1984, shall be the lesser of -
''(A) $3 for each 1,000 pounds of taxable gross weight (or
fraction thereof), or
''(B) the amount of the tax which would be imposed under such
section 4481(a) without regard to this paragraph.
''(2) Exemption for vehicles used for less than 5,000 miles (and
certain other amendments) to take effect on july 1, 1984. - In the
case of a small owner-operator, notwithstanding subsection (f)(2)
of section 513 of the Highway Revenue Act of 1982 (section
513(f)(2) of Pub. L. 97-424, set out as an Effective Date of 1983
Amendment note above), the amendments made by subsections (b), (c),
and (d) of such section (amending sections 4481 to 4483 of this
title) shall take effect on July 1, 1984.
''(3) Small owner-operator defined. - For purposes of this
subsection, the term 'small owner-operator' has the meaning given
such term by section 513(f)(2) of the Highway Revenue Act of 1982.
''(4) Taxable gross weight. - For purposes of this subsection,
the term 'taxable gross weight' has the same meaning as when used
in section 4481 of the Internal Revenue Code of 1986.''
STUDIES RELATING TO HEAVY VEHICLE USE TAX
Part I (Sec. 931-934) of subtitle D of title IX of div. A of
Pub. L. 98-369, as amended by Pub. L. 99-514, Sec. 2, Oct. 22,
1986, 100 Stat. 2095, provided that:
''SEC. 931. WHETHER HEAVY VEHICLES BEAR FAIR SHARE OF HIGHWAY
COSTS.
''The Secretary of Transportation shall conduct a study of
whether highway motor vehicles with taxable gross weights of 80,000
pounds or more bear their fair share of the costs of the highway
system.
''SEC. 932. TRANS-BORDER TRUCKING.
''The Secretary of Transportation shall conduct a study to
determine the significance of the tax imposed by section 4481 of
the Internal Revenue Code of 1986 (relating to tax on use of
certain vehicles) on trans-border trucking operations.
''SEC. 933. WEIGHT-DISTANCE TAXES.
''The Secretary of Transportation shall conduct a study to
evaluate the feasibility and ability of weight-distance truck taxes
to provide the greatest degree of equity among highway users, to
ease the costs of compliance of such taxes, and to improve the
efficiency by which such taxes might be administered. Such study
shall also include an evaluation of the evasion potential for
weight-distance taxes and an assessment of the benefits to
interstate commerce of replacing all Federal truck taxes (other
than fuel taxes) with a weight-distance tax.
''SEC. 934. REPORTS, ETC.
''(a) Consultation With Treasury. - Studies conducted under this
part shall be conducted in consultation with the Secretary of the
Treasury.
''(b) Report. - Not later than October 1, 1987, the Secretary of
Transportation shall submit to the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of the
Senate a report on each study conducted under this part together
with such recommendations as the Secretary may deem advisable.''
STUDY OF ALTERNATIVES TO TAX ON USE OF HEAVY TRUCKS
Section 513(g) of Pub. L. 97-424 provided that the Secretary of
Transportation, in consultation with the Secretary of the Treasury,
conduct a study of alternatives to the tax on heavy vehicles
imposed by section 4481(a) of the Internal Revenue Code, and plans
for improving the collecting and enforcement of such tax and
alternatives to such tax, such alternatives to include taxes based
either singly or in suitable combinations on vehicle size or
configuration; vehicle weight, both registered and actual operating
weight; and distance traveled, and such plans for improving tax
collection and enforcement to provide for Federal and State
co-operation in such activities. The study was to be conducted in
consultation with State officials, motor carriers, and other
affected parties, and the Secretary of Transportation was to submit
a report and recommendations to the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of the
Senate not later than Jan. 1, 1985.
References
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 4482, 4483, 6156, 6302,
9503 of this title; title 23 section 141; title 49 section 13902.
