Internal Revenue Code:Sec. 5131. Eligibility and rate of tax

From TaxAlmanac

Location in Internal Revenue Code

     TITLE 26 - INTERNAL REVENUE CODE
      Subtitle E - Alcohol, Tobacco, and Certain Other Excise Taxes
       CHAPTER 51 - DISTILLED SPIRITS, WINES, AND BEER
        Subchapter A - Gallonage and Occupational Taxes
         PART II - OCCUPATIONAL TAX
          Subpart F - Nonbeverage Domestic Drawback Claimants
        

Statute

    Sec. 5131. Eligibility and rate of tax
 
    (a) Eligibility for drawback
      Any person using distilled spirits on which the tax has been
    determined, in the manufacture or production of medicines,
    medicinal preparations, food products, flavors, flavoring extracts,
    or perfume, which are unfit for beverage purposes, on payment of a
    special tax per annum, shall be eligible for drawback at the time
    when such distilled spirits are used in the manufacture of such
    products as provided for in this subpart.
    (b) Rate of tax
      The special tax imposed by subsection (a) shall be $500 per year.
 

Sources

    (Added Pub. L. 85-859, title II, Sec. 201, Sept. 2, 1958, 72 Stat.
    1345; amended Pub. L. 94-455, title XIX, Sec. 1905(a)(11), Oct. 4,
    1976, 90 Stat. 1819; Pub. L. 100-203, title X, Sec. 10512(d), Dec.
    22, 1987, 101 Stat. 1330-448; Pub. L. 103-465, title I, Sec.
    136(b), Dec. 8, 1994, 108 Stat. 4841.)
 

Miscellaneous

                              PRIOR PROVISIONS
      A prior section 5131, act Aug. 16, 1954, ch. 736, 68A Stat. 622,
    consisted of provisions similar to those comprising this section,
    prior to the general revision of this chapter by Pub. L. 85-859.
                                 AMENDMENTS
      1994 - Subsec. (a). Pub. L. 103-465 substituted ''flavoring
    extracts, or perfume'' for ''or flavoring extracts''.
      1987 - Subsec. (b). Pub. L. 100-203 amended subsec. (b)
    generally.  Prior to amendment, subsec. (b) read as follows: ''The
    special tax imposed by subsection (a) shall be graduated in amount
    as follows: (1) for total annual use not exceeding 25 proof
    gallons, $25 a year; (2) for total annual use not exceeding 50
    proof gallons, $50 a year; (3) for total annual use of more than 50
    proof gallons, $100 a year.''
      1976 - Subsec. (a). Pub. L. 94-455 struck out ''produced in a
    domestic registered distillery or industrial alcohol plant and
    withdrawn from bond, or using distilled spirits withdrawn from the
    bonded premises of a distilled spirits plant,'' after ''Any person
    using distilled spirits''.
                      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 1987 AMENDMENT
      Amendment by Pub. L. 100-203 effective Jan. 1, 1988, see section
    10512(h) of Pub. L. 100-203, set out as an Effective Date note
    under section 5081 of this title.
                      EFFECTIVE DATE OF 1976 AMENDMENT
      Amendment by 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.
                               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.
 

References

                   SECTION REFERRED TO IN OTHER SECTIONS
      This section is referred to in sections 5142, 7652 of this title.