
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC6423]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                Subtitle F--Procedure and Administration
 
              CHAPTER 65--ABATEMENTS, CREDITS, AND REFUNDS
 
               Subchapter B--Rules of Special Application
 
Sec. 6423. Conditions to allowance in the case of alcohol and 
        tobacco taxes
        

(a) Conditions

    No credit or refund shall be allowed or made, in pursuance of a 
court decision or otherwise, of any amount paid or collected as an 
alcohol or tobacco tax unless the claimant establishes (under 
regulations prescribed by the Secretary)--
        (1) that he bore the ultimate burden of the amount claimed; or
        (2) that he has unconditionally repaid the amount claimed to the 
    person who bore the ultimate burden of such amount; or
        (3) that (A) the owner of the commodity furnished him the amount 
    claimed for payment of the tax, (B) he has filed with the Secretary 
    the written consent of such owner to the allowance to the claimant 
    of the credit or refund, and (C) such owner satisfies the 
    requirements of paragraph (1) or (2).

(b) Filing of claims

    No credit or refund of any amount to which subsection (a) applies 
shall be allowed or made unless a claim therefor has been filed by the 
person who paid the amount claimed, and unless such claim is filed 
within the time prescribed by law and in accordance with regulations 
prescribed by the Secretary. All evidence relied upon in support of such 
claim shall be clearly set forth and submitted with the claim.

(c) Application of section

    This section shall apply only if the credit or refund is claimed on 
the grounds that an amount of alcohol or tobacco tax was assessed or 
collected erroneously, illegally, without authority, or in any manner 
wrongfully, or on the grounds that such amount was excessive. This 
section shall not apply to--
        (1) any claim for drawback, and
        (2) any claim made in accordance with any law expressly 
    providing for credit or refund where a commodity is withdrawn from 
    the market, returned to bond, or lost or destroyed.

(d) Meaning of terms

    For purposes of this section--

                     (1) Alcohol or tobacco tax

        The term ``alcohol or tobacco tax'' means--
            (A) any tax imposed by chapter 51 (other than part II of 
        subchapter A, relating to occupational taxes) or by chapter 52 
        or by any corresponding provision of prior internal revenue 
        laws, and
            (B) in the case of any commodity of a kind subject to a tax 
        described in subparagraph (A), any tax equal to any such tax, 
        any additional tax, or any floor stocks tax.

                               (2) Tax

        The term ``tax'' includes a tax and an exaction denominated a 
    ``tax'', and any penalty, addition to tax, additional amount, or 
    interest applicable to any such tax.

                         (3) Ultimate burden

        The claimant shall be treated as having borne the ultimate 
    burden of an amount of an alcohol or tobacco tax for purposes of 
    subsection (a)(1), and the owner referred to in subsection (a)(3) 
    shall be treated as having borne such burden for purposes of such 
    subsection, only if--
            (A) he has not, directly or indirectly, been relieved of 
        such burden or shifted such burden to any other person,
            (B) no understanding or agreement exists for any such relief 
        or shifting, and
            (C) if he has neither sold nor contracted to sell the 
        commodities involved in such claim, he agrees that there will be 
        no such relief or shifting, and furnishes such bond as the 
        Secretary may require to insure faithful compliance with his 
        agreement.

(Added Pub. L. 85-323, Sec. 1, Feb. 11, 1958, 72 Stat. 9; amended Pub. 
L. 94-455, title XIX, Sec. 1906(a)(29), (b)(13)(A), Oct. 4, 1976, 90 
Stat. 1828, 1834.)


                               Amendments

    1976--Subsec. (a). Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out 
``or his delegate'' after ``Secretary'' wherever appearing.
    Subsec. (b). Pub. L. 94-455, Sec. 1906(a)(29)(A), among other 
changes, struck out provisions allowing any claimant who has on or 
before Apr. 30, 1958, filed a claim for any amount to which subsec. (a) 
applies, may file a superseding claim after Apr. 30, 1958, conforming to 
the requirements of this section and covering the amount claimed in such 
prior claim.
    Subsec. (c). Pub. L. 94-455, Sec. 1906(a)(29)(B), (C), redesignated 
subsec. (d) as (c) and struck out par. (3) relating to any amount 
claimed with respect to a commodity which has been lost, where a suit or 
proceeding was instituted before June 15, 1957. Former subsec. (c), 
relating to disallowance of any suit or proceeding which was barred on 
Apr. 30, 1958, was struck out.
    Subsecs. (d), (e). Pub. L. 94-455, Sec. 1906(a)(29)(B), (b)(13)(A), 
redesignated subsec. (e) as (d) and struck out ``or his delegate'' after 
``Secretary''. Former subsec. (d) redesignated (c).


                    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 
1906(d)(1) of Pub. L. 94-455, set out as a note under section 6013 of 
this title.


                             Effective Date

    Section 3 of Pub. L. 85-323 provided that this section shall not 
apply to any credit or refund allowed or made before May 1, 1958.
