
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC4371]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                 Subtitle D--Miscellaneous Excise Taxes
 
             CHAPTER 34--POLICIES ISSUED BY FOREIGN INSURERS
 
Sec. 4371. Imposition of tax

    There is hereby imposed, on each policy of insurance, indemnity 
bond, annuity contract, or policy of reinsurance issued by any foreign 
insurer or reinsurer, a tax at the following rates:

             (1) Casualty insurance and indemnity bonds

        4 cents on each dollar, or fractional part thereof, of the 
    premium paid on the policy of casualty insurance or the indemnity 
    bond, if issued to or for, or in the name of, an insured as defined 
    in section 4372(d);

      (2) Life insurance, sickness, and accident policies, and 
                              annuity contracts

        1 cent on each dollar, or fractional part thereof, of the 
    premium paid on the policy of life, sickness, or accident insurance, 
    or annuity contract; and

                           (3) Reinsurance

        1 cent on each dollar, or fractional part thereof, of the 
    premium paid on the policy of reinsurance covering any of the 
    contracts taxable under paragraph (1) or (2).

(Aug. 16, 1954, ch. 736, 68A Stat. 521; Mar. 13, 1956, ch. 83, 
Sec. 5(9), 70 Stat. 49; Pub. L. 85-859, title I, Sec. 141(a), Sept. 2, 
1958, 72 Stat. 1300; Pub. L. 86-69, Sec. 3(f)(3), June 25, 1959, 73 
Stat. 140; Pub. L. 89-44, title VIII, Sec. 804(b), June 21, 1965, 79 
Stat. 160; Pub. L. 94-455, title XIX, Sec. 1904(a)(12), Oct. 4, 1976, 90 
Stat. 1812; Pub. L. 98-369, div. A, title II, Sec. 211(b)(23), July 18, 
1984, 98 Stat. 757; Pub. L. 100-203, title X, Sec. 10242(c)(3), Dec. 22, 
1987, 101 Stat. 1330-423; Pub. L. 101-239, title VII, Sec. 7811(i)(11), 
Dec. 19, 1989, 103 Stat. 2411.)


                               Amendments

    1989--Par. (2). Pub. L. 101-239 struck out ``, unless the insurer is 
subject to tax under section 842(b)'' after ``or annuity contract''.
    1987--Par. (2). Pub. L. 100-203 substituted ``section 842(b)'' for 
``section 813''.
    1984--Par. (2). Pub. L. 98-369 substituted ``section 813'' for 
``section 819''.
    1976--Pub. L. 94-455 substituted in par. (1) ``4 cents'' for ``four 
cents'' and ``premium paid'' for ``premium charged'', in pars. (2) and 
(3) ``1 cent'' for ``one cent'' and ``premium paid'' for ``premium 
charged'', and struck out provision following par. (3) relating to 
computation of tax on premium paid in lieu of premium charged.
    1965--Pub. L. 89-44 inserted last sentence relating to computation 
of tax on premium paid in lieu of premium charged.
    1959--Par. (2). Pub. L. 86-69 substituted ``section 819'' for 
``section 816''.
    1958--Pub. L. 85-859 substituted ``is hereby imposed, on each policy 
of insurance, indemnity bond, annuity contract, or policy of reinsurance 
issued by any foreign insurer or reinsurer, a tax'' for ``shall be 
imposed a tax on each policy of insurance, indemnity bond, annuity 
contract, or policy of reinsurance issued by any foreign insurer or 
reinsurer''.
    1956--Par. (2). Act Mar. 13, 1956, substituted ``section 816'' for 
``section 807''.


                    Effective Date of 1989 Amendment

    Amendment by Pub. L. 101-239 effective, except as otherwise 
provided, as if included in the provision of the Technical and 
Miscellaneous Revenue Act of 1988, Pub. L. 100-647, to which such 
amendment relates, see section 7817 of Pub. L. 101-239, set out as a 
note under section 1 of this title.


                    Effective Date of 1987 Amendment

    Amendment by Pub. L. 100-203 applicable to taxable years beginning 
after Dec. 31, 1987, see section 10242(d) of Pub. L. 100-203, set out as 
a note under section 816 of this title.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-369 applicable to taxable years beginning 
after Dec. 31, 1983, see section 215 of Pub. L. 98-369, set out as an 
Effective Date note under section 801 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 1904(d) 
of Pub. L. 94-455, set out as a note under section 4041 of this title.


                    Effective Date of 1965 Amendment

    Amendment by Pub. L. 89-44 applicable with respect to policies, 
bonds, and contracts with respect to which the tax imposed by this 
section is required to be paid on the basis of a return, see section 
804(c) of Pub. L. 89-44, set out as a note under section 4374 of this 
title.


                    Effective Date of 1959 Amendment

    Amendment by Pub. L. 86-69 applicable only with respect to taxable 
years beginning after Dec. 31, 1957, see section 4 of Pub. L. 86-69, set 
out as an Effective Date note under section 381 of this title.


                    Effective Date of 1958 Amendment

    Amendment by Pub. L. 85-859 effective on first day of first calendar 
quarter which begins more than 60 days after Sept. 2, 1958, see section 
1(c) of Pub. L. 85-859.


                    Effective Date of 1956 Amendment

    Amendment by act Mar. 13, 1956, applicable only to taxable years 
beginning after Dec. 31, 1954, see section 6 of act Mar. 13, 1956, set 
out as a note under section 316 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 953, 4372, 4373, 4374 of 
this title.
