
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: 26USC6653]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                Subtitle F--Procedure and Administration
 
  CHAPTER 68--ADDITIONS TO THE TAX, ADDITIONAL AMOUNTS, AND ASSESSABLE 
                                PENALTIES
 
        Subchapter A--Additions to the Tax and Additional Amounts
 
                       PART I--GENERAL PROVISIONS
 
Sec. 6653. Failure to pay stamp tax

    Any person (as defined in section 6671(b)) who--
        (1) willfully fails to pay any tax imposed by this title which 
    is payable by stamp, coupons, tickets, books, or other devices or 
    methods prescribed by this title or by regulations under the 
    authority of this title, or
        (2) willfully attempts in any manner to evade or defeat any such 
    tax or the payment thereof,

shall, in addition to other penalties provided by law, be liable for a 
penalty of 50 percent of the total amount of the underpayment of the 
tax.

(Aug. 16, 1954, ch. 736, 68A Stat. 822; Pub. L. 85-866, title I, 
Sec. 86, Sept. 2, 1958, 72 Stat. 1665; Pub. L. 91-172, title I, 
Sec. 101(j)(50), title IX, Sec. 943(c)(6), Dec. 30, 1969, 83 Stat. 531, 
729; Pub. L. 91-679, Sec. 2, Jan. 12, 1971, 84 Stat. 2063; Pub. L. 93-
406, title II, Sec. 1016(a)(18), Sept. 2, 1974, 88 Stat. 931; Pub. L. 
96-223, title I, Sec. 101(f)(8), Apr. 2, 1980, 94 Stat. 253; Pub. L. 97-
34, title V, Sec. 501(b), title VII, Sec. 722(b)(1), Aug. 13, 1981, 95 
Stat. 326, 342; Pub. L. 97-248, title III, Sec. 325(a), Sept. 3, 1982, 
96 Stat. 616; Pub. L. 97-448, title I, Secs. 105(a)(1)(D), 107(a)(3), 
Jan. 12, 1983, 96 Stat. 2384, 2391; Pub. L. 98-67, title I, Sec. 106, 
Aug. 5, 1983, 97 Stat. 382; Pub. L. 98-369, div. A, title I, 
Sec. 179(b)(3), July 18, 1984, 98 Stat. 718; Pub. L. 99-44, Sec. 1(b), 
May 24, 1985, 99 Stat. 77; Pub. L. 99-514, title XV, Sec. 1503(a), (b), 
(c)(2), (3), (d)(1), Oct. 22, 1986, 100 Stat. 2742, 2743; Pub. L. 100-
647, title I, Sec. 1015(b)(2)(A), (B), (3), Nov. 10, 1988, 102 Stat. 
3569; Pub. L. 101-239, title VII, Sec. 7721(c)(1), Dec. 19, 1989, 103 
Stat. 2399.)


                               Amendments

    1989--Pub. L. 101-239 substituted ``Failure to pay stamp tax'' for 
``Additions to tax for negligence and fraud'' in section catchline and 
amended text generally, substituting a single par. for former subsecs. 
(a) to (g).
    1988--Subsec. (a)(1). Pub. L. 100-647, Sec. 1015(b)(2)(A), amended 
par. (1) generally. Prior to amendment, par. (1) read as follows: ``If 
any part of any underpayment (as defined in subsection (c)) is due to 
negligence or disregard of rules or regulations, there shall be added to 
the tax an amount equal to the sum of--
        ``(A) 5 percent of the underpayment, and
        ``(B) an amount equal to 50 percent of the interest payable 
    under section 6601 with respect to the portion of such underpayment 
    which is attributable to negligence for the period beginning on the 
    last date prescribed by law for payment of such underpayment 
    (determined without regard to any extension) and ending on the date 
    of the assessment of the tax (or, if earlier, the date of the 
    payment of the tax).''
    Subsec. (b)(1). Pub. L. 100-647, Sec. 1015(b)(2)(B), amended par. 
(1) generally. Prior to amendment, par. (1) read as follows: ``If any 
part of any underpayment (as defined in subsection (c)) of tax required 
to be shown on a return is due to fraud, there shall be added to the tax 
an amount equal to the sum of--
        ``(A) 75 percent of the portion of the underpayment which is 
    attributable to fraud, and
        ``(B) an amount equal to 50 percent of the interest payable 
    under section 6601 with respect to such portion for the period 
    beginning on the last day prescribed by law for payment of such 
    underpayment (determined without regard to any extension) and ending 
    on the date of the assessment of the tax or, if earlier, the date of 
    the payment of the tax.''
    Subsec. (g). Pub. L. 100-647, Sec. 1015(b)(3), inserted at end ``If 
any penalty is imposed under subsection (a) by reason of the preceding 
sentence, only the portion of the underpayment which is attributable to 
the failure described in the preceding sentence shall be taken into 
account in determining the amount of the penalty under subsection (a).''
    1986--Pub. L. 99-514, Sec. 1503(d)(1), substituted ``Additions to 
tax for negligence and fraud'' for ``Failure to pay tax'' in section 
catchline.
    Subsec. (a). Pub. L. 99-514, Sec. 1503(a), added subsec. (a) and 
struck out former subsec. (a) which added percentage to tax due for 
underpayment of taxes where negligence or intentional disregard of rules 
and regulations with respect to income, gift, or windfall profit taxes 
was involved, and also provided additional interest penalty for portion 
of underpayment attributable to negligence, etc.
    Subsec. (b). Pub. L. 99-514, Sec. 1503(b), added subsec. (b) and 
struck out former subsec. (b) which added percentage to tax due for 
underpayment of taxes where fraud was involved, and also provided for 
additional interest penalty, but stated that there would be no 
negligence addition where there was addition for fraud, and concluded 
with special rule for joint returns.
    Subsec. (d). Pub. L. 99-514, Sec. 1503(c)(2), substituted ``portion 
of the underpayment which is attributable to fraud'' for ``same 
underpayment''.
    Subsec. (f). Pub. L. 99-514, Sec. 1503(c)(3), struck out ``or 
intentional disregard of rules and regulations (but without intent to 
defraud)'' after ``underpayment due to negligence''.
    Subsec. (g). Pub. L. 99-514, Sec. 1503(b), amended subsec. (g) 
generally, substituting provisions relating to special rule for amounts 
shown on information returns for provisions relating to special rule in 
case of interest or dividend payments, and struck out provision that 
penalty was to apply only to portion of underpayment due to failure to 
include interest or dividend payment.
    1985--Subsec. (h). Pub. L. 99-44 repealed Pub. L. 98-369, 
Sec. 179(b)(3), which added subsec. (h), and provided that the Internal 
Revenue Code of 1954 [now 1986] [this title] shall be applied and 
administered as if section 179(b)(3) (and the amendments made by such 
section) had not been enacted. See 1984 Amendment note and Effective 
Date of 1985 Amendment note below.
    1984--Subsec. (h). Pub. L. 98-369 added subsec. (h) which provided 
for a special rule in the case of underpayment attributable to failure 
to meet the substantiation requirements of section 274(d) of this title. 
See 1985 Amendment note above.
    1983--Subsec. (a)(2)(B). Pub. L. 97-448, Sec. 107(a)(3), inserted 
``(or, if earlier, the date of the payment of the tax)'' after 
``assessment of the tax''.
    Subsec. (f). Pub. L. 97-448, Sec. 105(a)(1)(D), redesignated subsec. 
(g), added by Pub. L. 97-34, as (f) and substituted ``unrecognized 
gain'' for ``unrealized gain'' in heading.
    Subsec. (g). Pub. L. 98-67 added subsec. (g).
    Pub. L. 97-448, Sec. 105(a)(1)(D), redesignated subsec. (g), added 
by Pub. L. 97-34, as (f).
    1982--Subsec. (b). Pub. L. 97-248 designated first sentence of 
existing provisions as par. (1) with heading ``In general'', struck out 
second sentence which provided that in the case of income taxes and gift 
taxes, the amount under this subsec. shall be in lieu of any amount 
determined under subsec. (a), added pars. (2) and (3), designated last 
sentence as par. (4) with heading ``Special rule for joint returns'', 
and in par. (4) as so designated substituted ``of the spouse'' for ``of 
a spouse''.
    1981--Subsec. (a). Pub. L. 97-34, Sec. 722(b)(1), designated 
existing provisions as par. (1), inserted heading, struck out 
``(relating to income taxes and gift taxes)'', and added par. (2) after 
``subtitle B''.
    Subsec. (g). Pub. L. 97-34, Sec. 501(b), added subsec. (g).
    1980--Subsec. (a). Pub. L. 96-223 substituted ``, gift, or windfall 
profit taxes'' for ``or gift taxes'' in heading, and in text substituted 
``,'' for ``or'' before ``by chapter 12'' and inserted ``, or by chapter 
45 (relating to windfall profit tax)'' before ``is due to negligence''.
    1974--Subsec. (c)(1). Pub. L. 93-406 substituted ``certain excise'' 
for ``chapter 42'' in heading and text.
    1971--Subsec. (b). Pub. L. 91-679 inserted sentence making 
subsection inapplicable, in the case of a joint return under section 
6013 of this title, with respect to the tax of a spouse unless some part 
of the underpayment is due to the fraud of such spouse.
    1969--Subsec. (c)(1). Pub. L. 91-172, Sec. 101(j)(50), inserted 
reference to chapter 42 taxes in heading and text.
    Subsec. (d). Pub. L. 91-172, Sec. 943(c)(6), inserted ``or pay tax'' 
after ``such return''.
    1958--Subsec. (c)(1). Pub. L. 85-866, inserted ``on or'' after 
``such return was filed''.


                    Effective Date of 1989 Amendment

    Amendment by Pub. L. 101-239 applicable to returns the due date for 
which (determined without regard to extensions) is after Dec. 31, 1989, 
see section 7721(d) of Pub. L. 101-239, set out as a note under section 
461 of this title.


                    Effective Date of 1988 Amendment

    Amendment by section 1015(b)(2)(A), (B) of Pub. L. 100-647 
applicable to returns the due date for which (determined without regard 
to extensions) is after Dec. 31, 1988, see section 1015(b)(4) of Pub. L. 
100-647, set out as a note under section 6013 of this title.
    Amendment by section 1015(b)(3) of Pub. L. 100-647 effective, except 
as otherwise provided, as if included in the provision of the Tax Reform 
Act of 1986, Pub. L. 99-514, to which such amendment relates, see 
section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of 
this title.


                    Effective Date of 1986 Amendment

    Section 1503(e) of Pub. L. 99-514 provided that: ``The amendments 
made by this section [amending this section and section 6222 of this 
title] shall apply to returns the due date for which (determined without 
regard to extensions) is after December 31, 1986.''


                    Effective Date of 1985 Amendment

    Amendment by Pub. L. 99-44 effective as if included in the 
amendments made by section 179(b) of Pub. L. 98-369, see section 6(a) of 
Pub. L. 99-44, set out as a note under section 274 of this title.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-369 applicable to taxable years beginning 
after Dec. 31, 1984, see section 179(d)(2) of Pub. L. 98-369, set out as 
an Effective Date note under section 280F of this title.


                    Effective Date of 1983 Amendments

    Amendment by Pub. L. 98-67 applicable with respect to payments made 
after Dec. 31, 1983, see section 110(a) of Pub. L. 98-67, set out as a 
note under section 31 of this title.
    Amendment by Pub. L. 97-448 effective, except as otherwise provided, 
as if it had been included in the provision of the Economic Recovery Tax 
Act of 1981, Pub. L. 97-34, to which such amendment relates, see section 
109 of Pub. L. 97-448, set out as a note under section 1 of this title.


                    Effective Date of 1982 Amendment

    Section 325(b) of Pub. L. 97-248 provided that: ``The amendment made 
by subsection (a) [amending this section] shall apply with respect to 
taxes the last day prescribed by law for payment of which (determined 
without regard to any extension) is after the date of enactment of this 
Act [Sept. 3, 1982].''


                    Effective Date of 1981 Amendment

    Amendment by section 501(b) of Pub. L. 97-34 applicable to property 
acquired and positions established by the taxpayer after June 23, 1981, 
in taxable years ending after such date, and applicable when so elected 
with respect to property held on June 23, 1981, see section 508 of Pub. 
L. 97-34, set out as an Effective Date note under section 1092 of this 
title.
    Section 722(b)(2) of Pub. L. 97-34 provided that: ``The amendment 
made by paragraph (1) [amending this section] shall apply to taxes the 
last date prescribed for payment of which is after December 31, 1981.''


                    Effective Date of 1980 Amendment

    Amendment by Pub. L. 96-223 applicable to periods after Feb. 29, 
1980, see section 101(i) of Pub. L. 96-223, set out as a note under 
section 6161 of this title.


                    Effective Date of 1974 Amendment

    Amendment by Pub. L. 93-406 applicable, except as otherwise provided 
in section 1017(c) through (i) of Pub. L. 93-406, for plan years 
beginning after Sept. 2, 1974, but, in the case of plans in existence on 
Jan. 1, 1974, amendment by Pub. L. 93-406 applicable for plan years 
beginning after Dec. 31, 1975, see section 1017 of Pub. L. 93-406, set 
out as an Effective Date; Transitional Rules note under section 410 of 
this title.


                    Effective Date of 1971 Amendment

    Amendment by Pub. L. 91-679 applicable to all taxable years to which 
this title applies, see section 3 of Pub. L. 91-679, set out as a note 
under section 6013 of this title.


                    Effective Date of 1969 Amendment

    Amendment by section 101(j)(50) of Pub. L. 91-172 effective Jan. 1, 
1970, see section 101(k)(1) of Pub. L. 91-172, set out as an Effective 
Date note under section 4940 of this title.
    Amendment by section 943(c)(6) of Pub. L. 91-172 applicable with 
respect to tax returns the date prescribed by law for filing of which is 
after Dec. 31, 1969, see section 943(d) of Pub. L. 91-172, set out as a 
note under section 6651 of this title.


                    Effective Date of 1958 Amendment

    Amendment by Pub. L. 85-866 effective Aug. 17, 1954, see section 
1(c)(2) of Pub. L. 85-866, set out as a note under section 165 of this 
title.


       Repeal of Regulations Covering Substantiation by Adequate 
                         Contemporaneous Records

    Regulations issued before May 24, 1985, to carry out subsec. (h) of 
this section as added by section 179(b)(3) of Pub. L. 98-369 to have no 
force and effect, see section 1(c) of Pub. L. 99-44, set out as a note 
under section 274 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 5684, 5761, 6601, 6672 of 
this title.
