Internal Revenue Code:Sec. 5004. Lien for 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 I - GALLONAGE TAXES
          Subpart A - Distilled Spirits
        

Statute

    Sec. 5004. Lien for tax
 
    (a) Distilled spirits subject to lien
      (1) General
        The tax imposed by section 5001(a)(1) shall be a first lien on
      the distilled spirits from the time the spirits are in existence
      as such until the tax is paid.
      (2) Exceptions
        The lien imposed by paragraph (1), or any similar lien imposed
      on the spirits under prior provisions of internal revenue law,
      shall terminate in the case of distilled spirits produced on
      premises qualified under internal revenue law for the production
      of distilled spirits when such distilled spirits are -
          (A) withdrawn from bonded premises on determination of tax;
        or
          (B) withdrawn from bonded premises free of tax under
        provisions of section 5214(a)(1), (2), (3), (11), or (12), or
        section 7510; or
          (C) exported, deposited in a foreign-trade zone, used in the
        production of wine, laden as supplies upon, or used in the
        maintenance or repair of, certain vessels or aircraft,
        deposited in a customs bonded warehouse, or used in certain
        research, development, or testing, as provided by law.
    (b) Cross reference
          For provisions relating to extinguishing of lien in case of
        redistillation, see section 5223(e).
 

Sources

    (Added Pub. L. 85-859, title II, Sec. 201, Sept. 2, 1958, 72 Stat.
    1317; amended Pub. L. 89-44, title VIII, Sec. 805(f)(1), June 21,
    1965, 79 Stat. 161; Pub. L. 94-455, title XIX, Sec. 1906(b)(13)(A),
    Oct. 4, 1976, 90 Stat. 1834; Pub. L. 95-176, Sec. 4(c), Nov. 14,
    1977, 91 Stat. 1366; Pub. L. 96-39, title VIII, Sec. 807(a)(2),
    July 26, 1979, 93 Stat. 280; Pub. L. 96-223, title II, Sec.
    232(e)(2)(C), Apr. 2, 1980, 94 Stat. 280.)
 

Miscellaneous

                              PRIOR PROVISIONS
      A prior section 5004, act Aug. 16, 1954, ch. 736, 68A Stat. 598,
    consisted of provisions similar to those comprising this section,
    prior to the general revision of this chapter by Pub. L. 85-859.
      Provisions similar to those comprising subsec. (b)(1) of this
    section were contained in prior section 5007(e)(1), act Aug. 16,
    1954, ch. 736, 68A Stat. 600, prior to the general revision of this
    chapter by Pub. L. 85-859.
                                 AMENDMENTS
      1980 - Subsec. (a)(2)(B). Pub. L. 96-223 substituted ''(11), or
    (12),'' for ''or (11),''.
      1979 - Subsec. (a)(2)(B). Pub. L. 96-39, Sec. 807(a)(2)(C),
    substituted ''(3), or (11)'' for ''or (3)''.
      Subsecs. (b), (c). Pub. L. 96-39, Sec. 807(a)(2)(A), (B),
    redesignated subsec. (c) as (b). Former subsec. (b), relating to
    other property subject to lien, was repealed.
      1977 - Subsec. (a)(2). Pub. L. 95-176 struck out reference to
    par. (9) of section 5214(a) in subpar. (B), and in subpar. (C)
    substituted ''a customs bonded warehouse'' for ''customs
    manufacturing bonded warehouses'' and provided for termination of
    the lien for tax when the distilled spirits are used in certain
    research, development, or testing.
      1976 - Subsec. (b)(3)(B), (4). Pub. L. 94-455 struck out ''or his
    delegate'' after ''Secretary'', wherever appearing.
      1965 - Subsec. (c). Pub. L. 89-44 substituted ''5223(e)'' for
    ''5223(d)''.
                      EFFECTIVE DATE OF 1980 AMENDMENT
      Amendment by Pub. L. 96-223 effective on the first day of the
    first calendar month beginning more than 60 days after Apr. 2,
    1980, see section 232(h)(3) of Pub. L. 96-223, set out as an
    Effective Date note under section 5181 of this title.
                      EFFECTIVE DATE OF 1979 AMENDMENT
      Amendment by Pub. L. 96-39 effective Jan. 1, 1980, see section
    810 of Pub. L. 96-39, set out as a note under section 5001 of this
    title.
                      EFFECTIVE DATE OF 1977 AMENDMENT
      Amendment by Pub. L. 95-176 effective on first day of first
    calendar month beginning more than 90 days after Nov. 14, 1977, see
    section 7 of Pub. L. 95-176, set out as a note under section 5003
    of this title.
                      EFFECTIVE DATE OF 1965 AMENDMENT
      Section 805(g)(2) of Pub. L. 89-44 provided that: ''The
    amendments made by subsections (b), (d), and (f) (other than
    paragraph (6)) (amending this section and sections 5025, 5083,
    5223, and 5234 of this title), shall take effect on October 1,
    1965.''
 

References

                   SECTION REFERRED TO IN OTHER SECTIONS
      This section is referred to in section 6327 of this title.