
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: 26USC5354]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
      Subtitle E--Alcohol, Tobacco, and Certain Other Excise Taxes
 
             CHAPTER 51--DISTILLED SPIRITS, WINES, AND BEER
 
             Subchapter F--Bonded and Taxpaid Wine Premises
 
                          PART I--ESTABLISHMENT
 
Sec. 5354. Bond

    The bond for a bonded wine cellar shall be in such form, on such 
conditions, and with such adequate surety, as regulations issued by the 
Secretary shall prescribe, and shall be in a penal sum not less than the 
tax on any wine or distilled spirits possessed or in transit at any one 
time (taking into account the appropriate amount of credit with respect 
to such wine under section 5041(c)), but not less than $1,000 nor more 
than $50,000; except that where the tax on such wine and on such 
distilled spirits exceeds $250,000, the penal sum of the bond shall be 
not more than $100,000. Where additional liability arises as a result of 
deferral of payment of tax payable on any return, the Secretary may 
require the proprietor to file a supplemental bond in such amount as may 
be necessary to protect the revenue. The liability of any person on any 
such bond shall apply whether the transaction or operation on which the 
liability of the proprietor is based occurred on or off the proprietor's 
premises.

(Added Pub. L. 85-859, title II, Sec. 201, Sept. 2, 1958, 72 Stat. 1379; 
amended Pub. L. 94-455, title XIX, Sec. 1906(b)(13)(A), Oct. 4, 1976, 90 
Stat. 1834; Pub. L. 98-369, div. A, title IV, Sec. 455(c), July 18, 
1984, 98 Stat. 823; Pub. L. 104-188, title I, Sec. 1702(b)(7), Aug. 20, 
1996, 110 Stat. 1869.)


                            Prior Provisions

    A prior section 5354, act Aug. 16, 1954, ch. 736, 68A Stat. 663, 
consisted of provisions similar to those comprising this section, prior 
to the general revision of this chapter by Pub. L. 85-859.


                               Amendments

    1996--Pub. L. 104-188 inserted ``(taking into account the 
appropriate amount of credit with respect to such wine under section 
5041(c))'' after ``any one time''.
    1984--Pub. L. 98-369 substituted ``distilled spirits'' for ``wine 
spirits'' in two places.
    1976--Pub. L. 94-455 struck out ``or his delegate'' after 
``Secretary'' wherever appearing.


                    Effective Date of 1996 Amendment

    Amendment by Pub. L. 104-188 effective, except as otherwise 
expressly provided, as if included in the provision of the Revenue 
Reconciliation Act of 1990, Pub. L. 101-508, title XI, to which such 
amendment relates, see section 1702(i) of Pub. L. 104-188, set out as a 
note under section 38 of this title.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-369 effective July 18, 1984, see section 
456(c) of Pub. L. 98-369, set out as an Effective Date note under 
section 5101 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 5173, 5355 of this title.
